Athletics in Public K-12 Schools

2026 Regular Session Introduced by Shev Jones

SB 178 empowers surrogates to access financial records and apply for public benefits for individuals lacking decisional capacity, enhancing support for vulnerable populations.

Chapter No. 2026-90

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Purpose and Intent

Senate Bill 178 (SB 178) aims to amend the Arkansas Healthcare Decisions Act to clarify the authority of a surrogate in obtaining financial records of a principal. The bill seeks to enhance the ability of surrogates to apply for public benefits, such as Medicare and Medicaid, on behalf of individuals who lack decisional capacity.

Key Provisions

SB 178 introduces several important changes to the existing law:

Surrogate Authority:

Surrogates are granted the authority to apply for public benefits and access necessary financial records, including income, assets, and banking information, to facilitate these applications.
This authority is contingent upon the principal being the owner or co-owner of the accounts or a beneficiary of trusts or conservatorships.

Written Designation:

The surrogate's authority must be documented in a written designation, which must be signed by the principal or a supervising healthcare provider. This designation must be notarized or witnessed by two non-family members.
The designation must include specific details such as the principal's identity, the surrogate's identity, and the date of designation.

Termination of Authority:

The surrogate's authority will terminate if the principal regains decisional capacity, if a power of attorney or guardian is appointed, or upon the principal's death.

Confidentiality and Liability:

Financial records accessed by surrogates are confidential and must not be disclosed beyond what is necessary for applying for public benefits.
Individuals or entities providing records to surrogates in good faith are protected from civil or criminal liability.

Notification Requirements:

If financial records are sought from accounts co-owned by the principal, the financial institution must notify the co-owner and allow them ten business days to object to the request.

Secure Disposal of Records:

Surrogates are required to securely destroy any copies of the financial information once their authority is terminated.

Who Would Be Affected

Surrogates: Individuals designated to make healthcare and financial decisions on behalf of those unable to do so.

Principals: Individuals who lack decisional capacity and for whom surrogates are acting.

Financial Institutions: Banks and other entities that hold the financial records of principals will need to comply with the new requirements for record access and notification.

Procedural Aspects

Introduced: February 3, 2025

Status: Referred to the Education and Workforce Development Committee (EDU) and the Senate Committee on Appropriations (WAM).

Legislative Actions: The bill has passed through several readings and committees, ultimately being delivered to the Governor for approval on February 26, 2025.

Conclusion

SB 178 is a significant legislative effort to streamline the process by which surrogates can access financial information necessary for applying for public benefits on behalf of individuals who are unable to manage their own affairs. By clarifying the authority and responsibilities of surrogates, the bill aims to protect the interests of vulnerable populations in Arkansas.

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