Substance use disorder: addiction treatment referral agencies.

Senator Umberg's addiction treatment referral agency legislation establishes new certification requirements and oversight mechanisms for organizations that connect individuals with substance use disorder treatment programs. The bill requires referral agencies to obtain a Department of Justice certificate of compliance before referring patients to licensed treatment facilities for compensation.

Under the new provisions, referral agencies must submit detailed applications documenting their ownership, operations, and fee structures. The legislation prohibits agencies from maintaining financial interests in treatment programs they refer to and mandates that referrals stem from patient-initiated responses rather than direct solicitation. Agencies must also file confidential standard form contracts governing their relationships with member treatment programs.

The Department of Justice can suspend or revoke certificates and levy civil penalties up to $20,000 for violations. The Attorney General, district attorneys, and individuals harmed by non-compliant referral practices may pursue civil actions and injunctive relief. Local public agencies providing no-cost referral services retain exemption from these requirements when authorized by law.

The certification framework aims to standardize referral practices while maintaining competitive dynamics between agencies. Standard form contracts between referral agencies and treatment programs remain confidential, with legislative findings citing the need to protect proprietary information and encourage broad program participation.