Data from the U.S. Department of Health and Human Services Medicaid Provider Spending database show that providers in Boulder billed $499,954 to Medicaid for Alcohol and Drug Abuse Treatment services in 2024. This represented an increase of 91.7% compared to 2023, when the total was $260,837 for the same service category.
Medicaid, a public health insurance system managed by individual states but jointly financed by state and federal governments, covers low-income people and families, older adults, children, and those with disabilities, making it a significant component of U.S. health care.
Because Medicaid is taxpayer funded, shifts in local billing offer a view into how community health care dollars are distributed.
The “Alcohol and Drug Abuse Treatment” classification includes a set group of Medicaid-billed services defined by the type of care delivered, following standardized HCPCS and CPT code structures. Each billing code analyzed for this report was grouped under a single service category using consistent code ranges to prevent duplicate counting and enable accurate, longitudinal category comparisons.
While Medicaid payments rose in various categories, Alcohol and Drug Abuse Treatment accounted for the sixth-highest total in Boulder in 2024.
Statewide in Colorado, Alcohol and Drug Abuse Treatment ranked third in total Medicaid payments for 2024.
Between 2019 and 2024, Boulder’s Medicaid claims for Alcohol and Drug Abuse Treatment increased by $240,295—up 92.5%. Notable spikes happened in certain years, including 2020 and 2022, when spending grew significantly year over year.
Although this spending occurred throughout Boulder, a majority of payments came from a few ZIP codes. In 2024, ZIP code 80302 led with $206,090; 80301 followed with $145,444; and 80303 saw $86,081. Combined, these three ZIP codes made up 87.5% of Boulder’s Medicaid payments for Alcohol and Drug Abuse Treatment during the year.
Within the Alcohol and Drug Abuse Treatment classification, Medicaid reimbursement was focused heavily on a small selection of individual billing codes.
Spending tied to Alcohol and Drug Abuse Treatment in Boulder rose 91.7% between 2023 and 2024, outpacing the 22% increase seen across all Medicaid claim types in Boulder over the same period.
According to the Centers for Medicare & Medicaid Services, total federal and state Medicaid expenditures reached about $871.7 billion in the 2023 fiscal year, making up roughly 18% of total U.S. health outlays. This was up significantly from $613.5 billion in 2019, before the COVID-19 pandemic.
This growth—approximately 40% in a few years—stemmed largely from increased enrollment and greater service usage during and after the pandemic.
Recent federal budget actions under the Trump administration proposed sizable cuts to Medicaid’s federal funding and structural program changes. The “One Big Beautiful Bill Act,” enacted in 2025, is projected to trim more than $1 trillion from federal Medicaid support over the next decade and rolls out new policies like work requirements and higher cost-sharing, which could narrow coverage and federal spending for some groups. As a result, states may face higher costs and limits on expanded federal Medicaid funding, even as the program remains vital for millions of Americans.
| Year | Total Medicaid Payments | % Change From Previous Year |
|---|---|---|
| 2020 | $259,658 | 355.4% |
| 2021 | $235,964 | -9.1% |
| 2022 | $258,484 | 9.5% |
| 2023 | $260,837 | 0.9% |
| 2024 | $499,954 | 91.7% |
| Rank | Category | Medicaid Payments | Share of City Total |
|---|---|---|---|
| 1 | Medicine Services and Procedures | $2,794,210 | 23.2% |
| 2 | National Codes Established for State Medicaid Agencies | $2,677,755 | 22.3% |
| 3 | Evaluation and Management | $2,507,823 | 20.8% |
| 4 | Ambulance and Other Transport Services and Supplies | $1,403,834 | 11.7% |
| 5 | Durable Medical Equipment | $689,632 | 5.7% |
| 6 | Alcohol and Drug Abuse Treatment | $499,954 | 4.2% |
| 7 | Medical And Surgical Supplies | $415,202 | 3.5% |
| 8 | Dental Services | $367,979 | 3.1% |
| 9 | Temporary National Codes (Non-Medicare) | $241,507 | 2% |
| 10 | Procedures / Professional Services | $145,040 | 1.2% |
| 11 | Vision Services | $125,430 | 1% |
| 12 | Pathology and Laboratory Procedures | $49,563 | 0.4% |
| 13 | Radiology Procedures | $43,833 | 0.4% |
| 14 | Drugs Administered Other than Oral Method | $27,682 | 0.2% |
| 15 | Surgery | $23,775 | 0.2% |
| 16 | Temporary Codes | $11,593 | 0.1% |
| 17 | Anesthesia | $5,393 | <0.1% |
| HCPCS Code | Description | Medicaid Payments | Claims |
|---|---|---|---|
| H2036 | A/d tx program, per diem | $206,090 | 5 |
| H2021 | Com wrap-around sv, 15 min | $143,551 | 7 |
| H0004 | Alcohol and/or drug services | $55,608 | 17 |
| H0002 | Alcohol and/or drug screenin | $36,054 | 22 |
| H0005 | Alcohol and/or drug services | $30,472 | 10 |
| H0023 | Alcohol and/or drug outreach | $26,283 | 22 |
| H0032 | Mh svc plan dev by non-md | $1,527 | 2 |
| H0001 | Alcohol and/or drug assess | $365 | 1 |
| H2027 | Psychoed svc, per 15 min | $0 | 1 |
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.
