Richardson Medicaid providers reported $6,953,256 in billings for Alcohol and Drug Abuse Treatment services in 2024, according to the U.S. Department of Health and Human Services Medicaid Provider Spending database. This total represents a 7.8% increase from 2023, when $6,448,161 was billed for these services.
Medicaid is a government health insurance initiative managed by the states with joint federal and state funding, as described by the Commonwealth Fund. It provides coverage for low-income individuals and families, seniors, children, and those with disabilities, making it a central component of the U.S. health care framework.
Shifts in local Medicaid billing demonstrate how publicly funded health care resources are allocated within a community, since Medicaid spending is sourced from taxpayers.
The “Alcohol and Drug Abuse Treatment” category encompasses a range of Medicaid-billed services, designated by the care provided and defined through standardized HCPCS and CPT codes. For this analysis, each billing code was assigned to a single service category, using recurring code prefixes and number ranges, to allow consistent grouping, prevent duplicate counting, and maintain accuracy in ranking across years.
While Medicaid expenditures increased among several categories, Alcohol and Drug Abuse Treatment placed seventh for total Medicaid payments in Richardson in 2024.
Statewide, Alcohol and Drug Abuse Treatment was the fourth highest category by total Medicaid payments in Texas for 2024.
From 2020 through 2024, Richardson’s Medicaid payments for Alcohol and Drug Abuse Treatment rose by $1,535,716, or 28.3%. Several years saw particularly notable increases, especially in 2021 and 2022.
Although spending in this service category was citywide, payments largely clustered within a small number of ZIP codes in 2024. The ZIP codes receiving the most Medicaid dollars for Alcohol and Drug Abuse Treatment were 75081 with $6,322,118 and 75080 with $631,138. Combined, these top 2 ZIP codes constituted all Medicaid payments for the category in Richardson that year.
Within this treatment category, the distribution of Medicaid payments was focused on a few individual billing codes.
Year-over-year, Medicaid funding for Alcohol and Drug Abuse Treatment in Richardson increased by 7.8% from 2023 to 2024, compared with a 1.2% rise for all Medicaid billing categories in the city during the same period.
The Centers for Medicare & Medicaid Services reports that federal and state Medicaid expenditures together totaled roughly $871.7 billion in fiscal year 2023. This comprised about 18% of all national health spending and was a sharp increase from about $613.5 billion in 2019 before the COVID-19 pandemic.
This growth—about 40% over several years—was primarily driven by increased enrollment and greater service utilization during and following the pandemic.
Recent federal budget laws enacted during the Trump administration propose significant reductions to federal Medicaid funding and changes in program structure. The “One Big Beautiful Bill Act,” signed in 2025, aims to cut more than $1 trillion in federal Medicaid support over the next decade, adding work requirements and higher cost-sharing that could decrease coverage and financial assistance for some beneficiaries. This is expected to shift additional costs to the states and restrict future federal growth, even as Medicaid continues to serve tens of millions of Americans.
| Year | Total Medicaid Payments | % Change From Previous Year |
|---|---|---|
| 2020 | $5,417,540 | -8.3% |
| 2021 | $6,625,088 | 22.3% |
| 2022 | $7,353,901 | 11% |
| 2023 | $6,448,161 | -12.3% |
| 2024 | $6,953,256 | 7.8% |
| Rank | Category | Medicaid Payments | Share of City Total |
|---|---|---|---|
| 1 | National Codes Established for State Medicaid Agencies | $82,689,053 | 43.2% |
| 2 | Temporary National Codes (Non-Medicare) | $44,105,668 | 23% |
| 3 | Enteral and Parenteral Therapy | $14,817,947 | 7.7% |
| 4 | Medicine Services and Procedures | $10,187,828 | 5.3% |
| 5 | Medical And Surgical Supplies | $7,909,820 | 4.1% |
| 6 | Durable Medical Equipment | $7,813,483 | 4.1% |
| 7 | Alcohol and Drug Abuse Treatment | $6,953,256 | 3.6% |
| 8 | Procedures / Professional Services | $5,695,343 | 3% |
| 9 | Radiology Procedures | $5,077,453 | 2.7% |
| 10 | Evaluation and Management | $3,296,136 | 1.7% |
| 11 | Dental Services | $2,073,662 | 1.1% |
| 12 | Ambulance and Other Transport Services and Supplies | $404,413 | 0.2% |
| 13 | Anesthesia | $187,383 | 0.1% |
| 14 | Pathology and Laboratory Procedures | $138,777 | 0.1% |
| 15 | Surgery | $18,333 | <0.1% |
| 16 | Durable medical equipment (DME) Medicare administrative contractors (MACs) | $16,722 | <0.1% |
| 17 | Drugs Administered Other than Oral Method | $4,750 | <0.1% |
| 18 | Temporary Codes | $2,630 | <0.1% |
| 19 | Administrative, Miscellaneous and Investigational | $1,601 | <0.1% |
| 20 | Chemotherapy Drugs | $1,520 | <0.1% |
| 21 | Diagnostic Radiology Services | $1,418 | <0.1% |
| HCPCS Code | Description | Medicaid Payments | Claims |
|---|---|---|---|
| H2032 | Activity therapy, per 15 min | $5,720,184 | 12 |
| H2015 | Comp comm supp svc, 15 min | $631,138 | 12 |
| H2016 | Comp comm supp svc, per diem | $400,144 | 12 |
| H2019 | Ther behav svc, per 15 min | $201,788 | 12 |
Note: HCPCS codes are shown for context within the category. Category totals and rankings in this article are based on standardized service groupings rather than individual billing codes.
Information in this article was obtained from the U.S. Department of Health and Human Services Medicaid Provider Spending database. The source data can be found here.
