Virginia DBHDS Licensing Guide for DD Waiver Providers
Last verified
, against 12VAC35-105 and current DBHDS Office of Licensing guidance.
How DBHDS licensing actually works for Virginia DD waiver providers: the license types and how long each lasts, what the CONNECT application process looks like today, what happens at your annual inspection, and how renewal and enforcement work.
Regulatory authority: 12VAC35-105. Process detail: DBHDS Office of Licensing. This page is a plain-language summary, not legal advice — always confirm current requirements in the CONNECT Provider Portal or with the Office of Licensing before relying on a specific timeline or rule.
What DBHDS licensing covers
The Department of Behavioral Health and Developmental Services (DBHDS) licenses providers that deliver services to individuals with developmental disabilities, mental illness, substance use disorders, or brain injury in Virginia. For DD Waiver providers, that includes the residential and day services billed under the waiver: group home, sponsored residential, supervised living, supportive in-home, day support, and community engagement, among others.
Licensing is tied to the specific service and the specific location, not just to the organization. A residential license identifies the number of individuals that location may serve at a given time, so adding a bed or a new home means a license modification, not just an internal update.
A DBHDS license is separate from Virginia Medicaid provider enrollment. Most providers need both: the DBHDS license to operate the service, and Medicaid enrollment (plus a clearinghouse to submit 837P/837I claims) to bill for it.
License types and terms
DBHDS issues a few different license types depending on where a provider stands with the regulations. Here is how they work under 12VAC35-105-50 and § 37.2-415 of the Code of Virginia.
Conditional license
Issued to a new provider or a new service that is still demonstrating compliance. Capped at six months, renewable, but a conditional license and all its renewals combined cannot exceed 12 months.
A provider holding a conditional license cannot add services or locations during that period, and DBHDS limits a provider to one active conditional license at a time.
Provisional license
Issued at any time to a provider that was already fully licensed but has become temporarily unable to maintain compliance. Also capped at six months, renewable up to 12 months combined.
This is the license type DBHDS can move a provider to after serious or repeated violations, separate from the routine conditional license given to new providers.
Full license
Issued once a provider or service has demonstrated compliance with the applicable regulations. This is the standard operating license most established providers hold, renewed on the cycle DBHDS sets.
Check your own license term and renewal date in the CONNECT Provider Portal rather than assuming a standard length — it is set per provider.
The application process
Every part of the process, new applications, modifications, renewals, the waitlist, corrective action plans, and background check results, now runs through the DBHDS CONNECT Provider Portal, DBHDS's paperless licensing system.
Submit your application
File the Initial Provider Application for Licensing, with all required attachments, through CONNECT. It goes first to a Policy Review Specialist.
Regulatory review
Once the application passes initial review, it is assigned to a Licensing Specialist for a full review against the applicable regulations. Respond promptly to any requests for more information, since that is what moves your place in the queue.
Onsite inspection
DBHDS conducts your first onsite inspection, typically during the conditional license period, before a full license is issued.
License issued
Once compliance is confirmed, DBHDS issues the finalized license and notifies you through CONNECT.
New applications go on a prioritization waitlist. Applications are not necessarily processed in the order they were submitted, since state priorities can shift. You can check your place anytime by logging into CONNECT and selecting “View Application Waitlist.”
Orientation training and exam, required since November 7, 2025. Anyone submitting a new application for a Priority 1 or Priority 2 service must complete the DBHDS Initial Applicant Orientation Training and pass a proctored Comprehensive Knowledge Exam with a score of 85% or higher before the application can proceed.
Annual inspections and corrective action plans
Once licensed, every DD waiver provider gets an annual, unannounced inspection. A licensing specialist reviews a sample of individual records and checks them against the regulations, along with any citations issued since the last inspection, to confirm those corrective action plans were actually carried out, not just submitted.
- A citation names the specific regulation violated and requires a Corrective Action Plan (CAP), filed and tracked in CONNECT, for each one.
- A citation does not automatically suspend or revoke your license. It creates an obligation to fix the problem and show DBHDS that you did.
- DBHDS can also run announced or unannounced investigations outside the annual inspection cycle, most often triggered by a serious incident or a complaint.
- Repeated Health & Safety citations escalate: after a third one, DBHDS considers it for potential negative licensing action.
Renewal, denial, and appeal rights
File the Renewal Provider Application for Licensing in CONNECT before your license expires. If you file on time and there is no basis to deny the renewal, your existing license stays in effect past its expiration date while DBHDS processes the application. If DBHDS has not issued the renewed license by your expiration date, it sends a letter extending your current license for six additional months.
DBHDS can deny an application or renewal, or suspend or revoke an existing license, for reasons that include conduct detrimental to the health, safety, or welfare of individuals receiving services, or violations of the human rights regulations (12VAC35-115).
If DBHDS denies, suspends, or revokes a license, you have the right to appeal under Virginia's Administrative Process Act.
Frequently asked questions
Who has to be licensed by DBHDS?
Any organization operating a licensable service for individuals with developmental disabilities, mental illness, substance use disorders, or brain injury in Virginia, including the DD Waiver residential and day services (group home, sponsored residential, supervised living, supportive in-home, day support, community engagement, and others). The license applies to each service and location, not just the organization.
How long does it take to get a DBHDS license?
DBHDS doesn't publish a fixed timeline. New applications sit on a prioritization waitlist that isn't strictly first-come, first-served, and since November 7, 2025 Priority 1 and 2 applicants must also complete the Initial Applicant Orientation Training and pass a proctored exam before the application moves to inspection. Check your own status in CONNECT.
Is a DBHDS license the same as Medicaid provider enrollment?
No. The license authorizes you to operate the service. Enrolling as a Virginia Medicaid provider and getting set up to submit 837P/837I claims through a clearinghouse is separate. Most providers need both before they can bill.
Can I add a new group home or service under my existing license?
Not automatically. Your license lists the specific services, locations, and capacity you're approved for. Adding a location or service requires a license modification filed through CONNECT.
What happens if my program fails part of its annual inspection?
A citation requires a Corrective Action Plan for that specific violation, filed through CONNECT, but it does not automatically suspend your license. Inspectors also check that CAPs from earlier citations were actually implemented. Repeated or serious Health & Safety citations can escalate toward a provisional license or other action.
Does DBHDS still use paper applications?
No. Applications, modifications, renewals, the waitlist, corrective action plans, and background check results all run through the CONNECT Provider Portal.
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