In a recent development, PHA Healthcare, an addiction treatment provider based in Baltimore, is navigating turbulent waters following a state order to halt its outpatient programs. According to interviews with current clients by The Banner, the organization has assured some patients that they can remain in their housing facilities despite these changes. This assurance comes after an investigation by The Banner and The New York Times uncovered troubling conditions in PHA Healthcare’s buildings, where numerous instances of relapse, overdoses, and even fatalities have been reported. While the Maryland Department of Health confirms cooperation from PHA Healthcare to transition patients elsewhere, many individuals feel uncertain and anxious about their future.
The controversy surrounding PHA Healthcare began late last month when an exposé revealed the substandard living conditions in several of its facilities. In response, the Maryland Department of Health issued a directive on December 23, ordering the cessation of all treatment services due to the lack of a valid license. Despite this, many patients were unaware of the notice until recently. Some patients reported being told by PHA Healthcare staff that efforts are underway to ensure no one ends up homeless. However, the specifics of these assurances remain unclear.
Stephen Thomas, the founder of PHA Healthcare, has held meetings with some patients, informing them that while the treatment aspect will be managed by external providers, they can continue residing in PHA-run buildings. This arrangement raises questions about the state's stance on keeping patients within these facilities. Chase Cook, a spokesman for the Maryland Department of Health, stated that PHA Healthcare agreed to relocate patients but declined to provide further details, citing ongoing investigations.
PHA Healthcare was initially licensed by the state in 2020 to offer outpatient addiction services and has since received substantial funding from Medicaid. The company provides free accommodation to individuals, many of whom are formerly homeless, contingent upon their participation in its treatment programs. Critics argue that exchanging housing for enrollment in specific treatment services is illegal. Thomas previously defended the practice, stating that counseling sessions were led by interns from other countries who possessed advanced degrees and were working towards licensing in Maryland.
The city of Baltimore has also initiated inspections of PHA Healthcare's housing properties. The Department of Housing and Community Development has opened investigations into ten properties associated with the company, issuing citations for non-compliance with city regulations. Charlotte Townes, a 54-year-old patient, expressed gratitude for the housing and counseling provided by PHA Healthcare, crediting it for her sobriety after decades of opioid addiction. However, Dana Herget, another patient, described a starkly different experience, recounting poor living conditions and rapid relapses among residents.
Despite the uncertainty and mixed experiences, the future of PHA Healthcare's operations remains unclear. Patients like Townes hope for continued support, while others, like Herget, advocate for a complete shutdown. As the state and city authorities continue their investigations, the fate of both the program and its residents hangs in the balance. The coming weeks will likely reveal more about how PHA Healthcare will adapt to comply with state orders and address the concerns of its patients.