How to Start an ICF Home for Mentally Challenged People

An intermediate care facility (ICF) provides care and housing for mentally challenged individuals. These facilities are Medicare- and Medicaid-certified to provide treatment to persons who are mentally disabled, have seizure disorders, behavioral problems or a combination of these disorders. ICF/MR facilities are often set up like group homes with a residential setting and 24-hour supervision for the residents. Starting an ICF can be a rewarding experience, but you must follow important steps to properly establish an ICF home for mentally challenged residents.

Things You'll Need

• Business plan
• Expense sheets
• Budget plan
• Vision statement

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Instructions

• 1

  Write a business plan that includes start-up costs, expense sheets and location expenses for your intermediate care facility. It is beneficial to have a business strategy, budget plan and financial review before beginning any business. Write a strong vision statement detailing services you plan to offer and avenues for advertising your ICF/MR.

• 2

  Choose the most appropriate mode of business organization for your intermediate care facility, such as proprietorship, partnership, limited-liability and corporation status. File the necessary paperwork with your state or county registrar who handles new business registrations. Each business structure has a unique tax burden and different filing requirements, so consult an accountant if you are unsure what status you should choose.

• 3

  Contact your State Department of Public Health or The State Department of Public Welfare to inquire about licensing regulations for starting an ICF for the mentally challenged. Each state has its own regulations and laws regarding licensure as a specialty care facility, so contact your state government offices for laws specific to your state. In addition, many states provide funding for ICF/MR homes, so ask about state funding for your facility.

• 4

  Register for an Employer Identification Number (EIN) with the Internal Revenue Service. The IRS requires that new businesses apply for an EIN, because the IRS uses this number to identify the company's tax status. The IRS provides free registration services through the IRS website, by phone or request paperwork by mail.

• 5

  Call your State Business License Office to inquire if you will need a business or occupational license to operate an ICF/MR in your area. Regulations vary by locality, region and state, so ask what licenses are required to operate an ICF/MR in your local community. In addition, contact your local government office and ask what business or zoning permits are required to operate a specialty care facility in the area.

• 6

  File the necessary forms to become a Medicare/Medicaid certified ICF for mentally challenged individuals. According to the Centers for Medicare and Medicaid Services, each state has ICF/MR facilities, providing care for approximately 129,000 American people with mental challenges and developmental disabilities. You must meet Medicaid/Medicare guidelines to receive federal funding for your facility, so apply for certification as soon as possible.

• 7

  Advertise in newspapers and Internet job sites to recruit staff for your facility. Perform background checks on potential employees and verify candidate's employment histories, work references and clearances. Make a copy of all licenses, certifications and medical degrees.