38-870.02. Disability program trust fund

357 words·~2 min read·/az/title-38/38-870-02

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

A. The disability program trust fund is established for the purpose of paying benefits under and costs of administering the disability program. The trust fund shall be administered by the board.

B. The disability program trust fund consists of all monies paid into the trust fund pursuant to this article, whether in the form of cash, securities or other assets, and all monies received from any other source. Except as provided in subsection C, paragraph 1 of this section, the disability program trust fund is exempt from title 44, chapter 3.

C. Abandoned monies shall revert to the disability program trust fund under the following conditions:

1. Monies in the trust fund are presumed abandoned if the system has taken the required action described in this subsection to identify and locate the apparent owner and the apparent owner as defined in section 44-301 has not communicated in writing with the system and has not otherwise indicated an interest in the monies for the three-year period following the required beginning date of distributions.

2. Before monies are presumed abandoned, the system shall attempt to contact the apparent owner in writing. If this notice is returned by the postal authority as undeliverable, each year for three years from the date that distributions should have begun, the system shall make a good faith attempt to locate the apparent owner, including contacting any known beneficiary on record with the system, searching public databases to identify the address of the apparent owner or using the services of a third-party address verification service. If the good faith attempt to locate the apparent owner fails, monies are presumed abandoned pursuant to this subsection.

3. At the time monies are presumed abandoned pursuant to this subsection, any other property right accrued or accruing to the apparent owner as a result of the interest in those monies, and not previously presumed abandoned, is also presumed abandoned.

4. Interest ceases to accrue on the monies on the date the monies are presumed abandoned.

D. The custody, management and investment of the disability program trust fund are as prescribed by this article and article 4 of this chapter.