Section 1568.021 Of Chapter 3.01. Residential Care Facilities For Persons With Chronic Life-threatening Illness From California Health And Safety Code >> Division 2. >> Chapter 3.01.
1568.021
. (a) If the applicant for a license for a residential care
facility handles or will handle any money of a resident of the
facility, the applicant or licensee shall file or have on file with
the department a bond issued by a surety company admitted to do
business in this state in a sum to be fixed by the department based
upon the magnitude of the operations of the applicant or licensee,
but which sum shall not be less than one thousand dollars ($1,000),
running to the State of California and conditioned upon his or her
faithful and honest handling of the money of residents of the
facility.
(b) The failure of any licensee under this chapter to maintain on
file with the department a bond in the amount prescribed by the
department or the embezzlement by a licensee of trust funds of a
resident of the facility shall constitute cause for the revocation of
the license.
(c) This section shall not apply if the licensee handles moneys of
residents of the facility in amounts less than fifty dollars ($50)
per person and less than five hundred dollars ($500) for all persons
in any month.
(d) The director may grant a partial or total variance from the
requirements of this section if the director finds that compliance
with them is so onerous that a residential care facility will cease
to operate, and if the director also finds that money of the
residents received or cared for in the facility has been, or will be,
deposited in a bank in this state, in a trust company authorized to
transact a trust business in this state, or in a savings and loan
association in this state, upon condition that the money may not be
withdrawn except on authorization of the person or a representative
who is legally authorized to make financial decisions on behalf of
the person.