What is the HUD ESG and how can they help me start a group home for transitional living or the elderly?
In 2013, HUD requested $286Million in Emergency Solutions Home Grant money for a variety of purposes including emergency shelter operations, transitional housing, rapid re-housing and homelessness prevention. Why did they do this? Because they want YOU to help, these people end their homelessness! Yes, the government wants you to help and will pay you well for doing it…..
Let’s De-Construct This
Currently, it is estimated that one out of six homeless men and women are veterans. These are the people that fought for our country, yet are now finding themselves without a home over their head. The US government has a goal to end homelessness in the veteran community. They do this by allowing HUD to receive money. Hud then takes this money and distributes it to cities, counties and some agencies throughout the United States. These recipients then have an obligation to be good stewards of these funds. Because the recipients get to administer these funds as they please, you as the provider (that is why you are reading this blog, correct?) need to search for the budgets and the individuals that administer these programs.
The budgets for these programs can have a wide variety of names. Just like this website domain is group home riches, yet we discuss halfway homes, boarding homes, recovery homes, ICF/MR homes, Care homes and other types of group homes – that all fall under the same premise: Providing housing for a sub-niche within society. These are not traditional rental real estate properties. In much the same way, these programs also take on different names, even though the first money has been given to the recipients through HUD.
For example, in many Texas counties, you could potentially type into google the following:
“_____________ (County Name) and budget and re-entry” or something along the following lines:
“______________ (County Name) and budget and emergency solutions grant”
Securing the Group Home Grant
After doing this, you will be astounded at the amount of grant money that has been allocated to your particular city or county. You now have names and numbers for the individuals that are responsible for administering this money. And guess what? They are looking for people like you….and most of the time, they do not know how to find them!
As an example, we provide housing and related services for the special needs population. We have been doing this for quite some time, but recently, we were contacted by the Criminal Justice Planning Department. Huh? We did not even know that that department even existed in our county! However, because we provide group homes for the disabled, we often find that our clients have dual diagnoses and often they may have been ticketed by the police for a small petty crime or misdemeanor. As a result, our name got around, and eventually, the Criminal Justice Planning Department called us. After speaking with them, we realized that we found another way to generate revenue.
In this case, they have us bill them at the end of the month for our “daily rate.” This is a highly lucrative opportunity as it allows for monthly billing of anywhere from 25% – 55% more than we typically charge for this particular level of the client. And all of this money comes directly from the HUD ESG home grant.
If you are looking for additional information on how to start a group home with a home grant, halfway home, transitional living home, sober home, foster home, ICF/MR home, DADS Home or other type of care home for people with disabilities; check out our free course on starting your very own income-generating group home by entering your email below.
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