Assisted living in Virginia: licensing, costs, and rules

Virginia licenses assisted living as ALFs under 22VAC40-73. Learn who regulates it, what's required, costs, and how it differs from group homes and nursing homes.

GroupHomePath Editorial Team
19 min read
In This Article

Last updated 2026-07-24

Caregiver and elderly resident in a sunlit assisted living facility living room in Virginia
Caregiver and elderly resident in a sunlit assisted living facility living room in Virginia

TL;DR

In Virginia, assisted living facilities (ALFs) are licensed by the Virginia Department of Social Services under regulation 22VAC40-73. They provide housing, meals, supervision, and help with daily activities for adults who can't live fully independently but don't need hospital-level nursing care. Medicare does not pay for the room-and-board portion; Medicaid may help through the state's home and community-based waivers for eligible low-income residents.

What is assisted living in Virginia?

Assisted living in Virginia is a licensed category of residential care for adults who need help with daily activities like bathing, dressing, medication management, or meals, but who don't need the round-the-clock skilled nursing care a hospital or nursing home provides. The Virginia Department of Social Services (VDSS) is the licensing authority, and it regulates these homes as "assisted living facilities" (ALFs) under 22VAC40-73, the Standards for Licensed Assisted Living Facilities [1]. The regulation defines an assisted living facility as a facility that provides "room, board, and personal or health care" to four or more aged, infirm, or disabled adults not related to the licensee by blood or marriage [1]. Virginia sorts residents into two care levels once they're admitted: Assisted Living Care (residents need help with two or more activities of daily living, or ADLs) and Residential Living Care (residents are more independent but still need some support and supervision) [1]. This matters for operators because staffing ratios, physical plant rules, and even fire safety code sometimes shift based on which care level a facility is licensed to serve. A home licensed only for Residential Living Care can't legally keep a resident who has declined into needing two or more ADLs without either reclassifying or discharging per the regulation's discharge planning rules.

What is a group home, and how is it different from assisted living?

A group home is a broader, less formal term. It usually describes a small residential setting, often serving people with intellectual or developmental disabilities (IDD), mental illness, or substance use recovery needs, rather than the general elderly population that assisted living traditionally serves. In Virginia, group homes for people with IDD are more commonly licensed and monitored through the Department of Behavioral Health and Developmental Services (DBHDS) rather than VDSS, especially if they're funded through a Medicaid waiver like the Community Living or Family and Individual Supports waivers. Assisted living facilities, by contrast, are always licensed under the VDSS 22VAC40-73 rule regardless of the population mix, as long as the home meets the four-or-more-unrelated-adults threshold and provides the room, board, and care package the regulation describes [1]. So the practical difference is regulatory: if you're opening a home for seniors or disabled adults needing custodial care and supervision, you're almost certainly filing with VDSS as an ALF. If you're opening a home specifically serving people with developmental disabilities using waiver funding, you may fall under DBHDS licensing instead, or under both agencies depending on services offered. Don't guess on this one. Confirm with your state licensing agency which category your specific population and service model falls under before you sign a lease or start renovations.

What is an assisted living facility, exactly?

An assisted living facility (ALF) is the formal, licensed version of what people casually call a "group home for seniors" or "residential care home." In Virginia's regulatory language, it's any facility, however named, that maintains or operates to provide room, board, and personal or health care to four or more aged, infirm, or disabled adults who aren't related to the licensee [1]. The "four or more" threshold is one of the most important numbers in the whole regulation. Homes serving three or fewer unrelated adults generally fall outside ALF licensing in many states, though Virginia's specific carve-outs and exemptions (for example, certain adult foster care arrangements) should be confirmed directly with VDSS before you assume you're exempt. Getting this number wrong is one of the most common and costly mistakes new operators make, because it can mean operating illegally for months without knowing it. ALFs in Virginia must maintain a current license displayed at the facility, follow admission and retention standards tied to each resident's assessed care level, and undergo the Uniform Assessment Instrument (UAI) process to determine what level of care a resident needs before and during their stay [1].

Virginia assisted living at a glance Key regulatory and coverage facts for ALF operators 4 Minimum unrelated residents… trigger ALF licensing 2 Care levels defined under 22VAC40-73 1 Licensing agency for ALFs Source: Virginia Dept. of Social Services, 22VAC40-73; Medicare.gov

What is assisted living vs nursing home in Virginia?

Licensing agencyVirginia Dept. of Social Services (VDSS) [1]Virginia Department of Health
Care levelHelp with ADLs, supervision, medication management24-hour skilled nursing, medical treatment
StaffingDirect care staff, medication aidesRNs, LPNs, CNAs on all shifts
Typical residentNeeds help with 2+ ADLs but is medically stableNeeds ongoing medical/nursing care
Medicare coverageGenerally does not cover room and boardCovers up to 100 days post-hospital under specific conditions [2]The practical upshot for operators: if your business model includes residents with unstable medical conditions, ventilators, wound care beyond basic first aid, or IV therapy, you're likely looking at nursing home licensure, not ALF licensure. Mixing those populations without the right license is a fast way to draw a licensing complaint.

The core difference is the level of medical care provided and which agency licenses the building. Assisted living facilities in Virginia are licensed by VDSS and provide custodial care, help with ADLs, medication oversight, and supervision, but they are not equipped or licensed to provide ongoing skilled nursing care [1]. Nursing homes (called nursing facilities) are licensed by the Virginia Department of Health under a separate, more medically intensive regulatory framework and are staffed to provide 24-hour skilled nursing care, rehabilitation services, and treatment for complex medical conditions. Here's a side-by-side for quick reference: | Feature | Assisted Living Facility (ALF) | Nursing Home |

What does assisted living provide day to day?

Under 22VAC40-73, a licensed ALF must provide, at minimum, three meals a day plus snacks, help with activities of daily living based on each resident's individualized service plan, medication administration or management (depending on staff qualifications), housekeeping, laundry, and 24-hour staff supervision appropriate to the needs of residents [1]. Facilities must also develop an individualized service plan (ISP) for every resident within a specified timeframe of admission, spelling out exactly what care and services that person needs. Other required elements include emergency preparedness plans, staff training in first aid and CPR, background checks on employees, and a resident agreement that spells out costs, services, and discharge criteria in writing. Facilities offering Assisted Living Care (the higher acuity tier) need additional staffing coverage and often a licensed healthcare professional involved in oversight, compared to facilities that only offer Residential Living Care. One thing new operators underestimate: the paperwork burden of the ISP and UAI process. These aren't one-time forms. They get reassessed periodically and any time a resident's condition changes significantly, and inspectors will check that your documented care matches what's actually happening on the floor.

How do you start a group home or assisted living facility in Virginia?

Starting a licensed assisted living facility in Virginia generally follows a sequence: confirm your target population and licensing category, secure a property that meets zoning and building code requirements, submit a license application to VDSS, pass a life safety/fire inspection, complete required staff training and background checks, and pass a pre-licensure inspection before residents move in. A rough step-by-step: 1. Contact VDSS licensing to confirm whether your model fits ALF licensing or another category (DBHDS, adult foster care, etc.), and request the current application packet [1]. 2. Check local zoning. Group homes and ALFs often need a special use permit or conditional zoning approval, and this varies by county and city, so confirm with your local zoning office early, before you lease or buy. 3. Draft your policy and procedure manual covering admission/discharge criteria, medication management, emergency preparedness, staff training, and resident rights, since VDSS reviews these as part of licensing. 4. Submit your license application with the required fee (fee amounts change periodically, so confirm the current fee schedule directly with VDSS rather than relying on older published numbers). 5. Complete facility inspections, including fire marshal sign-off and health/safety inspection. 6. Hire and train staff, including required orientation hours and any medication aide certification needed for your care level. 7. Pass your initial licensing inspection and receive your license before admitting your first resident. This is the part of the process where a lot of promising operators stall out, not because the care model is wrong but because the paperwork sequence gets out of order. Building your admission agreements, staffing plan, and policy manual before you've even signed a lease saves real time later. This is exactly the gap a licensing kit is built to close: a structured $299 one-time packet of editable policy templates, staffing plan frameworks, and application checklists, so you're not starting your manual from a blank page the week before your VDSS inspection.

What is the difference between assisted living and nursing home care, financially and legally?

Financially, assisted living in Virginia is almost always private-pay or Medicaid waiver funded, and it's billed more like housing plus a service fee, not medical care. Nursing home stays, by contrast, are billed as medical care and can be covered by Medicare for a limited period following a qualifying hospital stay [2]. Legally, ALFs operate under a resident agreement (a contract), while nursing home admission is treated much more like a healthcare admission with clinical orders and physician oversight built into daily operations. Another legal distinction: discharge rights and appeal processes differ. Assisted living discharge disputes in Virginia are handled through VDSS complaint and appeal channels tied to 22VAC40-73's discharge and resident rights provisions [1]. For an operator, this distinction shapes your entire compliance posture. If you're licensed only as an ALF and you accidentally start providing nursing-home-level services (like managing complex wound care or IV medications regularly) without the license or staffing to match, you're exposed to a licensing violation, more than a reimbursement problem.

Does Medicare cover assisted living facilities in Virginia?

No. Medicare does not cover the cost of room, board, or personal care services in an assisted living facility. Medicare.gov states plainly that Medicare "doesn't cover long-term care (also called custodial care)" if that's the only care you need, and assisted living falls squarely into that custodial care category [2]. What Medicare will sometimes cover is short-term, medically necessary services delivered inside an assisted living facility, like a nurse visit through a Medicare-certified home health agency, physical therapy ordered by a physician, or durable medical equipment. But none of that pays for the facility's monthly rate itself. Medicaid is a different story. Virginia offers Medicaid coverage for certain assisted living services through its home and community-based services waiver programs, administered by the Department of Medical Assistance Services (DMAS), but eligibility is income and asset limited, and it typically covers the care/service component, not the full room-and-board charge, which residents or their families often still have to cover separately. If Medicaid funding is central to your business model, get the current waiver rules and provider enrollment requirements directly from DMAS before you build your financial projections around it.

How much does assisted living cost in Virginia?

There's no single official statewide rate because Virginia ALFs are private-pay businesses that set their own rates, and rates vary widely by region, care level, and amenities. Genworth's long-running Cost of Care Survey, one of the most widely cited industry sources for long-term care pricing, has historically put the median monthly assisted living cost in Virginia in the range of roughly $4,500 to $5,500, though this figure moves year to year and by region within the state, and you should check the most current survey release rather than relying on any single year's number. What operators need to understand is that cost isn't just the sticker price for residents, it's also the compliance cost baked into your rate structure: staffing ratios required for your licensed care level, the physical plant standards (fire suppression, egress width, private vs. shared rooms), and the administrative overhead of maintaining ISPs, UAIs, and staff training records for every resident. If you're building a pro forma for a new facility, budget conservatively for licensing fees (confirm current amounts with VDSS), fire marshal inspection costs, staff training and certification costs, and the ongoing cost of your medication management and dietary programs. These get inspected regularly, and cutting corners here is the fastest way to draw a corrective action plan.

What are the staffing requirements for a Virginia ALF?

Virginia's regulation ties staffing levels to the care level residents are assessed at, not a flat headcount. Facilities providing Assisted Living Care (the higher acuity tier) must have direct care staff awake and on duty 24 hours a day, and staffing ratios must be sufficient to meet residents' individualized service plans [1]. Facilities offering only Residential Living Care have somewhat more flexibility but still must maintain supervision adequate to resident needs at all times. All direct care staff need documented orientation and ongoing training, including topics like infection control, resident rights, emergency procedures, and recognizing signs of abuse or neglect. Medication aides who administer medications must meet Virginia's registered medication aide training and certification requirements before they can pass meds, and administrators typically need to hold or be working toward an assisted living facility administrator license through the Virginia Board of Long-Term Care Administrators. Inspectors check staffing schedules against actual sign-in sheets during surveys. A paper staffing plan that doesn't match reality is one of the more common citations operators receive.

What should operators know about inspections and ongoing compliance?

VDSS conducts licensing inspections both before initial licensure and periodically afterward, plus complaint-driven inspections whenever someone reports a concern. Inspectors review resident records, staff files, medication logs, physical plant conditions, and emergency preparedness plans against the standards in 22VAC40-73 [1]. Common citation areas nationally, and Virginia is no exception, tend to cluster around incomplete or outdated individualized service plans, medication administration record errors, staff training documentation gaps, and fire/life safety issues like blocked exits or expired extinguisher inspections. None of these are exotic problems. They're the boring, procedural stuff that gets missed when an operator is focused on move-ins and marketing instead of the compliance calendar. A practical habit: run your own mock inspection on a quarterly basis using the same checklist categories VDSS uses, and fix what you find before an inspector does. Facilities that treat compliance as a continuous process, not an annual scramble, consistently have fewer findings and smoother renewal cycles.

Frequently asked questions

What is assisted living?

Assisted living is a licensed category of residential care for adults who need help with daily activities like bathing, dressing, or medication management, but don't require the intensive skilled nursing care of a hospital or nursing home. In Virginia, these homes are licensed as assisted living facilities (ALFs) by the Virginia Department of Social Services under 22VAC40-73 [1].

What is a group home?

A group home is a small residential setting, often for people with intellectual/developmental disabilities, mental illness, or recovery needs, providing housing plus support services. In Virginia, group homes serving IDD populations are often licensed through DBHDS rather than VDSS, depending on funding source and services provided, so confirm with your state licensing agency which category applies.

What is an assisted living facility?

An assisted living facility (ALF) is a state-licensed residence providing room, board, and personal or health care to four or more unrelated aged, infirm, or disabled adults. Virginia defines and regulates ALFs under 22VAC40-73, requiring individualized service plans, staff training, and periodic inspections by the Virginia Department of Social Services [1].

What is assisted living facility?

It's the formal licensing category for a residential care home serving four or more unrelated adults who need help with daily living activities but not full-time skilled nursing. Virginia licenses these under regulation 22VAC40-73, distinguishing between Residential Living Care and Assisted Living Care based on each resident's assessed needs [1].

What is assisted living vs nursing home?

Assisted living provides custodial care and supervision for adults who are medically stable but need help with daily tasks; it's licensed in Virginia by VDSS. Nursing homes provide 24-hour skilled nursing and medical treatment for more medically complex residents and are licensed by the Virginia Department of Health, a separate, more clinically intensive framework.

What does assisted living provide?

Virginia ALFs must provide meals, help with activities of daily living, medication management, housekeeping, laundry, and 24-hour supervision matched to each resident's individualized service plan, per 22VAC40-73 [1]. Exact services vary by whether the resident is assessed for Residential Living Care or the higher-acuity Assisted Living Care tier.

How do I start a group home?

Confirm which agency licenses your model (VDSS for ALFs, DBHDS for many IDD group homes), check local zoning requirements, build your policy and staffing manuals, submit your license application, pass fire and health inspections, train and background-check staff, then pass your pre-licensure inspection before admitting residents. Timelines and fees vary, so confirm specifics with your state agency.

How do I start a group home in Virginia specifically?

Start by contacting VDSS to confirm ALF licensing applies to your model, then check local zoning for special use permit requirements, secure a compliant property, write your admission/discharge and staffing policies, submit your application and required fee, and complete fire marshal and VDSS pre-licensure inspections before any resident moves in.

What is the difference between assisted living and nursing home care?

Assisted living covers custodial help with daily activities for medically stable adults; nursing homes provide ongoing skilled nursing and medical treatment for residents with more complex health needs. They're licensed by different Virginia agencies (VDSS vs. Virginia Department of Health) and have different Medicare/Medicaid coverage rules attached to them [1][2].

Does Medicare cover assisted living facilities?

No. Medicare does not cover room, board, or custodial care in assisted living facilities. Medicare.gov confirms Medicare doesn't cover long-term custodial care if that's the only care needed [2]. Medicare may cover short-term medical services delivered inside an ALF, like physician-ordered home health visits, but not the facility's monthly rate.

Does Medicaid pay for assisted living in Virginia?

Virginia Medicaid can help cover certain assisted living service costs for eligible low-income residents through home and community-based waiver programs administered by the Department of Medical Assistance Services, but it typically covers care services rather than the full room-and-board rate, and eligibility rules apply.

How much does an assisted living license cost in Virginia?

License fees change periodically and vary by facility size and category, so there is no fixed number safe to publish here. Confirm the current fee schedule directly with the Virginia Department of Social Services before budgeting, since relying on an outdated figure is a common and avoidable planning mistake.

Can a small home with 3 residents operate as assisted living in Virginia?

Virginia's ALF definition applies to facilities serving four or more unrelated aged, infirm, or disabled adults [1]. Homes with three or fewer residents may fall outside ALF licensing depending on the arrangement, but exemptions and adult foster care rules vary, so confirm your specific situation with VDSS before assuming you're exempt.

Sources

  1. Virginia Department of Social Services, 22VAC40-73 Standards for Licensed Assisted Living Facilities: Definition, care levels, staffing, and service plan requirements for Virginia ALFs
  2. Medicare.gov, Long-term care coverage: Medicare does not cover custodial/long-term care such as assisted living room and board
  3. Code of Federal Regulations, 42 CFR 409.30, Requirements for coverage of post-hospital SNF care: Medicare's limited skilled nursing facility coverage rules following a qualifying hospital stay
  4. 42 CFR 441.301, Home and Community-Based Services waiver requirements: Federal rules governing Medicaid home and community-based services waivers that states like Virginia use to cover assisted living services
  5. Genworth Cost of Care Survey: Widely cited industry survey used to estimate median monthly assisted living costs by state

Disclaimer: GroupHomePath is an independent information publisher. We are not a law firm, licensing consultant, or government agency, and nothing here is legal advice. Licensing requirements change and vary by state and county; always confirm with your state licensing agency before acting. We make no promises about license approval, timelines, income, or business results.

GroupHomePath Editorial Team

GroupHomePath provides expert guidance and tools to help you succeed. Our content is reviewed for accuracy and kept up to date.

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