Brian Farley oversees regulatory compliance across Acadia Healthcare’s operations in 39 states and Puerto Rico. Behavioral healthcare providers face extensive regulatory oversight from federal, state, and local authorities, requiring comprehensive compliance programs and government relations strategies.
Federal healthcare regulations establish baseline requirements for providers participating in Medicare and Medicaid programs. Acadia Healthcare derives 57% of its revenue from Medicaid and 14% from Medicare, making compliance with Centers for Medicare & Medicaid Services (CMS) requirements essential. Brian Farley’s team monitors regulatory developments and implements compliance protocols across the organization.
State licensing requirements vary significantly across jurisdictions. Each state establishes its own standards for behavioral health facility licensure, staff qualifications, treatment protocols, and patient rights. Acadia Healthcare must maintain licenses for 270 facilities, requiring ongoing monitoring of state regulatory changes and license renewal processes.
The Joint Commission accreditation provides additional quality standards for behavioral health facilities. Many Acadia Healthcare facilities maintain Joint Commission accreditation, requiring compliance with performance standards and periodic surveys. Brian Farley’s compliance team coordinates with operational leaders to ensure facilities meet accreditation requirements.
Government investigations represent a significant area requiring legal oversight. Acadia Healthcare disclosed in 2024 that it received a federal grand jury subpoena and has been responding to inquiries from the Department of Justice regarding billing and admissions practices. Farley coordinates the company’s response to these inquiries and manages relationships with government investigators.
In September 2024, the DOJ announced that Acadia Healthcare agreed to pay $19.85 million to settle allegations relating to medically unnecessary inpatient services and care standard failures. Brian Farley’s legal team managed this settlement negotiation and implementation. The company settled without admission of wrongdoing, resolving claims dating from 2014 to 2017.
False Claims Act compliance requires particular attention for healthcare providers receiving government reimbursement. The Act prohibits submitting false claims for payment to federal healthcare programs. Acadia Healthcare maintains compliance programs designed to ensure proper billing practices, medical necessity determinations, and documentation standards.
Privacy and data security regulations add another compliance layer. The Health Insurance Portability and Accountability Act (HIPAA) establishes requirements for protecting patient health information. Brian Farley oversees cybersecurity initiatives and privacy compliance programs addressing electronic health records, billing systems, and other systems containing protected health information.
Government affairs activities support Acadia Healthcare’s business objectives at federal and state levels. The company engages with policymakers regarding behavioral health funding, reimbursement rates, licensing requirements, and access to care initiatives. Farley coordinates advocacy efforts and monitors legislative developments affecting the behavioral health sector.
Medicaid program participation requires ongoing compliance attention. Each state administers its own Medicaid program with unique requirements, enrollment processes, and reimbursement methodologies. Supplemental payment programs, managed care arrangements, and rate-setting processes vary by state, requiring legal analysis and strategic engagement.
Employment law compliance spans multiple federal and state statutes. The legal team addresses requirements under the Fair Labor Standards Act, Americans with Disabilities Act, Family and Medical Leave Act, Occupational Safety and Health Act, and numerous state employment laws. Healthcare employers face particular scrutiny regarding overtime calculations for clinical staff.