Complaint Investigation Report

“(e) Cash resources, personal property, and valuables of clients shall be separate and intact, and shall not be commingled with day program funds or petty cash. (1) The above requirement shall not prohibit the licensee from providing advances or loans to clients from day program funds. (A) Documentation of such transactions shall be maintained in the day program. (f) The licensee or employee of a licensee shall not make expenditures from clients' cash resources for any basic services as defined in Section 82001(b), or for any basic services identified in a contract/admission agreement between the client and the licensee. (g) The licensee shall not commingle cash resources and valuables of clients with those of another community care facility of a different license number regardless of joint ownership. (h) Each licensee shall maintain accurate records of accounts of cash resources, personal property, and valuables entrusted to his/her care, including, but not limited to the following: (1) Records of clients' cash resources maintained as a drawing account, which shall include a current ledger accounting, with columns for income, disbursements, and balance, for each client. Supporting receipts for purchases shall be filed in chronological order. (A) Receipts for cash provided to any client from his/her account(s) shall include the client's full signature or mark, or authorized representative's full signature or mark, and a statement acknowledging receipt of the amount and date received, as follows: ‘(full signature of client) accepts (dollar amount) (amount written cursive), this date (date), from (payor).’ (B) The store receipt shall constitute the receipt for purchases made for the client from his/her account. (C) The original receipt for cash resources, personal property or valuables entrusted to the licensee shall be provided to the client's authorized representative, if any, otherwise to the client. (2) Bank records for transactions of cash resources deposited in and drawn from the account specified in (i) below. (i) Immediately upon admission of a client, all his/her cash resources entrusted to the licensee and not kept in the licensed facility shall be deposited in any type of bank, savings and loan, or credit union account meeting the following requirements: (1) The account shall be maintained as a trust account separate from the personal or business accounts of the licensee. (2) The account title shall clearly note that the account contains client cash resources. (3) The licensee shall provide access to the cash resources upon demand by the client or his/her authorized representative.”

On 09/11/2023, LPA received multiple incident reports from the Licensee detailing that the Licensee discovered unaccounted for receipts/funds from four (4) residents accounts in (4) separate facilities overseen by the Licensee after the departure of an individual terminated Staff member on 04/18/2023. The Accounting Department of the Licensee audited each document and recorded the receipts to the correct ledgers to account for the funds...Contd. on 9099-C