MASHINIi

Acadia Healthcare Company, Inc..

ACHC.US | Hospital activities

Acadia Healthcare Company, Inc. is a leading provider of behavioral healthcare services. The company operates a network of inpatient psychiatric facilities, residential treatment centers, and outpatient clinics across the United States and Puerto Rico. Acadia specializes in providing treatment for a...Show More

Ethical Profile

Mixed.

Acadia Healthcare Company, Inc. (ACHC.US) presents a mixed ethical profile. While investing $100 million in technology and expanding behavioral healthcare access with over 70 new outpatient programs by mid-2024, the company faces scrutiny over worker treatment. Reports indicate a CEO pay ratio of 147:1, and OSHA cited Acadia Hospital for workplace safety violations related to employee assaults. A lawsuit also found Acadia violated equal pay law for a female psychologist. Furthermore, a subsidiary, Just Kids Dental, experienced a data breach in August 2023, allegedly exposing sensitive patient and employee data, including SSNs and medical records, due to a zero-day vulnerability. The company has provided over $500 million in uncompensated care since 2016.

Value Scores

Better Health for All-60
-100100
Fair Money & Economic Opportunity0
-100100
Fair Pay & Worker Respect-40
-100100
Fair Trade & Ethical Sourcing0
-100100
Honest & Fair Business-10
-100100
Kind to Animals0
-100100
No War, No Weapons0
-100100
Planet-Friendly Business-80
-100100
Respect for Cultures & Communities0
-100100
Safe & Smart Tech-20
-100100
Zero Waste & Sustainable Products-40
-100100

Better Health for All

-60

Acadia Healthcare, a major behavioral health provider, has been associated with severe and widespread patient harm, including deaths, rapes, sexual assaults, physical assaults, and child endangerment across numerous facilities and states.

1
These incidents led to facility closures
2
, police raids
3
, and multi-million dollar lawsuits and settlements, including a $405 million jury ruling
4
and a $400 million settlement in 2023 for abuse cases
5
. The company has been accused of detaining patients against their will for financial gain
6
, exaggerating symptoms
7
, and altering medical charts to justify longer, medically unnecessary stays
8
. One hospital filed over 4,500 petitions for involuntary extensions from 2019 to 2023
9
, with only 1% granted
10
, indicating a substantial portion of revenue potentially derived from harmful practices. The company's daily charges can be up to several thousand dollars.
11
There is evidence of a lack of transparency, including the need for FOIA requests to uncover regulatory actions
12
and allegations of instructing staff to falsify patient charts
13
. The company has also experienced a criminal ransomware attack.
14
While Acadia states it has quality and safety plans
15
, invested $100 million in technology for quality care (approximately 3.17% of 2024 revenue)
16
, and provided over $500 million in uncompensated care since 2016
17
, these are overshadowed by the extensive negative impacts. The company's core business is mental health and addiction treatment
18
, with over 140 opioid treatment clinics reporting 80% of patients opioid-free in six months
19
, and 7 facilities recognized as "Best Addiction Treatment Centers" in 2024
20
. However, the alleged practices directly harm mental health. The company offers employee benefits and training
21
but faces allegations of inadequate staffing
22
and staff lacking CPR certifications
23
. It has disaster plans and infectious disease protocols
24
and participated in government relief programs during health crises
25
. The company generates hazardous medical waste and is subject to environmental regulations.
26

Fair Money & Economic Opportunity

0

Acadia Healthcare Company, Inc. is a behavioral healthcare provider, not a financial institution, which means many KPIs related to lending, financial products, and banking services are not directly applicable. Over 50% of Acadia's revenues come from Medicaid patients, indicating a significant portion of underserved clients.

1
The company discloses detailed pricing information to patients on all facility websites, as required by the Centers for Medicare and Medicaid Services.
2
Facilities offer flexible payment plans
3
and provide discounts or bill forgiveness based on income for eligible families; for instance, a family of four earning less than $100,000 annually may qualify for hospital discounts or bill forgiveness, and households under 204% of the Federal Poverty Level may qualify for free care in 2025.
4
Acadia does not generate revenue from high-cost financial products or penalty fees, nor does it provide consumer debt products. For employees working more than 30 hours, Acadia provides a competitive benefits package including a 401(k) Plan, Health Savings Account, Employee Discount Program, and a Tuition Reimbursement program, which offers free individual guidance sessions on policy, academic planning, and financial questions.
5
The company supports the Tennessee Financial Literacy Commission
6
and provides 60% of The Jason Foundation, Inc.'s offices, a non-profit focused on youth suicide prevention.
7
Acadia has also created a central hub for secure patient information access for coordinated care.
8
Other financial inclusion and lending-specific KPIs are not applicable to the company's core business.

Fair Pay & Worker Respect

-40

A federal court affirmed a ruling that Acadia Hospital violated Maine's equal pay law by paying a female psychologist $50/hour

1
while male colleagues in comparable roles earned $90-$95/hour
2
for comparable work. This resulted in an award of $181,000 in back wages and treble damages.
3
The CEO-to-median employee pay ratio in 2024 was 147:1,
4
with the CEO receiving $7,089,167
5
and the median employee earning $48,375.
6
Employee feedback indicates low morale, with a culture and values rating of 2.3 out of 5 stars (46/100)
7
and only 36-37% of employees recommending working at the company.
8
Acadia Healthcare has accumulated 16 penalty records
9
totaling over $67 million since 2000,
10
including penalties for wage and hour violations, employment-related offenses, and workplace safety or health violations.
11
OSHA cited Acadia Hospital in Bangor, ME, for failing to provide a workplace free from recognized hazards after at least 115 assaults on employees by patients occurred between 2008 and 2010.
12
Employee reviews frequently cite high turnover rates,
13
low pay,
14
understaffing,
15
poor management,
16
and unsafe work conditions.
17
Nurses at Acadia Hospital are seeking to unionize due to concerns about safe staffing, patient safety, and management communication.
18

Fair Trade & Ethical Sourcing

0

Acadia Healthcare Company, Inc. is a provider of behavioral healthcare services. Its core business model does not involve the procurement or trading of physical commodities typically associated with fair trade and ethical sourcing concerns, such as conflict minerals or agricultural products. Therefore, metrics related to fair-trade certifications, traceability of provenance data, and spend on high-risk materials are not applicable. While the company procures operational supplies through a Group Purchasing Organization (GPO) that vets third parties against exclusion lists

1
, there is no evidence of on-site welfare or sourcing audits for its suppliers. Furthermore, there are no substantiated findings of forced or child labor within its supply chain. Although an internal regulatory issue regarding employee agreements was resolved quickly
2
, no remediation processes for supply chain violations related to ethical sourcing are mentioned.

Honest & Fair Business

-10

In 2024, Acadia Healthcare paid $19.9 million to resolve a 2017 OIG/DOJ investigation.

1
Additionally, in January 2024, the company paid $400.0 million to settle the Desert Hills Litigation, which stemmed from a July 2023 jury award of $80.0 million in compensatory damages and $405.0 million in punitive damages.
2
A sixth lawsuit with similar claims was filed in January 2024.
3
These events led to a reduction in adjusted EBITDA guidance and EPS in December 2025 due to increased professional and general liability expenses.
4
On a positive note, recent financial filings (Form 10-K) indicate no restatements.
5
The entire company's financial statements are audited by Ernst & Young LLP, indicating 100% audit coverage.
6
The company has a Code of Conduct for all directors, officers, and employees, and a Code of Ethics for Senior Financial Officers, with bribery and corruption policies included and covered in annual training.
7
Annual, quarterly, and current reports are made available free of charge on the company and SEC websites.
8
Most inpatient and residential facilities maintain accreditation from private entities such as The Joint Commission or CARF.
9
The company's internal control over financial reporting is audited by Ernst & Young LLP, and regular internal and external security audits are conducted.
10
The company also mentions the False Claims Act and qui tam provisions, which allow private parties to bring whistleblower lawsuits.
11

Kind to Animals

0

The provided articles about Acadia Healthcare Company, Inc., a behavioral healthcare services provider, do not contain specific information or quantitative data relevant to the 'Kind to Animals' value's Key Performance Indicators. While animal-assisted and equine therapy are mentioned as modalities in some articles

1
,
2
, these same articles explicitly state that no data relevant to animal welfare metrics is present
3
,
4
.

No War, No Weapons

0

Acadia Healthcare Company, Inc. is a behavioral healthcare provider with no direct involvement in arms manufacturing, military contracts, or conflict facilitation. Its core business activities do not include defense or arms-related operations, dual-use technology development, or sales to embargoed regimes. The company's lobbying expenditures, totaling $525,000 in 2023, are for health services.

1
Regarding procurement, Acadia expects suppliers to source Conflict Minerals (tantalum, tin, tungsten, and gold) only from DRC Conflict Free sources
2
, develop policies
3
, ensure traceability
4
, use validated smelters
5
, and maintain business records
6
. The company evaluates supplier performance regarding compliance with its Conflict Minerals Policy
7
and reserves the right to discontinue purchases from suppliers found substantially out of compliance
8
. Acadia is a National Community Affiliate of The Jason Foundation, Inc. (JFI) for Youth Suicide Awareness and Education
9
, providing 53% of JFI offices
10
. The company is guided by a Code of Conduct and Code of Ethics for Senior Financial Officers
11
. The Audit and Risk Committee of the Board of Directors oversees data security programs quarterly
12
, and the executive Compliance Committee and the Compliance Committee of the Board of Directors meet quarterly to review policies and performance
13
. All employees receive annual training on the Code of Conduct and safety and compliance
14
.

Planet-Friendly Business

-80

Acadia Healthcare does not currently disclose company-wide greenhouse gas emissions data

1
and has not reported any SBTi-validated, science-based carbon reduction targets. The company has not declared a net-zero carbon target year
2
and provides no evidence of climate scenario analysis
3
. Out of 262 behavioral healthcare facilities
4
, the corporate headquarters is in a LEED-certified building
5
, and two hospitals under construction are designed to be LEED certified
6
, totaling approximately 1.14% of facilities. The company states its commitment to providing transparency in climate change-related risk management
7
and aligns with the Task Force on Climate-related Financial Disclosures (TCFD)
8
, applying an integrated enterprise-wide risk management approach that includes climate-related risks
9
. Senior management and the Board of Directors are committed to actively managing and mitigating these risks
10
, with the Audit and Risk Committee monitoring exposures
11
. However, specific TCFD disclosures, including scenario analysis, are not provided
12
. The company does not report the percentage of operational energy consumption sourced from renewables
13
, though it has begun utilizing geothermal energy in new building designs for HVAC systems at new hospitals under development
14
. For new facilities and renovations, Acadia specifies MEP systems that achieve higher energy performance
15
, with new buildings targeting 20% more efficient energy use than typical behavioral health hospitals
16
. Lighting designs are typically over 30% more efficient than code
17
, using all LED lighting
18
. New plumbing systems consume 30% less water than code requirements
19
. All newly constructed hospitals exceed the International Energy Conservation Code requirements
20
. In 2023, the company purchased 2.88 million fewer pages of paper, a 1.8% decrease from 2022
21
. The company states that its operations have resulted in, or may result in, non-compliance with environmental or health and safety laws
22
, but believes its operations are generally in compliance
23
and that historical compliance costs have not been material
24
.

Respect for Cultures & Communities

0

Acadia Healthcare lacks a formal cultural impact assessment protocol despite operating in culturally sensitive areas, such as those serving American Indian youth. The company has faced significant lawsuits and settlements totaling over $800 million in 2023 for patient abuse allegations, indicating a reactive response to severe incidents rather than proactive prevention.

1
No cultural appropriation incidents have been reported.
2
FPIC processes are considered not applicable to the company's healthcare operations. Acadia provides interpreting and translation services at no cost
3
and has staff that mirrors the community's linguistic diversity,
4
demonstrating strong language inclusivity. All employees complete mandatory annual diversity in the workplace and cultural diversity trainings,
5
which include information relevant to various indigenous and ethnic groups.
6

Safe & Smart Tech

-20

In August 2023, a data breach at Just Kids Dental (JKD), a subsidiary, affected 129,623 individuals, exposing sensitive personal and health information including Social Security numbers and driver’s license numbers.

1
The breach was discovered on August 8, 2023, but notification letters were sent over a month later, starting September 1, 2023.
2
JKD paid a ransom to the ransomware group, and a zero-day vulnerability was exploited.
3
A class action settlement of $875,000 was reached, offering up to $10,000 for documented losses from SSN exposure and 10 years of identity-theft protection for minors.
4
Acadia Healthcare has a data breach plan and is insured for cyber-related incidents.
5
Following the JKD breach, the company reported no evidence of unauthorized data use, and the threat actor confirmed data deletion and non-distribution.
6
The company states it works in full compliance with all applicable federal and state laws and regulations, and provides annual training on HIPAA and 42 CFR Part 2.
7
It aligns with NIST 800-53, PCI, HIPAA, and Sarbanes-Oxley.
8
However, JKD faced allegations of failing to comply with HIPAA regulations and Section 5 of the FTC Act, and failing to meet minimum standards of the NIST Cybersecurity Framework and CIS Critical Security Controls.
9
The company is certified for HIPAA and CCPA, and holds Joint Commission accreditation for hospitals and CARF accreditation for its Comprehensive Treatment Center clinics.
10
Acadia Healthcare has an Encryption Policy requiring encryption for laptops, desktops, tablets, and portable drives, as well as a Leased Copier and Scanner Encryption Policy.
11
However, it was alleged that JKD failed to encrypt electronic PHI as specified in the HIPAA Security Rule, contributing to the data breach.
12
The company implements multi-factor authentication and has a Password Policy.
13
It conducts ongoing risk assessments and annual third-party penetration tests.
14
Regular internal and external security audits are performed, and a Managed Extended Detection and Response (MXDR) solution is leveraged.
15
All employees and contractors with system access receive data privacy and security training upon hire and annually, with all facility employees required to complete at least 80 hours of training.
16
Monthly cybersecurity awareness education is provided, and frequent phishing exercises are conducted, with additional targeted training for those who fail.
17
Users have extensive rights to control their data, including requesting restrictions on PHI use/disclosure, inspecting and obtaining copies of PHI, requesting corrections, and requesting electronic health information transmission via an API.
18
The company considers cyber risks for third-party relationships involving AI or machine learning technologies.
19

Zero Waste & Sustainable Products

-40

Acadia Healthcare has implemented several waste reduction initiatives, including a 1.8% reduction in paper purchases in 2023, amounting to 2.88 million fewer pages than in 2022.

1
The company also utilizes prefabricated building assemblies to reduce transportation logistics and actively seeks to use existing building structures for new facilities.
2
New building designs incorporate plumbing systems that consume 30% less water than code requirements, aim for energy use targets 20% more efficient than typical behavioral health hospitals, and feature lighting designs over 30% more efficient than code, with HVAC efficiencies created by rightsizing systems.
3
For hazardous waste management, each inpatient facility has a risk manager and a physical plant director, supported by detailed policies, trainings, and procedures for storage, handling, and disposal, including employee training on Department of Transportation requirements.
4
External audits are conducted for TJC accredited facilities for hazardous-waste compliance, and an incident reporting program is in place for unsafe storage or improper disposal.
5
However, the company's 2022 Sustainability Report did not disclose the total amount of medical waste or hazardous/nonhazardous pharmaceutical waste, or their disposal methods.
6
Regarding waste audits, external audits are conducted for compliance with TJC hazardous-waste regulations for accredited facilities, and risk managers at each facility conduct regular walk-throughs guided by a formal checklist of safety and risk indicators.
7
The company has no reported waste disposal violations in the past three years.
8

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AI-generated analysis based on publicly available data. Not financial advice. Ratings are expressions of opinion derived from automated models and may contain inaccuracies. See our Risk Disclosure for full details.