New York Laws
Article 29 - General Provisions Relating to In-Patient Facilities
29.23 - Powers With Respect to Property of Persons Receiving Services.

The commissioner may authorize the directors of department facilities,
to receive or obtain funds or other personal property, excepting
jewelry, due or belonging to a person receiving services from such
facility who has no guardian authorized to receive such funds or
property, up to an amount or value not exceeding twenty-five thousand
dollars; and also from a guardian upon his discharge when the final
order so provides where the balance remaining in the hands of such
guardian does not exceed such amount. Such personal property, excepting
jewelry, other than moneys shall be retained by the director for the
benefit of the person for whom received until sold as hereinafter
provided. Such funds and the proceeds of the sale of other personal
property so received shall be placed to the credit of the person for
whom received and disbursed on the order of the director, to provide, in
the first instance, for luxuries, comforts, and necessities for such
person, including burial expenses and such director shall be authorized
to seek to place, to the extent permissible by law, funds in excess of
the appropriate eligibility level for government benefits, into a
qualifying Medicaid exception trust, including a special needs trust, or
similar device. The director of a department facility shall ensure that
the treatment team meet with, and determine the current and future
personal needs of, the person receiving services. For purposes of this
section, a treatment team is one that is responsible for the following,
including but not limited to, clinical assessments, treatment plan
development, any necessary discharge planning, and personal expenditure
planning. The commissioner may authorize directors, on behalf of any
such person, to give receipts, execute releases and other documents
required by law or court order, to endorse checks and drafts, and to
convert personal property excepting jewelry into money by sale for an
adequate consideration, and to execute bills of sale or to permit such
person to do so, in order that the proceeds may be deposited to the
credit of such person in accordance with the provisions of this section.

Whenever, under the provisions of this section, the commissioner shall
authorize the director of a facility in the department to receive moneys
or other personal property excluding jewelry belonging to a person which
are on deposit in any bank or other institution or which are due to the
person from any person or agency, such bank, institution, person, or
agency shall, upon the written request of the director, forthwith turn
over to such director from such moneys or personal property the amount
or value hereinbefore specified. Any moneys received by the director of
such facility shall be deposited by him in such bank or trust company as
shall be designated by the comptroller, except that the commissioner
may, in his discretion, invest so much thereof as he may deem advisable
in bonds issued by the United States government or any of its agencies.

Moneys belonging to a person received by the director of such facility
pursuant to law shall be received by him in his official capacity as
such director and such receipt shall be deemed an exercise or
performance by him of a power and duty duly conferred by this section.
In the event that a director of a department facility receives a
windfall payment on behalf of a person which, in combination with other
funds held on behalf of such person, would cause such person to become
ineligible for government benefits, such director shall, to the extent
permissible by law, apply the funds in excess of the appropriate
eligibility level to the person's personal needs or seek to place such
excess funds into a qualifying Medicaid exception trust, including a
special needs trust, or similar device. For purposes of this section, a
windfall payment shall mean a one-time payment such as a gift, an
inheritance, lottery winnings, or court-ordered judgment or settlement.

This section shall not apply to any federal or state benefits received
by the director as representative payee, which benefits shall be handled
in accordance with section 33.07 of this title and regulations
promulgated thereunder.

* NB Effective until June 30, 2024
* § 29.23 Powers with respect to property of patients.

The commissioner may authorize the directors of department facilities,
to receive or obtain funds or other personal property, excepting
jewelry, due or belonging to a patient who has no committee, up to an
amount or value not exceeding five thousand dollars; and also from a
committee upon his discharge when the final order so provides where the
balance remaining in the hands of such committee does not exceed such
amount. Such personal property, excepting jewelry, other than moneys
shall be retained by the director for the benefit of the patient for
whom received until sold as hereinafter provided. Such funds and the
proceeds of the sale of other personal property so received shall be
placed to the credit of the patient for whom received and disbursed on
the order of the director, to provide, in the first instance, for
luxuries, comforts, and necessities for such patient, including burial
expenses, and, if funds are thereafter available, for the support of
such patient. The commissioner may authorize directors, on behalf of any
such patient, to give receipts, execute releases and other documents
required by law or court order, to endorse checks and drafts, and to
convert personal property excepting jewelry into money by sale for an
adequate consideration, and to execute bills of sale or to permit such
patient to do so, in order that the proceeds may be deposited to the
credit of such patient in accordance with the provisions of this
section.

Whenever, under the provisions of this section, the commissioner shall
authorize the director of a facility in the department to receive moneys
or other personal property excluding jewelry belonging to a patient
which are on deposit in any bank or other institution or which are due
to the person from any person or agency, such bank, institution, person,
or agency shall, upon the written request of the director, forthwith
turn over to such director from such moneys or personal property the
amount or value hereinbefore specified. Any moneys received by the
director of such facility shall be deposited by him in such bank or
trust company as shall be designated by the comptroller, except that the
commissioner may, in his discretion, invest so much thereof as he may
deem advisable in bonds issued by the United States government or any of
its agencies.

Moneys belonging to a patient received by the director of such
facility pursuant to law shall be received by him in his official
capacity as such director and such receipt shall be deemed an exercise
or performance by him of a power and duty duly conferred by this
section.

* NB Effective June 30, 2024