[WSBAPT] Supplemental Needs Trust & Home Repairs

[David Faber]

(C)lient owns a home in which C's developmentally-disabled
(D)aughter resides and which the family considers, for all intents and
purposes, to be D's home. D is the beneficiary of a supplemental needs
trust (SNT). D also receives section 8 rent support, which is paid to C.
D's home is in need of significant repairs that go beyond the scope of what
C has the resources to provide and C wants to use resources from D's SNT to
pay for the repairs.

My sense is that this would be an unlawful use of the SNT resources because
D is technically a tenant, and that at best this move could endanger D's
section 8 benefits, and could potentially be considered fraud on the part
of C.

That said, I'm not an expert in this area. Can anyone confirm my thinking
or point me to resources that might help navigate this?

My gut tells me that C either needs to take a HELOC to pay for the repairs
and then apply D's rent payments to the HELOC *or* find D alternative
supportive housing and then sell D's home to unload the liability.

Best,
David J. Faber
Faber Feinson PLLC
800 Polk Street, Suite B
Port Townsend, WA 98368
(360) 379-4110

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