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How Do Halfway Houses Get Paid?

How Do Halfway Houses Get Paid?

Many of those who run halfway houses have been in one themselves and have found themselves wondering how they can give back to the community. A halfway house doesn't have to be purely altruistic, however. There are many funding options, which make it possible for those who want to run halfway houses to make it their full-time job. The two most popular methods of receiving funding as an owner are through federal grants and tenant rent.

Federal Grants

Those who want to start one can apply for federal grants. Applying for federal grants is often a lengthy, complex process, but there are professional grant writers whose job it is to acquire grants on behalf of a business. Each federal grant program will have its own requirements, and be open to different organizations. As an example, there may be federal grants for halfway houses in rural locations or even federal grants for halfway houses in a specific community. Because of the breadth of these grants, finding and acquiring grants can also be a full-time job. In addition to federal grants, there can also be state and community grants.

Grants are particularly useful because they don't need to be repaid. Rather, the organization simply procures that grant for a specific amount of time. Often, the organization may be able to reapply and re-acquire the grant the following year, which means they can make their income static. Other times, organizations may need to be continually looking for grants for funding. Either way, the organization will acquire grant money to continue operating the facility.