Bill Summary for S 408 (2021)

Summary date: 

May 5 2021

Bill Information:

View NCGA Bill Details2021
Senate Bill 408 (Public) Filed Tuesday, March 30, 2021
AN ACT TO DIRECT OVERSIGHT, STUDY, AND MODERNIZATION OF MEDICAID IN NORTH CAROLINA, TO ENSURE TAXPAYER SAVINGS, AND TO ENSURE ACCESS TO HEALTHCARE FOR WORKING NORTH CAROLINIANS.
Intro. by Burgin, Krawiec, Perry.

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Bill summary

Senate committee substitute deletes the content of the 1st edition and replaces it with the following.

Titles the act as the "Stop Addiction Fraud Emergency Act of 2021" or the "SAFE Act of 2021."

Enacts new Article 5H, Stop Addiction Fraud Emergency Act, in GS Chapter 90, providing as follows. Establishes three prohibited acts of any treatment facility, recovery residence, or third party contracted or paid to provide advertising, marketing, or referral services to any treatment facility or recovery residence, punishable as a Class G felony, including offering or soliciting money, goods, services, or anything else of value in any form of split-fee arrangement to induce patient referrals, or soliciting money, goods, services, or anything else of value in any form of split-fee arrangement in return for the acceptance or acknowledgement of treatment from a treatment facility, or aiding or abetting in such conduct. Excludes a discount, payment, waiver of payment, or payment practice that is expressly authorized by specified federal law or rule adopted thereunder, or a reasonable contingency management technique or other reasonable motivational incentive that is part of the treatment provided. Excludes from the scope of the Article licensed hospitals and organized hospital authorities. Defines recovery residence as an unlicensed shared living environment that is intended to be free from alcohol and illicit drug use and centered on peer support and connection to services that promote sustained recovery from substance use disorders. Defines treatment facility as a facility, program, person, or entity licensed under one of the specified administrative rules. Defines patient and referral

Effective December 1, 2021. Makes conforming changes to the act's titles. 

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