Illinois Administrative Code › Title 77 - PUBLIC HEALTH › Part 340 - ILLINOIS VETERANS' HOMES CODE › Subpart C - RESIDENT RIGHTS › Section 340.1460 - Resident's Funds

Current through Register Vol. 48, No. 28, July 12, 2024
a) A resident
				shall be permitted to manage his own financial affairs unless he or his
				guardian or if the resident is a minor, his parent, authorizes the
				administrator of the facility in writing to manage such resident's financial
				affairs under subsections (b) through (n) of this Section. (Section 2-102 of
				the Act)
b) The facility shall at
				the time of admission, provide, in order of priority, each resident, or the
				resident's guardian, if any, or the resident's representative, if any, or the
				resident's immediate family member, if any, with a written statement explaining
				to the resident and to the resident's spouse their spousal impoverishment
				rights, as defined at Section 5-4 of the Illinois Public Aid Code, as now and
				hereafter amended, and at Section 303 of Title II of the Medicare Catastrophic
				Coverage Act of 1988 ( P.L. 100-360 ), and the resident's rights regarding
				personal funds and listing the services for which the resident will be charged,
				and obtain a signed acknowledgment from each resident or the resident's
				guardian, if any, or the resident's representative, if any, or the resident's
				immediate family member, if any, that such person has received the statement.
				(Section 2-201(1) of the Act)
c)
				The facility may accept funds from a resident for safekeeping and managing, if
				it receives written authorization from, in order of priority, the resident or
				the resident's guardian, if any, or the resident's representative, if any, or
				the resident's immediate family member, if any; such authorization shall be
				attested to by a witness who has no pecuniary interest in the facility or its
				operations, and who is not connected in any way to facility personnel or the
				administrator in any manner whatsoever. (Section 2-201(2) of the Act)
d) The facility shall maintain and allow, in
				order of priority, each resident or the resident's guardian, if any, or the
				resident's representative, if any, or the resident's immediate family member,
				if any, access to a written record of all financial arrangements and
				transactions involving the individual resident's funds. (Section 2-201(3) of
				the Act)
e) The facility shall
				provide, in order of priority, each resident, or the resident's guardian, if
				any, or the resident's representative, if any, or the resident's immediate
				family member, if any, with a written itemized statement at least quarterly, of
				all financial transactions involving the resident's funds. (Section 2-201(4) of
				the Act)
f) The facility shall
				purchase a surety bond or otherwise provide assurance satisfactory to the
				Departments of Public Health and Insurance that all residents' personal funds
				deposited with the facility are secure against loss, theft, and insolvency.
				(Section 2-201(5) of the Act)
1) If a surety
				bond is secured, it must be issued by a company licensed to do business in
				Illinois, the amount of bond must be equal to or greater than all resident
				funds managed by the facility, and the obligee named in the bond must be the
				Illinois Department of Public Health or its assignees.
2) If an alternative to a surety bond is
				secured, the alternative must provide a protection equivalent to that afforded
				by a surety bond. To be acceptable, the alternative must have a person(s) or
				entity(ies) designated who can collect in case of loss (e.g., residents, the
				Department). The alternative must also provide a guarantee that lost funds will
				be repaid. The guarantee may be made either by an independent entity (e.g., a
				bank) or the facility. If the facility provides the guarantee, it must be
				backed by facility money at least equal to resident funds. This money must be
				reserved solely for the purpose of assuring the security of resident funds. Two
				examples of acceptable alternatives to surety bonds are letters of credit and
				self-insurance. Both surety bonds and alternatives must protect the full amount
				of residents' funds deposited with the facility.
3) Any alternative to a surety bond shall be
				submitted to the Department for review and approval.