Data from the U.S. Department of Health and Human Services Medicaid Provider Spending database shows Lynnwood Medicaid providers submitted $4,446,107 in claims for Alcohol and Drug Abuse Treatment services in 2024, up 26% from the $3,529,065 in claims recorded for such services in 2023.
Medicaid is a state-operated, federally and state-funded public health insurance program that serves low-income people, families, children, seniors, and individuals with disabilities, making it a core component of the U.S. health care system. For more information on funding, see here.
Because Medicaid funding comes from taxpayers, trends in provider billing provide insight into how a community distributes its public health care spending.
The “Alcohol and Drug Abuse Treatment” category includes a range of Medicaid-billed services as defined by standardized HCPCS and CPT code groups. For this study, each code was allocated to one primary service category using code prefixes and number groupings to ensure separate services could be analyzed together without duplicating totals or rankings.
Alcohol and Drug Abuse Treatment received the largest share of Medicaid payments in Lynnwood among all service types in 2024.
Statewide, the Alcohol and Drug Abuse Treatment category ranked fourth for total Medicaid payments in Washington in 2024.
From 2019 through 2024, Lynnwood saw a $1,055,118 increase (31.1%) in Medicaid payments linked to Alcohol and Drug Abuse Treatment. Some years within this time period, such as 2020 and 2021, experienced accelerated growth.
While Medicaid spending in this service category occurred across Lynnwood, the highest payment volumes concentrated in two ZIP codes: 98036 with $4,083,190 and 98037 with $362,916. Combined, these ZIP codes represented 100% of all Medicaid payments attached to this category in Lynnwood in 2024.
A small number of billing codes captured most Medicaid payments within the Alcohol and Drug Abuse Treatment service type.
Comparing the change in Alcohol and Drug Abuse Treatment payments with overall Medicaid claims in Lynnwood, the 26% jump outpaces the 1.6% rise seen across all claim types from 2023 to 2024.
According to the Centers for Medicare & Medicaid Services, total federal and state Medicaid expenditures reached about $871.7 billion in fiscal year 2023, reflecting roughly 18% of all U.S. health spending. That figure was up significantly from $613.5 billion in 2019, before the COVID-19 pandemic.
This increase amounts to about 40% growth over several years, primarily due to expanded enrollment and higher service use related to pandemic-era factors.
Major federal budget measures under the Trump administration have put forth broad proposals to cut and restructure Medicaid spending. The “One Big Beautiful Bill Act,” enacted in 2025, is expected to trim over $1 trillion in federal Medicaid support over 10 years and introduces work requirement and cost-sharing measures that could reduce coverage and increase costs for some enrollees. These policy shifts are projected to put more financial responsibility onto states and constrain federal Medicaid funding growth, even as the program remains vital for millions.
| Year | Total Medicaid Payments | % Change From Previous Year |
|---|---|---|
| 2020 | $3,390,989 | 160.2% |
| 2021 | $3,870,219 | 14.1% |
| 2022 | $3,580,209 | -7.5% |
| 2023 | $3,529,065 | -1.4% |
| 2024 | $4,446,106 | 26% |
| Rank | Category | Medicaid Payments | Share of City Total |
|---|---|---|---|
| 1 | Alcohol and Drug Abuse Treatment | $4,446,106 | 40.3% |
| 2 | Radiology Procedures | $3,308,084 | 3<0.1% |
| 3 | Medicine Services and Procedures | $1,773,829 | 16.1% |
| 4 | Evaluation and Management | $645,147 | 5.9% |
| 5 | Dental Services | $354,737 | 3.2% |
| 6 | Medical And Surgical Supplies | $161,858 | 1.5% |
| 7 | Temporary Codes | $161,658 | 1.5% |
| 8 | Durable Medical Equipment | $113,981 | 1% |
| 9 | Procedures / Professional Services | $24,521 | 0.2% |
| 10 | Surgery | $14,046 | 0.1% |
| 11 | National Codes Established for State Medicaid Agencies | $6,463 | 0.1% |
| 12 | Vision Services | $6,295 | 0.1% |
| 13 | Pathology and Laboratory Procedures | $4,653 | <0.1% |
| HCPCS Code | Description | Medicaid Payments | Claims |
|---|---|---|---|
| H0020 | Alcohol and/or drug services | $1,366,405 | 26 |
| H0011 | Alcohol and/or drug services | $1,008,444 | 11 |
| H0038 | Self-help/peer svc per 15min | $535,224 | 9 |
| H0004 | Alcohol and/or drug services | $418,465 | 33 |
| H2014 | Skills train and dev, 15 min | $317,412 | 9 |
| H0043 | Supported housing, per diem | $209,552 | 11 |
| H2027 | Psychoed svc, per 15 min | $202,755 | 7 |
| H2017 | Psysoc rehab svc, per 15 min | $135,612 | 5 |
| H2015 | Comp comm supp svc, 15 min | $133,867 | 7 |
| H2036 | A/d tx program, per diem | $45,440 | 11 |
| H2020 | Ther behav svc, per diem | $32,037 | 1 |
| H0046 | Mental health service, nos | $17,557 | 11 |
| H0031 | Mh health assess by non-md | $7,184 | 2 |
| H0001 | Alcohol and/or drug assess | $6,768 | 1 |
| H2023 | Supported employ, per 15 min | $5,265 | 1 |
| H0003 | Alcohol and/or drug screenin | $4,112 | 6 |
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.