California Health and Safety Code

§ 1793

HSC § 1793 Effective Jan 1, 1996Div. 2 · Ch. 10 · Art. 6

Statute text

(a)Any provider offering a refundable contract, or other entity assuming responsibility for refundable contracts, shall maintain a refund reserve fund in trust for the residents. This trust fund shall remain intact to accumulate interest earnings resulting from investments of liquid reserves in accordance with paragraph (1) of subdivision (e) and subparagraphs (A) through (E), inclusive, of paragraph (3) of subdivision (e) of Section 1792.2. The amount of the refund reserve shall be revised annually by the provider and submitted to the department in conjunction with the annual report required by Section 1790.

(b)Any providers or other entity assuming responsibility for refundable contracts, which has not executed refundable contracts in a continuing care retirement community prior to January 1, 1996, and proposes to execute these contracts in that continuing care retirement community after that date, shall maintain a refund reserve fund in trust for the residents holding such contracts.

(1)Except as noted in paragraph (2), this trust fund shall remain intact as specified in subdivision (a).

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Legislative history

Amended by Stats. 1995, Ch. 920, Sec. 48. Effective January 1, 1996.