TEN THINGS TO KNOW WHEN AN INDIVIDUAL WITH DISABILITIES MOVES FROM ONE STATE TO ANOTHER STATE
by: Begley Law Group
by Thomas D. Begley, Jr., Esquire, CELA
- Reasons for the Move. There are many reasons for an individual with disabilities to move from one state to another. For example:
- The parent’s employment may require a move.
- The parent dies and a sibling living in another state volunteers to take care of the disabled individual.
- The parent becomes aged and are no longer able to care for the child with disabilities and a sibling in another state volunteers to care for that person.
- Public Benefits. A very high percentage of individuals with disabilities receive public benefits. These benefits could include the following:
- Supplemental Security Income (SSI)
- Social Security Disability Insurance (SSDI)
- Medicaid
- Medicare
- Supplemental Nutrition Assistance Program (SNAP-formerly Food Stamps)
- Public Housing
- Group Home
Except for Social Security Disability Insurance (SSDI) and Medicare, state laws vary with respect to eligibility.
- Third Party Special Needs Trust (TPSNT). In many instances, a parent, grandparent, or someone else has established a TPSNT for the benefit of the disabled individual. The TPSNT provides funding for the person with disabilities while at the same time preserving important public benefits. In those instances where there is no Third Party Special Needs Trust, the person with disabilities must rely strictly on public benefits.
- Trustee. If there is a TPSNT, the question then becomes who can serve as Trustee. If the trust is established in one state and the person with disabilities moves to another state, what happens?
- Professional Trust Company. Does the charter of the Professional Trust Company allow the Trustee to operate in more than one state? For example, does the Trustee have a national charter?
- Pooled Trust. Does the Pooled Trust have a national charter?
- Family Member. A family member could continue to serve as Trustee even if the person with disabilities moves to another state, although communication may become more difficult.
- Amendment to Trust. If the person with disabilities moves to another state with different laws, does the original trust document give someone, such as the Trustee or Trust Protector, the right to amend the Trust to comply with the laws of the new state?
- Pay for Care. Can the Trust pay family members to provide care? A written Caregiver Agreement should be prepared outlining exactly what care the family member will be providing.
- Pro Rata Share. If a family member provides housing for the person with disabilities, does the Trust have to pay a pro rata share of the shelter expenses? If the Trust buys a vehicle, does the Trust have to pay a pro rata share of the purchase price and operating expenses of the vehicle? This assumes that the vehicle will be used by a family member and also by the Trustee.
- Documents. Does the person with disabilities need his or her own Estate Planning documents? Is a Will necessary? Is an Advance Directive, a Dementia Directive, or a Power of Attorney a good idea?
- Education. Are education facilities in the new location adequate?
- Medical Team. It is important to establish a medical team for the individual with disabilities before or as soon as possible after the move.