Failure to Properly Record and Release Resident Funds
Penalty
Summary
The facility failed to establish and maintain a proper system for recording and releasing resident funds in accordance with generally accepted accounting principles. Specifically, for one resident with moderate cognitive impairment, there was a lack of documentation and proof regarding the release of $200 in cash and a $400 cashier's check that were deposited with the facility. After the resident's death, the family was informed that the funds had already been released, but the family reported never receiving the money. The administrator stated that the resident's wife collected the funds prior to the resident's death, but there was no documentation or signed receipt to confirm this transaction. Interviews with staff revealed inconsistencies in the account of how and when the funds were released. The DON recalled that the administrator gave the money to the wife and daughter but might have forgotten to record it. The administrator described instructing another staff member to retrieve and hand over the funds, but admitted that the normal process of obtaining a signed receipt was not followed and no proof of the transaction was available. A review of clinical records and documentation for the relevant period showed no evidence that the funds were released to the family.