Company trying to resume federal lawsuit over Johnson City methadone clinic

TRI-CITIES, TN (WJHL)- A company that attempted to open a methadone clinic in Johnson City in 2013 is trying to resume a three-year-old federal lawsuit, citing the East Tennessee State University, Mountain States Health Alliance proposed methadone clinic in Gray as one of the reasons.

Tri-Cities Holdings, LLC applied for a certificate of need but Tennessee’s Health Services and Development Agency denied the application. The company then filed a lawsuit against Johnson City and the HSDA, but it’s been on hold for nearly three years.

This week, Tri-Ciites filed a motion asking a judge to lift the stay on the case, citing several reasons, including the HSDA’s recent approval of the ETSU, Mountain States clinic. In August, the agency approved a CON for the two entities. In court documents, the company alleges the two entities used “political muscle” to ram through the approval of its CON.

A judge is set to hear arguments in the case on October. 20th.

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