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Home My WebLink About2024-11-07; Recovery Based Group Homes Update (Districts - All); Murphy, JeffCouncil Memorandum {city of Carlsbad Memo ID# 2024079 November 7, 2024 To: From: Via: Re: Honorable Mayor Blackburn and Members of the City Council Jeff Murphy, Community Development Director Jason Haber, Intergovernmental Affairs Director Gary Barberio, Deputy City Manager,~o unity Services Geoff Patnoe, Assistant City Manage Recovery-Based Group Homes Update istricts -All) This Council Memorandum is an update to the Council Memorandum released on May 23, 2024. Background This Council Memorandum is an update to the Council Memorandum released on May 23, 2024 (Attachment A), which provided an update on relevant proposed state law changes regarding the regulation of recovery-based group homes and status of ongoing litigation against the City of Costa Mesa over its adoption of certain limitations and regulatory requirements for sober livings homes. The 2024 state legislative session has concluded, explaining the reason for the timing of this Council Memorandum. Discussion The following is an update on the above referenced City Council directions. A. City of Costa Mesa litigation There is no change in status from the May 2024 Council Memorandum regarding the four pending cases involving the City of Costa Mesa's sober living home regulations. Staff will advise the City Council once the court provides helpful legal guidance on this issue. B. California legislature Three bills were sponsored by the League of California Cities aimed to better regulate recovery-based group homes by increasing operator transparency and accountability requirements and enhancing state oversight and enforcement. 1. AB 2081 (Davies) -PASSED. This bill was signed by the Governor and chaptered by the Secretary of State on September 22, 2024. This bill was supported by the City of Carlsbad (Attachment B) and requires the operator of a licensed recovery home to disclose to those seeking care that they can check the California Department of Health Care Services website to confirm a facility's compliance with state licensing laws. AB 2081 ensures that those seeking treatment can easily know what violations, if any, have occurred within a treatment facility and holds providers accountable by making these violations easily accessible to the public. Suspected violations of this bill's posting Community Services Branch Community Development Department 1635 Faraday Avenue I Carlsbad, CA 92008 I 442-339-2600 t Council Memo -Recovery-Based Group Homes Update (Districts -All) November 7, 2024 Page 2 and/or disclosure requirements are to be reported directly to the State Department of Health Care Services for investigation and possible enforcement actions. 2. AB 2574 (Valencia) -PASSED. This bill was also signed by the Governor and chaptered by the Secretary of State on September 22, 2024. This bill was supported by the City of Carlsbad (Attachment C) and expands reporting requirements for licensed recovery home operators to enhance the California Department of Health Care Services' oversight of sober living homes that are operating as an integral part of a licensed drug treatment facility located elsewhere in the community. There have been cases where a licensed facility provides services to the residents of a sober living home but does not include the sober living home in the facility's licensure. AB 2574 provides increased transparency to ensure that if a recovery residence is operated as a business in affiliation with a licensed treatment facility, it is regulated like a business, not a residential home. Suspected violations of this bill's requirements are to be reported directly to the State Department of Health Care Services for investigation and possible enforcement actions. Pursuant to this bill, the State Department of Health Care Services may suspend or revoke the certification of a program or license of a facility for failing to disclose the required information. The State Department of Health Care Services may also refer a substantiated complaint against a recovery residence to other enforcement entities as appropriate under state or federal law, including the Department of Insurance, the Department of Managed Health Care, the Attorney General, and the United States Attorney General. 3. SB 913 (Umberg) -SUSPENDED. This bill was held on the Senate Appropriations Committee Suspense File and failed to advance. This bill would have required the California Department of Health Care Services to adopt a process that allows cities to request approval to conduct site visits and enforce compliance with existing state licensing laws. Existing law grants the sole authority in state government to the State Department of Health Care Services to license adult alcoholism or drug abuse recovery or treatment facilities and authorizes the State Department of Health Care Services to conduct site visits to licensed facilities for the purpose of determining compliance with applicable statutes and regulations. By collaborating with cities, the bill would have allowed the state to leverage local resources to supplement its regulatory efforts. The City of Carlsbad did not take a position on this bill. Next Steps Staff will continue to monitor the Costa Mesa lawsuits and the state legislature and report back to City Council with any news or updates. Council Memo -Recovery-Based Group Homes Update (Districts -All) November 7, 2024 Page 3 Attachments: A. Council Memorandum dated May 23, 2024 (on file with the City Clerk's Office) B. AB 2081-Letter of Support dated June 24, 2024 C. AB 2574 -Letter of Support dated June 24, 2024 cc: Scott Chadwick, City Manager Cindie McMahon, City Attorney Allegra Frost, Senior Assistant City Attorney Marissa Kawecki, Assistant City Attorney Kristina Ray, Communication & Engagement Director Sarah Lemons, Senior Program Manager Natalie Reed, Community Relations Manager Mike Strong, Assistant Director of Community Development Eric Lardy, City Planner Shawn Huff, Building Official Robbie Hickerson, Code Enforcement Manager Jamie Lenos-Terfehr, Senior Code Enforcement Manager Robb Efird, Principal Planner June 24, 2024 The Honorable Laurie Davies California State Assembly 10210 Street, Room 4720 Sacramento, CA 95814 Attachment B {c ity of Carlsbad RE: Assembly Bill 2081-Substance Use Treatment Facility Transparency-SUPPORT (As Amended April 4, 2024) Dear Assemblymember Davies, On behalf of the City of Carlsbad, we write to express our support for Assembly Bill (AB) 2081, which would require a higher standard of transparency and greater protections for individuals seeking alcoholism or substance use treatment. Specifically, this measure requires the operator of a licensed recovery home to disclose to those seeking care that they can check the Department of Health Care Services website to confirm a facility's compliance with State licensing laws. Overdose deaths from both opioids and psychostimulants (such as amphetamines) are soaring within the state and nation. This issue, compounded by the increased availability of fentanyl, has resulted in a tenfold increase in fentanyl-related deaths between 2015 and 2019. Residential recovery housing provides a wide range of benefits to residents, and it is critical that their needs are prioritized over profits. Compliance with state licensing laws administered through the Department of Health Care Services is essential to safeguarding residents' well-being and maintaining quality care. AB 2081 would ensure that those seeking treatment easily know what violations, if any, have occurred within a treatment facility and would hold providers accountable by making these violations easily accessible to the public. AB 2081 is commonsense, transparency legislation that protects residents and holds providers accountable for maintaining high-quality treatment facilities. For these reasons, we are pleased to support AB 2081 and thank you for your leadership on this most important issue. Should you have any questions, please contact our legislative advocate Sharon Gonsalves with Renne Public Policy Group at 916-974-9270. Sincerely, Keith Blackburn Mayor City of Carlsbad City Council City Hall 1200 Carlsbad Village Drive I Carlsbad, CA 92008 I 442-339-2820 t CC: Members and Staff, Senate Appropriations Committee The Honorable Catherine Blakespear, Senate District 38 Angela Pontes, Chief Deputy Legislative Secretary, Governor Gavin Newsom's Office of Legislative Affairs City of Carlsbad City Council City Hall 1200 Carlsbad Village Drive I Carlsbad, CA 92008 I 442-339-2820 t June 24, 2024 The Honora_ble Avelino Valencia California State Assembly 10210 Street, Room 4120 Sacramento, CA 95814 Attachment C {c ity of Carlsbad RE: Assembly Bill 2574 -Unlicensed Sober Living Homes -SUPPORT (As Amended April 24, 2024) Dear Assemblymember Valencia, On behalf of the City of Carlsbad, we are pleased to support Assembly Bill (AB) 2574 which will expand the State's oversight ability to investigate the financial relationships between the recovery residences, treatment facilities and certified programs. While state law requires the Department of Health Care Services (DHCS) to license and regulate drug abuse recovery and treatment facilities, the law does not require DHCS to license recovery residences. Without the licensing of these facilities, it is impossible for the state, city, and members of the community, to track where these facilities are located, the condition of the facilities, or complaints associated with the facilities. AB 2574 will require each organization that operates, conducts, owns or maintains a certified program, or a licensed facility to disclose specified data related to their financial relationship with a recovery residence. Additionally, this bill will provide DHCS the authority to suspend or revoke the certification of a program, or a license of a facility for failing to disclose this required information. For these reasons, we are pleased to support AB 2574 and thank you for your leadership on this most important issue. Should you have any questions, please contact our legislative advocate Sharon Gonsalves with Renne Public Policy Group at 916-974-9270. Sincerely, Keith Blackburn Mayor CC: Members and Staff, Senate Appropriations Committee The Honorable Catherine Blakespear, Senate District 38 Angela Pontes, Chief Deputy Legislative Secretary, Governor Gavin Newsom's Office of Legislative Affairs City of Carlsbad City Council City Hall 1200 Carlsbad Village Drive I Carlsbad, CA 92008 I 442-339-2820 t