In 2024, Medicaid providers in Erwin submitted $1,467,684 in claims for Alcohol and Drug Abuse Treatment services, according to data from the U.S. Department of Health and Human Services Medicaid Provider Spending database. This total is 213.1% higher than in 2023, when the amount billed for these services was $468,804.
Medicaid is a joint federal and state public health insurance program funded by both levels of government. It provides health coverage to individuals and families with low incomes, as well as seniors, children, and people with disabilities, making it a major component of the U.S. health care system.
Because the funding for Medicaid is provided by taxpayers, fluctuations in local spending highlight how health care resources are distributed within a community.
The “Alcohol and Drug Abuse Treatment” category includes Medicaid-billed services grouped by the care provided, following standardized HCPCS and CPT code sets. Each code is assigned to one service category for this analysis, using consistent prefixes and number ranges to accurately compare related services and prevent duplicate counting, which ensures precise rankings over time.
Alcohol and Drug Abuse Treatment led all Medicaid categories by payment amount in Erwin for 2024, with spending rising in multiple service areas across the city.
Statewide in North Carolina, Alcohol and Drug Abuse Treatment was the fourth largest Medicaid payment category in 2024 by total value.
Between 2019 and 2024, Medicaid payments for Alcohol and Drug Abuse Treatment in Erwin climbed by $1,198,300, or 444.8%. The pace of growth was notably strong at certain points, with significant year-over-year increases observed in 2020 and 2023.
Although Medicaid payments for Alcohol and Drug Abuse Treatment were distributed across Erwin, the majority were concentrated in a small set of ZIP codes. In 2024, ZIP code 28339 accounted for $1,467,683, representing all Medicaid payments for the category in Erwin that year.
Spending within the Alcohol and Drug Abuse Treatment category was also focused on a limited selection of billing codes.
For context, Erwin saw a 213.1% increase in Medicaid payments for Alcohol and Drug Abuse Treatment services from 2023 to 2024. Across all Medicaid claim categories in the city, the overall rise during the same period was 47%.
According to the Centers for Medicare & Medicaid Services, federal and state Medicaid spending totaled about $871.7 billion in fiscal year 2023, reflecting roughly 18% of all national health expenditures. This rose sharply from about $613.5 billion in 2019, ahead of the COVID-19 pandemic.
This increase equates to approximately 40% growth in just a few years, mainly due to more people enrolling and higher use of services during and following the pandemic.
Recent federal budget laws enacted under the Trump administration have introduced major reductions to federal Medicaid funding and potential changes to program structure. The “One Big Beautiful Bill Act,” enacted in 2025, is estimated to reduce federal Medicaid spending by more than $1 trillion over the next 10 years and adds requirements such as work mandates and higher cost-sharing, potentially affecting coverage for some enrollees. The shift is expected to put more pressure on state budgets and limit future federal Medicaid growth, even as the program continues to serve tens of millions.
| Year | Total Medicaid Payments | % Change From Previous Year |
|---|---|---|
| 2020 | $269,384 | 163% |
| 2021 | $353,245 | 31.1% |
| 2022 | $352,366 | -0.2% |
| 2023 | $468,803 | 33% |
| 2024 | $1,467,683 | 213.1% |
| Rank | Category | Medicaid Payments | Share of City Total |
|---|---|---|---|
| 1 | Alcohol and Drug Abuse Treatment | $1,467,683 | 46.8% |
| 2 | Medicine Services and Procedures | $608,251 | 19.4% |
| 3 | Temporary National Codes (Non-Medicare) | $503,912 | 16.1% |
| 4 | Evaluation and Management | $321,243 | 10.3% |
| 5 | Dental Services | $229,051 | 7.3% |
| 6 | National Codes Established for State Medicaid Agencies | $2,849 | 0.1% |
| 7 | Procedures / Professional Services | $428 | <0.1% |
| 8 | Pathology and Laboratory Procedures | $31 | <0.1% |
| HCPCS Code | Description | Medicaid Payments | Claims |
|---|---|---|---|
| H0020 | Alcohol and/or drug services | $1,467,683 | 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.

