Umberg Reintroduces Bill to Strengthen Oversight of Substance Use Disorder Treatment Facilities

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SACRAMENTO, CA – Senator Thomas J. Umberg (D-Santa Ana) has reintroduced legislation aimed at increasing oversight and accountability for substance use disorder (SUD) treatment facilities across California.

SB 35 seeks to close loopholes that allow substandard care and exploitative practices within the state’s sober living homes and rehab centers, a critical step in addressing the state’s ongoing opioid and addiction crisis.

The bill follows last year’s SB 913, which failed to advance past the Senate Appropriations Committee. Now, with an intensified push for regulatory reform, SB 35 builds upon Umberg’s California Ethical Treatment for Persons with Substance Use Disorder Act (SB 349, 2022)—a law that set higher standards for ethical treatment in addiction recovery facilities.

“Ensuring the efficacy and care of substance use disorder treatment facilities is not solely a matter of regulatory compliance; it’s about protecting the well-being of our most vulnerable populations,” said Senator Umberg. “I worry that last year’s bill failure sent a struggling population a message that the Legislature doesn’t care about them in their darkest hours. I know that is not the case, and I’m happy to march forward with SB 35 to eliminate the loopholes that allow for substandard care and unscrupulous practices within sober living and treatment communities.”

Southern California’s “Rehab Riviera”—a network of loosely regulated rehab centers operating in a quasi-medical realm—has come under increasing scrutiny. Many of these facilities lack evidence-based treatment, operate without licensed medical staff, and engage in “patient brokering”—the unethical practice of referring clients to treatment centers in exchange for financial kickbacks.

SB 35 introduces local enforcement mechanisms to ensure compliance and accountability, particularly in the area of patient brokering. Current law grants the Department of Health Care Services (DHCS) authority to suspend or revoke licenses for SUD treatment centers violating state regulations. However, SB 35 enhances this process by empowering cities and counties to assist in oversight and enforcement.

Among the key provisions of SB 35 are increased local oversight that allows cities and counties to seek approval from DHCS to conduct announced or unannounced site visits to licensed and unlicensed sober living homes.

In addition, stronger enforcement against fraudulent practices grants city attorneys and district attorneys the authority to enforce existing patient brokering regulations to swiftly penalize violators.

The League of California Cities, a supporter of SB 35, praised the bill’s focus on protecting vulnerable residents while ensuring accountability among treatment providers.

“Cal Cities is proud to sponsor this commonsense legislation that protects residents and holds providers accountable for maintaining high-quality treatment,” said Carolyn Coleman, Executive Director and CEO of Cal Cities. “Recovery housing provides a wide range of benefits to some of California’s most vulnerable residents, and cities are the right partners to help ensure these treatment facilities comply with state regulations. It’s good for the community, good for the neighbors, and most importantly, good for those who are receiving care.”

With overdose rates climbing and addiction treatment facilities under mounting scrutiny, Umberg believes SB 35 represents a critical effort to restore trust in the rehabilitation system. By holding providers accountable, closing regulatory loopholes, and enforcing ethical standards, the bill seeks to ensure that those seeking recovery receive the care they deserve.

“SB 35 is about more than regulation; it’s about respect, recovery, and restoring trust in the systems designed to support our journey toward healing,” said Senator Umberg. “Together, we can create a safer, more supportive environment for all Californians seeking a path to recovery.”

SB 35 is expected to be heard in policy committees in March 2025. If passed, it will mark a significant step forward in California’s effort to combat fraudulent practices in addiction recovery and strengthen protections for individuals battling substance use disorders.

For more details, the full text of SB 35 can be found here.

 

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