A.R.S. tit. 36 ch. 18 — Arizona Revised Statutes Title 36 Chapter 18 — Alcohol And Drug Abuse

36-2001. Addictive behavior services The Arizona health care cost containment system administration shall establish services for addictive behavior, including alcohol abuse and drug abuse. 36-2003. Powers and duties A. The Arizona health care cost containment system administration may: 1. Accept grants, matching funds and direct payments from public or private agencies for the conduct of programs and activities. 2. Make contracts and incur obligations as are reasonably necessary to perform the duties and functions of addictive behavior services. 3. Employ and specify the duties of administrative, secretarial and clerical assistants, and contract for services of outside consultants, advisors and aides as are necessary to perform such duties and functions. 4. Use funds, facilities and services to provide matching contributions under federal or other programs that further the objectives and programs of the administration. 5. Make such rules as are necessary or desirable to carry out assigned responsibilities. 6. Provide for appropriate programs of treatment and rehabilitation consisting of halfway house treatment centers, detoxification centers, recovery centers and inpatient and outpatient and traveling clinics. B. The Arizona health care cost containment system administration shall: 1. Provide for and implement a uniform training and educational program for persons who are associated with control of alcohol abuse and drug abuse, prevention, rehabilitation, treatment or enforcement. Only for the purpose of funding such training and educational programs, "alcohol abuse" and "drug abuse" shall be considered to be one and the same. 2. Formulate policies, plans and programs designed to effectuate the purposes of this article. 3. Stimulate and encourage all local, state, regional and federal governmental agencies, and all private persons and enterprises that have similar and related objectives and purposes, and cooperate with such agencies, persons and enterprises and correlate Arizona health care cost containment system plans, programs and operations with those of such agencies, persons and enterprises. 4. Conduct research on the administration's own initiative or at the request of the governor, the legislature or state or local agencies pertaining to any of the section objectives. 5. Provide information and advice on request by local, state and federal agencies and by private citizens and business enterprises on matters within the scope of section activities. 6. Advise with and make recommendations to the governor and the legislature on all matters concerning the administration's objectives. 7. Provide for an ongoing evaluation of the effectiveness of state and local services in the areas of alcohol and drug abuse prevention, treatment, rehabilitation, education and enforcement. 8. Evaluate and make recommendations on improving the coordination and cooperation between state and local agencies and programs for prevention, treatment, rehabilitation, enforcement and other areas of control of drug abuse and alcohol abuse. 9. Prepare a state plan or state plans to discharge assigned responsibilities. The plan or plans shall include programs for alcohol abuse control and drug abuse control. 36-2004. Designation to administer state plan The Arizona health care cost containment system is designated as the single state agency to develop and administer the state plans for alcohol and drug abuse and for alcoholism as provided in Public Law 91-616. 36-2005. Substance abuse services fund; purpose; administration A. The substance abuse services fund is established. The fund shall consist of monies collected pursuant to section 12-116.02 and distributed pursuant to section 36-2219.01. B. Subject to legislative appropriation, the Arizona health care cost containment system administration shall administer the fund and may expend monies in the fund for administration of the fund and for alcohol and other drug screening, education or treatment for persons who have been ordered by the court to attend pursuant to sections 5-395.01, 8-343, 28-1381, 28-1382 and 28-1383 and who do not have sufficient financial ability to pay. Monies deposited pursuant to section 36-2219.01, subsection B, paragraph 4 are subject to legislative appropriation and shall be accounted for separately for use in administering section 36-141. C. Monies in the substance abuse services fund are exempt from the provisions of section 35-190 relating to lapsing appropriations. 36-2006. Department of health services monitoring of screening, education and treatment programs A. The department of health services shall monitor the alcohol and other drug screening, education or treatment programs and facilities that are used pursuant to sections 5-395.01, 8-249, 28-1381, 28-1382 and 28-1383. B. The department of health services shall: 1. Adopt rules establishing the standards for approval of alcohol and other drug screening, education and treatment facilities. 2. Approve alcohol and other drug screening, education and treatment facilities. 3. Adopt rules establishing the standards for referrals to alcohol and other drug screening, education and treatment facilities. 4. Establish a standardized screening assessment. 5. Establish reporting and record keeping requirements for alcohol and other drug screening, education and treatment facilities. 36-2021. Definitions In this chapter, unless the context otherwise requires: 1. "Administration" means the Arizona health care cost containment system administration. 2. "Alcoholic" means a person who habitually lacks self-control with respect to the use of alcoholic beverages or who uses alcoholic beverages to the extent that the person's health is substantially impaired or endangered or social or economic functions are substantially disrupted. 3. "Approved private treatment facility" means a private agency meeting the standards established by the department and approved pursuant to sections 36-2023 and 36-2029. 4. "Approved public treatment facility" means a treatment agency operating under the directions and control of a county, providing treatment through a contract with a county, meeting the standards established by the department and approved pursuant to sections 36-2023 and 36-2029. 5. "Chronic alcoholic" means an alcoholic who is incapacitated by alcohol and who during the preceding twelve months has been admitted to a local alcoholism reception center on ten or more occasions or has been admitted for three or more episodes of inpatient or residential alcoholism treatment. 6. "Court" means the supreme court, the court of appeals, a superior court, a justice of the peace court, a municipal court or a city court authorized by charter. 7. "Department" means the department of health services. 8. "Director" means the director of the administration. 9. "Evaluation" means a multidisciplinary professional analysis of a person's medical, psychological, social, financial and legal conditions. Persons providing evaluation services shall be properly qualified professionals and may be full-time employees of an approved treatment facility providing evaluation services or may be part-time employees or may be employed on a contractual basis. 10. "Incapacitated by alcohol" means that a person as a result of the use of alcohol is unconscious or has judgment otherwise so impaired that the person is incapable of realizing and making a rational decision with respect to the person's need for evaluation and treatment, is unable to take care of basic personal needs or safety such as food, clothing, shelter or medical care or lacks sufficient understanding or capacity to make or communicate rational decisions. 11. "Intoxicated person" means a person whose mental or physical functioning is substantially impaired as a result of the immediate effects of alcohol in the person's system. 12. "Local alcoholism reception center" or "center" means an initial reception agency for a person who is intoxicated or who is incapacitated by alcohol to receive initial evaluation and processing for assignment for further evaluation or into a treatment program. 13. "Treatment" means the broad range of emergency, outpatient, intermediate and inpatient services and care, including diagnostic evaluation, medical, psychiatric, psychological and social service care, vocational rehabilitation and career counseling, which may be extended to alcoholics and intoxicated persons. 36-2022. Establishment of facilities A. The administration shall develop, encourage and foster statewide, county and local plans and programs for the prevention of alcoholism and treatment of alcoholics and intoxicated persons in cooperation with public and private agencies, organizations and individuals and provide technical assistance and consultation services for these purposes. B. Counties may establish a public treatment facility or facilities for the evaluation and treatment of alcoholics and intoxicated persons by resolution of the board of supervisors. C. Counties may contract with other counties for the services of a public treatment facility or may contract with a private treatment facility. 36-2023. Rules A. The department shall adopt and enforce rules to establish standards for approved public and private treatment facilities that must be met for a treatment facility to be approved. The department periodically shall inspect approved facilities at reasonable times and in a reasonable manner. Each approved public and private treatment facility shall file with the department on request information the department requires pursuant to rule. The department shall remove from the list of approved treatment facilities a facility that without good cause fails to furnish information as requested or that files fraudulent information. B. The department in compliance with subsection A of this section shall adopt and may amend or repeal rules for the acceptance of persons into a treatment program, in light of the available treatment resources and facilities, with a view to the early and effective provision of evaluation and treatment for alcoholics and intoxicated persons. In establishing the rules, the department shall be guided by the following standards: 1. An intoxicated person or person incapacitated by alcohol, who voluntarily seeks treatment or who is transported to an approved facility by a peace officer or other person, shall be initially brought to and evaluated at a local alcoholism reception center. 2. A person shall receive an initial evaluation. 3. A patient shall be initially assigned or transferred to outpatient treatment or intermediate treatment, unless the person is found to require inpatient treatment. 4. A person shall not be denied treatment solely because the person has withdrawn from treatment against medical advice on a prior occasion or because the person has relapsed after earlier treatment. 5. An individualized treatment plan shall be prepared and maintained on a current basis for each patient. 6. Provision shall be made for a continuum of coordinated treatment services, so that a person who leaves the facility or another form of treatment will have available and use other appropriate treatment. C. The administration shall: 1. Enlist the assistance of all public and private agencies, organizations and individuals engaged in the prevention of alcoholism and treatment of alcoholics and intoxicated persons at approved public and private facilities. 2. Cooperate with the state department of corrections in establishing and conducting programs to provide treatment for alcoholics in penal institutions and alcoholics on parole or community supervision from penal institutions at approved public and private facilities. 3. Cooperate with the department of education, schools, police departments, courts and other public and private agencies, organizations and individuals in establishing programs for the prevention of alcoholism and treatment of alcoholics and intoxicated persons and in preparing curriculum materials for use at all levels of school education. 4. Specify a uniform method for keeping statistical information by approved public and private treatment facilities and collect and make available relevant statistical information, including the number of persons treated, frequency of admission, and readmission and frequency and duration of treatment. 5. Cooperate with the department of transportation in establishing and conducting programs designed to deal with the problem of persons operating motor vehicles while intoxicated. 6. Prepare an annual report on drug abuse treatment programs in this state that receive monies from the administration to be submitted by January 1 of each year to the governor, the president of the senate and the speaker of the house of representatives and to be made available to the general public through the Arizona drug and gang prevention resource center. The report shall include: (a) The name and location of each program. (b) The amount and sources of funding for each program. (c) The number of clients who received services during the preceding fiscal year. (d) A description of the demographic characteristics of the client population served by each program, including age groups, gender and ethnicity. (e) A description of client problems addressed by the programs, including the types of substances abused. (f) A summary of the numbers and types of services available and provided during the preceding fiscal year. (g) An evaluation of the results achieved by the programs. 36-2024. Treatment of alcoholics A. An alcoholic may apply for evaluation and treatment directly to any approved public or private treatment facility. If the applicant is a minor or incompetent person, either the applicant or a parent, legal guardian or other legal representative of the applicant shall apply for evaluation and treatment. B. Subject to rules adopted by the department, the administrator in charge of any approved public or private treatment facility may determine who shall be admitted for evaluation and treatment. If a person is refused admission to an approved private treatment facility because of financial reasons, the administrator in charge, subject to rules established by the department, shall refer the person to an approved public treatment facility for treatment, if possible and appropriate. C. If a patient who is receiving inpatient care leaves an approved treatment facility, the patient shall be encouraged to consent to appropriate outpatient treatment or intermediate treatment. 36-2025. Treatment and services for intoxicated persons and persons incapacitated by alcohol A. An intoxicated person may come voluntarily to an approved local alcoholism reception center for emergency alcoholism treatment. B. A person who voluntarily comes or is brought to a local alcoholism reception center and is in need of immediate medical treatment shall be referred to an approved treatment facility and shall be examined by a licensed physician as soon as possible and may be admitted as a patient or referred to another approved treatment facility or program. C. A person who is not admitted to an approved local alcoholism reception center and who is not referred to an approved treatment facility or program and who has no funds may be taken to his home by personnel at the local alcoholism reception center. If he has no home, the approved local alcoholism reception center personnel shall assist him in obtaining shelter. D. If the patient is admitted to an approved local alcoholism reception center for initial evaluation and processing, his family or next of kin shall be notified as promptly as possible. If an adult patient who is not incapacitated by alcohol requests that there be no notification, his request shall be respected. E. If the administrator in charge of the approved local alcoholism reception center determines that it is for the patient's benefit, the patient shall be encouraged to agree to assignment for further evaluation or to agree to assignment into a treatment program. 36-2026. Emergency admission A. A publicly intoxicated person may be brought by a peace officer or any other person to an approved local alcoholism reception center for emergency evaluation and treatment if the intoxicated person: 1. Has threatened, attempted or inflicted physical harm on self or others, and is likely to inflict physical harm on self or others unless admitted. 2. Is incapacitated by alcohol. B. A peace officer who has reasonable cause to believe that a person is intoxicated in a public place and that the person is or may be a danger to self or others may transport the person to a local alcoholism reception center. Unnecessary or unreasonable force shall not be used in transporting the person, and the person shall not be subjected to any greater restraint than is necessary to transport the person to the local alcoholism reception center. C. A peace officer who has reasonable cause to believe that a person is intoxicated in a public place or a place open to the public, that the person is or may be a danger to self or others and that there is no responsible person immediately available to assist the intoxicated person may transport the person to a detention facility if both of the following apply: 1. A local alcoholism reception center or other approved facility is not available within ten miles or the peace officer has determined that the local alcoholism reception center or other approved facility is filled to capacity and has no further capacity at the present time to provide evaluation and treatment services to additional persons. 2. The peace officer has been informed by the governing body of the city or town or the board of supervisors of the county in which the peace officer is employed that the department has determined that the city, town or county has made a reasonable effort to provide adequate local alcoholism reception services for persons incapacitated by alcohol and, based on that determination, has issued a renewable three-month temporary waiver to allow the transportation of certain intoxicated persons in the city, town or county to detention facilities pursuant to this section. The determination may be made by the director of the department on application by the governing body of the city or town or the board of supervisors of a county. D. An intoxicated person who is received or accepted by a local alcoholism reception center or detention facility shall not be subject to unnecessary or unreasonable force. The local alcoholism reception center or detention facility shall use such methods and exercise such restraint of the intoxicated person as is reasonably necessary for the safety of the person and others and consistent with this section. E. The administrator in charge of an approved local alcoholism reception center shall discharge any person admitted pursuant to this section not more than twenty-four hours, excluding weekends and holidays, after the person requests to be discharged or after the administrator on advice of the medical staff determines that the grounds for admission no longer exist. F. Any person who is transported to a detention facility pursuant to this section may be held in protective custody until the person is no longer intoxicated, until released to a responsible person or for a period not exceeding twelve hours, whichever occurs first. G. Any person who is released from protective custody pursuant to this section may be transported at that person's request to a local alcoholism reception center or approved facility for evaluation and treatment if such facilities are available. H. A person who is held in protective custody pursuant to this section is not considered to have been arrested or to have been charged with any crime and may not be fingerprinted or photographed for any reason. 36-2027. Evaluation and treatment of persons charged with a crime A. A court may order an evaluation and treatment at an approved treatment facility of a person who is brought before the court and charged with a crime if: 1. It appears that such person is an alcoholic, and 2. Such person, after being advised of his privilege to undergo evaluation and treatment, chooses the evaluation and treatment procedures. The court shall in no event order the person to undergo treatment and evaluation for in excess of thirty days. B. The court shall fully apprise the person charged with the crime of the options available and the consequences which may occur. C. The person charged with the crime has the right to legal counsel at proceedings held pursuant to this section. D. If the court issues an order for evaluation and treatment as provided in this section, proceedings on the criminal charge or charges then pending in the court from which the order for evaluation and treatment issued shall be suspended until such time as the evaluation and treatment of the defendant and the subsequent detention of the defendant, if any, are completed. Upon completion of the evaluation and treatment, and detention, if any, the defendant shall be returned to the court where the order for evaluation and treatment was made and proceedings on the criminal charge or charges shall be resumed or dismissed. No charge or charges shall be dismissed based on defendant's failure to receive a speedy trial. E. The cost of evaluation and treatment of an indigent patient treated pursuant to court order shall be a charge to the county, city, town or charter city whose court issued the order for evaluation. 36-2028. Payment for treatment; financial ability of patient or guardian A. A patient who is being treated by an approved treatment facility or the estate of the patient, or a person who is obligated to provide the cost of the evaluation and treatment and having sufficient financial ability, is liable to the approved treatment facility for the cost of evaluation and treatment of the patient. For a person who is determined to be eligible for coverage through the Arizona health care cost containment system, financial liability shall be established in accordance with the rules established by the administration. B. The administration shall adopt rules governing financial ability that take into consideration the income, savings and other personal and real property of the person required to pay as well as any support being furnished by that person to any person as required by law. The rules shall comply with applicable federal requirements for cost sharing. C. Each approved treatment facility shall furnish the administration with such information as it requires to enable it to establish and maintain a cost reporting system of the cost of the evaluation and treatment. Each approved treatment facility shall ensure that records are maintained containing such information and in such form as the administration requires for the purposes of this section. D. The administration shall prepare and adopt patient fee schedules to be used by approved treatment facilities for services rendered to each patient who is determined to be eligible for coverage through the Arizona health care cost containment system and who is afflicted with alcoholism. In preparing patient fee schedules, the administration shall take into account the existing charges for available services. The administration is not prohibited from including the amount of expenditures for capital outlay in its determination of the fee schedules. 36-2029. Funding of facilities; contracts; limitations A. The administration may use municipal, county, state and federal monies appropriated or otherwise available for the evaluation and treatment of alcoholics to assist in the establishment and maintenance of approved public or private treatment facilities. The monies may be expended for professional fees for services at an approved treatment facility or in contract for advancement or reimbursement of services provided at an approved treatment facility or any other appropriate manner and may be used for any purpose necessary to provide evaluation and treatment at approved treatment facilities. These monies may not be used for salaries or any other purpose within the administration but may be used for consultation services in the interest of approved treatment facilities. B. A public or private treatment facility providing or intending to provide evaluation and treatment and desiring to contract with the administration for the furnishing of such services shall submit a program, plan and budget to the administration on the forms and in the manner required by the administration. If such a facility is approved, the administration may contract with the facility for services as required and on such terms and conditions as the administration requires. C. Each approved treatment facility shall provide the administration with a record of all federal, state, county, city and private monies received for the previous year and an estimate of monies to be received by the facility for the following year. D. An approved private or public treatment facility providing evaluation and treatment may receive state funding on complying with the rules established by the department. Any such facility is not eligible for state funding until approved by the administration. E. This article does not place on the administration or the state any liability for the well-being and care of alcoholics or persons incapacitated by alcohol in a public or private treatment facility or the responsibility for funding such programs beyond the limits of legislative appropriation therefor. 36-2030. Immunity from criminal or civil liability A peace officer, administrator in charge of an approved treatment facility, or any person who in good faith acts in compliance with this article shall not be criminally or civilly liable. 36-2031. Criminal laws limitations A. No county, municipality or other political subdivision may adopt or enforce any local law, ordinance, resolution or rule having the force of law that includes being a common drunkard or being found in an intoxicated condition as one of the elements of the offense giving rise to criminal or civil penalty or sanctions, but nothing in this article shall affect any laws, ordinances, resolutions or rules against drunken driving, driving under the influence of alcohol or other similar offenses involving the operation of vehicles, aircraft, boats, machinery or other equipment, or regarding the sale, purchase, dispensing, possessing or using of alcoholic beverages at stated times and places or by particular classes of persons. B. No county, municipality or other political subdivision may interpret or apply any law of general application to circumvent the provision of subsection A. 36-2051. Definition of federal act In this article, "federal act" means the drug abuse office and treatment act of 1972 and regulations adopted pursuant to that act. 36-2052. Designation of state agency The administration is designated as the state authority for the purposes of exercising authority under the federal act. 36-2061. Definitions In this article, unless the context otherwise requires: 1. "Assistance or activity directed toward recovery from any substance use disorder" includes a supervised, monitored or peer-led environment directed toward recovery from any substance use disorder. 2. "Certifying organization" means an organization that certifies homes as sober living homes and that is affiliated with a national organization approved by the department whose primary function is to improve access to and the quality of sober living residences through standards, education, research and advocacy. 3. "Close friend" means any individual whose close association with the person is the equivalent of a family relationship. 4. "License" means a license issued by the director pursuant to this article. 5. "Medication-assisted treatment" means the use of pharmacological medications that are approved by the United States food and drug administration, in combination with counseling and behavioral therapies, to provide a whole patient approach to treating substance use disorders. 6. "Service or treatment directed toward recovery from any substance use disorder" includes providing or arranging transportation to or from any service, treatment or activity directed toward recovery from any substance use disorder. 7. "Sober living home": (a) Means any premises, place or dwelling unit, or any person that provides any premises, place or dwelling unit, that may provide verification of abstinence and that does at least one of the following: (i) Provides alcohol-free and drug-free housing in a supervised, monitored or peer-led environment for individuals who are in recovery or seeking recovery from any substance use disorder. (ii) Advertises, markets, holds itself out or otherwise implies through any means, including oral, written, electronic or printed means, that it provides or will provide a living environment directed toward recovery from any substance use disorder, including housing that provides or arranges for residents to receive any assistance or activity directed toward recovery from any substance use disorder and housing that arranges for residents to receive any service or treatment directed toward recovery from any substance use disorder. (b) Does not include: (i) Any premises, place or dwelling unit that is licensed to provide on-site medical services, behavioral health services or medication administration. (ii) Any person who provides any premises, place or dwelling unit directed toward recovery from any substance abuse disorder exclusively to residents who are related to the person by affinity or consanguinity of the first or second degree, a person who is a close friend of the person for whom the person serves as a legal guardian, and the person is not operating the premises, place or dwelling unit as a business and does not require, collect or receive any form of compensation for profit from the residents, including insurance or rent. (iii) Any housing for persons in recovery from substance use disorders that is self-run, self-supported, alcohol and drug free, chartered and monitored by a nationally recognized nonprofit credentialing entity, established in accordance with 42 United States Code section 300x-25 and held to the standards of that nationally recognized nonprofit credentialing entity. (c) Beginning on the effective date of the rules for licensure adopted pursuant to sections 36-4202 and 36-4204, does not include a transitional housing facility as defined in section 36-4201. 36-2062. Licensure required; standards; administrative clearance from local jurisdiction; use of title A. The director shall adopt rules to establish minimum standards and requirements for the licensure of sober living homes in this state necessary to ensure the public health, safety and welfare. The director may use the current standards adopted by any recognized national organization approved by the department as guidelines in prescribing the minimum standards and requirements under this subsection. The standards shall include: 1. A requirement that each sober living home develop policies and procedures to allow individuals who are on medication-assisted treatment to continue to receive this treatment while living in the sober living home. 2. Consistent and fair practices for drug and alcohol testing, including frequency, that promote the residents' recovery. 3. Policies and procedures to meet the requirement that the sober living home maintain an environment that promotes the recovery, health and safety of residents and the safety of the surrounding neighborhood and the community at large. 4. Policies and procedures for discharge planning of persons living in the sober living home that do not negatively impact the surrounding community, including policies and procedures to be implemented if the sober living home's license is suspended or revoked. 5. A good neighbor policy to address neighborhood concerns and complaints. 6. A requirement that the operator of each sober living home have available for emergency personnel an up-to-date list of current medications and medical conditions of each person living in the sober living home. 7. A policy that ensures residents are informed of all sober living home rules, residency requirements and resident agreements. 8. Policies and procedures for managing all monies received and spent by the sober living home in accordance with standard accounting practices, including monies received from residents of the sober living home. 9. A requirement that each sober living home post a statement of resident rights that includes the right to file a complaint about the sober living home or provider and information about how to file a complaint. 10. Policies that promote recovery by requiring residents to participate in treatment, self-help groups or other recovery supports. 11. Policies and procedures that require the sober living home to maintain an environment that is free from alcohol and illegal substances at all times and that require abstinence from alcohol and illicit drugs. 12. Procedures regarding the appropriate use and security of medication by a resident. 13. Policies regarding the maintenance of sober living homes, including the installation of functioning smoke detectors, carbon monoxide detectors and fire extinguishers and compliance with local fire codes and rules applicable to comparable dwellings occupied by single families. 14. Policies and procedures that prohibit a sober living home owner, employee or administrator from requiring a resident to sign any document for the purpose of relinquishing the resident's public assistance benefits, including medical assistance benefits, cash assistance and supplemental nutrition assistance program benefits. 15. Policies and procedures for managing complaints about sober living homes. 16. Policies and procedures for notifying the department and a family member or other emergency contact designated by a resident under certain circumstances, including death, permanent or severe harm and overdose. 17. Policies and procedures for providing activities that promote independent living and life skills development. 18. Policies and procedures for providing activities directed primarily toward recovery from substance use disorders. B. The licensure of a sober living home under this article is for one year. C. To receive and maintain licensure, a sober living home must comply with all federal, state and local laws, including the Americans with disabilities act of 1990. The sober living home shall obtain and maintain current documentation from the local jurisdiction verifying compliance with all local zoning, building, fire and licensing ordinances and rules. The sober living home shall provide documentation to the department on request, in the application for an initial license and when requesting approval for any proposed change in the maximum number of residents or any construction of or modification to the sober living home. The department shall identify on each license the maximum number of residents who are allowed to live in the sober living home, including any manager or other staff living on the premises. D. A treatment facility that is licensed by the department to treat substance use disorders and that has one or more sober living homes on the same campus as the facility's program shall obtain licensure for each sober living home pursuant to this article. E. A person shall not establish, conduct or maintain in this state a sober living home unless that person holds a current and valid license issued by the department. The license is valid only for the establishment, operation and maintenance of the sober living home. The licensee shall not: 1. Imply by advertising or directory listing or otherwise imply that the licensee is authorized to perform services more specialized or of a higher degree of care than is authorized by this article and the adopted rules for sober living homes. 2. Transfer or assign the license. A license is valid only for the premises occupied by the sober living home at the time of its issuance. 36-2062.01. Legislative findings and intent; substantial compliance; definition A. The legislature recognizes the need to protect both people who are in recovery and the public from unscrupulous and incompetent operators of sober living homes and therefore finds and determines that substantial compliance with and enforcement of the requirements prescribed in section 36-2062 are necessary and required to ensure the public health, safety and welfare. B. For the purposes of this section, "substantial compliance" means that the nature or number of violations revealed by any type of inspection or investigation of a sober living home does not pose a direct risk to the life, health or safety of the sober living home's residents. 36-2063. Fees; licensure and renewal; inspections; complaints; investigations; penalties and sanctions; third-party contractors A. The department shall establish fees for initial licensure and license renewal of a sober living home and a fee for the late payment of licensing fees that includes a grace period. The department shall deposit, pursuant to sections 35-146 and 35-147, ninety percent of the fees collected pursuant to this section in the health services licensing fund established by section 36-414 and ten percent of the fees collected pursuant to this section in the state general fund. B. On a determination by the director that there is reasonable cause to believe a sober living home is not adhering to the requirements of this article or the rules adopted pursuant to this article, the director and any duly designated employee or agent of the director may enter on and into the premises of any sober living home that is licensed or required to be licensed pursuant to this article at any reasonable time for the purpose of determining the state of compliance with this article, the rules adopted pursuant to this article and local fire ordinances or rules. Any application for licensure or license renewal under this article constitutes permission for and complete acquiescence in any entry or inspection of the premises during the pendency of the license application or license renewal and, if licensed, during the term of the license. C. Except as provided in section 36-2064, The department or its third-party contractor shall conduct a physical, on-site inspection of a sober living home to verify compliance with the requirements of this article and the rules adopted pursuant to this article at the following times: 1. Before issuing an initial license or approving any proposed change in the maximum number of residents or any construction of or modification to a sober living home. Applicants are not allowed to self-attest to compliance in lieu of this inspection. 2. At least annually for each sober living home. 3. On a determination by the director that there is reasonable cause to believe that a sober living home is not adhering to the requirements of this article or the rules adopted pursuant to this article. 4. On notification by a sober living home pursuant to subsection K of this section that the sober living home believes it is in substantial compliance with this article and the rules adopted pursuant to this article. D. After receiving a complaint that identifies an alleged violation of this article or the rules adopted pursuant to this article, the department or its third-party contractor shall investigate the sober living home that is the subject of the complaint and shall conduct a physical inspection if requested by local law enforcement or if the director determines that there is reasonable cause to believe the sober living home is not adhering to the requirements of this article or the rules adopted pursuant to this article. E. If an investigation or inspection of a sober living home reveals that a person has violated this article or the rules adopted pursuant to this article, the director may impose a civil penalty of not more than $1,000 for each violation, which may be assessed for each resident or person who the department determines was impacted by the violation. A person operating a sober living home in this state that has failed to obtain or maintain licensure of the sober living home shall pay an additional civil penalty of up to $1,000 for each violation. Each day that a violation occurs constitutes a separate violation. The director may issue a notice that includes the proposed amount of the civil penalty assessment. If a person requests a hearing to appeal an assessment, the director shall not take further action to enforce and collect the assessment until the hearing process is complete. The director shall impose a civil penalty only for those days for which the violation has been documented by the department. F. In determining the amount of the civil penalty pursuant to subsection E of this section, the department shall consider all of the following: 1. Repeated violations of statutes or rules. 2. Patterns of noncompliance. 3. Types of violations. 4. The severity of violations. 5. The potential for and occurrences of actual harm, including to the sober living home's staff or residents. 6. Threats to health and safety, including to the sober living home's staff or residents. 7. The number of persons affected by the violations. 8. The number of violations. 9. The size of the facility. 10. The length of time that the violations have been occurring. G. If a licensed or unlicensed sober living home has a business relationship with a person or entity that is found to be engaging in fraudulent, abusive or misleading health care-related practices, the sober living home is subject to civil penalties pursuant to this section, including license suspension or revocation. Each day a violation occurs constitutes a separate violation. H. Subject to title 41, chapter 6, article 10, except as provided in subsection J of this section, the director may deny, revoke or suspend a sober living home license if any owner, officer, agent or employee of the sober living home does any of the following: 1. Violates this article or the rules adopted pursuant to this article. 2. Commits a felony under the laws of any state or of the United States arising out of or in connection with the operation of a sober living home. The record of conviction or a copy of the record certified by the clerk of the court or by the judge who sentenced the person is conclusive evidence of conviction. 3. Knowingly aids, allows or abets the submission of false or inaccurate information required by this article or the rules adopted pursuant to this article. 4. Violates the requirements for licensure of the sober living home pursuant to this article. I. If a licensee or any owner, officer, agent or employee of a sober living home refuses to allow the department or its employee or agent to inspect the sober living home's premises, that action shall be deemed reasonable cause to believe that a substantial violation of subsection H, paragraph 1 of this section exists. J. If the director reasonably believes that a violation of subsection H of this section has occurred and that the life or safety of the sober living home's residents or staff or the public is immediately threatened or affected, on written notice to the owner or agent of the sober living home, the director may order one or more of the following intermediate sanctions until the sober living home is in substantial compliance with this article and the rules adopted pursuant to this article: 1. The immediate restriction of the acceptance and reacceptance of residents to the sober living home. 2. The selected transfer of residents out of the sober living home. 3. The reduction of the sober living home's capacity. 4. The termination of any specific service, policy, procedure or practice of the sober living home. K. A sober living home that is sanctioned pursuant to subsection J of this section shall notify the department in writing when the sober living home believes it is in substantial compliance with this article and the rules adopted pursuant to this article. On receipt of this notification the department shall conduct an inspection. If the department determines that the sober living home is in substantial compliance, the director shall immediately rescind the sanction or sanctions. If the department determines that the sober living home is not in substantial compliance, the sanction or sanctions shall remain in effect. At least fourteen days after the date of the inspection, the sober living home may again notify the department that the sober living home is in substantial compliance and the department shall conduct another inspection. If the department determines on the repeat inspection that the sober living home is still not in substantial compliance, the sanction or sanctions shall remain in effect. The sober living home may notify the department of substantial compliance not sooner than thirty days after the date of the last inspection. The sober living home shall make all notifications of substantial compliance by certified mail. The department shall conduct all inspections required by this subsection within fourteen days after receiving a notification of substantial compliance. If the department does not conduct an inspection within this time period, the sanction or sanctions have no further effect. L. A licensee that is subject to an intermediate sanction ordered by the director pursuant to subsection J of this section may request a hearing to review the director's action. The licensee shall make this request in writing with the office of administrative hearings within ten days after receiving notice of the director's action. The office of administrative hearings shall conduct an administrative hearing within seven business days after the notice of appeal has been filed. M. In addition to any other remedies prescribed in this article, the director may issue a cease and desist order against a sober living home that does not hold a current or valid license or that exceeds the scope of activities or services authorized by a license issued pursuant to this article. The attorney general or a county attorney may bring an action for an injunction to restrain the violation or to enjoin the future operation or maintenance of the sober living home until the sober living home complies with this article or the rules adopted pursuant to this article. Before issuing a cease and desist order or bringing an action for an injunction pursuant to this section, the department may issue to the owner or agent of the licensed or unlicensed sober living home a certified letter that states the factual basis for the department's belief that the sober living home is operating in violation of this article or the rules adopted pursuant to this article. The department may include in the certified letter a description of the enforcement options available to the department if the violation or violations continue. N. If a political subdivision of this state requests an update from the department on the status of the investigation of a complaint filed by the political subdivision relating to a sober living home, the department shall notify the political subdivision of the status within five business days after the request. If requested by the political subdivision, the department shall provide to the political subdivision the findings of its investigation, including copies of investigative reports without personal identifying information of the sober living home residents. O. The department may contract with a third party to assist the department with licensure, investigations and inspections, except that the department shall not contract with any owner, operator, administrator, accrediting body or association of sober living homes. Third-party contractors shall be paid from the health services licensing fund established by section 36-414. 36-2064. Certified sober living homes; licensure; inspection waiver A. A sober living home that is licensed in this state and that is certified by a certifying organization may operate in this state and receive referrals pursuant to section 36-2065. B. In lieu of an initial on-site licensure inspection and any annual on-site inspection, the department shall issue a license to a sober living home that submits an application prescribed by the department and that meets the following requirements: 1. Is currently certified as a sober living home by a certifying organization. 2. Meets all department licensure requirements. 3. Does not receive any monies from this state or the federal government. 4. Has not been subject to an enforcement action pursuant to section 36-2063 within the preceding year. C. The director may accept proof that a sober living home is a certified sober living home in lieu of all compliance inspections required by this article if the director receives a copy of the sober living home's certification report for the licensure period and the sober living home is certified by a certifying organization. If the certification report is not valid for the entire licensure period, the department may conduct a compliance inspection of the sober living home during the time period the department does not have a valid certification report for the sober living home. 36-2065. Referrals; licensed sober living homes A. A state agency or a state-contracted vendor that directs substance abuse treatment shall refer a person only to a licensed sober living home. B. Only a licensed sober living home is eligible for federal or state funding to deliver sober living home services in this state. C. Persons whose substance abuse treatment is funded with federal or state monies may be referred only to a licensed sober living home. D. A state court shall give first consideration to a licensed sober living home when making residential recommendations for individuals under its supervision. E. A health care institution that provides substance abuse treatment and that is licensed by the department shall refer a patient or client only to a licensed sober living home. F. A behavioral health provider or a behavioral health professional who is licensed pursuant to title 32, chapter 33 shall refer a patient or client only to a licensed sober living home. 36-2066. Posting; confidential information; notification of local jurisdictions A. The department shall post on its public website the name and telephone number of each licensed sober living home and shall update the list quarterly. The department shall not disclose the address of a licensed sober living home, except that the department, on request, shall disclose the address of the sober living home to: 1. A local jurisdiction for zoning purposes. 2. Local law enforcement. 3. Emergency personnel. 4. A third-party contractor of the department. B. A sober living home's address is not a public record and is not subject to title 39, chapter 1, article 2. This section does not prohibit a sober living home from publishing or otherwise self-disclosing its address. C. If a local jurisdiction provides its contact information to the department for notifications relating to sober living homes, the department shall notify the local jurisdiction of all initial licenses issued pursuant to this article in that jurisdiction in the preceding month. The department is not obligated to provide the notifications under this subsection to a local jurisdiction that does not provide the local jurisdiction's contact information to the department. 36-2067. Department; annual report A. On or before January 31 of each year, the department shall submit to the senate health and human services committee and the house of representatives health committee, or their successor committees, a report on licensed and unlicensed sober living homes in this state that includes: 1. The number of licensed sober living homes in each city, town and county. 2. The number of sober living homes that are licensed each year. 3. The number of complaints against licensed sober living homes received by the department each year. 4. The number of complaints against licensed sober living homes investigated by the department or its third-party contractor each year. 5. The number of enforcement actions taken by the department against licensed sober living homes each year. 6. The number of complaints against residences, places, dwelling units or other premises suspected of being unlicensed sober living homes. 7. The number of investigations resulting from complaints against unlicensed sober living homes, including how many of those investigated met the legal requirements for sober living home licensure and how the department took action on its findings. 8. The number of enforcement actions taken by the department against unlicensed sober living homes each year. B. The department shall provide a copy of the report submitted pursuant to subsection A of this section to the secretary of state. 36-2068. Legal action; licensure; change of ownership; definitions A. The director may continue to pursue any court, administrative or enforcement action against a licensee even if the sober living home is in the process of being sold or transferred or has closed. B. The department may revoke or suspend a sober living home license or deny an application for a sober living home license if: 1. The applicant, the licensee or a controlling person has a sober living home or health care institution license that is in an enforcement action or court action related to the health and safety of the residents or patients. 2. The department has determined for reasons other than those specified in paragraph 1 of this subsection that the issuance of a license is likely to jeopardize resident safety. 3. The applicant, the licensee or a controlling person has had in any state or jurisdiction an application or license to operate a sober living home or a health care institution denied, suspended or revoked, unless the denial was based on the failure to complete the licensing process or to pay a required licensing fee within the required time frame. 4. The applicant, the licensee or a controlling person has had in any state or jurisdiction a health professional license or certificate denied, suspended or revoked. 5. The applicant, the licensee or a controlling person provides false or misleading information to the department. C. The department may deny the approval of a change in ownership of a currently licensed sober living home if the department determines that the transfer of ownership, whether involving a direct owner or indirect owner, may jeopardize resident safety. D. For the purposes of this section: 1. "Controlling person" means a person who, with respect to a business organization: (a) Has the power to vote at least ten percent of the outstanding voting securities of the business organization. (b) If the business organization is a partnership, is a general partner or is a limited partner who holds at least ten percent of the voting rights of the partnership. (c) If the business organization is a corporation, association or limited liability company, is the president, the chief executive officer, the incorporator, an agent or any person who owns or controls at least ten percent of the voting securities. (d) Holds a beneficial interest in ten percent or more of the liabilities of the business organization. 2. "Direct owner" means a person that has an ownership or control interest in the sober living home totaling fifty-one percent or more. 3. "Indirect owner": (a) Means a person that has an ownership or control interest in a direct owner totaling fifty-one percent or more. (b) Includes an ownership or control interest in an indirect owner totaling fifty-one percent or more and a combination of direct ownership and indirect ownership or control interests totaling fifty-one percent or more in the sober living home.