Ohio Community Pooled Annuity Trust

The Ohio Community Pooled Annuity Trust

Below is a description of The Ohio Community Pooled Annuity Trust available to disabled residents of Ohio:

The Disability Foundation acts as Distribution Trustee over the Ohio Community Pooled Annuity Trust (OCPAT)’, authorized by 42 USC Section 1396p(d)(4)(C), Ohio Revised Code Annotated Section 5111.151(F)(3), and Ohio Administrative Code Section 5101: 1 39 27.1(C)(3)(c): federal and Ohio laws.  The OCPAT provides a financial plan for supplemental needs (as defined in Ohio Admin Code 5123:2-18-01) without causing loss of Medicaid and SSI benefits.

Through the Ohio Community Pooled Annuity Trust (OCPAT), individuals with disabilities, and their families, can establish an account that will provide a lifetime plan of payments backed by The Dayton Foundation.   When a family sets up an account in this trust, an annuity calculation is made, and a monthly benefit determined.  Each month that amount is credited to the individual’s spending account.  A major advantage of this Trust is that the monthly benefit is guaranteed for the life of the individual.

To set up an Annuity Trust (OCPAT), a Crescendo Pro illustration is completed based on the property to be transferred into an OCPAT. From that illustration, and based on the annuity rate of that month, a monthly amount to be transferred into the OCPAT spending account, for that individual, is calculated. This is a fixed rate and guaranteed for the lifetime of the individual. Once the OCPAT is initiated, the Personal Representative is given a Request for Distribution form, on a quarterly basis, asking if the trust recipient requires any supplemental need distributions to be made. The office processes the request; the Distribution committee approves the request; and a check is mailed out to the specified vendor or Personal Representative to acquire that supplemental need.

There are no set up or annual fees associated with the Pooled Annuity Trust.  An administrative fee, of 1.25%, is taken from the Pool; however, no fees are attached to any individual trust.  There is a $5,000 recommended minimum investment for the initiation of an annuity through The Disability Foundation.

For additional information on establishing an annuity pooled trust with The Disability Foundation, please contact Kevin Hayde, Executive Director, at (937) 225-9939; or by mail at The Disability Foundation, 500 Kettering Tower, Dayton, OH 45423; or by email khayde@daytonfoundation.org.