A resident has the right to: Manage the resident's financial affairs; or Choose any person who is willing to handle the resident's financial affairs. Except as authorized by being appointed representative payee, a nursing facility may not manage a resident's funds without an express written request from: The resident; or An agent who has legal authority to make decisions regarding the resident's funds. Management of Personal Funds. Upon written authorization of a resident or agent, a nursing facility shall hold, safeguard, manage, and account for the resident's personal funds that are deposited with the nursing facility as specified in this regulation. Personal Funds in Excess of $50. A nursing facility shall: Deposit a resident's personal funds in excess of $50 in an interest-bearing account that is: Established and maintained by the facility under one of the following terms: In the name of the resident only; In the name of the facility “in trust for” or as the “trustee” for the individual resident; or In a residents' pooled account, with a separate accounting for each resident's share; and Located in a financial institution whose accounts are insured by the: Federal Deposit Insurance Corporation (FDIC); Federal Savings and Loan Insurance Corporation (FSLIC); or Other insurer approved by the Department; and Separate from any of the nursing facility's operating accounts; and Credit all interest earned to the resident's account at least quarterly. Personal Funds Less Than $50. A nursing facility may maintain a resident's personal funds that do not exceed $50 in a petty cash fund or a non-interest-bearing account that is identified as a residents' account. Establishment of Resident Accounts. When a nursing facility manages a resident's financial affairs, the nursing facility shall establish and maintain a system that: Ensures a full, complete, and separate accounting, according to generally accepted accounting principles, of each resident's personal funds entrusted to the nursing facility; and Precludes any commingling of resident funds with the nursing facility funds. For all resident funds entrusted to a nursing facility, the facility shall: Establish and maintain adequate fire and theft coverage to protect a resident's funds that are on the premises of the nursing facility; and Otherwise ensure the security of all residents' personal funds deposited with the nursing facility by purchasing a surety bond with the State as obligee on behalf of the nursing facility residents. Limitation on Charges to Personal Funds. A nursing facility may not: Impose a charge against a resident's personal funds for: An item or service for which payment is made under Medicare or Medicaid; and A cost or fee incurred by the facility for establishing and servicing the resident's accounts; or Use a Medicaid resident's personal funds to offset a contribution of care debt unless authorized by the resident, the resident's agent, or a court.