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Community-Based Residential Facilities: Opening a Community-Based Residential Facility

Community-based residential facilities (CBRFs) are places where five or more unrelated people live together in a community setting. Services offered include room and board, supervision, support services. Up to three hours of nursing care can be given per week.

These adults do not require care above intermediate-level nursing care.

Learn more about CBRFs in Wis. Stat. § 50.01(1g).

The Division of Quality Assurance (DQA) of the Wisconsin Department of Health Services (DHS) is responsible for regulating facilities that serve:

  • Frail elderly.
  • People with developmental, mental health, physical or sensory disabilities.
  • Individuals with substance abuse problems.

DQA is responsible for administering Wis. Admin. Code ch. DHS 83 as required by Wis. Stat. ch. 50, which governs licensure of a CBRF. DQA doesn't refer residents for placement in assisted living facilities or provide funding to facilities to care for residents. Residents may be eligible to receive waiver funding through county departments of health or human services or Family Care managed care organizations.

The Bureau of Assisted Living (BAL) requires all CBRF applications to be submitted online through the DHS DQA Provider Portal. Note: DQA is launching the DHS DQA Provider Portal, a new system for licensure, background checks, plan reviews, and other provider applications for CBRFs. Licensure/certification applications and plan review materials will not be accepted electronically or postmarked as of November 22, 2025, as we transition to the new system. We will accept applications and plan review materials starting December 15, 2025. Applications must be submitted using the DHS DQA Provider Portal. To prepare for this transition and for more information, visit our DHS DQA Provider Portal webpage.

Refer to the "Prior to Applying for a License" heading below for instructions and the links to get started.

Established provider

A provider who currently operates a CBRF.

New provider

A provider who currently does not hold a license for a CBRF.

Attestation before initial licensing survey

BAL requires every applicant to complete a compliance statement before scheduling an initial licensing survey.

Inactive application

Applications not completed within six months of submission will be closed.

Two revisions

An application isn't complete until all required documentation has been submitted. If the required documents don't meet the licensing regulations, BAL will only send two revision letters per application. After a second unsuccessful revision, no further applications will be accepted from this applicant for the specified location for one year.

Before starting the application process to become a CBRF, review:

As part of the application process, you'll be required to upload documents, including the facility's:

  • Program statement.
  • Model balance sheet.
  • Operating expenses.

The following checklists will help you identify the required documents for submitting your application:

Plan review

All CBRFs plans should be:

  • Prepared by a design professional.
  • Submitted to DHS.
  • Reviewed before construction.

Existing structures seeking CBRF licensure also must complete the plan review process before licensure. If an existing CBRF is being considered for purchase, note that there is no transfer of licensure. More information regarding plan review is available on our Plan Review webpage.

Once you have your MyWisconsin ID, you're ready to apply for your CBRF using the DHS DQA Provider Portal.

Use the initial licensing process for first-time applicants. A complete application is necessary to begin the process. Wisconsin Admin. Code § DHS 83.05(2) identifies the required content of a complete application.

DHS will schedule an initial licensing visit when the application is complete. DHS has 70 days to approve or deny a license. This processing period begins after DHS receives the complete licensing application packet and completes the initial licensing survey.

To be eligible to receive Medicaid waiver funding, upload a completed Home and Community-Based Services (HCBS) Compliance Review Request, F-02138 (Word) with the application.

Applications not completed within six months of submission will be closed.

Once the application is complete, an assisted living surveyor will be assigned to conduct the initial onsite visit.

The assisted living surveyor will review the items listed on the Community-Based Residential Facility (CBRF) Initial Survey Checklist, F2634B (Word) during the initial licensing survey and tour of the facility.

DHS will complete caregiver background checks on the following individuals before initial licensure and every four years after. New applicants for licensure must submit a Background Information Disclosure (BID) form and BID Appendix form for each individual following the caregiver background check process.

For non-government entities:

  • The owner of the entity. If the owner is a corporation or other type of business that does not have a single owner, then the organization may designate one principal officer to legally represent the organization. For new applicants, the individual who signs the application fulfills this requirement.
  • Principal officers, corporations, or board members of the business organization who have regular, direct contact with clients.
  • Nonclient residents (over age 10) of the entity who have regular, direct contact with clients.

For government and tribal entities:

  • An individual (e.g., the designated agency administrator) regardless of interaction with clients.
  • Nonclient residents (over age 10) of the entity who have regular, direct contact with clients.

The entity must complete a caregiver background check on all caregivers. A caregiver is a person who meets all the following requirements:

  • Employed by or under contract with an entity.
  • Has regular, direct contact with the entity's clients or the personal property of the clients
  • Under the entity's control.

Direct contact is defined as face-to-face physical proximity to a client with the opportunity to commit abuse or neglect or misappropriation of a client's property.
Copies of background checks for anyone covered under this rule must be available for review upon DHS request.

A licensing fee of $389.00 plus $50.25 per resident (based on the capacity of the facility) is charged every two years. The fee for the 12-month probationary license is half this amount. Fees are non-refundable.

CBRFs where the total monthly charges for each resident do not exceed the monthly state supplemental payment rate under Wis. Stat. § 49.77(3s) are exempt from the licensing fee.

Initial licensing videos

BAL offers informational videos for prospective providers. The videos share what you need to know when starting a community-based residential facility or adult family home (AFH).

The videos will help you learn:

  • How to submit a licensure application.
  • Things to consider in choosing a building.
  • Policies and procedures: why they are important and how to use them.
  • Key elements of AFH and CBRF operations, including program statement and more.

If you plan to start an adult family home or CBRF, you may find our informational videos helpful. However, watching the videos isn't required for a license.

Licensing video presentations

How to join a live licensing question and answer session

If you have questions after the webinar, we can answer them during our Live Q&A Sessions. These are held online via Zoom. There is no registration or cost to attend the webinar. Please watch the webinar before attending the Live Q&A Sessions.

Join the live webinar by selecting this link near the start time for that webinar:

Join Zoom Meeting
Or dial: +1-669-254-5252, webinar ID: 160 597 0525

2026 Live Q&A sessions

Sessions for 2026 will be announced soon.

Additional information

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Last revised November 25, 2025