Oklahoma HB 1268: Public health and safety; Oklahoma Health Care Authority; liens; excess sale proceeds; ad valorem tax sales; effective date.

Bill Text

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STATE OF OKLAHOMA

1st Session of the 57th Legislature (2019)

HOUSE BILL 1268 By: McEntire

AS INTRODUCED

An Act relating to liens of the Oklahoma Health Care
Authority; amending 63 O.S. 2011, Section 5051.3, as
last amended by Section 1, Chapter 255, O.S.L. 2017
(63 O.S. Supp. 2018, Section 5051.3), which relates
to liens for certain expenses incurred by the
Oklahoma Health Care Authority; providing for
attachment of lien to certain proceeds resulting from
sale of homestead property for unpaid ad valorem
taxes; providing for disposition of excess proceeds
with respect to prior liens; prescribing procedures
for payment; providing order or judgment of district
court not required for payment of excess proceeds;
and providing an effective date.

BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. AMENDATORY 63 O.S. 2011, Section 5051.3, as
last amended by Section 1, Chapter 255, O.S.L. 2017 (63 O.S. Supp.
2018, Section 5051.3), is amended to read as follows:
Section 5051.3 A. Pursuant to the provisions of this section,
the Oklahoma Health Care Authority is authorized to file and enforce
a lien against the homestead of a recipient for payments of medical
assistance made by the Authority to the recipient who is an
inpatient of a nursing facility or an intermediate care facility for

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individuals with intellectual disabilities (ICF/IID) if the
Authority, upon competent medical testimony, determines the
recipient cannot reasonably be expected to be discharged and
returned home. A one-year period of compensated inpatient care at a
nursing facility or an ICF/IID shall constitute a determination by
the Authority that the recipient cannot reasonably be expected to be
discharged and returned home.
B. Upon certification for Title XIX of the federal Social
Security Act payments for a nursing facility or ICF/IID care, the
Authority shall provide written notice to the recipient that:
1. A one-year period of compensated inpatient care at a nursing
facility or ICF/IID shall constitute a determination by the
Authority that the recipient cannot reasonably be expected to be
discharged and returned home;
2. A lien will be filed against the homestead of the recipient
pursuant to the provisions of this section and that the amount of
the lien shall be for the amount of assistance paid by the Authority
from the date the recipient became eligible for compensated
inpatient care at a nursing facility or ICF/IID until the time of
the filing of the lien and for any amount paid thereafter for such
medical assistance to the recipient; and
3. The recipient is entitled to a hearing with the Authority
prior to the filing of the lien pursuant to this section.

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The notice shall also contain an explanation of the lien and the
effect the lien will have on the ownership of the homestead of the
recipient and any other person residing in the homestead. The
notice shall be signed by the recipient or the legal guardian of the
recipient acknowledging that the recipient or the legal guardian of
the recipient understands the notice and the effect that the payment
of medical assistance on the recipient's behalf will have upon the
homestead of the recipient.
C. The lien filed pursuant to subsection E of this section
shall be for the amount of assistance paid beginning from the date
the recipient began receiving inpatient care from a nursing facility
or ICF/IID and for any amount paid thereafter for the medical
assistance to the recipient.
D. The Authority shall not file a lien on the homestead of the
recipient pursuant to subsection E of this section while the
homestead is the lawful residence of:
1. The surviving spouse of the recipient;
2. A child related to the recipient by blood or marriage who is
twenty (20) years of age or less;
3. An adult child related to the recipient by blood or marriage
who is incapacitated as defined by the Authority; or
4. A brother or sister of the recipient who has an equity
interest in the home and who was residing in the home for at least
one (1) year immediately preceding the date the recipient was

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admitted to the nursing facility or ICF/IID and has resided there on
a continuous basis since that time.
E. No lien for payment of medical assistance pursuant to this
section shall be effective unless:
1. The Authority has provided notice to the recipient of the
intent to file a lien against the homestead of the recipient and of
the opportunity for a hearing on the matter; and
2. After the notice specified in paragraph 1 of this subsection
has been given, a lien is filed for record against the legal
description of the homestead in the office of the county clerk of
the county in which