TX HHS Form 3698. Resident Fund Surety Bond

The TX HHS Form 3698, Resident Fund Surety Bond, is a document that ensures the security of personal funds deposited by residents in a nursing facility. This form helps solve the problem of protecting resident funds from mismanagement or loss.

This bond requires the Principal (nursing facility) to hold and manage resident funds separately and in trust, administer funds according to federal statute and Texas regulations, render true accounts to residents and HHSC when requested, and return the full balance to the resident upon termination of each deposit. The bond also establishes a penal sum that is no less than the maximum dollar amount of all resident funds accepted and managed by the Principal.

The form should be used by nursing facilities operating in Texas that are required to assure the security of personal funds deposited by residents. Key features include the requirement for the Principal to provide information regarding the amount of the penal sum on Schedule A, which is attached to and incorporated into this bond. The bond must also be executed by the Principal and Surety, filed with HHSC, and may be terminated by the Surety upon giving written notice.