California SB-1228 Alcoholism Or Drug Abuse Recovery & Treatment Services: Referrals

The legislation was signed on September 27, 2018. It forbids California licensed addiction treatment rehabilitation provider organizations and addiction treatment professionals from “patient-brokering,” a practice in which a facility pays or entices consumers to come to a particular facility and stay there for the purpose of billing their insurer. Provider organizations that engage in this practice or pay an independent recruiter for referrals can be fined or lose their operating licenses . . .