Last updated 2026-07-25
TL;DR
To start a group home in Dallas, you pick a license type through Texas HHSC (assisted living, HCSSA, or IDD group home), confirm City of Dallas zoning allows the use in a residential district, staff to the applicable ratio rules, pass a pre-licensing inspection, and file HHSC Form 3720 or the relevant application before you take a single resident.
what is a group home
A group home is a small residential setting, usually a single house, where a handful of unrelated people with disabilities, mental illness, or age-related needs live together and get support with daily activities. In Texas, the term isn't one single license. Depending on who you serve, you're actually applying for an Assisted Living Facility license, a Home and Community Support Services Agency (HCSSA) license, or an Intellectual and Developmental Disability (IDD) group home license through the Texas Health and Human Services Commission (HHSC). That distinction matters more than almost anything else in this process. A group home for seniors who need help bathing and taking medication is regulated completely differently than a group home for adults with IDD funded through a Medicaid waiver, which is again different from a recovery residence for people leaving addiction treatment. Texas doesn't license standalone "sober living homes" the way it licenses ALFs, so if your population is substance use recovery without medical care, you may fall outside HHSC's regulatory net entirely, though local zoning and fair housing rules still apply. Before you sign a lease or make an offer on a Dallas property, nail down exactly which population you're serving and which HHSC license type actually covers that population. Calling HHSC's Long Term Care Regulatory intake line and describing your model in plain language is the fastest way to get pointed at the right chapter of the Texas Administrative Code [1].
what is assisted living
Assisted living in Texas is a licensed residential service for people who need help with daily living activities (bathing, dressing, medication management) but don't need the round-the-clock skilled nursing care of a nursing home. Texas licenses these under 26 Tex. Admin. Code Chapter 553, which defines an assisted living facility as an establishment providing "personal care services, medication administration, and other supportive services" to four or more residents who are not related to the facility owner [2]. HHSC categorizes assisted living facilities into types based on resident capacity and level of care, from small Type A homes (residents who are physically and mentally capable of evacuating without help) to Type B and Type C facilities that serve people needing more physical assistance during an emergency. The type you choose drives your staffing ratios, your fire and life-safety requirements, and your building code obligations, so this is not a checkbox to fill in later. It shapes which building you can legally buy or lease in Dallas.
what is a group home vs what is an assisted living facility
"Group home" is the everyday term operators and families use. "Assisted living facility" is the specific legal category HHSC regulates under Chapter 553. In practice, most small Dallas-area group homes serving seniors are licensed as Type A or Type B assisted living facilities, while group homes serving adults with intellectual or developmental disabilities are licensed separately as HCS (Home and Community-based Services) provider group homes under 26 Tex. Admin. Code Chapter 565 [3]. If your model is a single house with three to eight beds, personal care staff around the clock, and no skilled nursing, you're almost certainly looking at either an ALF license or an IDD group home license, not a nursing facility license. Getting this label right early saves you from redoing your floor plan, staffing plan, and policy manual later. If you want a side-by-side on how Texas licensing compares to other states, see our assisted living overview and assisted living facility breakdown.
what is assisted living vs nursing home (and what's the actual difference)
| Regulation | 26 TAC Chapter 553 | 26 TAC Chapter 554 | |
|---|---|---|---|
| Medical care level | Personal care, medication admin | Skilled nursing, 24-hr RN | |
| Typical resident | Needs help with ADLs, mobile or semi-mobile | Needs ongoing medical/nursing care | |
| Medicaid pathway | STAR+PLUS waiver in some cases | Medicaid nursing facility benefit | |
| License authority | Texas HHSC | Texas HHSC | If you're planning a Dallas group home and your prospective residents need IV therapy, wound care, or daily skilled nursing intervention, you're building a nursing facility, not a group home, and that's a far bigger capital and staffing commitment. |
Assisted living and nursing homes both provide residential care, but the level of medical care and the regulatory framework differ sharply. Assisted living facilities in Texas provide personal care and supervision; they are not required to have a registered nurse on-site around the clock and cannot admit residents whose needs exceed what's allowed under their facility type [2]. Nursing homes (called "nursing facilities" in Texas) are licensed under 26 Tex. Admin. Code Chapter 554 and must provide 24-hour skilled nursing care, meet federal Medicare/Medicaid conditions of participation, and staff registered nurses on-site [4]. | Feature | Assisted Living Facility (ALF) | Nursing Facility |
what does assisted living provide
Assisted living in Texas is required to provide, at minimum, three meals a day plus snacks, help with activities of daily living, medication oversight, housekeeping, laundry, social and recreational activities, and 24-hour staff availability to respond to resident needs [2]. Beyond those baseline requirements, individual facilities differentiate on things like private versus shared rooms, dementia-specific programming, transportation to medical appointments, and staff-to-resident ratios above the state minimum. HHSC's licensing rules specify that Type A facilities may serve residents who need only limited assistance and are capable of self-preservation in an emergency, while Type B and Type C facilities can serve residents needing more help with mobility and evacuation, which triggers stricter staffing and physical plant requirements [2]. When you write your policy and procedure manual (HHSC will ask for one as part of licensure), spell out exactly which ADLs your home supports and which conditions would require a resident to move to a higher level of care. Vague policy language is one of the most common reasons applications get sent back for revision.
how to start a group home in dallas, texas: the step-by-step process
Starting a group home in Dallas means clearing three separate approval tracks at roughly the same time: state licensing, city zoning, and local fire/health inspection. Here's the order that actually works, based on how HHSC and the City of Dallas structure their processes. 1. Pick your population and license type. Decide if you're serving seniors (ALF, 26 TAC Ch. 553), adults with IDD (HCS group home, 26 TAC Ch. 565), or another category, and confirm with HHSC Long Term Care Regulatory which chapter applies [1][3]. 2. Check zoning before you sign anything. Dallas Development Code classifies small licensed group care homes (typically defined as facilities serving a small number of unrelated residents) as a permitted or specific-use permit (SUP) use depending on the district and home size; confirm the exact classification and any SUP requirement with the City of Dallas Development Services Department for your specific address [5]. 3. Secure a property that meets both zoning and life-safety code. You need adequate square footage per resident, egress paths, smoke detectors, sprinkler requirements above certain occupant loads, and often a fire marshal walkthrough before HHSC will schedule its own inspection. 4. Form your business entity and get an EIN. Most operators form an LLC in Texas through the Secretary of State before applying for any license, since HHSC licenses are typically issued to a legal business entity, not an individual. 5. Write your policy and procedure manual. HHSC requires documented policies covering admission and discharge criteria, medication management, emergency preparedness, abuse/neglect reporting, staffing plans, and resident rights before it will approve your application [2]. 6. Submit your license application to HHSC. Depending on facility type this is filed through HHSC's Long Term Care Regulatory division with the applicable application form and fee; confirm the current form number and fee schedule with HHSC since these are updated periodically [1]. 7. Pass your pre-licensing survey. An HHSC surveyor inspects the physical building, staff files, resident records (if any residents have moved in under provisional status), and policy compliance before issuing a full license. 8. Hire and train staff to the required ratios, complete background checks through the Texas DPS/FBI fingerprint process, and enroll in any required Employee Misconduct Registry checks before residents move in. Skipping the zoning step is the single most expensive mistake operators make. Buying a house, renovating it, and then discovering the lot isn't zoned for a licensed group care use (or requires a specific-use permit hearing that takes months) can set you back tens of thousands of dollars and half a year.
how do i start a group home if i'm doing it solo, with no team yet
If you're a solo operator with no staff hired and no partner yet, start by getting the paperwork and licensing sequence right before you spend money on real estate. HHSC doesn't require you to have a fully staffed facility before you apply, but you do need a staffing plan on paper that shows how you'll meet ratio requirements once residents move in [2]. Realistically, a solo founder in Dallas should: confirm license type with HHSC, get pre-approval or at least an informal zoning read from City of Dallas Development Services, line up a house that meets both zoning and fire code before closing or signing a lease, and start recruiting a house manager or lead caregiver during the licensing wait (which can run several weeks to a few months depending on application completeness and inspection scheduling). Don't try to be the only caregiver long-term. Texas ALF rules require awake staff coverage overnight in most facility types, and one person can't legally staff a home alone around the clock without violating labor law and burning out inside a month.
zoning and permitting in dallas specifically
Dallas zoning treats small residential care homes differently from larger institutional facilities, and the size of your group home (measured in resident count) is usually the deciding factor in which zoning path you take. Small group homes serving a limited number of unrelated residents with disabilities are generally treated as a residential use under fair housing accommodation principles, while larger facilities may need a specific-use permit (SUP) in certain zoning districts. Before signing a lease or closing on a property, call City of Dallas Development Services and ask specifically: (1) what zoning district covers this address, (2) whether a licensed group care home of your resident capacity is permitted by right or requires an SUP in that district, and (3) what the SUP application timeline and cost look like if one is needed [5]. SUP hearings go through the Dallas City Plan Commission and City Council, and that process alone can take several months, so build that into your opening timeline rather than assuming a quick approval. Parking requirements, occupancy limits tied to the Dallas Fire Code, and required setbacks also vary by district, so get this in writing from the city rather than relying on what worked for someone else's house in a different neighborhood. For general background on how zoning interacts with group home siting nationally, see our assisted living facilities resource.
does medicare cover assisted living facilities
No. Medicare does not cover the cost of room and board or personal care services in an assisted living facility. CMS is explicit that "Medicare doesn't cover long-term care (also called custodial care)" including help with daily living activities like bathing and dressing when that's the only care needed [6]. Medicare will pay for specific medical services a resident receives regardless of where they live (doctor visits, some home health services, durable medical equipment), but the ALF's monthly rent and care fees are the resident's or family's responsibility, or in some cases can be offset through long-term care insurance, veterans' benefits, or a Medicaid waiver program. Texas Medicaid's STAR+PLUS program covers some assisted living-type services for eligible low-income seniors and people with disabilities through a managed care waiver, but that is a Medicaid pathway, not Medicare . If you plan to accept Medicaid waiver residents, budget significant extra time for provider enrollment with your Medicaid managed care organization before you can bill for services.
staffing, training, and background checks in texas
Texas requires ALF staff to complete specific initial and ongoing training hours covering topics like resident rights, emergency preparedness, and abuse/neglect recognition, with exact hour requirements varying by staff role and facility type under 26 TAC Chapter 553 [2]. Administrators of assisted living facilities generally must hold a state-recognized administrator license or complete an HHSC-approved training and testing program before they can run a facility. Every employee with direct resident contact needs a criminal background check through the Texas DPS and a check against the Employee Misconduct Registry and the Nurse Aide Registry where applicable, before they can start unsupervised work with residents. Skipping this step, even for someone you've known for years, can void your license during an inspection. Staffing ratios in Texas ALFs are tied to facility type and resident acuity rather than a single flat number, so your specific ratio requirement should be confirmed directly with HHSC for your facility type (A, B, or C) and licensed capacity [2]. Build your staffing plan with a margin above the legal minimum. Ratios written to the exact legal floor fall apart the first time someone calls in sick.
inspections, fees, and what to budget for licensing paperwork
HHSC charges license application and renewal fees that vary by facility type and bed capacity; confirm the current fee schedule directly on the HHSC Long Term Care Regulatory fee page since these amounts are updated periodically and an outdated number here will throw off your budget [1]. On top of the state fee, budget for a City of Dallas zoning verification or SUP application fee if required, fire marshal inspection fees, and any local business license or certificate of occupancy fee. Plan for a pre-licensing survey where an HHSC surveyor walks the property checking fire extinguishers, exit signage, resident room square footage, kitchen sanitation, medication storage, and documentation. Deficiencies found during this survey usually just require a plan of correction and a follow-up visit rather than an automatic denial, but repeat or serious deficiencies can delay your opening by weeks. Getting your policy manual, staffing plan, and floor plan right before you submit cuts down dramatically on back-and-forth with your HHSC reviewer. This is where a lot of first-time operators either hire a licensing consultant or use a structured document kit; our $299 State Group Home Licensing Kit walks through the Texas-specific application sequence, policy manual templates, and inspection prep checklist so you're not building every document from a blank page.
how long does it take to open a group home in dallas
There's no single fixed timeline HHSC publishes, but a realistic range for a Dallas operator moving efficiently is four to nine months from deciding on a license type to admitting your first resident, and that's assuming no zoning complications. The variables that swing this the most are: whether your property needs an SUP hearing (adds two to four months minimum), whether your building needs sprinkler or fire code retrofits (adds weeks to months depending on contractor availability), and how complete your first HHSC application submission is (incomplete applications get sent back, adding weeks each round). Operators who line up zoning confirmation, a compliant property, and a complete application packet before submitting anything to HHSC consistently move faster than operators who submit early and fix problems as they come up. Confirm current processing timeframes directly with HHSC Long Term Care Regulatory since these shift with staffing and application volume [1].
Frequently asked questions
what is assisted living
Assisted living is a licensed residential care option for people who need help with daily activities like bathing, dressing, and medication management, but don't need 24-hour skilled nursing. In Texas, assisted living facilities are licensed under 26 Tex. Admin. Code Chapter 553 by the Health and Human Services Commission, with facility types (A, B, C) based on the resident's ability to self-evacuate in an emergency.
what is a group home
A group home is a small residential home, typically serving a handful of unrelated residents with disabilities, mental illness, or age-related needs, where staff provide daily support and supervision. It isn't a single legal license category; in Texas it may be licensed as an assisted living facility, an HCS/IDD group home, or fall under a different HHSC program depending on the population served.
what is an assisted living facility
An assisted living facility (ALF) is a licensed establishment providing personal care, medication administration, meals, and supportive services to residents who need help with daily living but not skilled nursing care. Texas defines and regulates ALFs under 26 Tex. Admin. Code Chapter 553, requiring a state license before any facility can operate.
what is assisted living facility care actually like day to day
Day-to-day, residents get help with bathing, dressing, and medication, plus three meals, housekeeping, laundry, and social activities, with staff available 24 hours to respond to needs. The exact services and staffing depend on the facility's licensed type (A, B, or C) under Texas HHSC rules, which reflect how much physical assistance residents need.
what is assisted living vs nursing home
Assisted living provides personal care and supervision for people who can manage most daily activities with some help; nursing homes provide 24-hour skilled nursing care for people with more serious medical needs. In Texas, ALFs are licensed under Chapter 553 and nursing facilities under Chapter 554, with nursing homes required to staff registered nurses around the clock.
what does assisted living provide
At minimum, Texas assisted living facilities must provide three daily meals plus snacks, help with activities of daily living, medication oversight, housekeeping, laundry, social and recreational programming, and 24-hour staff availability. Beyond that baseline, facilities differentiate on private rooms, dementia care programming, and staffing levels above the state minimum ratio.
how to start a group home in Texas
Pick your license type (assisted living, HCS/IDD group home, or another HHSC category) based on who you'll serve, confirm zoning with your city before securing a property, write a compliant policy and procedure manual, submit your HHSC license application, pass the pre-licensing inspection, and staff to the required ratios before admitting residents. Each step has its own timeline and fee, so sequence matters.
what is the difference between assisted living and nursing home
The core difference is medical care level: assisted living residents need help with daily activities but not ongoing skilled nursing, while nursing home residents need 24-hour medical/nursing care. Texas licenses these separately (Chapter 553 for ALFs, Chapter 554 for nursing facilities), and each has different staffing, medical equipment, and Medicaid billing pathways.
does Medicare cover assisted living facilities
No. CMS states Medicare doesn't cover long-term custodial care, including personal care help in an assisted living facility. Medicare may still cover specific medical services (doctor visits, some home health, durable medical equipment) a resident receives while living in an ALF, but not the facility's room, board, or care fees.
how do I start a group home with no experience
Start by calling your state licensing agency (in Texas, HHSC Long Term Care Regulatory) to confirm which license category fits your intended population, then work backward: zoning, property, policy manual, staffing plan, and application. Many first-time operators use a licensing consultant or a structured document kit to avoid costly missteps on policy manuals and staffing plans.
does Dallas require a special zoning permit for a group home
It depends on your facility's resident capacity and the zoning district of your property. Small licensed group care homes are often permitted by right under fair housing accommodation principles, but larger facilities may need a specific-use permit (SUP) requiring City Plan Commission and City Council approval, a process that can take several months. Confirm directly with City of Dallas Development Services before signing a lease.
how much does it cost to license a group home in Texas
Costs vary by facility type, bed capacity, and whether local zoning or fire code work is needed; HHSC publishes its current application and renewal fee schedule directly on its Long Term Care Regulatory site, and that's the number to confirm before budgeting since it changes periodically. On top of the state fee, expect local zoning, fire inspection, and business licensing costs specific to Dallas.
can a group home in Dallas accept Medicaid residents
It depends on the license type and program. IDD group homes often bill through the HCS Medicaid waiver, and some assisted living-type services for seniors are covered through Texas's STAR+PLUS Medicaid managed care waiver, but standard private-pay assisted living is not a Medicare benefit and enrollment with a Medicaid managed care organization is a separate process from HHSC licensing.
Sources
- Texas HHSC, Long Term Care Regulatory: HHSC Long Term Care Regulatory oversees assisted living facility licensing and applications in Texas
- Texas Administrative Code, Title 26, Chapter 553 (Assisted Living Facilities): Definition, facility types (A, B, C), and service/staffing requirements for Texas assisted living facilities
- Texas Administrative Code, Title 26, Chapter 565 (HCS Program): HCS program group homes for individuals with IDD are licensed under a separate chapter from assisted living facilities
- Texas Administrative Code, Title 26, Chapter 554 (Nursing Facility Requirements): Nursing facilities are licensed separately from assisted living facilities and require 24-hour skilled nursing care
- Medicare.gov / CMS, Long-Term Care coverage: Medicare doesn't cover long-term custodial care such as personal care help in assisted living facilities
- Texas HHSC, STAR+PLUS Medicaid Managed Care: Texas STAR+PLUS is a Medicaid managed care waiver program that can cover some assisted living-type services for eligible seniors and people with disabilities