Last updated 2026-07-25

TL;DR
starting a group home in pa means picking a population (IDD, mental health, older adult), choosing the right dhs license type, meeting building and staffing rules under 55 pa code, passing a pre-licensure inspection, and lining up funding (private pay, medicaid waiver, or SSI). expect several months of paperwork before your first resident moves in.
what is a group home
A group home is a licensed residential setting where a small number of unrelated people, usually adults with disabilities, mental illness, or older adults who need help with daily living, live together with paid staff support. It's not a hospital and it's not someone's private home with a boarder. In Pennsylvania the term covers several distinct license types depending on who lives there: community homes for people with an intellectual disability or autism, licensed under 55 Pa. Code Chapter 6400 [1], and personal care homes or assisted living residences for older adults and adults with other support needs, licensed under 55 Pa. Code Chapters 2600 and 2800 [2]. The legal definition matters because it drives everything else: which agency inspects you, what staffing ratios apply, and what funding streams you can bill. A lot of first-time operators use "group home" as a catch-all term, then get surprised when the Department of Human Services (DHS) tells them their building plan fits a different chapter than they assumed. Nail down the population first. Everything downstream, the application, the zoning fight, the fire marshal walkthrough, follows from that one decision. For a broader look at how this compares across settings, see assisted living facility and assisted living facilities.
what is assisted living
Assisted living is a residential care model for adults, usually older adults, who need help with things like bathing, medication reminders, or meals but don't need the round-the-clock medical monitoring of a nursing home. In Pennsylvania, the license for this specific model is called an Assisted Living Residence (ALR), created under Act 56 of 2007 and regulated under 55 Pa. Code Chapter 2800 [2]. An ALR in Pennsylvania is allowed to offer a higher level of service than a personal care home, including some limited nursing oversight and the ability to let residents "age in place" longer before requiring a nursing home transfer. Not every group home is an assisted living residence. If your target population is older adults who mostly need supervision and help with activities of daily living, ALR or personal care home licensure (Chapter 2600) is probably your lane, not the Chapter 6400 community home license built for intellectual disability and autism services [1][2]. See also assisted living and assisted-living-at-home for how the model compares to in-home care.
what is an assisted living facility (and how is it different from a personal care home)
An assisted living facility, called an Assisted Living Residence in Pennsylvania's statute, is a state-licensed building where residents get housing, meals, personal care, and (in ALRs specifically) a defined scope of nursing services, all under one roof with 24-hour staff availability. A personal care home is an older, more limited license type that predates the ALR category and generally can't offer the same level of nursing-adjacent care. The practical differences: ALRs must meet physical plant standards that support aging in place (things like accessible bathrooms and specific unit configurations) and must have a licensed nurse involved in resident assessments, per 55 Pa. Code § 2800.113 [2]. Personal care homes under Chapter 2600 have lighter staffing and building requirements but also can't legally keep residents whose care needs exceed what a PCH is allowed to provide [3]. If you're comparing the two licenses side by side before you commit to a building, that comparison belongs on our assisted living facilities page, which walks through the tradeoffs state by state.
how to start a group home in pa (the actual steps)
Here's the sequence DHS licensing staff and long-time operators generally follow. It is not fast, and skipping steps to save time almost always costs more time later. 1. Pick your population and license type. Decide between a Chapter 6400 community home (intellectual disability/autism), a Chapter 2600 personal care home, a Chapter 2800 assisted living residence, or a mental health/drug and alcohol residential license under a different DHS office. Each has its own regulation chapter and its own application unit [1][2][3]. 2. Form your business entity and get your EIN. Most operators use an LLC or nonprofit corporation. This is also when you start your policy and procedure manual (intake, medication administration, behavior support, emergency plans), because DHS will ask for these documents before they'll schedule an inspection. 3. Secure a property and confirm zoning. Group homes for people with disabilities are generally protected under the federal Fair Housing Act as a residential use in residential zones, meaning municipalities can't treat a small group home like a commercial use just because it houses disabled residents [4]. Still, confirm with your local zoning office in writing before you sign a lease. See our zoning-and-property coverage for how this plays out county to county. 4. Submit your license application to the correct DHS regional office. You'll need floor plans, fire safety documentation, staffing plans, criminal background clearances (PA State Police, FBI, and Child Abuse History clearance where applicable), and proof of the required liability insurance. 5. Pass your pre-licensure inspection. A DHS licensing representative and, depending on the chapter, a fire safety inspector will walk the physical space before you can accept your first resident. 6. Get your provisional or full license and start intake. Most new operators get a provisional license first, valid for a shorter period, before DHS issues a regular license after a follow-up inspection shows sustained compliance [1]. Realistically, from "I found a building" to "I have my license in hand," plan on several months, not weeks. Rushing the paperwork stage is the single biggest reason first-time applications get sent back.
what does assisted living provide
Assisted living in Pennsylvania is built around a specific list of core services set out in regulation: housing, meals, help with activities of daily living (bathing, dressing, toileting, mobility), medication administration or reminders, social and recreational activities, and 24-hour staff availability to respond to needs [2]. ALRs specifically must also provide a resident assessment done by a licensed nurse before or at admission and periodically afterward, per 55 Pa. Code § 2800.113, to confirm the resident's needs still fit within what the ALR is licensed to provide [2]. If a resident's needs exceed the ALR's scope (heavy skilled nursing needs, for example), the regulation requires the facility to help arrange a transfer to a more appropriate setting rather than keep the resident past what the license allows. What assisted living does not provide, by design, is hospital-level or skilled nursing-level care. That's the dividing line covered in the next section.
what is the difference between assisted living and nursing home
| Licensing agency | PA Department of Human Services (55 Pa. Code Ch. 2800) | PA Department of Health | |
|---|---|---|---|
| Staffing | Direct care staff plus periodic licensed nurse involvement | Licensed nurses on duty 24/7, physician oversight | |
| Level of medical care | Help with ADLs, medication administration, limited nursing tasks | Skilled nursing, wound care, IV therapy, rehab services | |
| Typical resident | Needs help with daily living, generally stable medically | Needs ongoing skilled medical or rehab care | |
| Medicare coverage | Not covered as a room-and-board benefit | Short-term skilled stays can be covered under specific conditions | Nursing homes are also certified to bill Medicare and Medicaid for skilled care under federal nursing home requirements in 42 CFR Part 483 [6]. Assisted living residences generally are not Medicare-certified facilities, which brings us to the next question people ask constantly. |
The core difference is medical intensity and staffing. Assisted living residences and personal care homes are licensed by DHS as residential settings with supportive care; nursing homes (skilled nursing facilities) are licensed as health care facilities by the Pennsylvania Department of Health and must have licensed nurses on site around the clock providing skilled medical care [5]. | Feature | Assisted Living Residence (PA) | Nursing Home (SNF) |
does medicare cover assisted living facilities
No, not as a rule. Medicare does not pay for the room and board costs of assisted living, personal care homes, or most group home settings. CMS is explicit about this: Medicare Part A covers a limited number of days in a skilled nursing facility following a qualifying hospital stay, but it does not cover long-term custodial or personal care in a residential setting [7]. Medicare will sometimes pay for specific medical services a resident receives while living in assisted living, like physician visits, physical therapy, or durable medical equipment, because those are billed under Medicare Part B regardless of where the person lives. It just won't touch the facility's monthly rate for housing, meals, and personal care staff. Medicaid is a different story and it's the funding source most group home and assisted living operators actually plan around. Pennsylvania's Medicaid program can pay for personal care and residential habilitation through Home and Community-Based Services (HCBS) waivers, and some states allow Medicaid to cover a portion of assisted living-type services through those waivers, though it varies by waiver and by state [8]. If you're building a funding model, don't assume Medicare dollars; build around private pay, SSI/state supplemental payments, and Medicaid waiver billing, and check current waiver rules directly with the Office of Long-Term Living or the applicable DHS waiver office before you finalize a pro forma.
what licenses, staffing, and building requirements does pa require
Requirements differ sharply by license chapter, so treat the numbers below as a starting map, not a substitute for reading the actual regulation for your chapter. For Chapter 6400 community homes (intellectual disability/autism), DHS requires specific staff-to-resident ratios based on the assessed needs of residents, criminal history and child abuse clearances for all staff, initial and annual staff training hours, and a physical plant that meets specific space-per-resident and life safety code standards [1]. For Chapter 2800 assisted living residences, regulation requires a licensed administrator, a designated "direct care staff person" awake and on duty at all times, a nurse involved in resident assessments, and building features that support aging in place, like accessible units and call systems [2]. For Chapter 2600 personal care homes, staffing and building rules are somewhat lighter, but DHS still requires background clearances, minimum staffing during waking and sleeping hours, and specific fire safety and evacuation capability documentation [3]. Across every chapter, expect these recurring requirements:
- PA State Police and FBI criminal history clearances for owners, staff, and some contractors
- Child Abuse History Clearance where residents include minors or where staff have unsupervised contact with vulnerable populations
- A written policy and procedure manual covering intake, discharge, medication administration, behavior support or de-escalation, abuse reporting, and emergency evacuation
- Liability insurance meeting minimums set in your license application packet
- An annual, unannounced inspection cycle once you're operating, covered in more depth on our inspections hub
how do i budget and plan for zoning before i apply
Zoning fights kill more group home projects than DHS paperwork does, and they're avoidable if you do the homework early. Under the federal Fair Housing Act, municipalities generally can't use zoning to exclude group homes for people with disabilities from residential neighborhoods, and courts have repeatedly found that treating a small group home differently from a similarly sized family household violates the Act [4]. That legal protection doesn't mean zoning boards will roll over. Many still require a use permit, occupancy limit review, or parking variance, especially for larger homes (eight or more residents) that start to look more like a commercial operation to local officials. Before you sign a lease or purchase agreement: - Call the municipal zoning office and ask directly whether your intended use is permitted by right, by special exception, or requires a variance
- Get the answer in writing, even if it's just an email
- Ask about occupancy caps tied to the building code, more than the zoning code, since fire code often sets the real ceiling on resident count
- Budget for a local hearing timeline of 60 to 120 days if a variance or special exception is required, on top of your DHS licensing timeline See zoning-and-property for a deeper walkthrough of how this plays out by state and by home size.
how do i start a group home if i'm starting from scratch with no experience
Start with the population, not the building. Pick who you're licensed and personally qualified to serve (many DHS applications ask about your direct care or administrative experience with that specific population), then work backward to the license chapter, the building, and the funding model. A realistic first-timer sequence looks like this: research the license chapter that fits your population, talk to your DHS regional licensing office before you spend money on a property, get your policy manual drafted (this is where a lot of first applications stall, because DHS wants specifics, not boilerplate), confirm zoning in writing, then submit your application with floor plans and staffing plans attached. Budget realistically for startup costs: property or lease costs, renovation to meet fire and life-safety code, insurance premiums, background clearance fees (typically in the range of $22 to $27 per PA State Police criminal record check as of recent published fee schedules, confirm current fee with the PA State Police ), staff training, and several months of payroll before your first resident admission generates revenue. Confirm current license application fees directly with DHS, since they vary by chapter and change periodically. This is also the stage where a lot of operators get buried in redundant paperwork: the same background clearance form, the same emergency plan template, requested slightly differently by DHS, by the fire marshal, and by your insurer. A prebuilt document set, like our $299 licensing kit, can save real time here because it maps the required forms to each PA license chapter instead of making you reverse-engineer them from three different regulation PDFs. It doesn't replace talking to your DHS licensing rep, but it gets your paperwork organized before that first call.
what happens during the pa licensing inspection
Before DHS issues your license, a licensing representative inspects the physical building and your records, and depending on your license chapter, a fire safety inspection is also required, either by DHS staff or the local fire marshal's office. Inspectors check things like: exit signage and unobstructed egress routes, smoke detectors and, in some chapters, sprinkler requirements, resident bedroom square footage minimums, accessible bathroom fixtures, posted evacuation plans, staff clearance documentation on file, and medication storage and administration logs if you're already operating under a provisional license. Fail an item and you don't automatically lose your application, you get a citation and a timeline to correct it before the license is issued or renewed. This is standard, not a red flag, and it's covered in detail on our inspections hub, which walks through common citation categories and how operators typically resolve them.
where do i find the actual pa regulations and application forms
Go straight to the source rather than relying on summaries, including this one. The Department of Human Services publishes the regulation chapters and licensing contacts by program office: - 55 Pa. Code Chapter 6400 (community homes for individuals with an intellectual disability or autism) [1]
- 55 Pa. Code Chapter 2800 (assisted living residences) [2]
- 55 Pa. Code Chapter 2600 (personal care homes) [3] Each chapter's full text is published through the Pennsylvania Code online, and DHS's Office of Developmental Programs and Office of Long-Term Living both maintain licensing contact information for their respective program areas. Call before you apply. Licensing staff would rather answer your questions up front than reject an incomplete application six weeks from now.
Frequently asked questions
what is assisted living
Assisted living is residential care for adults who need help with daily activities like bathing, dressing, or medication but don't need full-time skilled nursing care. In Pennsylvania it's a specific license type, the Assisted Living Residence, created under Act 56 of 2007 and regulated under 55 Pa. Code Chapter 2800, distinct from personal care homes and nursing homes.
what is a group home
A group home is a licensed residential setting where a small group of unrelated people, often adults with disabilities or older adults, live together with paid staff support. In Pennsylvania the specific rules depend on the population served: 55 Pa. Code Chapter 6400 covers homes for people with intellectual disabilities or autism, while Chapters 2600 and 2800 cover personal care and assisted living.
what is an assisted living facility
An assisted living facility is a licensed building providing housing, meals, personal care assistance, and limited nursing oversight for residents who need support but not hospital-level care. Pennsylvania calls this an Assisted Living Residence and licenses it under 55 Pa. Code Chapter 2800, with specific rules for resident assessments and aging-in-place accommodations.
what is assisted living facility
It's the physical, licensed building where assisted living services are delivered: private or semi-private units, common dining and activity spaces, and staff on duty 24 hours a day. In Pennsylvania, this license is called an Assisted Living Residence and is separate from a personal care home license, even though both serve similar populations.
what is assisted living vs nursing home
Assisted living provides help with daily living activities in a residential setting with limited nursing involvement; a nursing home provides 24/7 skilled nursing and medical care for residents with more intensive health needs. Nursing homes in Pennsylvania are licensed by the Department of Health, while assisted living residences are licensed by the Department of Human Services.
what does assisted living provide
Pennsylvania regulation requires assisted living residences to provide housing, meals, help with activities of daily living, medication administration, social activities, 24-hour staff availability, and periodic nursing assessments of each resident's care needs under 55 Pa. Code § 2800.113. It does not provide hospital-level or ongoing skilled nursing care.
how to start a group home
Pick the population you'll serve, identify the correct Pennsylvania DHS license chapter for that population, form your business entity, confirm zoning in writing, draft your required policy manual, secure a compliant building, and submit your license application with staffing and floor plans attached. Expect a multi-month process before your pre-licensure inspection and first admission.
what is the difference between assisted living and nursing home
The main difference is medical staffing intensity: assisted living residences have direct care staff and periodic nurse involvement, while nursing homes have licensed nurses on duty around the clock and provide skilled medical care like wound care and IV therapy. They're licensed by different Pennsylvania state agencies as a result.
does medicare cover assisted living facilities
No. Medicare does not cover the room, board, or personal care costs of assisted living, per CMS guidance on skilled nursing facility coverage limits. Medicare Part B can cover specific medical services a resident receives, like doctor visits or physical therapy, but not the facility's monthly residential rate.
how do i start a group home
Start by choosing your population and matching license chapter (55 Pa. Code Chapter 6400, 2600, or 2800), then work through zoning confirmation, policy manual development, background clearances, building compliance, and DHS application submission in that order. Contact your DHS regional licensing office early, before you commit to a property.
how much does it cost to start a group home in pa
Costs vary widely by license type, home size, and whether you lease or renovate a property, and DHS does not publish a single startup cost figure. Budget for property or lease costs, life-safety renovations, insurance, staff background clearances (roughly $22 to $27 per PA State Police check, confirm current fee with the PA State Police), and several months of payroll before revenue starts.
do group homes need to be medicaid certified in pennsylvania
Not automatically. DHS licensing (the legal right to operate) is separate from Medicaid provider enrollment (the ability to bill Medicaid for services). Many operators pursue both, but you can hold a valid DHS license and choose to serve only private-pay residents, or pursue Medicaid waiver enrollment separately through the applicable DHS or Office of Long-Term Living waiver program.
can a municipality block a group home through zoning in pennsylvania
Generally no, not solely because it's a group home for people with disabilities. The federal Fair Housing Act prohibits municipalities from treating group homes differently than similarly sized family households in residential zones, though local governments can still apply generally applicable occupancy, parking, and building code rules.
Sources
- Pennsylvania Code, Title 55, Chapter 6400: Community homes for individuals with intellectual disability or autism are licensed under 55 Pa. Code Chapter 6400
- Pennsylvania Code, Title 55, Chapter 2800: Assisted living residences are licensed under 55 Pa. Code Chapter 2800, including resident assessment requirements under 2800.113
- Pennsylvania Code, Title 55, Chapter 2600: Personal care homes are licensed under 55 Pa. Code Chapter 2600 with distinct staffing and building requirements
- Pennsylvania Department of Health, Long Term Care Nursing Facilities: Nursing homes in Pennsylvania are licensed by the Department of Health, distinct from DHS-licensed residential settings
- Code of Federal Regulations, 42 CFR Part 483: Federal requirements for skilled nursing facilities participating in Medicare and Medicaid are set out in 42 CFR Part 483
- Medicare.gov, Nursing Home Care coverage: Medicare covers a limited number of skilled nursing facility days following a qualifying hospital stay but does not cover long-term custodial or assisted living care
- Medicaid.gov, Home & Community-Based Services: Medicaid can fund personal care and residential habilitation services through Home and Community-Based Services waivers
- Pennsylvania State Police, Access to PATCH criminal history fee schedule: PA State Police criminal history background check fees are published and apply to required staff clearances