Vermont Statutes Title 8 Sec. 8008
Terms Used In Vermont Statutes Title 8 Sec. 8008
- Commissioner: means the Commissioner of Financial Regulation. See
- Continuing care: means the furnishing in a facility, pursuant to a continuing care contract, of board and a variety of living arrangements together with nursing, medical, health and health-related services, assistance with the personal activities of daily living, or any combination of these services, including a priority commitment for nursing care, to two or more individuals who are not related by consanguinity or affinity to the person furnishing such care, for a term in excess of one year or for the duration of that individual's life, including mutually terminable contracts. See
- Contract: A legal written agreement that becomes binding when signed.
- Dependent: A person dependent for support upon another.
- Entrance fee: means an initial or deferred transfer to a provider of a sum of money or other property, or portion thereof, made or promised to be made as consideration for acceptance of a specified individual as a resident in a facility. See
- Escrow: Money given to a third party to be held for payment until certain conditions are met.
- Facility: means a place or places in which a resident receives continuing care. See
- Fees: shall mean earnings due for official services, aside from salaries or per diem compensation. See
- following: when used by way of reference to a section of the law shall mean the next preceding or following section. See
- Occupancy date: means the date a living unit is available for occupancy by the resident or the date on which the resident personally occupies the living unit, whichever occurs first. See
- Provider: means the person who enters into a contract to provide continuing care to a resident. See
§ 8008. Escrow of entrance fees
(a) In the event the facility is not in operation at the time entrance fees are paid, the entrance fees or portions thereof shall be deposited in an escrow account. Such escrowed fees shall not be released to the provider until the following conditions are satisfied:
(1) Commitments are received from persons who have entered into continuing care contracts for a minimum of 60 percent of the residential units. As used in this subdivision, “commitment” means payment of at least 10 percent of the entrance fee.
(2) One hundred percent of the financing for construction and operation of the facility has been arranged. As used in this subdivision, “financing” includes all funds that, when combined with entrance fees and periodic fees receivable under signed contracts, are sufficient to complete construction of the facility and to provide enough working capital to enable the facility to operate in a self-sufficient manner.
(3) The provider has obtained or caused to be obtained a guaranteed maximum price contract for construction of the facility.
(4) The provider has obtained or caused to be obtained all permits and regulatory approvals necessary for operation of the facility except those dependent upon completion of construction.
(b) In the case of a contract for a previously occupied residential unit, fees shall be held in escrow until 60 days prior to the occupancy date.
(c) If the provider is unable to satisfy the conditions set forth in subsection (a) of this section within a reasonable period of time, the Commissioner may order that escrowed fees be released and refunded. (Added 1987, No. 247 (Adj. Sess.), § 1.)