The Pyramid Heathcare Vertically Integrated System of Care

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ANNUAL REPORT 2015-2016

The Pyramid Heathcare Vertically Integrated System of Care Treatment success is more readily achieved when clients receive immediate access to services and long term engagement in treatment delivered at the most appropriate level. To increase engagement, it is important to be able to deliver this care as close to home as possible, at convenient times and treatment formats. It is also important, VERTICALLY INTEGRATED SYSTEM OF CARE as the client progresses through multiple levels of care, that treatment is integrated and flows easily and consistently between each level of care. Our objective is to provide a vertically integrated, coordinated system of care that provides each of these components that will ultimately result in more effective treatment. TEEN TREATMENT PROGRAMS Duncansville, East Stroudsburg, Pittsburgh Ridgeview & Quakertown Onward Behavioral Health Pyramid Healthcare High Focus Centers Mazzitti & Sullivan Quest Services October Road Altoona and King of Prussia ADULT TREATMENT PROGRAMS Altoona and King of Prussia Duncansville, East Stroudsburg, Langhorne, Pittsburgh Belleville, Duncansville, East Stroudsburg, Langhorne, Pittsburgh Gratitude House, Pine Ridge Manor, Tradition House, Delaware House, Grey House, Lafayette House Onward Behavioral Health Pyramid Healthcare High Focus Centers Mazzitti & Sullivan Quest Services October Road Real Recovery Pyramid Achieves National Accreditation with CARF On August 12, 2015, CARF International announced that Pyramid Healthcare and its drug and alcohol rehabilitation programs had received a three-year accreditation. Previously accredited by JCAHO, this was the first accreditation awarded to Pyramid Healthcare by CARF. The accreditation decision represented the highest level of accreditation that can be awarded to an organization, and showed our substantial conformance to the CARF standards. Pyramid Healthcare staff worked together to demonstrate to CARF our commitment to offering programs and services that are measurable, accountable, and of the highest quality by participating in a rigorous review process. CARF, which stands for the Commission on Accreditation of Rehabilitation Facilities, is an independent, nonprofit accrediting body whose mission is to promote the quality, value, and optimal outcome of behavioral healthcare services. By meeting CARF standards, Pyramid s clients, families and customers can be assured that Pyramid meets or exceeds national standards of quality and service delivery. Pyramid Healthcare will continue to work with CARF throughout the three-year accreditation period to measure and improve the performance and quality at each of our facilities. 2

Pyramid Healthcare Strengthens Service Capability in Central PA Mazzitti & Sullivan has provided outpatient behavioral health services and employee assistance programs (EAPs) in central Pennsylvania for over 30 years. They have a long-standing reputation for high quality outpatient behavioral health treatment. Mazzitti & Sullivan also provides EAP services to more than 200 employers at 400 work sites across the United States. Pyramid Healthcare acquired all five Mazzitti & Sullivan locations including Harrisburg, Hershey, Lancaster, Mechanicsburg, and Middletown in April, 2016. These locations now act as part of the Pyramid Healthcare system of care by providing additional services and increasing treatment accessibility for those in the region. The great reputation that Mazzitti and Sullivan deserves and have worked so hard for over many years makes us proud to have them as part of the growing Pyramid team, said Jonathan Wolf, CEO of Pyramid Healthcare. Their concentration of services in central PA further enhances our desire to make treatment more accessible by offering a complete continuum of assessment and treatment services across PA. Their extensive network of EAP services further completes our ability to provide a complete package of services specifically to employers throughout the Commonwealth and beyond. Quest Services, Inc. Acquisition Expands Treatment Network in Centre County Quest is a central Pennsylvania-based provider of behavioral healthcare services. With two locations in Bellefonte and Philipsburg, Quest has a 15-year reputation of providing high-quality care in Centre County. Pyramid Healthcare acquired Quest in May, 2016. In addition to outpatient and intensive outpatient drug and alcohol services for adults in group, individual, and family settings, Quest offers individual and family sessions for adolescents suffering with substance use. Both locations provide assessment and referral services for adults and teens. The acquisition of Quest is consistent with the Pyramid Healthcare mission of developing an extensive network with affordable, high-quality care. Remaining responsive to demands for treatment in underserved areas has been a key to Pyramid Healthcare s mission, growth and success. Along with the existing Pyramid Healthcare outpatient treatment location in State College, and in conjunction with the newly-acquired Mazzitti & Sullivan locations, the Quest locations in Bellefonte and Philipsburg will provide a comprehensive network of behavioral healthcare resources and services for central Pennsylvania residents. 3

Pyramid Healthcare Expands Integrated Care Options in North Carolina In March 2016, Pyramid Healthcare welcomed Real Recovery of Asheville into its network of treatment providers. Real Recovery joined October Road in Pyramid Healthcare s growing footprint in the North Carolina market, and added to the already vast continuum of behavioral healthcare services offered by Pyramid Healthcare. Real Recovery is a structured, adventurebased sober living program for young adult men ages 18-28. Real Recovery s unique approach helps young adult men individualize their paths to recovery. Each client is provided with a comprehensive array of services outside those traditionally offered by halfway houses or sober living programs. This level of care is new to the Pyramid Healthcare system, and provides yet another important component in the complete continuum of services offered by Pyramid. Clients at Real Recovery transition from a highly structured path, which includes intensive outpatient care and weekly individual therapy, to a more autonomous path in the Transition House as they gain momentum throughout the program and prepare to move into an independent life of recovery. Clients at Real Recovery typically receive services at one of the four on-site houses: the Dream House, the River House, the Pinnacle House, or the Transition House. The houses each offer varying degrees of support and structure to meet each client s needs as they move toward recovery. In addition to the peer support driven model employed at Real Recovery, clients at Real also receive appropriate clinical services, vocational support services, educational support services, life skills training, and money management support, along with multiple outdoor adventures each week. Real Recovery looks to expand across the southeast and beyond in 2016! Silver Ridge Set to Open in December 2016 Pyramid Healthcare continues to develop its Silver Line of premium, out-of-network addiction treatment programs. Silver Ridge, located in western North Carolina, will open in December 2016. Located in Mills River, a small community nestled in the Blue Ridge Mountains and just minutes from the Asheville Regional Airport, this facility will provide a serene treatment setting for up to 15 clients, who will reside on an 11-acre estate. Silver Ridge will specialize in treating midlife to older adults, a quick-growing demographic whose needs are not being sufficiently met by the behavioral healthcare industry today. Silver Ridge seeks to differentiate itself in the marketplace with not only a luxurious treatment environment but also world-class clinical services. Its clinical team will include individuals with extensive experience in residential addiction treatment to deliver a traumainformed, dual-diagnosis, and midlifespecific addiction program unique to the United States. 4

A Premier Program by Pyramid Healthcare Pyramid R esponds to Growing National Drug Abuse Epidemic with Residential Facility Expansions The annual number of deaths from overdose in the United States has now eclipsed the number of deaths from auto accidents and firearms. In Pennsylvania, we are in the midst of a heroin epidemic that resulted in almost 2,500 fatalities this past year. Increased availability and purity of heroin and mis-use of prescription drugs have caused the demand. At the same time, more people have enrolled in medical assistance and insurance through national health insurance and Medicaid expansion programs and thus have greater resources for treatment. In response to the appeal by the public and state government for increased HEROIN EPIDEMIC?! RESPONSE AND TREATMENT access and availability of treatment services, Pyramid Healthcare, either by renovation or new construction, has increased the number of residential drug and alcohol treatment beds. Additional capacity was developed at residential sites in Duncansville, Langhorne, Pittsburgh, and Hillside in East Stroudsburg. The expansion will continue this year at each site. Construction of a 40 bed unit is currently underway at our program in Duncansville. While our Langhorne program grows by 8 beds, a 12 bed addition is progressing at Hillside in East Stroudsburg and another 15 beds will be added to our Pittsburgh facility. Pyramid Sees Continued Outpatient Service Growth in Pennsylvania, New Jersey and North Carolina This was another busy year for outpatient services growth across the Pyramid Healthcare family of programs. Over the past year we opened new offices in Bethlehem, PA (OBH), Bartonsville, PA (Pyramid) and Lawrenceville, ERIE NJ (High Focus). In addition to these new offices, we expanded our Altoona, Erie and York Outpatient offices and Methadone clinics in Altoona, Butler and York, PA. In addition to these new offices and program expansions we also acquired three companies that provide high quality outpatient services across Pennsylvania and North Carolina. Real Recovery Outpatient Services, Quest Counseling Services and Mazzitti & Sullivan Counseling Services add a total of eight outpatient locations Pyramid Healthcare, Inc. PITTSBURGH PA seeds of hope Eating Disorder Programs HARRISBURG to our existing footprint of more than 37 outpatient offices across Pennsylvania, New Jersey and North Carolina. Program Locations ASHEVILLE PHILADELPHIA NEW YORK CITY NJ Growth will continue into the upcoming year as plans to develop new programs in Pennsylvania, New Jersey and North Carolina in late 2016/early 2017 are underway. The expansion of our outpatient services allow us to improve access to NC services for those in need of substance abuse and mental health counseling. We have 07/08/16 also expanded services to include additional programs such as Medication Assisted Treatment options and Eating Disorder Therapy Programs. The tremendous growth in 2015/2016 allows us to meet the needs of over 5000 clients daily in our combined outpatient programs. 5

Pyramid Healthcare, Inc. Directors Jonathan Wolf James Andersen Calvin Neider Matthew Blevins James Donnelly Officers Jonathan Wolf, President James Andersen, Vice President John Garfield, Treasurer Matthew Blevins, Secretary Erin Bard, Assistant Secretary Corporate Offices 270 Lakemont Park Blvd. 1605 N. Cedar Crest Blvd. Suite 602 Allentown, PA 18104 20397 Route 19 Two Landmark North, Suite 128 Cranberry Township, PA 16066 Adult/Teen Detoxification 1894 Plank Road Duncansville, PA 16635 420 Supreme Court Drive East Stroudsburg, PA 18302 1990 Woodbourne Road Langhorne, PA 19047 306 Penn Avenue Pittsburgh, PA 15221 Teen Inpatient and School Programs 4447 Gibsonia Road Gibsonia, PA 15044 Halfway Houses Gratitude House for Men 901 6th Avenue Tradition House for Women 830 6th Avenue Pine Ridge Manor for Men 13505 S. Eagle Valley Road Tyrone, PA 16686 Housing Services Lafayette House for Men 1907 Hanover St., Apt. 10 Pittsburgh, PA 15218 Delaware House for Women 1937 Delaware Ave., Apt. 103 Pittsburgh, PA 15218 Grey House for Men 831 6th Avenue Correctional Programs Blair County Hollidaysburg, PA 16648 Medication Assisted Therapy (MAT) Dolminis 2 Sellers Drive Altoona, PA 16601 York Pharmacotherapy 104 Davies Drive York, PA 17402 1230 Veteran s Highway Suite F-1 Bristol, PA 19007 455 Phoenix Drive Chambersburg, PA 17201 2409 State Street 1st Floor, Suite C Erie, PA 16503 1990 Woodbourne Rd. Langhorne, PA 19047 1169 Philipsburg Bigler Hwy. Philipsburg, PA 16866 2100 Wharton St., Suite 321 Pittsburgh, PA 15203 306 Penn Avenue Pittsburgh, PA 15221 270 Walker Dr., #108A State College, PA 16801 626 N. Grant Street Waynesboro, PA 17268 18 S. George St., Suite 402 York, PA 17401 School Programs 550 Leonard Street Clearfield, PA 16830 493 South Highland Street DuBois, PA 15801 180 Regent Court, Suite 50 State College, PA 1680 4880 North Sherman St. Ext. York, PA 17347 47 Maple Street, Suite 401 Summit, NJ 07901 A Premier Program by Pyramid Healthcare 130 Critchlow School Road Renfrew, PA 16053 Corporate Office 680 American Ave., Suite 302 King of Prussia, PA 19406 145 Powers Road Asheville, NC 28804 2705 N. Old Bethlehem Pike Quakertown, PA 18951 Adult Inpatient 1894 Plank Road Duncansville, PA 16635 3893 West Main Street Belleville, PA 17004 420 Supreme Court Drive East Stroudsburg, PA 18302 1990 Woodbourne Road Langhorne, PA 19047 306 Penn Avenue Pittsburgh, PA 15221 Bantam Commons Building #2, 124 Hollywood Dr. Butler, PA 16001 Outpatient Services 1605 N. Cedar Crest Blvd. Suite 602 Allentown, PA 18104 2 Sellers Drive Altoona, PA 16601 Fountain Court 3180 Rt. 611, Suite 19 Bartonsville, PA 18321 210 W. High Street Bellefonte, PA 16823 493 South Highland Street DuBois, PA 15801 Corporate Office 119 Tunnel Road, Suite D Asheville, NC 2880 Corporate Office 3207 North Front Street Harrisburg, PA 17110 183 Old Turnpike Road Mills River, NC 28759 6