El Paso Medicaid spending for alcohol and drug abuse treatment climbs to $43.6 million in 2024

Dr. Mehmet Oz CMS Administrator
Dr. Mehmet Oz CMS Administrator
0Comments

El Paso Medicaid providers received $43,647,540 in 2024 for services listed in the Alcohol and Drug Abuse Treatment category, data from the U.S. Department of Health and Human Services Medicaid Provider Spending database shows. That figure represents a 5.9% uptick compared to 2023, when these services amounted to $41,205,899.

Medicaid, a jointly funded state and federal public health insurance program, covers low-income individuals and families, seniors, children, and people with disabilities, making it a major component of the U.S. health care system. Find out more on how it is financed at this explainer.

Since Medicaid financing relies on taxpayer funding, shifts in area billing patterns highlight how local public health budgets are distributed.

The Alcohol and Drug Abuse Treatment group comprises services categorized based on type of care, as defined through consistent HCPCS and CPT code groupings. For analytical purposes, each code falls under a unique service category, using standard code prefixes and number ranges to track related treatments while eliminating duplicate counts and ensuring accurate year-over-year rankings.

Alcohol and Drug Abuse Treatment was the third-largest service category by total Medicaid payments in El Paso for 2024, even as overall program spending grew across multiple categories.

At the statewide level, Alcohol and Drug Abuse Treatment was ranked fourth among Medicaid payment categories in Texas for 2024.

Between 2019 and 2024, Medicaid spending for Alcohol and Drug Abuse Treatment in El Paso jumped by $40,020,371, representing 1103.4% growth. The growth rate was especially strong in 2021 and 2020, which saw particularly notable increases year over year.

Spending for Alcohol and Drug Abuse Treatment services, though dispersed across El Paso, was concentrated in just a few ZIP codes. Notably, payments in 2024 were heaviest in ZIP code 79925, reaching $13,122,682, followed by 79906 at $6,767,599, and 79902 with $5,047,262. These three ZIP codes together accounted for 57.1% of all Medicaid payments in the category citywide that year.

Payments in this service category were further focused within a small set of individual Medicaid billing codes.

To put this into perspective, alcohol and drug abuse treatment services saw a 5.9% Medicaid payment increase in El Paso from 2023 to 2024. By comparison, Medicaid payments across all service categories in the city rose 3.4% during the same timeframe.

According to the Centers for Medicare & Medicaid Services, combined state and federal Medicaid costs totaled an estimated $871.7 billion for fiscal year 2023, making up about 18% of all U.S. health care expenditures. This is a significant spike from nearly $613.5 billion in 2019, prior to the COVID-19 pandemic.

The rise, roughly 40% in a few years, is due mostly to rising enrollment and increased health care service use during and after the pandemic.

Recent federal budgets under the Trump administration have featured proposed reductions to federal Medicaid support and program restructuring. For instance, the “One Big Beautiful Bill Act,” signed into law in 2025, is expected to reduce federal Medicaid spending by more than $1 trillion over the next 10 years. Its policy changes, such as work requirements and higher cost-sharing, could scale back coverage or funding for certain beneficiaries, putting more financial responsibility on states while restricting federal contributions, yet the program will continue to cover tens of millions nationwide.

Medicaid Payments Tied to Alcohol and Drug Abuse Treatment in El Paso, Texas Over Five Years

Year Total Medicaid Payments % Change From Previous Year
2020 $3,627,168 245.2%
2021 $14,339,576 295.3%
2022 $31,444,040 119.3%
2023 $41,205,898 31%
2024 $43,647,539 5.9%
Top Categories by Medicaid Payments in El Paso, Texas, 2024

Rank Category Medicaid Payments Share of City Total
1 Temporary National Codes (Non-Medicare) $166,132,692 44.2%
2 Evaluation and Management $55,289,901 14.7%
3 Alcohol and Drug Abuse Treatment $43,647,539 11.6%
4 National Codes Established for State Medicaid Agencies $39,963,659 10.6%
5 Medicine Services and Procedures $29,663,153 7.9%
6 Dental Services $12,426,996 3.3%
7 Pathology and Laboratory Procedures $7,057,797 1.9%
8 Ambulance and Other Transport Services and Supplies $5,934,183 1.6%
9 Radiology Procedures $4,569,266 1.2%
10 Durable Medical Equipment $2,441,142 0.6%
11 Medical And Surgical Supplies $2,300,874 0.6%
12 Procedures / Professional Services $2,038,229 0.5%
13 Surgery $1,789,817 0.5%
14 Enteral and Parenteral Therapy $1,227,162 0.3%
15 Drugs Administered Other than Oral Method $475,259 0.1%
16 Vision Services $467,778 0.1%
17 Coronavirus Diagnostic Panel $269,086 0.1%
18 Anesthesia $207,125 0.1%
19 Orthotic Procedures and services $88,449 <0.1%
20 Durable medical equipment (DME) Medicare administrative contractors (MACs) $50,076 <0.1%
21 Temporary Codes $47,604 <0.1%
22 Administrative, Miscellaneous and Investigational $31,015 <0.1%
23 Diagnostic Radiology Services $10,483 <0.1%
24 Miscellaneous Medical Services $2,555 <0.1%
25 Chemotherapy Drugs $2,416 <0.1%
26 Outpatient PPS $1,022 <0.1%
27 Pathology and Laboratory Services $0 <0.1%
Top 20 HCPCS Codes Within the Alcohol and Drug Abuse Treatment Category in El Paso, Texas, 2024

HCPCS Code Description Medicaid Payments Claims
H2016 Comp comm supp svc, per diem $21,871,730 71
H2014 Skills train and dev, 15 min $15,192,031 365
H2017 Psysoc rehab svc, per 15 min $3,860,470 115
H0034 Med trng & support per 15min $859,138 136
H2032 Activity therapy, per 15 min $571,956 23
H0035 Mh partial hosp tx under 24h $475,227 9
H0020 Alcohol and/or drug services $232,415 27
H2012 Behav hlth day treat, per hr $164,151 9
H0004 Alcohol and/or drug services $147,272 36
H2019 Ther behav svc, per 15 min $102,395 25
H2011 Crisis interven svc, 15 min $96,825 20
H0005 Alcohol and/or drug services $53,194 9
H0001 Alcohol and/or drug assess $11,944 14
H2015 Comp comm supp svc, 15 min $8,431 1
H0049 Alcohol/drug screening $354 4

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.



Related

Dr. Mehmet Oz CMS Administrator

Horizon City Medicaid spending on Pathology and Laboratory Procedures rises to $350,477 in 2024

In 2024, Horizon City Medicaid providers recorded $350,477 in claims for Pathology and Laboratory Procedures, reflecting a 10.7% increase from the prior year.

Martin A. Makary, M.D. Commissioner of Food and Drugs of FDA

FDA issued 19 citations in cities across El Paso County in 2025

There were seven companies in cities associated with El Paso County that received FDA citations as a result of seven inspections conducted in the county in 2025, according to reports from the U.S. Food and Drug Administration (FDA).

Benjamin D. Moncarz Chief Financial Officer - FDA

How many companies were inspected by the FDA in cities located in El Paso County in 2025?

There were 30 companies in cities associated with El Paso County that received 30 FDA inspections in 2025, according to the U.S. Food and Drug Administration.