Recovery Homes for Substance Abusers
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In 1998 Federal law required states to establish revolving loan funds for Recovery
Homes. Nebraska continues to have a loan fund. The Substance Abuse and Mental Health Services Administration Technical
Assistance Publication #5 entitled "Self Support/Self Run Recovery Homes for
Substance Abusers" explains the concepts and rules for recovery homes. Oxford House, Inc., is the national
organization that is the model.
Loan Requirements:
- Loans are for the costs of establishing housing for individuals recovering from alcohol
or drug abuse.
- Loans are made for initial deposit, furnishings and supplies to start a house.
- Not less than six individuals must live in the home.
- Maximum loan is $4,000.
- Each loan is repaid through monthly installments.
- Penalties are assessed for late payment.
Operational Guidelines Include:
- The use of alcohol or drugs on the premises is prohibited.
- Residents violating use prohibition are expelled.
- Costs of the housing, including fees for rent and utilities, are paid by residents.
- Residents of house, through majority vote, establish house rules.
- Residents of house, through majority vote, approve new residents.
Loan Provisions:
- Loans made only to non-profit, private entities.
- Four percent simple interest is charged.
- Monthly payments due by the 15th or a $25.00 late fee is assessed.
- The repayment is two years.
- In case of default, reclaimable items purchased will revert to the State.
- Non-profit entities are required to supply State with data on residents.
Recovery Loan Application 
For more information, contact:
Recovery Home Manager
Department of Health and Human Services
Division of Behavioral Health
P.O. Box 98925
Lincoln, NE 68509-8925
Phone: (402) 471-7721
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