Oklahoma § 56-1030.4 - Oath and bond - Powers and duties of receiver - Court

§ 56-1030.4. Oath and bond - Powers and duties of receiver - Court

approval of certain expenditures required - Termination of

receivership - Technical assistance.

A. Before a receiver is appointed, a nominee shall be sworn to

faithfully perform the duties of a receiver. At the initial

hearing, the receiver shall seek and obtain court approval of one or

more sureties and shall execute a bond in such amount as the court

shall direct.

B. In establishing a receivership, the court shall set forth

the powers and duties of the receiver. The court shall authorize

the receiver to do all that is prudent and necessary to protect the

health, safety and welfare of all persons served by the agency and

to efficiently administer residential services within the

requirements of state and federal law, relevant policy, and the

agency's contracts with the Department of Human Services and the

Oklahoma Health Care Authority. These powers and duties shall

include those generally ascribed to receivers and may also include

the powers and duties of trustees under the U.S. Bankruptcy Code, as

Oklahoma Statutes - Title 56. Poor Persons

amended. In addition to the powers specified by this section, the

court shall authorize the receiver to:

1. Honor all leases, mortgages and secured transactions

governing all buildings, goods and fixtures of which the receiver

has taken possession and continues to use, but, in the case of a

rental agreement, only to the extent of payments that are for the

use of the property during the period of the receivership, or, in

the case of a purchase agreement, only to the extent of payments

that are received during the period of the receivership;

2. If transfer of residents is necessary, provide for the

orderly transfer of residents by doing the following:

a.

cooperate with all appropriate state and local

agencies in carrying out the transfer of residents to

alternative community placements,

b.

arrange for the transportation of residents'

belongings and records,

c.

help to locate alternative placements and develop

discharge plans,

d.

prepare residents for the trauma of discharge, and

e.

permit residents or guardians to participate in

transfer or discharge planning except when an

emergency exists and immediate transfer is necessary;

3. Make periodic reports on the status of the residential

program to the appropriate state agency, parents, guardians, and

residents;

4. Compromise demands or claims with prior notice to the

Department of Human Services and the Oklahoma Health Care Authority,

subject to approval by the court; and

5. Subject to the supervision and control of the court, bring

and defend actions in the receiver's name, in the official capacity

as receiver, and take and keep possession of property.

C. The court shall require the receiver to obtain court

approval prior to making any single expenditure of more than Five

Thousand Dollars ($5,000.00) to correct deficiencies in the

structure or furnishings of residences supported by an agency. The

court shall require regular and detailed reports including a final

report. The receivership shall be reviewed at least every sixty

(60) days.

D. Upon motion by the receiver, the Department of Human

Services or other interested party, a receivership established

pursuant to this section may be terminated by the court, and the

receiver discharged, following notification of the appropriate

parties and interested persons and a hearing, if the court

determines the following:

1. The residential agency and owners have ceased operations and

the former residents have been relocated to an appropriate service

setting; or

Oklahoma Statutes - Title 56. Poor Persons

2. Circumstances no longer exist at the agency that present a

substantial risk of physical or mental harm or death to residents,

and there is no deficiency in the agency that is likely to create

such risk of harm or death.

E. Upon motion of the receiver, the Department of Human

Services or other interested party, the court may, during the

hearing to consider termination of the receivership and discharge of

the receiver, approve the return of control of the agency,

corporation, or assets to the original owner or approve the sale of

the same to a new owner. The Department of Human Services, the

Oklahoma Health Care Authority, all other interested parties, and

other persons with a known interest in the proceedings shall receive

written notice from the receiver of such hearing.

F. The Department of Human Services and the Oklahoma Health

Care Authority shall provide technical assistance to any receiver

appointed pursuant to this section.

Added by Laws 1997, c. 407, § 18, eff. Nov. 1, 1997.