BILL ANALYSIS �
AB 557
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Date of Hearing: April 16, 2013
ASSEMBLY COMMITTEE ON VETERANS AFFAIRS
Al Muratsuchi, Chair
AB 557 (Yamada) - As Introduced: February 20, 2013
SUBJECT : Veterans' homes: accounting of charges.
SUMMARY : Changes the font size and some language in the
quarterly statements to residents of the Veterans Home.
Specifically, this bill :
1)Requires that the quarterly statements of all charges for the
costs of care rendered to the member in excess of the member
fee include language that if the veteran is a resident of the
home at the time of death, the home may use his or her money
or personal property that is in possession of the home or
outside the home for payment of unreimbursed costs of care.
2)Requires that the statements and notices relating to the
statements shall be in a font size and type that complies with
the standards of the Americans with Disabilities Act of 1990.
EXISTING LAW :
1)A member of a veterans' home is required to pay fees and
charges as determined by the Department of Veterans Affairs.
2)Upon admission to a California veterans' home, the
administrator of each home must provide written notice to the
veteran informing him or her of costs of care that may be
incurred in excess of the member contribution fee. The
notification must:
a) Include an explanation of circumstances under which the
member may incur costs that are in excess of the
contribution fee.
b) Specifically indicate that these excess costs of care
are costs in addition to, or above and beyond, the member
contribution fee.
c) Provide examples of "excess costs of care that are
frequently incurred by veterans."
d) Inform the member that he or she will receive a
quarterly accounting statement of the total excess costs of
care, but that the statement is provided for informational
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purposes only.
e) Inform the veteran that, if he or she is a resident of
the home at the time of death, the home may disburse his or
her moneys or personal property for payment of unreimbursed
excess costs of care.
f) Include a statement advising the member to seek counsel
from a legal expert to protect his or her assets.
g) Include the terms and conditions upon which the member
fees and costs can be changed.
h) The notification shall require the signature of the
veteran that acknowledges that he or she has read and
understands the notification.
i) The notification shall be written in plain,
straightforward language, avoiding technical terms as much
as possible, and using a coherent and easily readable
style.
j) A copy of the notification, containing all the
information specified in subdivision (a) and titled in
large font "NOTICE TO RESIDENTS," shall be conspicuously
posted in each veterans home by the administrator of the
veterans home.
3)The administrator of the home must provide each member with a
quarterly statement or accounting of all charges for the costs
of care rendered to the member in excess of the member fee, as
defined. The statement must include:
a) A statement that the charges for the excess costs of
care are provided to the member for informational purposes
only.
b) A statement that, if the veteran is a resident of the
home at the time of death, the home may use his or her
money or personal property that is in possession of the
home for payment of unreimbursed excess costs of care.
c) A statement that advises the member to seek counsel from
a legal expert to protect his or her assets.
4)The department may recover costs from the estate of the
veteran for payment of funeral expenses or any obligation owed
to the home, including the cost of any care rendered by the
home in excess of the fees paid by the veteran to the home.
Any funds of the deceased veteran representing the cost of
care rendered by the home in excess of the fees paid by the
veteran to the home shall be paid to the Morale, Welfare, and
Recreation Fund. This subdivision applies only to veterans
becoming members of the home on or after January 1, 1984.
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FISCAL EFFECT : Unknown at this time.
COMMENTS : This bill makes minor changes to existing law and
policy. The bill adds language warning the home member that
recovery of excess cost of care can be from the member's
personal property wherever it is located and adds a requirement
that the language be in a font that meets ADA guidelines.
Residents are already given a notice substantially similar to
the one contemplated in the bill when they become a member of
the home. The notice is also permanently posted in the home.
However, most of the residents of the home are elderly and/or
disabled and they might benefit from additional reminders
located on their quarterly statements. The additional
burden/cost of adding the advisory language to the bill, while
outside the scope of this committee's analysis, seems likely to
be relatively small and the language might bring some peace of
mind and/or avoid surprises for the residents. It will also
give residents more opportunities to plan the disposition of
their assets should they wish to do so.
Related Legislation:
AB 1823, Yamada. Veterans' homes: accounting for charges.
Required the quarterly statement or accounting of all charges to
include information relating to payment of any outstanding
charges at the time of the veteran's death, including the use of
a deceased veteran's personal property or money for payment of
outstanding charges, and a statement advising the member to seek
counsel from a legal expert to protect his or her assets.
REGISTERED SUPPORT / OPPOSITION :
Support
None at this time.
Opposition
None at this time.
Analysis Prepared by : John Spangler / V. A. / (916) 319-3550
AB 557
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