In 2024, Medicaid providers in Hummelstown submitted $6,791,078 in claims for Alcohol and Drug Abuse Treatment services, according to the U.S. Department of Health and Human Services Medicaid Provider Spending database. This represented a 1.8% increase from the $6,669,109 billed for the same services in 2023.
Medicaid, a public insurance program operated by states and financed in partnership between federal and state governments, covers low-income groups, seniors, children, and individuals with disabilities. This makes it a key part of the U.S. health care system.
Since Medicaid payments stem from taxpayer funds, shifts in local billing provide insight into the allocation of public health care resources in the community.
The “Alcohol and Drug Abuse Treatment” category includes service groupings based on standardized HCPCS and CPT codes, according to the care delivered. In this report, each billing code is linked to one service category using unified code ranges and prefixes, allowing for accurate grouping and ranking over time by eliminating duplicate counting.
Alcohol and Drug Abuse Treatment services topped all Medicaid categories for total payments in Hummelstown in 2024, mirroring trends in multiple service areas.
Statewide in Pennsylvania, Alcohol and Drug Abuse Treatment was also ranked first for total Medicaid disbursements in 2024.
Medicaid payments for Alcohol and Drug Abuse Treatment in Hummelstown grew by $6,019,486, or 780.1%, in the five years preceding 2024. Growth accelerated at several points, especially in the years 2021 and 2022.
While services within this category were utilized throughout Hummelstown, most of the 2024 Medicaid spend was tied to one ZIP code: 17036 with $6,791,078. This ZIP code accounted for the entirety of local Medicaid claims in the category for the year.
Payments within Alcohol and Drug Abuse Treatment were heavily focused among a handful of billing codes.
Comparing the 1.8% year-over-year increase for this category in 2024 to Medicaid’s overall local service payments, all categories in Hummelstown together saw a 1.2% increase.
Centers for Medicare & Medicaid Services data shows combined federal and state Medicaid disbursements hit around $871.7 billion in fiscal year 2023, making up roughly 18% of total national health spending. This is a sharp rise from approximately $613.5 billion in 2019, before the COVID-19 pandemic.
This marks about 40% growth in just a few years, primarily due to increased enrollment and greater use of services related to the pandemic period and its aftermath.
Recent major federal budget measures enacted under the Trump administration included plans to reduce federal Medicaid funding and restructure the program. The “One Big Beautiful Bill Act,” signed in 2025, is projected to reduce federal Medicaid spending by over $1 trillion in the next decade and introduce cost-sharing measures and work requirements. These changes could limit federal support growth while shifting greater cost responsibility to the states, as Medicaid continues covering millions of Americans.
| Year | Total Medicaid Payments | % Change From Previous Year |
|---|---|---|
| 2020 | $771,591 | – |
| 2021 | $2,882,764 | 273.6% |
| 2022 | $5,810,184 | 101.5% |
| 2023 | $6,669,108 | 14.8% |
| 2024 | $6,791,078 | 1.8% |
| Rank | Category | Medicaid Payments | Share of City Total |
|---|---|---|---|
| 1 | Alcohol and Drug Abuse Treatment | $6,791,078 | 93.1% |
| 2 | Evaluation and Management | $269,755 | 3.7% |
| 3 | Medicine Services and Procedures | $167,424 | 2.3% |
| 4 | Vision Services | $67,913 | 0.9% |
| 5 | Temporary National Codes (Non-Medicare) | $480 | <0.1% |
| 6 | Pathology and Laboratory Procedures | $164 | <0.1% |
| 7 | Procedures / Professional Services | $0 | <0.1% |
| HCPCS Code | Description | Medicaid Payments | Claims |
|---|---|---|---|
| H2036 | A/d tx program, per diem | $6,791,078 | 14 |
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.
