Cal. Code Regs. Tit. 22, § 50965 Voluntary Post Death Lien

• Library: California Code of Regulations
• Edition: 2023
• Currency: Current through Register 2023 Notice Reg. No. 52, December 29, 2023
• Citation: Cal. Code Regs. Tit. 22, § 50965
• Year: 2023

(a) The Department shall propose a voluntary post death lien on the real property of the estate, and other real property that the dependent(s), heir(s), or survivor(s) has an interest in, when one or more of the dependent(s), heir(s), or survivor(s) are:

(1) Living in and not willing to sell the real property, and

(2) Unable to pay the Department's claim in full, and

(3) Can demonstrate as provided in subsection (b) that he or she is unable to obtain financing.

(b) The Department shall offer to accept a voluntary post death lien as soon as it has been determined that the dependent(s), heir(s), or survivor(s) is unable to pay or to obtain financing to pay their proportionate share of the estate claim. The dependent(s), heir(s), or survivor(s) shall apply to obtain financing, for an amount not to exceed his or her proportionate share of the claim, from a financial institution as defined in Probate Code Section California Probate Codeundefined40, and shall provide the Department with a denial letter(s) from the financial institution.

(c) A voluntary post death lien shall be proposed independent of a decision on an applicant's request for a waiver due to a substantial hardship.

(d) In addition to the placement of a lien on the real property, the Department shall require that monthly payments be made to the Department of Health Care Services, Estate Recovery Section, MS 4720, P.O. Box 997421, Sacramento, CA 95899-7421. The monthly payments shall be in accordance with the dependent's, heir's, or survivor's financial ability to pay, and shall be adjusted as needed. Monthly payments shall continue until the lien amount owed to the Department by the lienee, plus interest, is paid in full. Payments shall not be required when a dependent's, heir's, or survivor's income is below the federal poverty level.

(e) The voluntary post death lien will accrue simple interest at the rate of seven percent per annum, and becomes due and payable, including all interest accrued, upon the first to occur of the following:

(1) The death of the dependent(s) heir(s), or survivor(s); or,

(2) The sale, refinance, transfer, or change in title to the real property or,

(3) Escrow funding and/or

(4) Default in payments.

(f) In the...