Housing Discrimination Against Individuals With Substance Use Disorder: An Epidemic In Tennessee

There is an outbreak of housing discrimination with prejudice against individuals with substance use disorder in Tennessee. Due to the unlawful efforts by some local governments to restrict where recovery residences may exist, housing discrimination has been a silent epidemic for years that has caused still-born deaths of recovery residences in the making to support individuals with substance use disorder.

“The federal Fair Housing Amendments Act of 1988 prohibits discrimination against individuals with disabilities, among other protected classes, in housing and housing-related activities.  U.S.C. §§ 3601 et seq. Individuals currently in recovery for substance abuse have a ‘disability’ and are protected by fair housing laws from discrimination in housing.”  24 C.F.R. § 100.201; Hernandez v. Hughes Missile Sys. Co., 298 F. 3d 1030 (9tth Cir. 2002); Schwarz v. City of Treasure Island, 521 F. Supp. 2d 1307 (11th Cir. 2007)."  (P. 1).  (Source:  Kim Savage, Fair Housing Attorney).

“The Fair Housing Act also recognizes that community opposition has too often led to the enactment of municipal or state restrictions or burdensome procedural requirements on group homes for individuals with disabilities.  Federal law prohibits consideration of the prejudices or fears of a community; a city or county may be liable for denying housing opportunities for individuals with disabilities if its actions or decision-making are motivated by discriminatory intent or it adopted the discriminatory animus of those in the community.  Under these later facts, a local government may be liable even though local officials did not express discriminatory sentiments.” Horizon House Developmental Services, Inc. v. Township of Upper Southampton, 804 F. Supp. 683, 695-97 (E. D. Pa. 1992), aff’d mem., 995 F. 2d 217 (3rd Cir. 1993); Stewart McKinney Foundation, Inc. v. Town Plan and Zoning Comm’n,, 790 F. Supp. 1197, 1211-16 (D. Conn.1992); United States v. Audubon, 797 F. Supp. 353, 359-62 (D.N.J. 1991), aff’d mem., 968 F. 2d 14 (3d Cir. 1992);  Joint Statement at 5, 14.  (Source:  Kim Savage, Fair Housing Attorney).

Some local governments in Tennessee have arbitrarily redefined recovery residences to conform to monikers like “halfway house,” which is a type of residential treatment facility requiring a license from the Tennessee Department of Mental Health and Substance Abuse Services  (TDMHSAS); or they simply pass a catchall ordinance under which congregate living supportive housing is placed for zoning purposes that labels recovery residences as “Group Homes,” which according to the TDMHSAS, “Group homes may be regulated under different statutory and licensing frameworks depending on the population served and may include staff-supervised care, clinical services, or other programmatic requirement not present in recovery residences.” (Source:  https://www.tn.gov/behavioral-health/substance-abuse-services/treatment/recovery-housing.html).

There are two primary statutes that apply to defining a "recovery residence" in Tennessee: (1) Tennessee's "Stopping Addiction and Fostering Excellence (SAFE) Act" as amended (2025), and (2) a definition for a “single family residence” as defined in TN Code § 13-24-102 (2024). 

Note:  The “recovery residence” amended definition went into effect on January 1, 2026, which drew from the most nationally recognized recovery residence standards and levels/types of recovery residences in alignment with the National Alliance for Recovery Residences' (NARR) best practice standards.

Tennessee Code Annotated, Section 33-2-1401(7), and § 13-24-102:

(1)    “Code Annotated, Section 33-2-1401(7):  “Recovery residence’ means a residence classified as a single family residence, as defined in § 13-24-102, or any other premise, place, or building that provides a substance-free living environment centered on supervised, monitored, or peer-led support that assists individuals in recovery from substance use disorder with services that promote long-term recovery, including direct connection to other peers in recovery, mutual support groups, and recovery support services but does not provide any medical or clinical services, treatment, or medication administration on-site except for verification of abstinence.

To reiterate:  There are three key components to note in the statute:  (1) “’Recovery residence’ means a residence classified as a single family residence…”  (2) A recovery residence “provides a substance-free living environment centered on supervised, monitored, or peer-led support…”  This specific language was lifted directly from the National Alliance for Recovery Residences (NARR) Levels/types I (peer-led), II (monitored), and III (supervised) recovery residences; and (3) a recovery residence in Tennessee “does not provide any medical or clinical services, treatment, or medication administration on-site except for verification of abstinence.”

(2)    "For the purposes of any zoning law in Tennessee, the classification “single family residence” includes any home in which eight (8) or fewer unrelated persons with disabilities reside, and may include three (3) additional persons acting as support staff or guardians, who need not be related to each other or to any of the persons with disabilities residing in the home.” Acts 1978, ch. 863, § 2; 1979, ch. 361, § 2; T.C.A., § 13-2402; Acts 1999, ch. 204, § 1; 2011, ch. 47, § 10; 2011, ch. 158, § 9.

In recent weeks, the Tennessee Department of Mental Health and Substance Abuse Services (TDMHSAS) did a major overhaul of the TDMHSAS' Recovery Housing website to reflect the new definition of "recovery residence" in compliance with state statutes quoted above.  

The TDMHSAS specifically answered the question, "Are Recovery Residences the same as Group Homes or Halfway Houses."  The Answer:  "No. Recovery residences are distinct from other types of supportive or treatment-based housing. Halfway houses are licensed residential treatment facilities regulated by the Tennessee Department of Mental Health and Substance Abuse Services (TDMHSAS) and provide clinical services, treatment, and supervision as part of a structured treatment program. Group homes may be regulated under different statutory and licensing frameworks depending on the population served and may include staff-supervised care, clinical services, or other programmatic requirements not present in recovery residences." (Source: https://www.tn.gov/behavioral-health/substance-abuse-services/treatment/recovery-residences.html).

State and federal laws are clear: "A recovery residence is a "single family residence," which is not based on a medical/clinical model.  There is absolutely no requirement that an individual suffering from substance abuse, or a substance addiction must have a diagnoses to reside in a recovery residence, which as stated, a recovery residence is a "single family residence." 

Municipalities that have tried to circumvent state and federal statues (FHA/ADA) have done so at their own peril and have lost in courts throughout the Country, such as when the Department of Justice stepped into the arena to settle a lawsuit against the Village of Hinsdale, Illinois, for discriminating against individuals with a substance use disorder in denying these individuals  residency in a recovery residence in the neighborhood of their choice. This cost the Village of Hinsdale $800,000.00 in damages when Trinity Sober Living, LLC, sued the Village of Hinsdale, Illinois, for housing discrimination.

NIMBY (Not in my backyard) issues are the root of discrimination for some citizens (neighbors) that have influenced local governments to pass city zoning ordinances and/or fire codes that violate the Fair Housing Act and the ADA to keep recovery housing operators and people with a SUD from operating and/or residing in residential neighborhoods of their choosing. 

Some municipalities in Tennessee have passed ordinances restricting the number of unrelated individuals residing in a “group home” to four or less, and then enforced the group home label on recovery residences, which are not group homes, or halfway houses as per Tennessee statutes.  This has occurred in Tennessee in violation of TN Code § 13-24-102 (2024).  Unfortunately, little remedy exists, absent a lawsuit, when local governments dig in and refuse to abide by the FHA/ADA.  Yet, lawsuits are costly, making this option difficult to exercise, unless the recovery housing operator has an enormous amount of money to support a lawsuit for its duration. 

Four recovery residence operators in Indiana recently filed lawsuits against the state of Indiana for discrimination:  "U.S. District Judge Tanya Walton Pratt ruled that Indiana cannot treat residential recovery homes as anything other than homes.  The state had imposed additional regulations on the homes, such as sprinkler systems.  But Pratt says those additional regulations discriminate against those with disabilities.  She ordered the state to permanently treat the homes as normal residential structures, without requirements such as sprinkler systems."  This short piece from Indiana Public Media summarizes the cases. (Source:  Dave Sheridan, Executive Director, National Alliance for Recovery Residences). 

Judge Pratt ruled in favor of all four recovery residence operators.  In fact, a faith-based recovery housing operator in Indiana was awarded damages in the  amount of $206,232.11; and in addition to the Village of Hinsdale, Illinois, having to pay $790,000.00 in monetary damages to Trinity Sober Living LLC and an additional civil penalty of $10,000.00 to the United States, the Village of Hinsdale was required under the settlement to "amend its zoning ordinance to comply with federal anti-discrimination laws, including permitting homes for persons with disabilities in residential districts, with the same size limitations applied to families of similar size, and implementing a reasonable accommodation policy."  The village of Hinsdale, Illinois, paid a heavy price for violating the Fair Housing Act!

Additionally, to be clear, "recovery residences" do not fall under the purview, or statues of medical/clinical treatment modalities, as it is well documented by the Substance Abuse and Mental Health Services Administration (SAMHSA) that “ALL recovery housing approaches are characterized by alcohol- and drug-free living environments that are grounded in the Social Model of Recovery…” with "peer-to-peer support" and recovery support services to support individuals in recovery that suffer from substance use disorder.  (Best Practices for Recovery Housing, p. 9 – SAMHSA).

Also, the American Society of Addiction Medicine -- "The ASAM Criteria for Addictive, Substance-Related, and  Co-occurring Conditions" -- the most authoritative source for treatment criteria for health care providers in treating patients for substance use disorder, opioid use disorder and co-occurring mental health conditions -- clearly adopted the National Alliance for Recovery Residences (NARR) standard, ethics and four levels/types of recovery residences administered by the Tennessee Alliance of Recovery Residences (TN-ARR) in the state of Tennessee – the only authorized NARR Recovery Housing Certification organization in Tennessee.

Finally, educating local and state officials is a vital part of vigilant advocacy to support recovery residence operators, and, more importantly, the individuals we serve with substance use disorder, opioid use disorder and co-occurring mental health conditions!  Please feel free to retain this treatise and pass it on to local and state officials. 

Also, this document will provide support in making your case that “…recovery residences should be differentiated from other types of supportive housing and can be understood as  RSS [Recovery Support Services] embedded within housing…” (The ASAM Criteria, p. 385) should a zoning codes official, or Fire Marshal show up at your recovery residence(s) or place of operation to impose on you ordinances that are outside the boundaries of the FHA/ADA in violation of the law.

TDMHSAS Recovery Housing Websites for Additional Study:

1.  TDMHSAS' Recovery Housing Website:  https://www.tn.gov/behavioral-health/substance-abuse-services/treatment/recovery-housing.html

2.  Recovery Within Reach:  https://recoverywithinreach.org/housing/housing-search/

Kyle D. Duvall

TN-ARR Advocacy Chairman