Failure to Timely Refund Resident Trust Fund Balances After Discharge or Death
Penalty
Summary
The facility failed to ensure that residents or their representatives received a final refund of trust fund balances within 30 days of discharge or expiration, as required by facility policy. Specifically, two out of three resident accounts reviewed showed that the refunds were not issued in a timely manner. One resident, who had expired, had a credit balance of $25.01 that was not refunded to the representative within the required timeframe. Another resident, who was discharged, had a credit balance of $57.66 that was also not refunded promptly. Interviews with the residents' representatives confirmed that they had not received the funds and had experienced delays and difficulties in obtaining the refunds. The deficiency was further substantiated by interviews with the facility Administrator, who acknowledged that the financial services staff responsible for issuing refunds had been terminated due to failure to return funds to residents or their representatives in a timely manner. The Administrator confirmed the outstanding balances owed to both residents' representatives and indicated that the issue was known to facility leadership. The review of facility policy and resident account statements supported the finding that the required refunds were not processed within the specified 30-day period.