INTENT
POLICY & PROCEDURE Trusteeship represents a payment to a third party on behalf of eligible persons who may use the funds issued in a way that will not benefit them or members of their benefit unit, or who have demonstrated misuse in the past. The appointment of a trustee involves additional documentation and reporting and eligibility monitoring requirements and thus has workload implications. The DNSSAB has adopted the general policy that wherever possible, funds (income support and participation supports) will be provided directly to applicants/recipients. In situations where it is determined that the applicant may abuse the funds, the Case Manager should first determine if the assistance can be directed to another beneficiary in the family (spouse). Where this is not possible (single) or practical a pay direct should be considered. Pay Direct (Non-Trustee Cases) Direct payment of assistance to third parties may be a one-time event or of an ongoing nature. Pay direct may be for a portion of or for all of the assistance payable. Payment to a vendor for a refrigerator is an example of a one-time pay direct. Payment of monthly assistance entitlement to a trustee is an example of an ongoing pay direct. Where a trustee arrangement can be avoided and the money management issues can be satisfactorily resolved by direct payment of items of assistance to a third party (i.e. rent direct to landlord), direct payment of a portion of the assistance will be the option pursued. In situations where the client has a history of misuse of funds (i.e. consistent rent or utility arrears, substance abuse) the Case Manager will first attempt to resolve the problem and reach consensus to direct payment of a portion of the assistance to a third party to avoid future problems. A pay direct must be agreed to by the applicant. Where the Case Manager is concerned that the remaining amount of assistance paid directly to the applicant may also be misused, they will discuss their concerns with the applicant and proceed to appoint a trustee for the case. The appointment of a trustee does not require the consent of the applicant. Circumstances Which Warrant a Trustee A trustee must be appointed to act on behalf of any recipient who is under 18 years of age. Recipients over 18 may have a trustee appointed where the Case Manager has cause to believe that the assistance may not be used as intended. In all cases where the applicant is over 18, the Case Manager must discuss their concerns with the applicant before appointing a trustee. Although the consent of the applicant is not mandatory, consent will be sought where possible. A trustee should be considered in the following circumstances:
Appointing a Trustee Once the determination has been made that the applicant/recipient requires a trustee, the Case Manager and/or the client must find an individual or agency willing to act as the trustee. Persons whom the DNSSAB will approve as trustees include:
Individuals or organizations as noted above may not be compensated for performing the trustee function. The DNSSAB will not approve a landlord as a trustee as this may represent a conflict of interest. Exceptions may be made where the landlord is a family member or friend and it is considered in the best interest of the client to have this individual as their trustee. Special circumstances should be noted in the fly-leaf narrative. No member of the DNSSAB staff may be a trustee for a recipient. Office of the Public Guardian and Trustee Where a suitable trustee cannot be located with which the client has a satisfactory relationship, the DSSAB will enter into an agreement with the Office of the Public Guardian and Trustee to provide these services on behalf of a client and compensate them for these services (not from the benefit entitlement). The Office of the Public Guardian will only be contacted in unusual cases where the client has no family or community supports and/or where no individual who is acquainted with the client is prepared to assume the trustee responsibilities (see Directive # 32). Where the DSSAB retains the services of the Public Guardian an amount not to exceed $30 per month may be paid as compensation for services provided. File Documents In the case of 16 and 17 year old applicants it is not necessary to note a reason for the trustee. Staff should refer to Policy # 28 entitled Applicants Under 18 to ensure that all other applicable policies and procedures related to school attendance and monitoring entitlement are applied. In the case of applicants over 18 years, the fly leaf narrative note must include:
In all cases where a trustee is in place, the mandatory forms as noted in Policy # 5: Application and Verification Interview must be on file. In addition, in all cases where a trustee has been appointed an "Appointment of Trustee" Form must be completed and signed. One copy will be given to the client, one to the trustee and a third kept on file. When a recipient acquires a new trustee, it is not necessary to complete a new application for assistance. However, a new "Appointment of Trustee" Form must be completed. The application documents with the new trustees signature will be completed at the next scheduled review where an updated application is required. Trustee Responsibilities Trustees are expected to act in the best interests of the client at all times. Trustees must be informed by the Case Manager to keep a record of money in and money out. Trustee records must include a record of
Further trustees will be required as a condition of the DNSSAB to open a separate bank account for the client. Assistance payments may be made through direct bank deposit. The trustee must be present for all application, verification and update meetings with the Case Manager. The trustee must sign all documents on behalf of the client including the application (Part 1 and Part 2). They must also co-sign the statement of income on a monthly basis. Further, the trustee must make themselves and their payment records available to the Case Manager who must conduct a review of the arrangement every six months. Six Month Reviews Every six months the Case Manager will review the circumstances of pay direct or trusteeship to determine if it is still in the best interests of the client to continue the arrangement. In cases where a new trustee has been acquired since the time of the completion of the last application a new application will be completed and signed by the applicant and the new trustee. In some situations (except 16 and 17 year olds), the client may have acquired the necessary skills to manage independently and the arrangement will be discontinued. In cases of pay direct, the Case Manager will meet with the client and review the circumstances to determine if a pay direct should continue. In cases of trusteeship, the Case Manager will meet with the client and trustee and review the circumstances to determine if the arrangement should continue. Where the recipient is under 18, school attendance and progress will be discussed with the trustee. In all cases, the Case Manager will review the financial records maintained by the trustee. Where the records are unsatisfactory, the Case Manager will request to review receipts. Where the trustee is unable to present receipts or satisfy the Case Manager that the funds are being directed in the best interest of the client, the Case Manager may choose to terminate the arrangement and appoint another trustee. Misappropriated Funds Where it is apparent that monies have been misappropriated and the recipient is unable to provide for his/her basic needs or shelter, an amount of up to one months assistance may be paid directly to the client to remedy the situation. Where one months assistance is insufficient to provide for the individual or family, emergency assistance should be issued (see Policy # 4: Emergency Assistance). A new trustee will be appointed immediately. The Case Manager will consult with the Manager to determine if a referral should be made to the ERO investigate the misappropriated funds. LOCAL AUDIT REQUIREMENTS
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