Community Grievance Decision Digest

Funds and Indigence

The decision summaries regarding this law may be found in the document:
  Community Grievance Decision Digest: Decisions. (PDF, 512KB)

THE LAW:

Each patient shall... “Have the right to use his or her money as he or she chooses, except to the extent that authority over the money is held by another, including the parent of a minor, a court-appointed guardian of the patient's estate or a representative payee. If a treatment facility or community mental health program so approves, a patient or his or her guardian may authorize in writing the deposit of money in the patient's name with the facility or program. Any earnings attributable to the money accrue to the patient. The treatment facility or community mental health program shall maintain a separate accounting of the deposited money of each patient. The patient or his or her guardian shall receive, upon written request by the patient or guardian, a written monthly account of any financial transactions made by the treatment facility or community mental health program with respect to the patient's money. If a patient is discharged from a treatment facility or community mental health program, all of the patient's money shall be returned to the patient. No treatment facility or community mental health program or employee of such facility or program may act as representative payee for a patient for social security, pension, annuity or trust fund payments or other direct payments or monetary assistance unless the patient or his or her guardian has given informed written consent to do so or unless a representative payee who is acceptable to the patient or his or her guardian and the payer cannot be identified. A community mental health program or treatment facility shall give money of the patient to him or her upon request, subject to any limitations imposed by guardianship or representative payeeship, except that an inpatient facility may, as part of its security procedures, limit the amount of currency that is held by a patient and may establish reasonable policies governing patient account transactions.”

51.61(1)(v), Wis. Stats. [Emphasis added.]

"Except as otherwise provided under s. 51.61(1)(v), Stats., a patient shall be permitted to use the patient’s own money as the patient wishes. A service provider holding funds for a patient shall give the patient an accounting of those funds in accordance with s. 51.61(1)(v), Stats."

DHS 94.25, Wis. Admin. Code [Emphasis added.]

NOTE: Subsection 51.61(1)(v) was added to the Wisconsin Statues in 1995. Prior to that time, patient funds were considered to be "possessions" under ss. 51.61(1)(q). As "possessions" personal funds could be limited in certain circumstances constituting "cause" under Sec. 51.61(2), Stats. (the client rights limitation or denial procedure). Subsection 51.61(1)(v) is not one of those rights to which the limitation or denial process applies. However, that law states in part, "an inpatient facility may, as part of its security procedures, limit the amount of currency that is held by a patient..."

Last Updated: June 18, 2009