HB 415 - Stop Addiction Fraud Ethics Act of 2023

• Establishes new Article 5H in Chapter 90 of the General Statutes creating the Stop Addiction Fraud Ethics (SAFE) Act of 2023 to regulate substance use disorder treatment providers, treatment facilities, and recovery residences.

• Requires treatment providers and recovery residences to include in marketing materials accurate information about services, treatment categories and levels of care, average lengths of stay, facility names and brands, and financial relationships with publishers.

• Prohibits materially false or misleading statements about treatment services, provider credentials, recovery success rates, network status, and treatment provider identity or contact information, with violations constituting Class G felonies and unfair or deceptive trade practices.

• Criminalizes patient brokering and kickbacks by prohibiting offering or receiving anything of value to induce patient referrals or split-fee arrangements, with violations as Class G felonies; exempts federal Anti-Kickback Statute compliant discounts and reasonable contingency management techniques in treatment.

• Excludes general hospitals licensed under Chapter 131E and hospital authorities from the Act's requirements and restricts audiologists from performing complex cerumen (earwax) removal when anesthesia or microinstrumentation is required; effective January 1, 2024.