Michigan home for the aged license: the assisted living license LARA issues
Michigan has no license called "assisted living." A building that gives room, board and supervised personal care to 21 or more unrelated people aged 55 or older is a home for the aged (HFA) and needs an annual license from LARA's Bureau of Community and Health Systems. If the housing company and the care company are unrelated and residents can pick their own care provider, the building can apply for an exemption instead.
Contents15 sections
Key takeaways
- An HFA license is triggered by three things together: 21 or more unrelated residents, residents aged 55 or older, and "supervised personal care" (at least two of three defined services given to a resident for 30 or more consecutive days).12
- Under 21 residents, or a population that is not 55-plus, usually means an adult foster care license instead. The exception is a 20-or-fewer-bed HFA run as a distinct part of a licensed nursing home.119
- A new building can skip HFA licensure only through the MCL 333.21311a exemption: the room provider and the care provider must be unrelated and residents must be free to choose any care provider. A false attestation carries a $5,000 fine.5
- Fees as published on 2026-10-12: $2,000 initial application fee, $500 license fee and $6.27 per licensed bed, paid each year through MI-SLS. The statutory schedule runs until October 1, 2027.36
- Before LARA issues the license, you need Health Facilities Engineering Section plan approval, Bureau of Fire Services approval, a resident-funds bond and a generator that can run for at least 4 hours.79101617
Quick facts
| Agency | LARA, Bureau of Community and Health Systems (Long Term Care) |
|---|---|
| Threshold | 21+ unrelated residents aged 55+ receiving supervised personal care |
| Fees (as published 2026-10-12) | $2,000 application + $500 license + $6.27 per bed |
| License term | 1 year; renewal paid by July 31 |
| Statutory decision deadline | 6 months after a complete application |
| Routine inspections | Unannounced, at least once every 3 years |
Fees are set in MCL 333.20161 and are paid in the MI-SLS licensing system. The statute fixes this fee schedule only until October 1, 2027.
“Assisted living” is not a Michigan license
LARA says it directly: independent and assisted living facilities “are not required to be state licensed but may hold an HFA or adult foster care (AFC) facility state license depending on the level of assistance to residents.”3 In Michigan, the services you deliver decide your license, not the name on the sign. Three tests together make a building a home for the aged.
- Size. Room, board and supervised personal care for “21 or more unrelated, nontransient individuals” at a single address.1
- Age. Residents are 55 or older. An HFA may not admit anyone younger without a waiver from the LARA director.14
- Supervised personal care. The facility provides at least two of the following to any resident for 30 or more consecutive days, as documented in the service plan: (a) direct, regular staff involvement in giving the resident’s prescription medications; (b) hands-on help with two or more of eating, toileting, bathing, grooming, dressing, transferring and mobility; (c) direct staff involvement in the resident’s personal and social activities, or devices that control resident egress, such as secured memory care doors.2
A building that provides fewer than two of these services, or houses fewer than 21 people, falls outside the HFA definition; LARA says independent and assisted living facilities “are not required to be state licensed.”123 The statutory definition also excludes hotels, AFC facilities, hospitals, nursing homes and county medical care facilities. It excludes areas carved out under the continuing care community disclosure act as well.1 LARA puts the rule plainly: “An individual may not operate a facility that offers supervised personal care to 21 or more individuals without a state license or licensure exemption confirmation from the department.”3
Only a licensed HFA may call itself a “home for the aged” or use a similar term or abbreviation.4
HFA or adult foster care?
The two Michigan licenses split by size and population, not by level of care:
| License | Capacity | Who it serves | Law |
|---|---|---|---|
| AFC family home | 3 to 6 adults; licensee lives in the home | Adults who are aged, mentally ill, developmentally disabled or physically disabled and need ongoing supervision but not continuous nursing care | MCL 400.70319 |
| AFC small group home | 3 to 12 adults | Same | MCL 400.70319 |
| AFC large group home | 13 to 20 adults | Same | MCL 400.70319 |
| Home for the aged | 21 or more | Unrelated people aged 55+ | MCL 333.201061 |
| HFA as distinct part of a nursing home | 20 or fewer | People aged 55+ | MCL 333.201061 |
Scroll the table sideways to see every column.
The AFC act expressly excludes licensed homes for the aged from the AFC definition, so one building cannot hold both licenses for the same beds.19 If you plan a 16-bed memory care house, you are in AFC territory; see the Michigan adult foster care facility license guide. Above 20 beds for a 55-plus population, the HFA license fits. The AFC act also defines a congregate facility as one approved for more than 20 adults;19 ask LARA whether it accepts new congregate applications before planning one, since the sources I checked do not say.
The licensure exemption, and who can still get one
Michigan is unusual in letting some large assisted living buildings operate without an HFA license. Since February 11, 2018, MCL 333.21311a has offered an exemption to facilities that split housing and care between separate companies.5
For new projects, only subsection (2) is still open:5
- Unbundled model. The person that provides the room and the person that provides supervised personal care are not related, and residents “have the option to select any supervised personal care from a person of their choice.”
- Continuing care community model. The room provider and the care provider are related, but the facility is registered as a continuing care community under 2014 PA 448 and includes a licensed nursing home in that community.
“Related” is defined broadly. It covers family ties (spouse, child, parent, sibling, grandparent, aunt, uncle, step-relations, cousin) and any entity that owns, or is owned by, a person with a direct or indirect ownership interest in the other company.5 Shared investors therefore defeat the unbundled model. The subsection (1) exemptions, which covered unrelated board providers and two-year-old care arrangements, could not be granted after December 31, 2019 except to a successor owner.5
You request the exemption in MI-SLS with a signed attestation. The attestation acknowledges that a false or inaccurate attestation carries a $5,000 administrative fine.35 LARA must act within 60 days of receiving the application, and a successor owner keeps the exemption only by filing its own attestation.5 LARA can revoke an exemption for a material false statement, for refusing to cooperate, or for negligence that causes serious physical injury, a resident’s death or serious mental anguish when risk continues.5 Complaint investigations at exempt buildings are limited to those grounds and to whether the facility still meets the exemption criteria.3 LARA’s license search lists exempt HFAs alongside licensed ones.3
Who can hold the license
The owner, operator and governing body carry full responsibility for “all phases of the operation of the home.” They must run an organized program of room and board, protection, supervision, assistance and supervised personal care, and must make sure emergency medical care is available.8
- Good moral character. The owner, operator, each governing body member and the authorized representative must meet this standard.8
- Disqualifying convictions. LARA will not license or renew if the applicant, the authorized representative, or an owner or board member with regular direct access to residents or on-site operational duties has a felony under the Public Health Code or the vulnerable-adult chapter of the Penal Code. The same applies to a misdemeanor under those laws within 10 years, or to a misdemeanor within 10 years involving abuse, neglect, assault, battery, criminal sexual conduct, or fraud or theft against a vulnerable adult.8
- Fingerprints. Those same individuals give written consent and fingerprints for Michigan State Police and FBI checks.8 An applicant, owner, operator, governing body member or authorized representative convicted of vulnerable adult abuse, neglect or financial exploitation, or of a listed sex offense, may not even be present in an HFA.8
- Authorized representative. A corporation or partnership applies through an authorized representative. A certificate of appointment or other written evidence of that person’s authority must be attached to the application.7
The administrator
Michigan does not license HFA administrators. The governing body must appoint “a competent administrator” who is at least 18 and has “education, training, and/or experience related to the population served.” The administrator must also be able to plan and run services consistent with the program statement. A licensee who meets those qualifications may serve as administrator.7
Building, fire safety and the generator
The building approvals take the longest, so start with them. LARA’s own instructions make Bureau of Fire Services approval a precondition to license issuance for any initial HFA. That approval covers architectural plans and shop drawings, then an inspection, and BFS returns for annual inspections after licensure.17
Engineering plan review
BCHS must review construction plans for homes for the aged under MCL 333.20145. From October 1, 2026, the Health Facilities Engineering Section (HFES) accepts plans only by online submission. HFES asks for requests at least 10 weeks before the planned construction start. Review does not begin until the application, an operational narrative, sealed and bookmarked plans, and payment are in.16 The rules bar construction, additions, major modifications or conversions of an existing building until LARA approves the plans and issues written approval to begin.7 The review fee under MCL 333.20145(10) is 0.5% of the first $1,000,000 of capital expenditure plus 0.85% of any amount above $1,000,000, capped at $60,000.20
Fire safety
An HFA must meet the state’s health care facility fire safety rules, R 29.1801 to R 29.1861, and show compliance with local laws, codes and ordinances.7
Emergency generator
An HFA seeking a license or a renewal needs a generator that can run for at least 4 hours. It must power lighting at all entrances and exits, fire detection, alarm and extinguishing systems, telephone switchboards, heating controls and other critical equipment. A home already licensed on April 15, 2005 was exempt until it undergoes a major building modification.10 Violations carry a civil penalty of up to $2,000 each, and at least $500 for each day the failure continues.10 The rules separately require battery-operated emergency lighting for corridors and exits.7
Space standards in the HFA rules
LARA amended the room standards effective March 19, 2026, adding “studio-style” and “apartment-style” resident rooms.7
| Item | Requirement |
|---|---|
| Studio-style room | 120 sq ft usable for one resident; 80 sq ft per resident if shared; no more than 4 residents |
| Apartment-style room | 120 sq ft total for one resident or 80 sq ft per resident; no more than 6 residents; bedroom at least 75 sq ft (one resident) or 110 sq ft (co-sleeping couple) with 3-foot clearances |
| Wardrobe and closet | 5 sq ft per resident, on top of usable floor space |
| Day room, dining, activity space | 15 sq ft per licensed bed; 30 sq ft per bed for construction or conversion after November 14, 1969 |
| Ceilings | At least 7 ft 6 in; 8 ft in sleeping, day, dining and activity rooms built after November 14, 1969 |
| Windows | Glass equal to 10% of the room’s required floor area; 45% openable unless mechanically ventilated |
| Elevator | Required if bedrooms are on more than one floor; cab at least 5 ft by 7 ft 6 in |
| Toilets and sinks | 1 water closet and handwashing sink per 8 resident beds per floor |
| Bathing | 1 bathing facility per 15 resident beds |
| Accessibility | 10% of resident sleeping rooms and their bathrooms accessible in new construction |
| Hot water | 105 to 120 °F at resident fixtures |
| Basements | No sleeping or living quarters |
All rows are drawn from the Homes for the Aged rules.7 Rooms licensed before the 2026 amendment keep their bed counts unless a major building modification touches them. Existing single rooms are held to 100 sq ft and existing multi-bed rooms to 80 sq ft per bed.7 New construction must also centralize exhaust ventilation and lock central medication dispensing areas with a handwashing sink and work counter.7
The resident-funds bond
Before LARA issues the license, the owner, operator or governing body must post a bond with a surety LARA approves. The bond protects resident money the home holds in trust. For a new license, LARA sets the amount at 1.25 times its estimate of the resident funds you are likely to hold in the first year. After that, the bond must equal at least 1.25 times the prior year’s average balance.9
Policies and documents LARA will look for
The HFA rules require these documents before you admit anyone:7
- Program statement. Your philosophy, mission and services. If you market Alzheimer’s or dementia care, MCL 333.20178 requires a written description given to every prospective resident. It must cover the program’s philosophy, placement and discharge criteria, assessment and care planning, staff training, physical design features, activities, and any supplemental fees.714
- Admission policy and resident admission contract. The contract lists services and fees, notice of fee changes, transportation, refund policy and resident rights under MCL 333.20201 and 20202.7
- Discharge policy. Transfer or discharge is allowed only for medical reasons, the welfare of the resident or others, nonpayment, or at the resident’s request. Residents get 30 days’ written notice. An emergency discharge needs at least 24 hours’ notice and, in some cases, notice to LARA and Adult Protective Services.7
- Communicable disease policy. Residents need TB screening done within 12 months before admission. Employees are screened within 10 days of hire at no cost to them, and the home completes an annual TB risk assessment.7
- Quality review program. A team of at least two people meets at least twice a calendar year to review incidents. The program is reviewed annually, and records are kept for 2 years. Incidents go to the resident’s representative within 48 hours, and police are called if an eloped resident is not found within 30 minutes.7 LARA’s incident and annual review forms for the program (HFLD-HFA-QRP-IR-300 and AR-301) carry August 2026 dates.3
- Disaster plan. A written plan covers fire, explosion and loss of heat, power or water, and staff must be trained on it.7
Staffing and training
Michigan sets no numeric staff ratio for HFAs. The rule is functional: “adequate and sufficient staff on duty at all times who are awake, fully dressed, and capable of providing for resident needs.” One person on each shift is designated supervisor of resident care and must be awake and on the premises.7 Licensed nurses are not required. LARA notes that HFA staff “are educated by the HFA for the specific role assigned.”3
The home must run a training program built on its program statement and residents’ service plans. The rule lists example topics, including reporting and documentation, personal care, resident rights, safety and fire prevention, and infection control. Medication administration training applies only where staff give medications.7 Staff who supervise medication for residents who do not self-administer must be trained and must keep an individual medication log for each resident.7
Every employee, contractor and person with clinical privileges who has access to residents or their protected financial or health information needs a criminal history check under MCL 333.20173a.313 Checks run through the Michigan Workforce Background Check long-term care portal. You get access to the portal only after initial licensure, and each licensed site must use its own account.3
Who you can admit and keep
An HFA may not admit a resident who needs continuous nursing care of the kind a nursing home provides.7 It may keep a resident whose needs grow in two cases. One is when the resident is enrolled with a licensed hospice or home health agency.7 The other is MCL 333.21325: the resident, family, physician and owner all consent, and the home commits to securing the additional services.715 Residents under 55 need an age waiver filed in MI-SLS with documentation from the resident or representative, the physician and the licensee. The director must decide within 5 days of receiving the documentation.34 Anyone under the care of a licensed professional for ongoing treatments or medications must provide a statement from that professional dated within 90 days before admission, or within 30 days after an emergency admission.7
Applying: the order that works
Confirm the license type
Check your census plan, resident ages and service mix against the three tests above. Decide whether you will hold a license or seek the 21311a exemption.125
Get HFES plan approval
before any construction or conversion starts. Submit online at least 10 weeks before the construction start date.716
Obtain Bureau of Fire Services plan review
, then a BFS inspection of the completed building.17
File the initial application in MI-SLS
It covers the applicant entity, authorized representative, owners and the requested bed count, and you pay the fees there.37 Owners and representatives with direct access or on-site duties complete fingerprinting.8
Post the bond and write your policies
: program statement, admission contract, discharge and communicable disease policies, quality review program and disaster plan.79
Prelicensure survey
LARA schedules and announces this survey; every later survey is unannounced.7 If LARA cites violations and asks for a corrective action plan, you have 15 days to submit it.7
License issued
LARA endorses the maximum number of beds on the license. It may issue a nonrenewable temporary permit of up to 6 months.7 The license cannot be transferred to a new owner or location.7
By statute, LARA must issue or deny an initial license within 6 months after receiving a completed application. If the application is incomplete, LARA must say so within 30 days, and the clock pauses until you respond. If LARA misses the deadline, it must return the license fee and reduce the license fee on your next licensure application by 15%.11
Fees as published on 2026-10-12
| Fee | Amount |
|---|---|
| Initial licensure application | $2,000 per initial license |
| License fee | $500 per facility license, each year |
| Bed fee | $6.27 per licensed bed, each year |
LARA lists the same three amounts on its long-term care page.36 For a 60-bed home, that works out to $2,876.20 in the first year and $876.20 at each annual renewal. MCL 333.20161 fixes this schedule only “until October 1, 2027.”6 The statute does not say what replaces the schedule after that date, so ask LARA which amounts apply if you expect to apply or renew after it. The bond, the State Police fingerprint-check charge and the HFES plan review fee (see above) are separate.8920 LARA’s fire-safety page does not publish a BFS plan-review fee for homes for the aged, so ask BFS what it charges.17
Renewal, inspections and changes
HFA licenses run for one year. LARA sends renewal notices in MI-SLS in the second quarter. Payment is due by July 31, and any license not renewed by September 1 is closed, with a notice posted on LARA’s license lookup.3 Ownership, location, name and bed-capacity changes need a change application, because a license does not transfer. Changes to contacts, the management company or the real estate lease are filed as information updates.37 The rules also require written notice of any change to application information within 5 business days.7
LARA must survey every HFA at least once every 3 years, and HFA inspections are made without prior notice.12 Accredited nursing homes can ask for a survey waiver, but HFAs cannot, because no federally approved accrediting body exists for them.3 LARA posts inspection and complaint reports on its license search.3 Separately, BFS inspects the building annually.17
Medicaid: MI Choice, not a facility rate
Medicaid money reaches an HFA through the MI Choice waiver. Residents who qualify for the MI Choice waiver can receive “Residential Services” from an HFA provider: personal care, homemaker, chore and attendant services, meal preparation, supervision and medication assistance. The waiver excludes payment for room and board.18 To contract with a MI Choice waiver agency, the HFA must hold a license under R 325.1901 to R 325.1981. The waiver agency assesses the setting on-site against the federal home and community-based settings rule, and MDHHS makes the final compliance determination before MI Choice services can be delivered there.18 HFAs are also listed as out-of-home respite providers under the waiver.18
What changed in 2026
- HFA rules amended, effective March 19, 2026. The amendment added studio-style and apartment-style room standards and co-sleeping bedrooms. It also added a survey rule: the prelicensure survey is announced, and a corrective action plan is due within 15 days. Admission, discharge, TB and medication rules were revised as well.7
- Online-only plan review from October 1, 2026. HFES no longer accepts paper construction plan submissions.16
- New form dates, August 2026. LARA’s posted HFA quality review incident and annual review forms are dated August 2026.3
- Fee schedule sunset. The MCL 333.20161 fee schedule is written to run until October 1, 2027.6
Sources
- 1 Michigan Legislature, MCL 333.20106 (Definitions; home for the aged) Checked 12 Oct 2026 · Back to text ↑
- 2 Michigan Legislature, MCL 333.21302 ("Supervised personal care" defined) Checked 12 Oct 2026 · Back to text ↑
- 3
- 4
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- 6 Michigan Legislature, MCL 333.20161 (Health facility license fees) Checked 12 Oct 2026 · Back to text ↑
- 7
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- 9 Michigan Legislature, MCL 333.21321 (Bond required) Checked 12 Oct 2026 · Back to text ↑
- 10
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- 12 Michigan Legislature, MCL 333.20155 (Visits for survey and evaluation) Checked 12 Oct 2026 · Back to text ↑
- 13
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- 15 Michigan Legislature, MCL 333.21325 (Removal of resident; conditions) Checked 12 Oct 2026 · Back to text ↑
- 16
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- 19
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Related guides
Michigan and neighboring states
Compare all 51| State | License | Who needs it | State fee |
|---|---|---|---|
| Michigan (this guide) | Home for the Aged (HFA) license | 21+ unrelated adults aged 55+ with room, board and personal care | $2,000 application + $500 license + $6.27 per bed |
| Ohio | Residential Care Facility license | 17+ unrelated people with personal care for 3+; or 3+ with nursing for 1 | $320 per 50 beds or part, at application and each January |
| Indiana | Residential Care Facility (health facility license) | No 'assisted living' license; Residential Care Facility license, no bed minimum | $200 for first 50 beds + $10 per additional bed |
| Wisconsin | Community-Based Residential Facility (CBRF) license | 5 or more unrelated adults; up to 3 hours of nursing a week | $389.00 + $50.25 per bed, every two years; probationary license half |
Shortened from each state's guide and our 51-state table, as of each guide's last review. Fees are the state's own; local permits and background checks cost extra.