Section 4310.12. Irrevocable/court-ordered burial accounts and restricted trust accounts

If a client has a burial or trust account, the status of the account shall be determined and documented. The only burial reserve or trust account that is not considered a resource to the client is an irrevocable or court-ordered burial account or restricted trust account.

(1) Irrevocable/court-ordered burial accounts. Those accounts that can only be released to a funeral director or legal representative upon the client’s death. Documentation is required in all cases to verify irrevocability.

(2) Restricted trust accounts. Those trusts that have been established in the client’s name that are legally restricted from invasion of the principal amount for care and maintenance. Income only may be assessed from such trusts. Documentation is required in all cases to verify the status of the trust.

(3) Clients with legally liable relatives and with income or assets restricted to their own use.

(i) Clients with income or assets restricted to their own use are assessed liability against income or assets or both.

(ii) Liability of the client’s LLR is based on the monthly liability scale. Charges are first assessed on the client’s income or assets or both and then on the LLR’s income.

The provisions of this § 4310.12 adopted December 3, 1982, effective December 4, 1982, 12 Pa.B. 4149.

Notation

Notes of Decisions

Department of Public Welfare’s conclusion that the assets and income of discretionary support trusts are available resources for adult mentally disabled beneficiaries who require institutional care is inconsistent with State’s public policy as expressed in the Mental Health Act (50 P. S. § 4502) and to the extent that this section is inconsistent with this opinion, it is invalid. Lang v. Department of Public Welfare, 528 A.2d 1335 (Pa. 1987).

To the extent that this section attempts to define a property interest so as to increase the liability of individual clients responsible only for their own support, it is invalid as beyond the authority granted to DPW under the Mental Health Act (50 P. S. 4502). Lang v. Department of Public Welfare, 528 A.2d 1335 (Pa. 1987).