Goodyear has more than 150 unlicensed group homes. Here's how the city is cracking down

Goodyear is moving to crack down on its skyrocketing number of unlicensed group homes through two changes in city ordinances.

The City Council unanimously approved new buffer requirements for group homes effective July 1 and discussed stricter business registration requirements, although that measure is tabled for now.

While current group homes can stay in place if they follow the new rules, city officials say the buffer requirement will prevent future clusters of group homes.

Sober living homes fall under the "group homes" umbrella, which can also include assisted living and behavioral health facilities. All will have to follow the new regulations.

Goodyear and other cities in metro Phoenix have seen a rise in illegal sober living facilities that exist largely to warehouse people for bogus therapy companies involved in a Medicaid scam that has ripped off taxpayers of an estimated $2 billion.

How many group homes operate in Goodyear?

Cities throughout the state have been working to combat the crisis, restricted by state laws that keep the exact locations of the homes secret. Police officers and other city officials only find out about them when calls for service are received from the homes or when neighbors file complaints.

Goodyear Police Officer Scott Daniel, who has been working to combat the issue since 2019, previously told The Arizona Republic the city currently has five licensed group homes, although officers are aware of a total of 156. The remaining homes are unlicensed.

Daniel said he's come across people living at the homes passed out in neighbors' yards. Often, no one running the home is present. And if there is someone present, Daniel said, it's often someone who is unqualified and is relying on police in case something goes wrong.

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State and federal prosecutors have indicted six dozen therapy firms or owners, but scores of sober living homes have avoided criminal penalties.

Even when cities use new regulations to crack down or close the bogus homes, police discover they pop back up under a new name or company. They are sometimes reorganized as behavioral health facilities, often with the same clients who went untreated, and sometimes plied with drugs or alcohol, when they were fraudulently denied rehab services.

Cities use zoning ordinances to address crisis

Goodyear has a new plan to reduce group home numbers. David Williams, senior contract planner for the city, told council members about new buffer requirements and explained how the city proposed changing its business registration requirements.

The new regulations would align Goodyear with other cities in the Valley and the way the crisis is being addressed, Williams said. Other cities with similar zoning ordinances include Surprise — which Williams said has new regulations that likely caused group homes to move to Goodyear about a year ago — and Glendale.

Group homes are called "assisted living homes" in Goodyear's current zoning ordinance, although the new amendment will refer to them as "group homes."

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Currently, homes with one to six residents do not need zoning clearance from the city in areas that are zoned for residential use. There also is no buffer requirement for homes with one to six residents.

For homes with seven to 10 residents, a zoning clearance is required, with the homes needing to be at least a quarter-mile away from any other homes with seven to 10 residents.

The new zoning ordinance will require all group homes to have a quarter-mile buffer requirement regardless of the number of residents. Currently, group homes often are concentrated in a particular area. But the buffer requirement will prevent that in the future, Williams said.

"What we've seen in many cases is we'll have one block that has four, five, six group homes. And that creates a very different dynamic for that neighborhood than having one within that community," Williams said.

The new ordinance also will require all group homes to obtain a business license from the city, after business licenses are approved by the City Council. They also will need to apply for a zoning clearance, which then allows them to apply for a state license. They then will have to apply with the city's building safety department for a change-of-use permit. And a fire and building inspection must take place before the final zoning clearance is approved.

If businesses are not following the requirements, their licenses will be in jeopardy, Williams said.

The city plans to reach out to all known group homes to help them through the new process. The ordinance is expected to go into effect July 1.

Legal group homes can continue operating

While Williams said the ordinance is expected to result in group homes going out of business or moving, he emphasized that it was not an overnight solution to the problems residents have been experiencing.

The buffer requirement, for example, only covers new homes coming to the city.

The current ones will be allowed to operate as they are as long as all of the new requirements are met.

"If they are operating in a legal manner today, they will be allowed to operate in a legal manner tomorrow," Williams said.

Councilmember Sheri Lauritano reminded residents that, under the Fair Housing Act, the city cannot prevent group homes from coming to the city altogether.

City Manager Wynette Reed said that money is allocated in next year's budget to hire an additional person on the code enforcement team who will be dedicated specifically to group homes.

City Council delays vote on business license ordinance

In addition, all businesses in Goodyear will soon be required to obtain a business license. Currently, businesses are only required to register with the city.

After City Attorney Roric Massey presented the proposed requirements, the City Council unanimously voted to table the item.

Massey plans to bring back the item to the City Council as early as next week to maintain the July 1 timeline for both ordinances to take effect.

How to file a complaint against an unregistered group home

To report suspected code compliance issues, residents can download the Goodyear mobile app or use the city's website. Non-emergency criminal issues can be filed to the Goodyear Police Department through the city's website. Residents are encouraged to call directly to report crimes that need immediate attention.

Reach the reporter at ahardle@gannett.com or by phone at 480-259-8545. Follow her on X, formerly Twitter: @AlexandraHardle.

This article originally appeared on Arizona Republic: New Goodyear ordinance targets unlicensed group homes