New Jersey is no stranger to addiction. Arrests for possession and drug manufacturing have been on the rise in New Jersey since the 1980s. The state ranks 38th worst in the nation per capita for drug addiction and abuse. 

Still, New Jersey has seen some improvement in recent years. As most states see a sharp uptick in overdose deaths in connection with pandemic, New Jersey reports that their overdose rate has remained static. Health officials credit the state’s existing public health efforts with this positive trend. In other good news, addiction treatment advocates in New Jersey introduced the Mainstreaming Addiction Treatment Act to the senate in 2021, which, if passed, will make it easier for doctors and clinics to prescribe buprenorphine to more people who suffer from opioid use disorder. Still, NIMBYism is alive and well in New Jersey, where residents frequently resist proposals for new treatment centers. 

So, all things considered, is New Jersey a good state to open an addiction treatment center? What state regulations apply to addiction treatment providers in the state? Read on to learn more about what goes into opening an addiction treatment center in the Garden State.

First Thing’s First: All Addiction Treatment Centers in New Jersey Must be Licensed by the State 

All addiction treatment centers, rehabs and recovery clinics must get licensed before they open in New Jersey. In other words, licensing is mandatory in New Jersey. This is clearly stated in a handy document compiled by the Office of Legislative Research, entitled “New Jersey’s Substance Abuse Facility Regulations.” 

The licensing program is operated by New Jersey Department of Human Services’ Office of Program Integrity and Accountability’s Office of Licensing (OOL), which serves not only addiction treatment providers, but also institutions that treat people with mental illness, developmental disability and traumatic brain injuries, as well.  

Attend a Functional Review with OOL Before Attempting to Submit Your Addiction Treatment Center’s Licensing Application 

OOL offers monthly “functional reviews” for people who are interested in undertaking the licensing process for addiction treatment providers in New Jersey. At these reviews, experts offer technical assistance to potential applicants, going over all the requirements and licensing protocols in detail. 

You can contact OOL at 609-292-6587 to learn more about functional reviews and/or register for the next session. 

Licensing Fees for Addiction Treatment Centers and Rehabs in New Jersey are Steep

New Jersey has a two tier fee structure for addiction treatment centers - one for residential treatment and another for outpatient treatment. 

For new residential providers, there is a $500 application fee, plus a $500 inspection fee, as well as a per-bed fee of $3. Annual renewal fees will set you back $500 a year plus $3 per bed.

For outpatient treatment, there is a whopping $1750 application fee plus a $300 inspection fee. Renewal fees for outpatient providers is a flat $750 per year. 

These fees are relatively steep when compared to the fees observed in other states and the inspection fee is rather unusual as well. 

The Application for Addiction Treatment Center Licensing in New Jersey is Pretty Standard  

New Jersey’s licensing application is relatively short, but the list of attachments you’ll need to include is long. This is the case in many states. New Jersey’s insistence on a “bed bug policy” is perhaps the only attachment that is not standard in the state licensing programs currently maintained in the United States. Here’s the documents and items of note that most addiction treatment centers will need to submit to OOL: 

• Operating entity (business structure) information 

• Organizational chart 

• Level of care information 

• Tax ID 

• Synopsis of your business “track record” in the United States for the last 12 months 

• Policies and procedures manual

• Client grievance procedure 

• Job descriptions 

• Quality Assurance plan 

• Infection control policy and procedure 

• All clinical forms 

• Staffing qualification forms 

• Copies of professional licenses in New Jersey 

• Counseling and group schedule 

• Bed bug policy 

• Emergency disaster plan 

• Staff roster

• Certificate of occupancy 

• Certificate of fire inspection 

• Sanitary inspection certificate 

• Lease or deed

• Smoke detector and fire alarm inspection documentation 

• HVAC inspection documentation 

• Sprinkler system inspection documentation 

• Housekeeping contract 

If you miss a document, you have 45 days to submit it. If those 45 days elapse, you’ll need to wait another 6 months before re-submitting your application to OOL. 

Opening an Addiction Treatment Center in New Jersey? 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 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!