§ 15-14-412.9 — Pooled trusts - limitations

Colorado § 15-14-412.9

• Jurisdiction: Colorado
• Title 15: Probate,
• Art.: Persons Under Disability - Protection

Text

(1) A pooled trust within the
meaning of this section is a trust consisting of individual accounts established for
individuals who are disabled and is established for the purpose or with the effect of
establishing or maintaining a person's resource eligibility for medical assistance.

(2) A pooled trust is not valid for the purposes of establishing or maintaining
eligibility for medical assistance unless the trust meets the following criteria:

(a) The trust is established and managed by a nonprofit association that is
approved by the United States internal revenue service.

(b) A separate account is maintained for each beneficiary of the trust; except
that the accounts are pooled for purposes of investment and management of funds.

(c) The sole lifetime beneficiaries of the trust are the individual for whom the
trust is established and the state medical assistance program. After the death of
the person for whom the trust is created or after the trust is terminated during the
beneficiary's lifetime, whichever occurs sooner, no person is entitled to payment
from the remainder of the trust until the state medical assistance agency has been
fully reimbursed for the assistance rendered to the person for whom the trust was
created.

(d) Accounts in the trust are established solely for the benefit of individuals
who are disabled as defined in 42 U.S.C. sec. 1382c (a)(3), as amended, and are
established by the parent, grandparent, or legal guardian of such individual, by such
individual, or by a court.

(e) The trust provides that, upon the death of the beneficiary or termination
of the trust during the beneficiary's lifetime, whichever occurs sooner, to the extent
that amounts remaining in the beneficiary's trust account are not retained by the
trust, the state medical assistance program receives any amount remaining in that
individual's trust account up to the total medical assistance paid on behalf of the
individual.

(3) A pooled trust is not valid for the purpose of establishing or maintaining a
person's eligibility for any category of public assistance other than medical
assistance.

(4) No pooled trust shall be valid unless the department of health care policy
and financing, or its designee, has reviewed the trust and determined that the trust
conforms to the requirements of this section and any rules adopted by the medical
services board pursuant to section 25.5-6-103, C.R.S.

Legislative History

Source: L. 2000: Entire part R&RE, p. 1814, � 1, effective January 1, 2001 (see � 15-17-103). L. 2006: (4) amended, p. 2003, � 54, effective July 1.