Remodeling existing facilities
If a community has an existing facility that is suitable for a childcare center or group home, a grant can be submitted to assist with the cost of remodeling.
Addressing the shortage of suitable facilities
However, the Hansen Foundation recognizes that many of our communities have few, if any, suitable houses or commercial spaces that can be purchased and renovated to provide childcare. Often the facilities that might be available may not pass inspection from the State Fire Marshal or would require such extensive repairs that it becomes an unfeasible option.
In an effort to provide an additional option for such communities, the Foundation previously contracted with McDonald Enterprises, Inc., a local homebuilder in Logan, Kansas, to build four single-family homes. These homes are three-bedroom, two-bath homes, designed to perfectly fit the need for a licensed group home.
The 1,500 square feet homes being built are designed to be moved to a community that is in need of one or more licensed group homes, and already has a suitable location to place the home. The total cost of each home is approximately $127,000, and it is expected that the cost of moving, constructing a foundation, and providing water, sewer and electrical hookups, will add an additional cost of approximately $28,000.
Although all four of the originally contracted homes have been awarded, the concept remains a viable option for communities seeking an appropriate facility for a child care group home. Communities can reach out directly to the contractor in Logan, or another local contractor to see about construction of a similar house. The cost of the house would then become a part of a grant application. Priority for any grant application includes local funding support, so keep that in mind for this or any other application.
Quickly filling the need
The Hansen Foundation can provide assistance for innovative programs to help keep existing home daycare providers open or encourage the opening of new home daycares. Foundation funds would be offered to a partner entity in the community such as a school district or city/county government, who would then manage the grant process. To ensure no private inurement issues arise, the Foundation would not be notified of individual providers by name, but only the number of providers deemed eligible by the partner organization.
Given the very long and expensive process of getting a childcare center licensed, some communities are in the process of creating multiple licensed group homes that can be operated by one provider (such as a school district). The licensing process for a group home is likewise easier and faster, and with multiple group homes being operated by one employer, fewer issues arise when a provider leaves or wants to retire because the facility is already licensed, and it is only a matter of finding another qualified provider.
Many times, there are licensed home providers who would prefer to work outside their own home, and would prefer to care for children in an offsite group home.
While the Hansen Foundation still believes that licensed childcare centers are the best long-term solution for larger communities, the long list of regulations, stricter ration requirements, cash flow issues and other compliance costs make a center harder to open and operate. Licensed homes and group homes are the quickest and easiest solution for most small communities. They are generally far more sustainable given that they qualify for better food program reimbursement and have far few regulatory burdens.
Download the Childcare Startup or Expansion Budget Sheet
Download the Sample Group Home Content Budge