CALIFORNIA STATUTES AND CODES
SECTIONS 17400-17410
WELFARE AND INSTITUTIONS CODE
SECTION 17400-17410
17400. In any case in which a county has taken a lien against real
property owned by a recipient of public assistance for any purpose,
including hospitalization or medical care furnished to the recipient,
and such lien is subordinate to a mortgage or deed of trust on the
property, the county, upon learning of the pending sale of the
property in connection with the foreclosure of that mortgage or deed
of trust, shall notify the recipient if it has no intention of
bidding at the sale or redeeming the property and agrees to
subordinate its liens to any subsequent mortgage or deed of trust on
the real property so long as the title thereto remains in the name of
the recipient.
17401. No lien taken by a county pursuant to Section 17109 for care
provided to a person in a county hospital shall be enforced against
the home of that person (1) during his lifetime or that of his
spouse, or (2) during the minority of his children if they reside in
the home, or (3) during the lifetime of any dependent adult child who
resides in the home and who is incapable of self-support because of
mental or physical disability.
Any lien taken by a county for county hospital care shall be
released immediately when the amount owing the county for that care
is paid. The county shall render to a person to whom care has been
provided in a county hospital a statement setting forth the charges
upon which its claim for reimbursement is based. No interest or
carrying charge shall be charged in connection with any debt incurred
for county hospital care.
If a person against whose home a lien has been imposed for county
hospital care desires to sell his home, the county shall release its
lien against the original home and transfer it to the new home,
provided that it finds that its security will not be impaired. If the
person desires to borrow money for the purpose of making
improvements to his home, using his home for security, the county
shall subordinate its lien to the mortgage or other security interest
given for the loan, if the county finds that its security will not
be impaired.
If a person against whose home a lien has been imposed for county
hospital care has the home acquired by a public entity for public
use, the county shall release its lien against the original home and
transfer it to any new home the person acquires.
No lien shall be taken pursuant to Section 17109 against the home
of a person for care provided him in a county hospital, if he was
confined to the county hospital as the result of a diagnosis of
tuberculosis.
No lien shall be taken pursuant to this part against the home or
other property of any relative, except for a parent of a minor or a
spouse, liable for the support of a person confined in a county
hospital or otherwise receiving aid under this part.
In no way do the authorizations and limitations expressed in this
section enlarge upon the power of counties to take or impose liens
under existing law. Nothing contained in this section shall be
construed to permit a county to impose a lien for aid or other
assistance granted under any public assistance program established by
this code for which federal funds are received by this state, or
under the aid to the potentially self-supporting blind program.
17402. If there is in the hands of any officer of the county, or
there is surrendered to any officer of the county, upon the death of
any indigent person, any personal property of a total of less than
twenty-five dollars ($25) in value, belonging to such person, the
board of supervisors of the county may, by resolution, order such
property to be sold, and if the proceeds thereof do not exceed the
sum of twenty-five dollars ($25), they shall be applied to the
payment of the claim of the county against such person. If the value
of such property or the proceeds received from its sale exceeds the
sum of twenty-five dollars ($25), or exceeds the indebtedness due to
the county, such property or the proceeds of the sale thereof in
excess of twenty-five dollars ($25), or the amount of the claims of
the county, shall be delivered to the public administrator of the
county or to any other legal representative of the deceased for
administration.
17403. If a person for the support of whom public moneys have been
expended acquires property, the county shall have a claim against him
to the amount of a reasonable charge for moneys so expended, and
such claim shall be enforced by action against him by the district
attorney of the county on request of the board of supervisors. In a
proper case therefor, the district attorney shall apply to the proper
court for the appointment of a guardian or conservator of the person
or estate, or both, of the indigent. The support of such indigent
from public funds shall be deemed a ground for sale or encumbrance of
his property under the provisions of Section 2541 of the Probate
Code.
17403.1. Notwithstanding the provisions of Section 17403, the
county claim for reimbursement of aid extended to the indigent shall
be offset as provided herein in cases where: (1) the indigent is
represented by an attorney at law or other authorized representative
in connection with a denial of, or termination of, Supplemental
Security Income benefits with state supplementation under the
provisions of Title XVI of the federal Social Security Act and
Chapter 3 (commencing with Section 12000) of Part 3; and (2) the
county receives the indigent's initial payment of these benefits
pursuant to an interim assistance reimbursement agreement authorized
by Section 1631 (g) of the federal Social Security Act.
The amount of offset reducing the county claim in these instances
shall be paid to the representative by the county as a representation
fee. The county, by appropriate enactment of the board of
supervisors, may elect to be exempted from the mandatory obligation
to pay representation fees under this section, but the county shall
retain the authority, despite such election, to pay a representation
fee in such instances as the county may deem appropriate. Any
representation fee paid pursuant to this section shall not be
recoverable from the indigent or the indigent's estate.
The representation fee shall be a fixed percentage of the interim
assistance reimbursement received by the county equal to the lesser
of (1) 25 percent; or (2) the percentage obtained by dividing any
representation fee to be paid by the indigent as authorized under
federal law by the net benefits paid to the indigent by the county
after interim assistance reimbursement and multiplying the quotient
by 100.
For purposes of this section, an "authorized representative" shall
mean an individual who has met the requirements set forth in Title
XVI of the federal Social Security Act and regulations promulgated
thereunder.
17404. From the proceeds of a sale or encumbrance of the property
of such ward, or from such funds as may be collected from the
property of the ward, there shall be paid to the county the expense
of the support of the ward prior to collection, together with the
subsequent expense of such support.
17405. Any estate, interest or lien in property transferred or
granted to the board of supervisors under the provisions of Section
17109, or under the provisions of Section 9 of an act entitled "An
act to provide for the aid and relief of indigents," approved June 5,
1933, may be reconveyed or released by them upon payment to the
county of the amount of aid repayment of which is thereby secured or
upon payment to the county of such amount as in the opinion of the
board of supervisors equals the net amount which would be realized in
the event that the lien was foreclosed or such estate or interest
was sold at forced sale.
17406. Any estate, interest, or lien held by the board of
supervisors under the provisions of Section 17109, or under the
provisions of Section 9 of an act entitled "An act to provide for the
aid and relief of indigents," approved June 5, 1933, may be
subordinated by them to the lien of any mortgage or deed of trust
given to renew or refinance any mortgage, deed of trust, or other
encumbrance, the lien or charge of which had priority over such
estate, interest or lien.
17407. In any case in which the board of supervisors determines,
after investigation, that the purposes of this part will be served by
releasing or subordinating any lien in whole or in part or
reconveying or subordinating in whole or in part any interest or
estate transferred or granted to the board of supervisors under the
provisions of Section 17109 or under the provisions of Section 9 of
an act entitled "An act to provide for the aid and relief of
indigents," approved June 5, 1933, and determines that the property
affected by such lien, transfer or grant, except such interest or
estate as may have been conveyed to the county, is at the time owned
by the recipient of aid, the board of supervisors may release such
lien in whole or in part or may reconvey such interest or estate in
whole or in part or may subordinate the lien, interest or estate so
transferred or granted to it to one or more designated encumbrances
executed by the recipient of aid, without consideration or for such
consideration as the board may determine.
17408. The releases, reconveyances and subordinations herein
provided for shall be authorized by a resolution of the board of
supervisors, and the instruments of release, reconveyance, or
subordination shall be executed by an officer of the county,
designated by the board of supervisors, in the name of the county and
the State of California, and any release, reconveyance or
subordination authorized by the board of supervisors and executed by
the designated county officer shall conclusively bind the county and
the state in favor of any bona fide purchaser or encumbrancer for
value.
17409. There shall be exempt from the transfers and grants
authorized by Section 17109 and from execution on claims under
Section 17403 against property acquired by persons for the support of
whom public moneys have been expended all of the following property:
(a) Cash not exceeding one hundred dollars ($100).
(b) Personal effects and household furniture not exceeding one
thousand dollars ($1,000) in value.
(c) An interment space, crypt, or niche intended for the interment
of the applicant or recipient of aid.
(d) Funds placed in trust for funeral or burial expenses not
exceeding one thousand dollars ($1,000).
(e) Insurance policies having an actual cash surrender value not
exceeding one thousand dollars ($1,000).
(f) Real or personal property of a recipient of public assistance,
with respect to aid or county hospital care.
(g) For a period of six months from the date of receipt, the
compensation received from a public entity which acquires for a
public use a dwelling actually owned and occupied by the recipient.
Such compensation shall be exempt in the amount, over and above all
liens and encumbrances, provided by Section 704.730 of the Code of
Civil Procedure.
(h) Relocation benefits shall be exempt as provided by Section
704.180 of the Code of Civil Procedure.
No county shall withhold emergency medical or hospital care from
any person pending the person giving security for reimbursement to
the county for the care or hospitalization to be provided to the
person.
17410. Any person who with the intent to defraud, buys or receives
a voucher, invoice, or similar document issued for services or
merchandise under this part without furnishing such services or
merchandise is punishable either by imprisonment in the county jail
for a period of not more than one year, by a fine of not exceeding
one thousand dollars ($1,000), or by both such imprisonment and fine,
or by imprisonment in the state prison for a period of not more than
one year, by a fine of not exceeding ten thousand dollars ($10,000),
or by both such imprisonment and fine.