Section 87826 - Safeguards for Cash Resources, Personal Property, and Valuables(a) A licensee shall not be required to accept for admission or continue to care for any resident whose incapacities, as documented by the initial or subsequent needs appraisals, would require the licensee to handle such resident's cash resources.(b) If such a resident is accepted for or maintained in care, his/her cash resources, personal property. and valuables not handled by a person outside the facility who has been designated by the resident or his/her authorized representative shall be handled by the licensee or facility staff, and shall be safeguarded in accordance with the requirements specified in (c) through (n) below.(c) No licensee or employee of a licensee shall accept appointment as a conservator of the person, or estate, or person and estate of any resident nor accept any general or special power of attorney except for Medi-Cal or Medicare claims for any resident; nor become the substitute payee for any payments made to any resident, except: (1) a licensee who is appointed by the Social Security Administration may be representative payee for a resident.(d) Cash resources, personal property, and valuables of residents handled by the licensee shall be free from any liability the licensee incurs.(e) Cash resources, personal property, and valuables of residents shall be separate and intact, and shall not be commingled with facility funds or petty cash. (1) The above requirement shall not prohibit the licensee from providing advances or loans to residents from facility funds. (A) Documentation of such transactions shall be maintained in the facility.(f) The licensee or employee of a licensee shall not make expenditures from residents' cash resources for any basic services required by these regulations, or for any basic services identified in a contract/admission agreement between the resident and the licensee.(g) The licensee shall not commingle cash resources and valuables of residents with those of another residential care facility of a different license number, regardless of joint ownership.(h) Each licensee shall maintain accurate records of accounts of cash resources, personal property, and valuables entrusted to his/her care, including, but not limited to, the following: (1) Records of residents' cash resources maintained as a drawing account, which shall include a current ledger accounting, with columns for income, disbursements and balance, for each resident. Supporting receipts for purchases shall be filed in chronological order. (A) Receipts for cash provided to any resident from his/her account(s) shall include the resident's full signature or mark, or authorized representative's full signature or mark, and a statement acknowledging receipt of the amount and date received, as follows: "(full signature of resident) accepts (dollar amount) (amount written cursive), this date (date), from (payor)."
(B) The store receipt shall constitute the receipt for purchases made for the resident from his/her account.(C) The original receipt for cash resources, personal property or valuables entrusted to the licensee shall be provided to the resident's authorized representative, if any, otherwise to the resident.(2) Bank records for transactions of cash resources deposited in and drawn from the account specified in (i) below.(i) Immediately upon admission of a resident, all of his/her cash resources entrusted to the licensee and not kept in the licensed facility shall be deposited in any type of bank, savings and loan, or credit union account meeting the following requirements: (1) The account shall be maintained as a trust account separate from the personal or business accounts of the licensee.(2) The account title shall clearly note that the account contains resident cash resources.(3) The licensee shall provide access to the cash resources upon demand by the resident or his/her authorized representative.(4) The account shall be maintained in a local bank, savings and loan or credit union authorized to do business in California, the deposits of which are insured by a branch of the Federal Government. (A) A local public agency shall have the authority to deposit such cash resources with the public treasurer.(j) Cash resources entrusted to the licensee and kept on the facility premises, shall be kept in a locked and secure location.(k) Upon discharge of a resident, all cash resources, personal property, and valuables of that resident which have been entrusted to the licensee shall be surrendered to the resident, or his/her authorized representative, if any. (1) The licensee shall obtain and retain a receipt signed by the resident or his/her authorized representative.(l) Upon the death of a resident, all cash resources, personal property and valuables of that resident shall immediately be safeguarded in accordance with the following requirements: (1) All cash resources shall be placed in an account as specified in (i) above.(2) The executor or the administrator of the estate shall be notified by the licensee of the resident's death, and the cash resources, personal property, and valuables shall be surrendered to said party in exchange for a signed, itemized receipt.(3) If no executor or administrator has been appointed, the authorized representative, if any, shall be notified by the licensee of the resident's death, and the cash resources, personal property, and valuables shall be surrendered to said person in exchange for a signed, itemized receipt.(4) If the licensee is unable to notify a responsible party as specified in (2) or (3) above, the licensee shall give immediate written notice of the resident's death to the public administrator of the county as provided in section 1145 of the California Probate Code.(m) The following requirements shall be met whenever there is a proposed change of licensee: (1) The licensee shall notify the Department of any pending change of licensee, and shall provide the Department an accounting of each resident's cash resources, personal property and valuables entrusted to his/her care. (A) Such accounting shall be made on a form (Accounting Record for Change Of Licensee -- LIC 424 (1/84)) provided or approved by the Department.(2) Provided the Department approves the application for the new licensee, the form specified in (1)(A) above shall be updated, signed by both the former and new licensee, and forwarded to the Department.(n) The licensee shall maintain a record of all monetary gifts and of any other gift exceeding an estimated value of $100, provided by or on behalf of a resident to the licensee, administrator or staff.(1) The record shall be attached to the account(s) specified in (h) above if the resident's cash resources, personal property or valuables have been entrusted to the licensee.(2) Monetary gifts or valuables given by the friends or relatives of a deceased resident shall not be subject to the requirement specified in (n) and (n)(1) above.(o) The licensee shall not become joint tenant on any account specified in Section 87826(i) with a resident.Cal. Code Regs. Tit. 22, § 87826
1. New section filed 6-7-91 as an emergency; operative 6-7-91 (Register 91, No. 38). A Certificate of Compliance must be transmitted to OAL by 10-7-91 or emergency language will be repealed by operation of law on the following day.
2. New section refiled 12-3-91 as an emergency; operative 12-3-91 (Register 92, No. 9). A Certificate of Compliance must be transmitted to OAL 4-1-92 or emergency language will be repealed by operation of law on the following day.
3. Certificate of Compliance as to 12-3-91 order including amendment of subsection (m)(1)(A) transmitted to OAL 4-1-92 and filed 5-13-92 (Register 92, No. 23).
4. Amendment of subsection (c), new subsections (c)(1) and (o) and amendment of NOTE filed 8-21-95; operative 9-20-95 (Register 95, No. 34). Note: Authority cited: Section 1568.072, Health and Safety Code. Reference: Section 1568.072, Health and Safety Code; and 20 CFR 416.601.
1. New section filed 6-7-91 as an emergency; operative 6-7-91 (Register 91, No. 38). A Certificate of Compliance must be transmitted to OAL by 10-7-91 or emergency language will be repealed by operation of law on the following day.
2. New section refiled 12-3-91 as an emergency; operative 12-3-91 (Register 92, No. 9). A Certificate of Compliance must be transmitted to OAL 4-1-92 or emergency language will be repealed by operation of law on the following day.
3. Certificate of Compliance as to 12-3-91 order including amendment of subsection (m)(1)(A) transmitted to OAL 4-1-92 and filed 5-13-92 (Register 92, No. 23).
4. Amendment of subsection (c), new subsections (c)(1) and (o) and amendment of Note filed 8-21-95; operative 9-20-95 (Register 95, No. 34).