Final Text
12VAC5-371-160. Financial controls and resident funds.
A. All financial records, including resident funds, shall be kept according to generally accepted accounting principles (GAAP).
B. Each nursing facility shall maintain liability insurance coverage in a minimum of $1 million and professional liability coverage in an amount at least equal to the recovery limit set forth in § 8.01-581.15 of the Code of Virginia to compensate residents or individuals for injuries and losses resulting from the negligent or criminal acts of the facility. Failure to maintain minimum insurance shall result in revocation of the facility's license.
C. Nursing facilities choosing to handle resident funds shall:
1. Comply with § 32.1-138 A 7 of the Code of Virginia regarding resident funds;
2. Purchase a surety bond or otherwise provide assurance for the security of all personal funds deposited with the facility; and
3. Provide for separate accounting for resident funds.
D. In the event the facility is sold, the nursing facility shall provide written verification that all resident funds have been transferred and shall obtain a signed receipt from the new owner. Upon receipt, the new owner shall provide an accounting of resident funds.
E. In the event of a resident's death or discharge with
funds deposited with the facility, the nursing facility shall, within 30 days,
give a final accounting of those funds to the individual administering the
resident's estate and, if appropriate, refund any moneys due. Each
nursing facility shall be required to provide a full refund of any unexpended
patient funds on deposit with the facility following the discharge or death of
a patient, other than entrance related fees, within 30 days of a written
request for such funds by the discharged patient or, in the case of the death
of a patient, the person administering the patient's estate in accordance with
the Virginia Small Estate Act (§ 64.2-600 et seq. of the Code of Virginia).