How is the opioid epidemic fueling shady treatment facilities in South Florida?
In an effort to eliminate unethical marketing practices and fraud in the drug treatment industry, Gov. Rick Scott has signed a sober home cleanup bill into law. This comes after the governor issued a public health emergency in May to confront the opioid epidemic, giving the state access to federal grant money for drug prevention and treatment.
The law, which had bipartisan support in the state legislature, specifically targets kickbacks, insurance fraud and patient brokering in sober homes and treatment facilities in Florida, as the state grapples with an opioid addiction and overdose crisis.
What are sober homes?
Sober homes are akin to halfway houses that are designed to treat individuals who have been released from rehab. Numerous treatment centers in Florida have been aggressively marketing in the Northeast and Midwest to draw in out-of-state addicts. Meanwhile, studies and investigations have uncovered rampant corruption on the state’s addiction treatment industry.
In fact, some unregulated sober homes have been taking kickbacks to refer addicts to treatment centers, a practice referred to as patient brokering. The treatment centers then billed insurers for unnecessary and extensive drug testing, which is insurance fraud. Even worse: some unscrupulous players allowed drug sales to occur on their premises, creating a vicious cycle of sobriety and relapse in an effort to boost profits.
Florida’s Sober Home Law at a Glance
First, the law cracks down on patient brokering by requiring sober-home telemarketers to register with the state. The law also mandates background checks for owners, directors and clinical supervisors of treatment facilities. Additionally, the law clarifies that patient brokering is a violation of existing anti-kickback laws.
The law also creates a new regulatory scheme by giving the Department of Children and Families oversight of licensed treatment centers. The department will have the power to conduct unannounced inspections of these centers. Moreover, licensed facilities will be barred from referring patients to sober homes that are not voluntarily certified through the state. The goal here is to incentivize voluntary certification through the Florida Association of Recovery Residences which sets standards for recovery facilities.
Finally, the law gives enforcement power over patient brokering cases to the Office of Statewide Prosecutor, and makes patient brokering a crime punishable under the state’s Racketeer Influenced and Corrupt Organizations Act (RICO).
The Takeaway
It goes without saying that Florida and the Nation at large are in the midst of an opioid epidemic. In an effort to combat opioid addiction and overdoses, the drug laws are being vigorously enforced. With the new sober home law in effect, the state will be cracking down on abuse in the drug treatment industry as well. In any event, if you are facing drug charges or are under investigation in connection for patient brokering or insurance fraud, you are well advised to engage the services of Herman Law.