Lesson 6: When Should Funds Be Disbursed?

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When Should Trust Funds Be Disbursed?

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”Trust Funds may only be utilized for certain expenses. In this lesson, we’ll examine what they can be used for and some basic examples.”

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Trust Fund Disbursements :

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Funds from the trust may be utilized for the department’s banking fees and charges, and for the cost of personnel needed within the department to maintain the Unclaimed Funds Registry and process disbursements.

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All other funds in the trust shall be utilized for the following needs of indigent individuals under state guardianship:

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Temporary housing costs for a maximum of 2 months;
Example: An individual released from jail with no placement options may receive a motel room for 2 months.

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Medical supplies, medication, or medical transportation not covered by Medicaid or other insurance;
Example: An individual needs insulin but the pharmacy will not refill the medication due to an outstanding balance.

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Emergency personal needs, including clothing or food;
Example: An individual lost power during a storm causing the food in their refrigerator to spoil and they do not have additional funds in their Guardianship account to purchase food.

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Burial expenses (limited to a maximum of $5,000) if no county funds are available in the county of death, and the following requirements are met:
– CHFS has been appointed as guardian/conservator for at least 6 months,
– The individual has no burial plan or life insurance, and
– The family is unable to pay for funeral expenses.

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Expenses necessary to ensure health, safety, and well-being when no other funds are available or accessible in a timely manner.
Example: An individual needs funds to prevent electricity being turned off, or to get it turned back on.