{"data":{"id":"us-ky/krs-210.290","jurisdiction":"us-ky","citation":"KRS 210.290","heading":"Cabinet may act as fiduciary for certain disabled or partially disabled","body":"adult residents -- Duties -- Guardianship trust fund -- Annual report -- Powers.\n(1) The Cabinet for Health and Family Services may be appointed and act as executor,\nadministrator, guardian, limited guardian, conservator, or limited conservator as\nprovided in this section. In this capacity the cabinet may act as a fiduciary and\ntransact business in the same manner as any individual and for fiduciary purposes\nmay sue and be s ued in any of the courts of the state. Bond shall not be required of\nthe cabinet.\n(2) (a) Whenever a resident of the state is adjudged partially disabled or disabled and\nno other suitable person or entity is available and willing to act as limited\nguardian, guardian, limited conservator, or conservator, the cabinet may be\nappointed as the resident's limited guardian, guardian, limited conservator, or\nconservator. As used in this paragraph, \"resident of the state\" means an\nindividual who has a permanent, ful l-time residence in Kentucky prior to the\nfiling of a petition for or appointment of a limited guardian, guardian, limited\nconservator, or conservator for at least the previous six (6) months that is not a\nhospital, treatment facility, correctional facility, or long-term care facility, and\nwho is a citizen or permanent resident of the United States.\n(b) Notwithstanding paragraph (a) of this subsection, except upon written order of\nthe court in exceptional circumstances, the cabinet shall not be appointed as  a\nlimited guardian, guardian, limited conservator, or conservator of a partially\ndisabled or disabled person when the person:\n1. Has been convicted of, pled guilty to, or entered an Alford plea for a sex\ncrime as defined in KRS 17.500 or an offense that w ould classify the\nperson as a violent offender under KRS 439.3401; or\n2. Is not alive or cannot be physically located.\n(c) Before appointing the cabinet, consideration shall be given to the average\ncaseload of each field social worker.\n(d) The cabinet, act ing through its designated officer, may apply to the District\nCourt of the county in which the adjudication is made for appointment as\nlimited guardian, guardian, limited conservator, or conservator for a partially\ndisabled or disabled person who meets the requirements of this subsection.\n(3) When the cabinet is appointed as a limited guardian, guardian, limited conservator,\nor conservator of a partially disabled or disabled person, the cabinet shall not:\n(a) Assume physical custody of the person;\n(b) Be assigned as the person's caregiver or custodian; or\n(c) Become personally liable for the person's expenses or placement, or to third\nparties for the person's actions. However, the cabinet shall procure resources\nand services for which the person is eligible when necessary and available.\n(4) (a) Except as provided in paragraph (b) of this subsection, upon t he death of a\nperson for whom the cabinet has been appointed guardian or conservator, or\nupon the death of a person who has been committed to the cabinet leaving an\nestate and having no relatives at the time residing within the state, the cabinet\nmay apply for appointment as administrator and upon appointment shall close\nthe administration of the estate.\n(b) If a person for whom the cabinet has been appointed guardian or conservator\ndies with less than ten thousand dollars ($10,000) of personal property or\nmoney, the cabinet shall not be required to apply for appointment as\nadministrator. However, prior to the release of funds to the person's estate, the\ncabinet shall ensure all outstanding bills related to living expenses, reasonable\nfuneral expenses when n ot prepaid, and estate recovery are paid. Any funds\nthat remain after those expenses are paid may be released first to other\ncreditors and then to the relatives of the ward. The cabinet shall establish an\nonline registry to provide public notice of remaini ng funds to other creditors\nand relatives of the ward, and the process for claiming those funds.\nNotwithstanding KRS 393.020, if the funds of a ward are less than ten\nthousand dollars ($10,000) and remain unclaimed after the expiration of one\n(1) year from  the date public notice is made, the funds shall escheat to the\nguardianship trust fund established in subsection (5) of this section.\n(5) There is created in the cabinet a trust and agency fund to be known as the\nguardianship trust fund. The trust shall c onsist of funds of deceased wards that\nremain after living, funeral, and estate recovery expenses are paid and that are\nunclaimed for one (1) year after public notice is made. The trust may also receive\ndonations or grant funds for the support of indigent wards. Notwithstanding KRS\n45.229, any unused trust balance at the close of the fiscal year shall not lapse but\nshall be carried forward to the next fiscal year. Any interest earnings of the trust\nshall become part of the trust and shall not lapse. The tru st may make investments\nas authorized by subsection (7) of this section and may use funds in the trust for the\nbenefit of indigent wards for expenses including:\n(a) Temporary housing costs;\n(b) Medical supplies or transportation services not covered by Medicaid;\n(c) Emergency personal needs, including clothing or food;\n(d) Burial expenses if no county funds are available in the county of death; and\n(e) Expenses necessary to ensure health, safety, and well -being when no other\nfunds are available or accessible in a timely manner.\n(6) The cabinet shall make available an annual report of income and expenditures from\nthe guardianship trust fund. The trust shall be subject to an independent audit at the\nrequest of the General Assembly or the State Auditor.\n(7) The cabinet may invest funds held as fiduciary in bonds or other securities\nguaranteed by the United States, and may sell or exchange such securities in its\ndiscretion. In addition, the cabinet may establish or place funds held as fiduciary in\na trust.\n(8) The cabinet shall receive such fees for its fiduciary services as provided by law.\nThese fees shall be placed in a trust and agency account, from which may be drawn\nexpenses for filing fees, court costs, and other expenses incurred in the\nadministration of e states. Claims of the cabinet against the estates shall be\nconsidered in the same manner as any other claim.\n(9) An officer designated by the secretary may act as legal counsel for any patient in a\nstate mental hospital or institution against whom a suit o f any nature has been filed,\nwithout being appointed as guardian, limited guardian, conservator, or limited\nconservator.\n(10) Patients hospitalized pursuant to KRS Chapters 202A and 202B who are not\nadjudged disabled or partially disabled may authorize the  Cabinet for Health and\nFamily Services to handle personal funds received by them at the hospital in the\nsame manner as prescribed in subsections (7) and (8) of this section.","path":["KRS Chapter 210"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=49013","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:52:10Z","sha256":"a7d302241a809ec7c4ffa8a50d863dd2d1b9dc0fe0b66213c4bfced0b632c1ee","source_id":"us-ky","stale":false,"prev":"us-ky/krs-210.285","next":"us-ky/krs-210.300"},"notice":"GroundRules: Original legal text. Not legal advice."}