Alcohol and drug abuse treatment Medicaid payments in Burlington increased 3.3% in 2024

In 2024, Burlington Medicaid providers submitted $16,558,408 in claims for services under the Alcohol and Drug Abuse Treatment category, according to the U.S. Department of Health and Human Services Medicaid Provider Spending database. This amount represents a 3.3% rise compared to 2023, when $16,025,792 was billed for the same services.

Medicaid operates as a public insurance program managed by the states and funded by both federal and state governments. The program serves low-income groups, seniors, children, and those with disabilities, making it a major component of the U.S. health care system.

Changes in local billing amounts highlight how taxpayer-funded health dollars are distributed across communities through Medicaid payments.

The “Alcohol and Drug Abuse Treatment” category consists of Medicaid-billed services grouped based on care type using standard HCPCS and CPT billing codes. This analysis assigned each code to a single service category using consistent numeric groupings to ensure related services could be reviewed collectively, avoiding double counting and maintaining consistent rankings.

Although Medicaid spending rose in several categories, Alcohol and Drug Abuse Treatment was the top-ranked service in Burlington by total Medicaid payments in 2024.

Statewide in New Jersey, Alcohol and Drug Abuse Treatment also led Medicaid payment categories in 2024.

From five years up to 2024, Medicaid payments for Burlington’s Alcohol and Drug Abuse Treatment category grew by $7,387,447, or 80.6%. Some years, especially 2022 and 2023, saw substantial increases in spending.

Payments for this service category were made throughout the city but mostly concentrated within a few ZIP codes. In 2024, payments in ZIP code 08016 alone totaled $16,558,408, accounting for 100% of Medicaid spending in this category in Burlington for the year.

Payments for Alcohol and Drug Abuse Treatment services also were concentrated among a select set of billing codes for the year.

When compared to overall city averages, Alcohol and Drug Abuse Treatment Medicaid payments rose 3.3% between 2024 and 2023, while the citywide increase across all claim categories was 1.4% over the same period.

Centers for Medicare & Medicaid Services data shows combined federal and state Medicaid spending totaled about $871.7 billion in fiscal year 2023, making up roughly 18% of total U.S. health expenditures, rising from about $613.5 billion in 2019 prior to the COVID-19 pandemic.

This change reflects an increase of approximately 40% in a few years, mainly due to expanded enrollment and greater utilization triggered by the pandemic.

Recent federal budget laws enacted under the Trump administration have included proposals aimed at reducing federal Medicaid spending and changing the program’s structure. The “One Big Beautiful Bill Act,” passed in 2025, is projected to cut federal Medicaid funding by more than $1 trillion over 10 years and introduces measures such as work requirements and higher cost-sharing. These policies may reduce coverage and funding for some recipients, potentially increasing states’ share of costs and slowing federal Medicaid funding growth, even as the program continues to serve millions nationwide.

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.