What Does HB 299 Mean for Referral Agents

HB 299: Voluntary Accreditation for Recovery Housing. What It Means for Referral Agents

HB 299 Background

Throughout Texas, recovery housing has continually been misinterpreted and miscategorized; creating stigma and preventing Texas recovery homes from effectively operating. With the passage of HB 299, Texas has established a definition of recovery homes and a voluntary accreditation process for recovery homes that is consistent with national industry standards and ensures the use of best practices.


The law, taking effect September 1, 2023, has created ethical and legal considerations for referral agents to examine before referring clients to a recovery home. The Texas Recovery Oriented Housing Network (TROHN) and Oxford House, Inc. (OHI) are the only approved accrediting organizations recognized by the state of Texas for the purposes of this legislation. Both TROHN and OHI have already developed and well established national best practice standards in Texas.

Ethical and Legal Considerations

Quality of Recovery Home

  • HB 299 states that an approved accrediting organization is required to:
    • Establish accreditation requirements that at a minimum include the HHSC adopted standards;
    • Provide training to designated recovery house responsible parties (TROHN only) and recovery house staff regarding the HHSC adopted standards;
    • Develop a code of ethics;
    • Provide information to HHSC for its annual report on accredited recovery houses.
  • Under HB 299, any TROHN accredited or OHI chartered recovery house SHALL NOT accept or participate in kickbacks or referral fees (in cash or in kind), client/resident solicitation, or financial exploitation.
  • Under HB 299, any TROHN accredited or OHI chartered recovery house SHALL NOT advertise any false, misleading, or deceptive information about the recovery house, including advertising or otherwise communicating about accreditation status that the recovery house does not have.


The above measures, generated by HB 299, ensures that as a provider you are acting in the best interests of your clients by referring to recovery homes that meet quality standards established by the state and prohibit patient brokering, solicitation, and false advertising.


  • Effective September 1, 2025, the bill prohibits a recovery house that is not accredited from receiving state money. Any state funds disbursed after September 1, 2025 relating to recovery housing, such as rental assistance or bed fees, may only be used for TROHN accredited and OHI chartered homes.
HB 299 Breakdown for Referral Agents