The Haven: A Trusted Provider in Uncertain Times
The AHCCCS Crisis and Its Fallout
Over the past two years, fraudulent sober living operators exploited weaknesses in the Arizona Health Care Cost Containment System (AHCCCS), Arizona’s Medicaid system, siphoning off billions of dollars while offering little or no real care. Most of the fraud victims were Native Americans recruited under false promises of housing and treatment.
AHCCCS responded in May 2023 with mass suspensions, closures, and onerous documentation requirements. Aimed at stopping fraud, these steps also created serious unintended consequences. Native Americans covered under the American Indian Health Program (AIHP) have been especially hard hit. Accredited and licensed providers like The Haven, which last year served 115 Native American members, saw legitimate reimbursements delayed or denied. Today, The Haven is owed more than $375,000 for services provided under the AIHP. This unwarranted action is making it difficult for The Haven to maintain operations and is jeopardizing access to care.
“The fraud that shook Arizona was devastating and demanded a strong response. “But the enforcement actions, while necessary, have also swept up the very providers who can help rebuild trust in the system. The Haven has never been investigated or accused of any fraud, waste, and abuse and is stuck in a situation that is not of its own making. Every day that funding is withheld from legitimate providers like The Haven, more people lose access to life-saving treatment.
The Haven’s Record of Service
Founded in 1970, The Haven is one of Arizona’s longest-standing treatment centers. With a focus on providing substance use treatment services for women, its programs include residential treatment, Intensive Outpatient Program, and outpatient services.
The Haven is:
- CARF-accredited and licensed, with a record of compliance and accountability.
- Home to Native Ways, a culturally tailored program built in consultation with tribal leaders and designed to meet the unique needs of native and Indigenous women.
- A trusted partner of Pima County, Federal probation and pretrial, and nonprofit coalitions that work together to address addiction, homelessness, and mental health needs in our community.
- An organization with transparent operations, open to audits, inspections, and independent review.
We need your voice
1. Contact your legislators
Call or write your state representatives today and urge them to:
- Restore timely payments to accredited and licensed providers like The Haven
- Ensure AIHP funding is protected and monitored
- Prevent cuts to essential behavioral health services
You can find and contact your legislator by using this website: https://www.azleg.gov/findmylegislator/
2. Write an Op-Ed or letter to editor
Submit an op-ed or letter to editor to your local newspaper or community blog highlighting:
- How enforcement actions have had unintended consequences
- The vital role of accredited, trustworthy treatment centers
- The immediate need to reinstate funding and protect access to care
Local newspapers that accept guest opinions
3. Tell Your Friends & Networks
Please share this story widely on social media, in your local groups, with neighbors, in your place of worship, or among colleagues. Ask them to:
- Share one of the news articles on Facebook, Instagram, or LinkedIn with a short note like “The Haven has been a trusted treatment provider for decades, now they need our help to keep serving women and families.”
- Contact their legislators
- Learn more about The Haven’s mission and challenges
Media coverage
Frequently Asked Questions
American Indian Health Program (AIHP) is a fee-for-service program administered by Arizona Health Care Cost Containment System (AHCCCS). It provides physical and behavioral health services for eligible American Indian and Alaska Native members. Providers for AIHP include Indian Health Service facilities, tribally owned programs, and other AHCCCS-registered providers.
AIHP exists because of the federal responsibility to provide health services to Indigenous people, rooted in treaties and federal law. It was designed to preserve unrestricted access to Indian Health Service and Tribal providers while also allowing care through any AHCCCS provider willing to bill fee for service. Any AHCCCS registered provider can serve AIHP members if they accept fee for service billing.
Sober living homes are intend to serve as a bridge between intensive treatment, such as residential programs and full independence.
Residents live together in a substance-free setting where they can practice the skills and routines needed to maintain long-term sobriety. Most sober living homes have house rules, curfews, regular drug testing, and requirements such as attending support meetings or working or going to school. Typically, sober living homes charge rent and are privately run. Sober living homes are generally not required to be licensed by the state. The majority of the entities provide only a substance-free environment, peer support, and a structured setting, which does not qualify as formal treatment.
The Haven is a licensed and accredited substance use treatment provider. The organization offers free Recovery Housing for women who participate in its Intensive Outpatient Program, but does not operate any sober living homes.
The fee for service model made AIHP vulnerable for fraudulent billing as providers could bill AHCCCS directly for whatever they charge for individual services.
According to AZ Central, fraud schemes involving phony behavioral health programs in metro Phoenix started to appear already in 2019. The issue got worse during the COVID-19 pandemic when AHCCCS paused several administrative requirements, including provider registration fees and onsite visits.
Fraudulent sober living operators exploited these weaknesses siphoning off billions of dollars while offering little or no real care. Most of the fraud victims were Native Americans recruited under false promises of housing and treatment.
When AHCCCS responded to the scandal in May 2023, they withheld payment to more than 300 organizations as the agency investigated allegations that they were fraudulently billing for treatment services. Some of the suspended providers were allowed to resume billing Medicaid after clearing allegations with the state.
The scandal could cost the state over $2 billion. More than 120 individuals and entities have been charged in connection with the scandal, but only a small percentage of the estimated $2 billion has been recovered.
The Haven has never been investigated or suspected of any fraud, waste, or abuse related to the sober living scandal. The Haven is largely dependent on payments from AHCCCS to operate. In the past, payments were processed in a timely manner.
Due to the overcorrection and onerous documentation requirements, The Haven is encountering serious challenges in serving individuals covered by the American Indian Health Program (AIHP). These issues impact both the Residential Program and the Intensive Outpatient Program (IOP). The Haven is not receiving the necessary prior authorizations in a timely manner for either program.
In addition to authorization delays, The Haven is experiencing significant delays in reimbursement for Intensive Outpatient Program (IOP) services. The organization is still awaiting payment for services rendered more than two years ago and currently is owed over $375,000.
The Haven is deeply committed to serving native and Indigenous women, who often face significant barriers in accessing substance use treatment. In 2005, The Haven launched its Native Ways Program to help native and Indigenous women heal through their culture and traditions. The program was created by, and is led by, professionals with deep roots in local Indigenous cultures and it incorporates the teachings of the White Bison Wellbriety Movement. Native Ways is an integral part of both our Residential and Intensive Outpatient Programs.
Last year, The Haven served 115 Native American members and 472 non-Native members (24.3% Native). In comparison, during fiscal year 2024, The Haven served 91 Native American and 487 non-Native members (18.6% Native). This reflects a 5.7% increase in Native American participation during last year.