Current through Reg. 49, No. 38; September 20, 2024
(a) When managing a
trust fund account, a program provider must:
(1) maintain documentation of an individual's
personal funds that:
(A) follows generally
accepted accounting principles; and
(B) includes:
(i) the individual's name;
(ii) identification of individual's
representative or person assigned to receive the individual's income, if
any;
(iii) admission
date;
(iv) individual's earned
interest, if any;
(v) documentation
of each transaction; and
(vi)
receipts for purchases and payments, including cash register tapes or sales
statements from a vendor;
(2) ensure an individual's personal funds are
expended only for the individual's use and benefit;
(3) reimburse the individual if the
individual's personal funds are lost or stolen while in the program provider's
control;
(4) not charge an
individual or LAR for the administrative handling of a trust fund checking
account;
(5) provide the individual
or LAR with a quarterly statement for the individual's personal funds held by
the program provider in a trust fund account that includes the following:
(A) name and location of the financial
institution for the trust fund account;
(B) account number for the trust fund
account;
(C) the statement coverage
period;
(D) the balance at the
beginning of the statement period;
(E) all deposits and withdrawals;
(F) interest earned, if any; and
(G) ending balance; and
(6) retain all statements from the financial
institution regarding the trust fund account.
(b) A program provider must not charge bank
fees to an individual or LAR if the individual's personal funds are maintained
by the program provider in:
(1) a pooled
checking account; or
(2) an
individual checking account at a financial institution chosen by the program
provider at the written request of the individual or LAR.
(c) If an individual or LAR chooses to have
the program provider maintain the individual's personal funds in an individual
checking account at a financial institution chosen by the individual or LAR,
the individual or LAR must pay the bank fees.
(d) If the trust fund account is a pooled
checking account, as described in §
260.253(b)(1) of
this subchapter (relating to Establishing a Trust Fund Account), that pays
interest, the program provider must:
(1)
distribute the interest to each individual for whom the program provider
maintains personal funds; and
(2)
prorate the actual interest:
(A) at the time
the financial institution pays the interest; and
(B) on the basis of the individual's balance
of personal funds in the account at the time the financial institution pays the
interest.
(e)
Within 72 hours after receiving a written request from an individual or LAR for
an accounting of the individual's personal funds maintained in a trust fund
account, a program provider must provide the individual or LAR with a written
record of the individual's personal funds maintained by the program provider in
a trust fund account.
