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Texas IOP and PHP opening checklistCredentialing documents checklistIntake packet checklistStaff credential file checklistBehavioral health business glossaryIOP and PHP schedule templatesThe IOP group curriculumUtilization review for IOP and PHPThe IOP admissions processDischarge planning for IOP and PHPBuilding an IOP family programAdding MAT to an IOPCLIA waiver for drug testing in TexasDrug testing policy for treatment programsLab relationships and EKRAPsychiatric services in an IOP or PHPHow to start a sober living homeTROHN certification in TexasSober living house rules and resident agreementsWhat it costs to start a sober living homeSober living drug testing policyThe sober living house managerHow much it costs to start an IOPThe IOP business plan lenders believeIOP break-even calculator (free tool)The practice readiness review (free tool)Credentialing cost calculator (free tool)Joint Commission vs. CARF for an IOP or PHPWhat accreditation costs and how long it takesAccreditation for a new treatment programThe accreditation gap assessmentHow to run a mock accreditation surveyHow to start an intensive outpatient programHow to start a partial hospitalization programIOP vs. PHP vs. outpatientHow to get credentialed with insuranceThe CAQH ProView guideNPI Type 1 vs Type 2How long credentialing takesCredentialing with Blue Cross and Blue Shield of TexasCredentialing with Aetna for behavioral health in TexasCredentialing with Cigna (Evernorth Behavioral Health)Credentialing with UnitedHealthcare (Optum Behavioral Health)Credentialing with Superior HealthPlanCredentialing with Wellpoint Texas (formerly Amerigroup)Texas Medicaid health plans by service areaTexas Medicaid for IOP and PHP programsLPC credentialing in TexasLCSW credentialing in TexasLMFT credentialing in TexasPsychologist credentialing in TexasLCDC credentialing in TexasPsychiatric NP credentialing in TexasHow to start an LPC private practice in TexasHow to start an LCSW private practice in TexasHow to start an LMFT private practice in TexasStarting a psychology private practice in TexasHow to run a cash-pay therapy practiceRunning a telehealth private practice in TexasMoving a licensed treatment programAdding PHP or IOP to your programBuying or selling a treatment centerClosing or pausing a treatment programIOP staffing requirements in TexasSupervising associates and interns in TexasThe medical director for an IOP or PHPHow to get insurance contracts for an IOP or PHPWhen the insurance network is closedSingle case agreements for programsNegotiating insurance ratesPatient brokering laws, explainedLegitScript certification for addiction treatmentHow to market a treatment center legallyHow to get a Texas CDTF licenseLicensing a mental health IOP or PHP in Texas26 TAC 564 in plain EnglishMedicare enrollment for LPCs and LMFTsTexas Medicaid credentialing: TMHP and the MCOsTRICARE credentialing in TexasHow to start a group practice in TexasCan an LCDC open a private practice in Texas?How to open a psychiatric NP practice in TexasHow to start an IOP in FloridaOpening a program or practice in Texas, by cityHow to start an IOP or PHP in HoustonHow to start an IOP or PHP in DallasHow to start an IOP or PHP in Fort WorthHow to start an IOP or PHP in AustinHow to start an IOP or PHP in San AntonioHow to start an IOP or PHP in El PasoHow to start an IOP in ArizonaHow to start an IOP in LouisianaHow to start an IOP in NevadaHow to start an IOP in UtahHow to start an IOP in CaliforniaHow to start an IOP in OklahomaHow to start an IOP or PHP in TexasHow to start a private practice in TexasHow to open a sober living home in TexasAll free guides

Free printable checklist · Cima Consulting

Texas IOP and PHP opening checklist: all 118 steps

Opening a substance use intensive outpatient (IOP) or partial hospitalization program (PHP) in Texas is 118 steps in 15 phases. The critical path runs through three things in order: a site the city will approve, the HHSC chemical dependency treatment facility license, and facility contracts with insurance plans, which most plans sign only after the license (many only after accreditation). On our Texas roadmap the first admission comes about 6 months after kickoff. Tick each step on screen, or print it.

Updated October 24, 2026. The steps are our own Texas launch roadmap, the one we use with clients, from a team that runs a licensed Texas PHP, IOP and outpatient program. Not legal advice.

How to use it

  • Who does it. You means the owner or your team, with your health-care attorney or CPA where the step says so. Consultant is work a launch consultant usually does; in our IOP / PHP Program Launch we do it, and on your own it's yours. You + consultant needs both.
  • Fees are what the agency or accreditor charges, paid by you directly. Fees and rules marked "confirm current" change; check them with the agency before you budget.
  • Your ticks stay in this browser (nothing is sent anywhere), so you can come back to the list. Print it with your ticks, or print a blank copy for a planning meeting.
  • The words: our behavioral health business glossary explains CDTF, QCC, ASAM, TMHP, SCA, per diem and the rest. The narrative version of this list, with the why behind each phase, is how to start an IOP or PHP in Texas.

Cima Consulting · consulting.cimaehr.com/checklists/iop-opening-checklist

Texas SUD IOP / PHP opening checklist (118 steps)

Program: ____________________________Target opening date: ______________Printed: ____________

To print, use your browser's Print command (Ctrl+P or ⌘P, or Share → Print on a phone). Only the checklist prints.

Plan the practice 8 steps

What you'll offer, to whom, where, and what it costs to open.

  • You + consultant

    Write down what you're opening, where, your target opening date and budget, then date every step below back from opening day.

  • You

    The entity, ownership, contracts and referral arrangements are legal or tax decisions. Pick an attorney and CPA who already work with health-care businesses.

  • You + consultant

    Decide on PHP, IOP and outpatient; adults or adolescents; substance use, mental health or co-occurring; day or evening tracks.

  • Consultant

    Who in your area needs this level of care, which hospitals, detox units and therapists would refer, which plans pay for it and at roughly what rates, and how many clients a day you need to break even.

  • You + consultant

    List every opening cost (fees, insurance, rent, furniture, software, pay before opening) and the monthly cost to run.

  • Consultant

    A lender-ready plan: market, services, staffing, payer mix, startup budget, break-even and a 3-year projection.

  • You

    A program usually needs several months of payroll and rent in the bank before insurance payments arrive.

  • You

    Texas has a strong corporate practice of medicine doctrine. Who may own a program that employs or contracts with physicians, and how a medical director is paid, are questions for your health-care attorney before anything is signed. What it means

Form the business 7 steps

The company, its tax ID, its bank account and its name.

  • You

    With your attorney or CPA, choose the entity (licensed clinicians often use a PLLC or professional corporation; programs and recovery homes are often an LLC) and whether to elect S-corporation taxes.

  • You$300 filing fee (Texas Secretary of State)

    File online through SOSDirect, naming a registered agent with a Texas address and the members or managers. Start at Texas Secretary of State

  • You$25 filing fee (Texas Secretary of State); check the current fee

    If you'll do business under a name that isn't the company's legal name, file an assumed name certificate. Start at Texas Secretary of State

  • You + consultantFree

    The EIN is the company's tax ID: free at irs.gov and issued right away. Save the confirmation letter; banks and plans ask for it. Start at IRS: get an EIN

  • You

    Keep business money separate from personal money from day one, with bookkeeping set up by your CPA.

  • You

    Texas has no personal income tax, but LLCs, PLLCs and corporations file franchise tax and information reports with the Comptroller each year, usually due May 15. Start at Texas Comptroller: franchise tax

  • You + consultant

    A program needs a governing body (the owners or a board) that's responsible for it, meets on a schedule and keeps minutes. What it means

Licenses and identifiers 3 steps

Your license, NPIs, DEA and the other numbers payers ask for.

  • You + consultantFree

    Free from NPPES and usually issued within days. Pick the taxonomy that matches the license; the NPI stays with the clinician for life. Start at NPPES (NPI registry) · What it means

  • You + consultantFree

    The company's own NPI, tied to its EIN, so it can bill under the business. Programs use a clinic or facility taxonomy. Use the legal name exactly as filed. Start at NPPES (NPI registry) · What it means

  • You + consultantSmall fee every two years; check CMS's current fee

    Instant drug test cups and other waived tests need a CLIA certificate of waiver, applied for on form CMS-116 through your state's survey agency. Start at CMS: CLIA · What it means

Business insurance 2 steps

Malpractice, general liability, cyber and, when you hire, workers' comp.

  • You

    The program needs professional and general liability for the organization and coverage for every clinician.

  • You

    Optional for most Texas private employers. If you don't carry it (a non-subscriber), you must notify the Division of Workers' Compensation and your employees. Start at Texas Department of Insurance, Division of Workers' Compensation

Location and facility license 6 steps

The office or site, its inspections and, for programs, the state facility license.

  • You + consultantRules vary: confirm current

    The site needs group rooms sized for your groups, private offices, restrooms, accessible entrances and parking, and locked space for records and any medications.

  • You

    Have your attorney negotiate a way out if zoning, the certificate of occupancy or the license falls through, and free rent to cover the build-out.

  • You

    Build the rooms, accessible entrances and restrooms (ADA), sound privacy, locked record and medication storage, exit signs and emergency lighting.

  • YouRules vary: confirm current

    The city issues a certificate of occupancy for your use after its inspections, and the fire marshal checks exits, alarms, extinguishers and the evacuation plan.

  • You + consultant$1,200 base fee + $125 per additional site (HHSC, 26 TAC 564); check the current fee

    Required before you treat anyone (Texas Health and Safety Code ch. 464; 26 TAC ch. 564). The application includes HHSC's forms 3207 and 3208, an operational plan, proof of liability insurance and the fee. Start at Texas Health and Human Services (HHSC) · What it means

  • You + consultantRules vary: confirm current

    You must show HHSC the program meets the rules within 6 months of filing, or the application is denied, so file only when you're close to ready. Keep one binder: site, policies, staff files and, once open, charts.

Policies and compliance 11 steps

HIPAA, 42 CFR Part 2, consents, policies and the paperwork clients sign.

  • Consultant

    Written for your program and organized by accreditation chapter: rights, care, records, medications, infection control, safety, emergency management, HR, leadership and performance improvement. The governing body approves it.

  • Consultant

    Match each rule in 26 TAC chapter 564 to the policy, form or record that meets it. It speeds up both the application and the inspection. Start at Texas Health and Human Services (HHSC)

  • You + consultant

    HIPAA requires a written security risk analysis: where client information lives, what could go wrong, and what you'll do about it. Start at HHS: HIPAA Security Rule

  • Consultant

    If you hold yourself out as treating substance use disorders and are federally assisted, 42 CFR Part 2 protects the records. The 2024 rule's compliance date was February 16, 2026; consent, notice and release forms use its language. Start at 42 CFR Part 2 (eCFR) · What it means

  • Consultant

    Consent to treatment, rights, grievances, program rules, financial agreement, Part 2 consent, privacy notice and orientation. Post the rights and how to complain to the state.

  • Consultant

    Plans for the building (security, hazards, fire safety) and for emergencies (fire, severe weather, medical emergency, a violent person, utility loss), with a drill schedule.

  • ConsultantRules vary: confirm current

    Hand hygiene, cleaning, exposure response, and when staff and clients are screened for tuberculosis.

  • You + consultantRules vary: confirm current

    Say whether medications are kept on site and how clients' own are handled. Storing controlled substances needs a DEA registration for the site. Either way, keep naloxone on hand and train staff to use it.

  • ConsultantRules vary: confirm current

    What staff report, to whom and how fast: deaths, overdoses, injuries, abuse or neglect, and privacy breaches.

  • Consultant

    Pick a few measures to track from the start (chart timeliness, incidents, client satisfaction, outcomes) and who reviews them each quarter.

  • You + consultant

    Name a compliance officer, adopt a code of conduct, check everyone against the federal exclusion list, and plan regular billing and documentation audits. Start at HHS Office of Inspector General

Clinical program 10 steps

Services, schedule, curriculum, assessments and the forms clinicians use.

  • Consultant

    What you do when a client is at risk: screening, a safety plan, when to call 988, a mobile crisis team or 911, who you notify and how you document it.

  • You

    Open an account for confirmation drug testing and other labs, with results flowing to your EHR if possible.

  • Consultant

    Base admission, continued stay, step-down and discharge on The ASAM Criteria dimensions, which most states and many plans use for substance use reviews. What it means

  • You + consultantRules vary: confirm current

    Most payers expect about 20 hours a week for PHP and at least 9 hours a week for adult IOP (the ASAM levels for substance use say the same).

  • Consultant

    Evidence-based groups (CBT, DBT skills, relapse prevention, motivational work, family and health education), with a facilitator guide for each topic.

  • ConsultantRules vary: confirm current

    Texas SUD programs are commonly required to provide education on HIV and other sexually transmitted infections, tuberculosis, and tobacco.

  • ConsultantRules vary: confirm current

    Screening, biopsychosocial assessment, level-of-care assessment, treatment plan, group and individual notes, continued-stay review, discharge summary and aftercare plan, plus a standard measure (like the PHQ-9) repeated over time, which Joint Commission expects.

  • Consultant

    When clients are tested, observed or not, which panel, how instant results are confirmed by the lab, and how results are used clinically rather than as punishment.

  • You + consultant

    Decide how clients get medications for opioid and alcohol use disorders: from your medical director, a partner prescriber or an opioid treatment program.

  • Consultant

    Map each step: PHP to IOP to outpatient, then therapy, support groups, recovery housing or medication follow-up.

Hiring and HR 12 steps

Roles, job descriptions, payroll, background checks and supervision.

  • You + consultant

    Who you need, when and at what pay: clinical, medical, administrative and billing roles, each with a job description that lists the license or credential it requires.

  • YouRules vary: confirm current

    The program director runs operations; the clinical director oversees treatment and supervises clinicians and must hold the credentials your state and accreditor require.

  • You + consultant

    A physician oversees medical care, medical questions at admission, medications and medical policies.

  • You

    Recruit clinicians, intake, front-desk and billing staff in time to train them before opening.

  • ConsultantRules vary: confirm current

    In a Texas SUD program, counseling is provided by or under qualified credentialed counselors (QCCs), such as LCDCs and certain other licensed professionals; counselor interns need QCC supervision. Check each person against 26 TAC 564. What it means

  • You + consultant

    Criminal history as your state and policies require, plus the federal OIG exclusion list (and the Texas Medicaid list) before hire: nobody excluded can work on services billed to federal programs. Start at HHS-OIG exclusion list (LEIE) · What it means

  • Consultant

    License verification, diploma, resume, references, background check, CPR, TB screening, signed job description, orientation and training records.

  • You + consultant

    Use a payroll service for withholding, tax deposits and W-2s, and report new hires to the state.

  • You

    When you hire W-2 employees, register for a Texas unemployment tax account with TWC and file the quarterly wage reports. Start at Texas Workforce Commission

  • You + consultant

    Hours, pay, leave, conduct, confidentiality, social media, a drug-free workplace and how complaints are handled.

  • Consultant

    Who supervises whom, how often and how it's documented, including associates and interns who need a board-approved supervisor.

  • You + consultant

    HIPAA and Part 2, client rights, emergency procedures, abuse reporting, suicide risk, de-escalation, documentation and the EHR.

Systems and technology 4 steps

EHR, e-prescribing, phone, email, telehealth and payments, each with a BAA.

  • Consultant

    Levels of care with their hours and billing codes, group schedules, the intake packet, assessments, treatment plans, authorization reminders and staff accounts with the right access.

  • You + consultant

    Use your own domain for email, and pick email, phone, text and fax services that sign a BAA if client information goes through them.

  • You + consultant

    Take copays, self-pay fees or rent by card through your EHR or a processor, deposited to the business account.

  • You + consultant

    EHR, email, phone and fax, telehealth, billing, lab, cloud storage, shredding and IT support. What it means

Insurance credentialing 10 steps

CAQH, Medicare, Medicaid and commercial payers: applications, contracts and effective dates.

  • You + consultant

    List the plans that cover your area and services, which are open to new providers, and roughly what they pay. Start with the plans your future clients actually carry.

  • You

    One folder with everything the plans ask for, kept current. Most delays come from a missing page or a name that doesn't match the IRS letter.

  • ConsultantRules vary: confirm current

    Texas Medicaid enrollment goes through TMHP. Check which services Texas Medicaid pays your license or program type for before planning on it. Start at TMHP (Texas Medicaid & Healthcare Partnership) · What it means

  • ConsultantRules vary: confirm current

    Texas Medicaid (STAR, STAR+PLUS, STAR Kids) and CHIP clients get care through managed care plans that differ by service area.

  • ConsultantRules vary: confirm current

    Medicare pays for PHP, and since 2024 IOP, only through hospitals, community mental health centers and a few other provider types. Most freestanding programs plan their payer mix without it.

  • Consultant

    With the license in hand, apply as a facility to each plan: the organization application, license, insurance certificates, policies and, often, a site visit. What it means

  • Consultant

    Many commercial plans contract with IOP and PHP programs only once they're accredited.

  • ConsultantRules vary: confirm current

    TRICARE requires IOP and PHP programs to be accredited (Joint Commission, CARF or COA). Start at TRICARE

  • You + consultant

    Before you sign, check the rates for your codes, the timely filing limit, termination terms and the effective date.

  • Consultant

    Get each effective date and provider ID in writing and load them into the EHR. What it means

Billing and fees 9 steps

Fee schedule, clearinghouse, ERA and EFT, eligibility checks, authorizations and claims.

  • You + consultant

    Set your standard fee for each code at or above what your best-paying plan allows, so you never bill a plan less than it would pay.

  • You + consultant

    Self-pay rates, payment plans and deposits. The No Surprises Act requires a good faith estimate for uninsured and self-pay clients before services. Start at CMS: No Surprises Act · What it means

  • You

    Bill in-house, use a billing partner, or a mix. If a billing company would be paid a percentage of collections, have your attorney approve it first, especially for an SUD program.

  • Consultant

    The clearinghouse carries your claims to the plans and brings back their responses. What it means

  • Consultant

    Check every client's benefits before the first visit and each month, collect what the client owes at the visit, send claims within days, and work rejections and denials every week.

  • ConsultantRules vary: confirm current

    Programs commonly bill a daily rate (S0201 for PHP, H0015 for SUD IOP, S9480 for mental health IOP), and some plans want UB-04 claims with revenue codes (0905/0906 for IOP, 0912/0913 for PHP). Each plan decides. What it means

  • Consultant

    Verify benefits and get authorization before admission, schedule each concurrent review, and draft the continued-stay note about 5 days before an authorization ends, citing the ASAM dimensions or the plan's criteria. What it means

  • You + consultant

    Until a plan's contract is effective, ask the plan for a single case agreement for one client, at a rate agreed in writing before admission. What it means

  • You + consultant

    Register for each plan's provider portal (many use Availity) and enroll in electronic remittance (ERA) and direct deposit (EFT), so payments post themselves and land in the business account. What it means

Accreditation 7 steps

Joint Commission or CARF: readiness, application, mock survey and the survey.

  • You + consultant

    Both are widely accepted; TRICARE accepts Joint Commission, CARF or COA, and many commercial plans require one of them for IOP and PHP contracts. Start at The Joint Commission · What it means

  • Consultant

    Read your policies, forms and plans against the accreditor's standards and make a fix list by chapter. Most of the work is building the habits surveyors will ask to see.

  • You + consultantJoint Commission: $1,700 application deposit; on-site survey from about $3,330; annual fee from about $1,930 (Joint Commission fact sheet). CARF: check CARF's current fees

    Submit the application and deposit, then agree on survey timing. Accreditors survey once you're serving clients and have charts to review. Start at The Joint Commission

  • Consultant

    Surveyors follow a client's care through the program and ask staff what they do and where it's documented.

  • Consultant

    Once you have charts, a one-day survey done the way the accreditor does it: leadership, environment and record tracers and a chart sample, with a written fix list you finish before the real survey. What it means

  • You + consultantRules vary: confirm current

    Be ready every day of the survey window: the binder, staff on site, charts current and drills logged.

  • You + consultantRules vary: confirm current

    If surveyors find standards not met, you send proof of the fixes by the accreditor's deadline (Joint Commission calls it Evidence of Standards Compliance; CARF asks for a Quality Improvement Plan).

Referrals and marketing 6 steps

Website, directories, referral partners, and the rules on paying for referrals.

  • You + consultant

    Never pay or give anything of value for referrals: the Texas Patient Solicitation Act, EKRA and the federal Anti-Kickback Statute. Run any marketing deal or lead service past your attorney. What it means

  • Consultant

    A clear site: who you help, what you offer, insurance or rent, location, how to start, and your privacy notice.

  • Consultant

    Set up your Google Business Profile at your address and list on the directories people use (Psychology Today for therapists, treatment locators for programs, recovery residence directories for homes).

  • ConsultantRules vary: confirm current

    SAMHSA's FindTreatment.gov lists state-licensed treatment programs, and many referrers search it. Start at FindTreatment.gov (SAMHSA)

  • You + consultantRules vary: confirm current

    Google and Meta require addiction treatment providers to be LegitScript certified before running ads. What it means

  • You + consultant

    Visit the people who'll send you clients and the ones you'll send clients to: hospitals, detox units, therapists, primary care, schools, EAPs, courts, recovery homes and community groups.

Open the doors 4 steps

The final checks, the first client and the first claims.

  • Consultant

    Walk every item on this list, then run a test client from first call to intake, note and claim to catch gaps before a real client does.

  • You + consultant

    Send partners the date, how to refer and what you accept.

  • You + consultant

    Walk the building, run a mock admission and a fire drill with the whole team, and fix what breaks.

  • You + consultant

    Licensed, staffed and trained: verify benefits, get the authorization, complete the intake packet and assessments on time, and start the schedule.

First 90 days and beyond 19 steps

What to check after opening, and the dates that come back every year.

  • You + consultant

    A month in: what's working, what's slow, which forms or steps confuse clients or staff, and what to fix this month.

  • Consultant

    As each plan goes live, move its members from self-pay to insurance from the effective date forward, and check that the first claim goes through clean.

  • Consultant

    Match each payment and remittance to its claim and the contract rate.

  • You + consultant

    The first continued-stay reviews show whether your notes support the level of care.

  • Consultant

    Read a sample of your first charts the way a payer auditor would: medical necessity, signatures, timeliness, treatment plan links and billing support.

  • You + consultant

    Two months in: are the fixes from the 30-day check holding, are referrals coming in, and is cash on track with the budget?

  • Consultant

    Sort denials by reason (eligibility, authorization, coding, credentialing, timely filing), fix the cause, and resubmit or appeal the ones worth it.

  • You + consultant

    Three months in: caseload or census (occupancy for a house), collections, denials, documentation timeliness, and the plan for the next quarter.

  • You + consultant

    Caseload or census, visits or days billed, collections, days in accounts receivable, no-shows and cash on hand (for a house: occupancy and rent collected).

  • Consultant

    Check every staff member and contractor against the OIG exclusion list (and your state Medicaid list) each month, and keep the results. Start at HHS-OIG exclusion list (LEIE)

  • You + consultant

    Review the measures in your performance improvement plan each quarter, pick one thing to improve, and record what you did and whether it worked.

  • You + consultantRules vary: confirm current

    Fire inspections and extinguisher checks as your city requires, emergency drills on the schedule in your plan or house rules, and a log of each.

  • You + consultant

    Repeat the security risk analysis every year and whenever you change systems or offices, and retrain staff on what changed. Start at HHS: HIPAA Security Rule

  • Consultant

    Read every policy and form once a year, update what changed (rules, services, staff), and record the owner's or governing body's approval.

  • You + consultant

    Professional licenses, DEA (every 3 years), CLIA (every 2 years), malpractice and business insurance, and the entity's state reports. Put each date on a calendar 90 days ahead.

  • You + consultant

    HIPAA, Part 2, emergency procedures, abuse reporting and CPR renewals on schedule, with sign-in sheets in each credential file.

  • You + consultantRules vary: confirm current

    The renewal date and fee are on the license. File early and keep the inspection binder current.

  • You + consultantJoint Commission annual fee from about $1,930 (Joint Commission fact sheet); check the current fee

    Pay the annual fee, keep up the self-checks the accreditor asks for, and expect the next full survey about every 3 years.

  • Consultant

    Plans recredential about every 3 years, and Medicare revalidation comes about every 5 years for those enrolled. What it means

Steps and fees as of October 24, 2026. Agencies and plans set their own pace and rules; confirm anything marked "confirm current". Cima Consulting isn't a law or accounting firm.

Government and accreditor fees on the way

These are the fees on the roadmap, paid by you to the agency, never through us. The HHSC fee is set in 26 TAC chapter 564; the Joint Commission figures come from its published fact sheet. Each one changes, so check before you budget.

StepFee and who charges it
File the certificate of formation with the Texas Secretary of State$300 filing fee (Texas Secretary of State)
File an assumed name certificate if you'll use another name$25 filing fee (Texas Secretary of State) (changes; we check the current fee)
Get an EIN from the IRSFree
Get a CLIA certificate of waiver for in-office testsSmall fee every two years; check CMS's current fee (changes; we check the current fee)
Apply for the Texas HHSC chemical dependency treatment facility license$1,200 base fee + $125 per additional site (HHSC, 26 TAC 564) (changes; we check the current fee)
Apply for accreditationJoint Commission: $1,700 application deposit; on-site survey from about $3,330; annual fee from about $1,930 (Joint Commission fact sheet). CARF: check CARF's current fees (changes; we check the current fee)
Keep accreditation current between surveysJoint Commission annual fee from about $1,930 (Joint Commission fact sheet) (changes; we check the current fee)

The free ones matter as much: the EIN from the IRS and both NPIs from NPPES cost nothing, and anyone charging you for them is charging for their time.

How long it takes

The milestones from the same roadmap, on the earliest path. The insurance contracts finish months after the first admission, which is why the plan below opens with self-pay clients and single case agreements.

StepTypical timing
Kickoff and your dated roadmapWeek 1
Business formed with the Texas Secretary of State (you or your attorney file)Week 4
Policy and procedure manual writtenWeeks 5–10
Cima EHR Program plan set upWeeks 13–15
Site leased, after the city confirms zoningWeeks 13–16
Individual NPI for each clinicianWeeks 15–16
Team hired and verifiedMonths 4–5
HHSC facility license application filedMonths 4–6
Soft opening, mock admission and fire drillMonths 6–7
HHSC compliance inspectionMonths 6–7
Facility contracts with the insurance plansMonths 6–9
First admissionMonth 7
Mock accreditation surveyMonth 7
Accreditation surveyMonths 7–8
Accreditation decisionMonths 8–10
Each plan's effective date confirmedMonth 10
Billing each plan from its effective dateMonth 10

From the kickoff, on the earliest path through our 118-step Texas roadmap. Agencies and insurance plans set their own pace, so treat these as typical, not promised.

The order that saves money

  1. Zoning in writing before the lease. Ask the city whether a treatment program is allowed at the address, and sign a lease with a way out if zoning, the certificate of occupancy or the license falls through.
  2. Policies and staff files before you file with HHSC. After filing you have 6 months to show HHSC you meet the rules, or the application is denied. The clock should start when the site, the policy manual and the staff files are nearly done.
  3. Credentialing packet while the license is pending. Facility applications need the license, but everything else (W-9, IRS letter, NPI, insurance certificates, policies) can be ready the day it arrives. Our credentialing documents checklist lists each page plans ask for.
  4. Intake packet and staff training before the first client. The intake packet checklist covers every form a client signs on day 1, and the staff credential file checklist covers what HHSC and accreditors pull from personnel files.
  5. Accreditation once you have charts. Joint Commission and CARF survey a program that is serving clients, so the survey comes after opening, and the plans that require accreditation come after that. Comply's Joint Commission behavioral health checklist shows what the surveyor reads.

What you can hand off

Every "Consultant" step above is in our IOP / PHP Program Launch, on a dated roadmap in your client portal, for a flat fee paid as milestones land:

IOP / PHP Program Launch
$24,500 flat
A licensed outpatient program from plan to first admission: state license, policies, clinical program, credentialing and billing.
  • $7,350 at signing
  • $7,350 when the license application is filed
  • $7,350 when the license is issued
  • $2,450 at first admission

6 months of Cima EHR included

Book a free call

Government, licensing and accreditation fees are paid by you, directly to the agency.

Already partway through? Buy the pieces you need instead:

ServicePrice
State facility license application
Your program's state license application prepared and filed, and the inspection prepared for.
Includes: Application and operational plan (Texas: HHSC forms and 26 TAC 564); Required policies checked against the rules; Inspection-readiness walkthrough.
$4,500
Program policy and procedure manual
A full policy manual written for your program, organized by accreditation chapter, in Word.
Includes: Every chapter: rights, care, records, medications, infection control, safety, emergency management, HR, leadership, performance improvement; Environment-of-care and emergency plans; State-rule crosswalk; Editable Word files.
$4,500
Facility or group contract: one plan
A program or group contract with one insurance plan: the organization application, site visit and contract.
Includes: Organization application; Site visit preparation if the plan does one; Contract and rate review checklist; Effective date and billing set-up confirmed.
$450 per plan
Billing set-up
Get paid from day one: fees, clearinghouse, ERA and EFT, and a claims workflow.
Includes: Fee schedule; Clearinghouse, ERA and EFT enrollment; Eligibility, authorization and claim scripts; First-month claim review.
$1,500
Mock survey
A one-day survey the way an accreditor or state surveyor would do it, with a written report and fix list.
Includes: Leadership, environment and record tracers; Chart audit sample; Written findings and corrective-action plan.
$3,500

The program's software is part of the checklist too: Cima EHR for IOP and PHP sets up levels of care with their hours and codes, group notes, authorization reminders and continued-stay reviews ($399 a month for up to 25 clients).

Questions

Do I need a license to open an IOP in Texas?

Yes, for substance use treatment. A Texas program that treats substance use disorders must be licensed by HHSC as a chemical dependency treatment facility before it treats anyone (Texas Health and Safety Code chapter 464; 26 TAC chapter 564). Mental-health-only programs fall under different rules, so check which apply to yours.

How much does it cost to open an IOP?

The government and accreditor fees are the small part: see the fee table. The large costs are rent and build-out, insurance, and several months of payroll before insurance money arrives, because facility contracts usually take about 90 days after the license and first payments come a month after that. Build the budget with your CPA from the steps in the "Plan the practice" phase.

Can I bill insurance before the facility contracts are signed?

Not as in-network. Admit self-pay clients with a good faith estimate, or ask the client's plan for a single case agreement, at a rate agreed in writing before admission. Don't see a plan's members as in-network before the effective date; those claims deny.

Is accreditation required to open?

Not usually for the Texas license. But TRICARE requires IOP and PHP programs to be accredited (Joint Commission, CARF or COA), and many commercial plans contract with IOP and PHP programs only once they're accredited. Plan for it in your first year.

Who has to be on staff before the license application?

The application asks for the program director's name and credentials, so name the program director and clinical director early. Counseling in a Texas SUD program is provided by or under qualified credentialed counselors (QCCs), such as LCDCs, and a medical director works under a written agreement at fair market value.

Does the checklist work for a mental health IOP?

Most of it. A mental-health-only program skips the HHSC chemical dependency license steps, the Texas-required SUD education topics and the QCC check, and follows the rules for its own license type. Our roadmap for mental health programs has 109 steps; ask us on a free call which apply to yours.

Want this list worked for you, with dates?

The IOP / PHP Program Launch takes you from plan to first admission for $24,500 flat. Paid 30% at signing, 30% when the license application is filed, 30% when the license is issued and 10% at first admission.

See the program launch

Or book a free 30-minute call and we'll tell you where you are on this list and what comes next. More free lists: all our checklists.

Sources

Know exactly where you are on the list.

A free 30-minute call: what you've done, what's next, and what it costs.

Book a free call

Book a free 30-minute call

Tell us what you want to open and where you are. We'll reply within one business day to set up the call.

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