(1) If a basis is established for a protective order with respect to an individual, the court, without appointing a conservator, may:
(a) Authorize, direct, or ratify any transaction necessary or desirable to achieve any arrangement for security, service, or care meeting the foreseeable needs of the protected person, including:
(I) Payment, delivery, deposit, or retention of funds or property;
(II) Sale, mortgage, lease, or other transfer of property;
(III) Purchase of an annuity;
(IV) Making a contract for life care, deposit contract, or contract for training and education; or
(V) Addition to or establishment of a suitable trust, including a trust created under the Colorado Uniform Custodial Trust Act, article 1.5 of this title; and
(b) Authorize, direct, or ratify any other contract, trust, will, or transaction relating to the protected person's property and business affairs, including a settlement of, and distribution of settlement of, a claim, upon determining that it is in the best interest of the protected person.
(2) In deciding whether to approve a protective arrangement or other transaction under this section, the court shall consider the factors described in section 15-14-411 (3).
(3) (a) The court may appoint a special conservator to assist in the accomplishment of any protective arrangement or other transaction authorized under this section. The special conservator has the authority conferred by the order and shall serve until discharged by order after report to the court.
(b) If the court appoints a special conservator without notice to the respondent, protected person, or any other person entitled to notice pursuant to section 15-14-404 (2) and the person appointed is a professional without priority to serve pursuant to section 15-14-413 or a public administrator pursuant to section 15-12-622, the court shall, upon entry of the order of appointment of special conservator, simultaneously appoint a visitor to investigate and report to the court within fourteen days after the appointment as provided in section 15-14-113.5.
Source: L. 2000: Entire part R&RE, p. 1809, � 1, effective January 1, 2001 (see � 15-17-103). L. 2020: (3) amended, (SB 20-129), ch. 270, p. 1317, � 4, effective September 1. L. 2021: (3)(b) amended, (SB 21-266), ch. 423, p. 2800, � 13, effective July 2.
Editor's note: This section is similar to former � 15-14-409 as it existed prior to 2001.
15-14-412.5. Limited court-approved arrangements authorized for persons seeking medical assistance for nursing home care - applicable to trusts established before a certain date. (1) The general assembly hereby finds, determines, and declares that:
(a) The state makes significant expenditures for nursing home care under the Colorado Medical Assistance Act;
(b) A large number of persons do not have enough income to afford nursing home care, but have too much income to qualify for state medical assistance, a situation popularly referred to as the Utah gap;
(c) Some persons in the Utah gap, through innovative court-approved trust arrangements, have become qualified for state medical assistance, thereby increasing state medical assistance expenditures;
(d) It is therefore appropriate to enact state laws that limit such court-approved trusts in a manner that is consistent with Title XIX of the federal Social Security Act, 42 U.S.C. sec. 1396 et seq., as amended, and that provide that persons who qualify for assistance as a result of the creation of such trusts shall be treated the same as any other recipient of medical assistance for nursing home care;
(e) In enacting this section, the general assembly intends only to limit certain court-approved trusts and court-approved transfers of property. It is not the general assembly's intent to approve or disapprove of privately created trusts or private transfers of property made under the same or similar circumstances.
(2) The court shall not authorize, direct, or ratify any trust that either has the effect of qualifying or purports to qualify the trust beneficiary for medical assistance for nursing home care pursuant to the provisions of title 25.5, C.R.S., unless the circumstances surrounding the creation of the trust and the trust provisions meet the criteria set forth in section 25.5-6-102 (3), C.R.S. This section shall apply to any court-approved trust that is funded with property owned by the beneficiary at the time the trust is created but shall not apply to any trust that is established and directly funded by a defendant or insurance company in settlement of an action or claim for personal injury brought by or on behalf of the trust beneficiary.
(3) Except as otherwise permitted by Title XIX of the federal Social Security Act, 42 U.S.C. sec. 1396p, as amended, the court shall not authorize, direct, or ratify the transfer of any property owned by a protected person if the transfer either has the effect of qualifying or purports to qualify the protected person for medical assistance for nursing home care pursuant to the provisions of title 25.5, C.R.S., unless the property is transferred into a trust established in accordance with subsection (2) of this section.
(4) This section shall take effect January 1, 1992, and shall apply to any court-approved trust established for or court-approved transfer of property made by or for a protected person applying for or receiving medical assistance for nursing home care pursuant to the provisions of title 25.5, C.R.S., on or after said date; except that such a trust created before said date that does not comply with this section shall be modified to comply with this section no later than July 1, 1992, before which time a court-approved trust or a court-approved transfer of property to a court-approved trust shall not render the protected person ineligible for medical assistance.
(5) The provisions of this section shall not apply if federal funds are not available for persons who would qualify for medical assistance as a result of a court-approved trust that meets the criteria set forth in section 25.5-6-102, C.R.S.
(6) This section applies to trusts established or transfers of property made prior to July 1, 1994. The provisions set forth in sections 15-14-412.6 to 15-14-412.9 and any rule adopted by the medical services board pursuant to section 25.5-6-103, C.R.S., apply to trusts established or property transferred on or after July 1, 1994.
Source: L. 2000: Entire part R&RE, p. 1810, � 1, effective January 1, 2001 (see � 15-17-103). L. 2006: (2), (5), and (6) amended, p. 2002, � 50, effective July 1. L. 2007: (2), (3), and (4) amended, p. 2027, � 30, effective June 1.
Editor's note: This section is similar to former � 15-14-409.5 as it existed prior to 2001.
15-14-412.6. Trust established by an individual - eligibility for certain public assistance programs - general provisions. (1) For purposes of this section and sections 15-14-412.7 to 15-14-412.9, unless the context otherwise requires the following definitions apply:
(a) Asset has the same meaning as set forth in Title XIX of the federal Social Security Act, 42 U.S.C. sec. 1396p (e), as amended.
(b) Income has the same meaning as set forth in Title XIX of the federal Social Security Act, 42 U.S.C. sec. 1396p (e), as amended.
(c) Public assistance means public assistance as provided by article 2 of title 26, C.R.S., and medical assistance as provided by articles 4, 5, and 6 of title 25.5, C.R.S.
(d) Resources has the same meaning as set forth in Title XIX of the federal Social Security Act, 42 U.S.C. sec. 1396p (e), as amended.
(e) Trust established by an individual has the same meaning as set forth in Title XIX of the federal Social Security Act, 42 U.S.C. sec. 1396p (d)(2), as amended.
(2) Notwithstanding any statutory provision to the contrary, a court shall not authorize, direct, or ratify any trust established by an individual that has the effect of qualifying or purports to qualify the trust beneficiary for public assistance unless the trust meets the criteria set forth in this section, sections 15-14-412.7 to 15-14-412.9, and any rule adopted by the medical services board pursuant to section 25.5-6-103, C.R.S.
(3) The court shall not authorize, direct, or ratify the transfer of any assets owned by a protected person if the transfer has the effect of qualifying or purports to qualify the protected person for public assistance unless the assets are transferred to a trust that meets the criteria set forth in this section, sections 15-14-412.7 to 15-14-412.9, and any rule adopted by the medical services board pursuant to section 25.5-6-103, C.R.S.
Source: L. 2000: Entire part R&RE, p. 1811, � 1, effective January 1, 2001 (see � 15-17-103). L. 2006: (1)(c), (2), and (3) amended, p. 2002, � 51, effective July 1.
Editor's note: This section is similar to former � 15-14-409.6 as it existed prior to 2001.