Oregon Code § 441.318·Enacted ·Last updated March 01, 2026
Statute Text
Trustee accounting; deficiencies; lien.
(1) Within 60 days following the creation of the
trust by the court, and every 60 days thereafter, and within 30 days after the
termination of the trust, the trustee shall give the court and the Department
of Human Services a complete accounting of all property of which the trustee
has taken possession, all funds collected under ORS 441.289 and 441.293 and all
expenses incurred by the trust. The trustee shall prepare and file a report
with the court and the department making recommendations concerning the current
condition of the facility and projections for future operation of the facility
and the conditions of the health and welfare of the patients.
(2)(a) If the
funds collected by the trustee under ORS 441.289 and 441.293 exceed the
reasonable expenses of the trust, the court shall order payment of the surplus
to the licensee after reimbursement to the department of amounts contributed
from the Facility Fund established under ORS 441.303.
(b) If the funds
are insufficient to cover the reasonable expenses of the trust, the department
may move the court for an order requiring the licensee to pay the deficiency to
the department. The motion shall contain the following statement in bold:
______________________________________________________________________________
Notice to _________
The Department of
Human Services has filed this motion to recover from you costs incurred as a
result of the operation of a facility under ORS 441.277 to 441.323. The court
may enter a money judgment against you if you fail to respond to this motion
within 20 days of service of this motion upon you.
______________________________________________________________________________
(c) The
department shall serve the motion personally or by first class mail at the
last-known address of the licensee. If the licensee fails to file a response to
the motion within 20 days of service, the court shall enter an order and
judgment accordingly. If the licensee files a timely response, the court shall
set a date for a hearing at which the court shall determine whether the
expenses incurred by the trust are reasonable.
(d) The licensee
is not liable for expenses in excess of what the court finds to be reasonable.
The court shall enter a money judgment against the licensee in an amount that
does not exceed the reasonable expenses. Payment recovered from the licensee
shall be credited to reimburse the Facility Fund established under ORS 441.303.
(3) The
department shall have a lien for any deficiency established under subsection
(2) of this section upon any real property and other beneficial interest,
direct or indirect, of any licensee, any fixtures, equipment or goods used in
the operation of the facility and the proceeds from a conveyance of any such
property or interest made by the licensee within the 12 months prior to the
filing of the petition for appointment of a trustee.
(4) The lien
provided in subsection (3) of this section is prior to any lien or other
interest that originates subsequent to the filing of a petition for appointment
of a trustee under ORS 441.281, except for a construction lien arising out of
work performed with the express consent of the trustee.
(5) The lien
established under subsection (3) of this section may be recorded in the County
Clerk Lien Record described in ORS 205.130. [1981 c.868 §12; 1987 c.428 §23;
2009 c.539 §10]