Resident Funds Nursing Home Bond
Texas Resident Funds (Nursing Home) Bond Information
A Resident Fund Surety Bond (Form 3698) is required by the Texas Department of Aging and Disability Services for facilities or other entities contracted to provide Medicaid Nursing Facility Services in Texas. The purpose of the surety bond is to make sure the security of all personal funds of residents deposited with and entrusted to the bonded entity operating a nursing facility as defined in Chapter 242 of the Texas Health and Safety Code. The surety bond is conditioned upon the principal holding separately and in trust all residents' funds deposited, administering funds on behalf of residents as directed by 42 U.S.C.A. §1396r(c)(6) and 40 TAC Chapter 19, maintaining accurate and complete accounts to the residents, the depositors and the Department of Aging and Disability Services when requested, and returning the full balance to the resident or other responsible party representing such resident in accordance with 40 TAC Chapter 19.