Sadly, Michigan ranks among states with the highest rates of heroin addiction in the United States. According to the Michigan Department of Health and Human Services (MDHHS), over 10% of residents in Michigan over the age of 12 use illegal drugs every month. 3.6% of those using illicit drugs in Michigan are using drugs that are not marijuana. MDHHS also reports that 60% of Michiganders drink, with a full 27% of Michiganders reporting binge drinking in the last month. 

The drug and alcohol problem in Michigan is getting progressively worse, especially in light of the pandemic. In 2021, Michigan reached an all-time high for overdose deaths in the state. Drug overdose deaths have increased 82% in recent years, however, that trend began well before COVID shutdowns. More citizens of Michigan die of accidental overdose than of car accidents and firearms combined. 

So, given the need for addiction treatment services, is it easy to open an addiction treatment center in Michigan? Read on to learn more about how to get your addiction treatment center licensed in the state. 

Unless You Run a Governmental Entity, You Will Need to Obtain a License to Open an Addiction Treatment Center in Michigan

According to MDHHS, all organizations that offer addiction treatment must apply for a license with the state:

A Substance Abuse Treatment or Prevention License is required for any organization offering, or purporting to offer, Substance Abuse Treatment, Rehabilitation, or Prevention.

In their requirements for addiction treatment licensing, Michigan makes no exception for religious or non-profit organizations. Governmental entities offering SUD services are the only providers that do not need to go through the licensing process.

You’ll Be Working With LARA to Obtain Your Addiction Treatment Center License in Michigan 

In Michigan, the addiction treatment licensing is handled by the Department of Licensing and Regulatory Affairs, also known as LARA. LARA is a division of the Bureau of Community and Health Systems in the state of Michigan.

Michigan Has a Flat $500 Annual Licensing Fee for All Addiction Treatment Centers in the State

Michigan has a flat fee of $500 for annual licensing, regardless of the size of the addiction treatment center. This fee applies to initial fees as well as recurring yearly renewal costs. 

Any change of ownership or physical location change also triggers an additional $500 fee. 

Interestingly, you may add “mobile units” to your addiction treatment center at no additional cost. This is likely a response to the need for services in rural areas of Michigan These regions are underserved by mental and behavioral health providers and continue to experience some of the worst rates of addiction in the state. Northern Michigan, in particular, suffers from a dearth of addiction treatment services. 

Get Familiar With the Licensure Application and the “Programs Rules” Document Before Your Apply for an Addiction Treatment Center License in Michigan

The licensure application for addiction treatment providers - what Michigan officially calls “Substance Use Disorders Service Programs” - is a simple, four-page PDF application. Although the application doesn’t specify the attachments you’ll need to include, Michigan’s Substance Use Disorders Services Programs Rules states that you’ll need to provide: 

• Policies and procedures for services offered

• Policy and procedures for investigating complaints within your programs 

• Program assessment and evaluation criteria

• Emergency preparedness plan 

• Personnel policies and procedures

• Staff development and training program plan 

• Policies and procedures plan for storing controlled substances (if applicable)

Be sure to read through the programs rules document linked above so that you thoroughly understand what will be required of your program during and after licensure. 

Expect to Complete a Pre-Licensure Survey After Your Submit Your Application with LARA

After you submit your application, LARA will contact you to schedule your pre-licensure survey. 

If LARA receives any complaints after your license is issued, they will make an unannounced survey of your facility, meaning they will drop in unannounced to investigate the complaint. 

Every year, LARA publishes a list of facilities that are slated to receive a “licensure survey.” Like the pre-licensure survey, a licensure survey is simply a scheduled site visit to check up on your facility and see if it is still in compliance with state requirements. LARA does not appear to have a set schedule for subsequent site visits after the initial licensure process is completed. If your facility appears on that list in any given year, you may request a waiver from a licensure survey from LARA.  

Opening an Addiction Treatment Center in Michigan? Behave Health Can Help 

Behave Health is committed to making it easier - and more profitable - to operate evidence-based, results-focused addiction treatment centers. 

Our all-in-one app puts clinical, administration, staff, admissions, alumni, residents, treatment plans, billing, insurance authorizations and more - all at your fingertips. 

Get your organization off to a strong start from the beginning. Don’t let disorganization and chaos stifle your business’ potential.

Get your free trial started today and see why more addiction treatment centers prefer Behave Health.

Need help with certification? Behave Health can also help direct you to the right resources for help with Licensing or Accreditation by either The Joint Commission or CARF. Mention to your product specialist that you’re interested in this service after you start your free trial!