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Public Administrator City and County
of Denver
A Public Administrator is a private
individual (not a public employee) appointed by the District Court (in
Denver, the Probate Court) to collect, protect, and manage the assets of
certain individuals, and to administer the estates of decedents where
the decedent left no one who is willing and able to administer the
estate. Public Administrators are bonded and are required to fully
account to the Court in each case in which they are appointed. They also
file annual reports of their activities with the Court.
What does a Public Administrator Do?
Conservatorships and Trusts:
The Public Administrator is often appointed to administer assets in
situations where a person is unable to effectively manage his/her assets
and finances and there is no other suitable person available to act as a
Conservator or Trustee. These cases apply to minors as well as adults.
Decedent Estates: After the
death of an individual, the Public Administrator may be asked to step
forward and protect a decedent's residence or assets until the family or
the person designated in a Will is located and is able to take charge of
the estate. In other cases, the Public Administrator will be appointed
as the Personal Representative (Executor) to administer the decedent's
estate when it is inappropriate or inconvenient for a family member to
be present to act or no one has been located who is willing or able to
administer the estate. The Public Administrator often acts as a neutral
fiduciary in controversies involving "protected persons" (persons for
whom a Conservator has been appointed) and the estates of decedents,
when an independent fiduciary is needed to protect or preserve assets or
to administer an estate while a dispute is resolved in the courts.
Similarly, the Public Administrator may
be appointed as a Special Conservator or a Special Administrator when
the existing Conservator or Personal Representative has a conflict of
interest, or when family members distrust one another and there is a
need for a third party to provide impartiality.
The Public Administrator may also act as
a Special Administrator of decedent's estates in personal injury and
wrongful death cases when an injured party wishes to bring a suit
against the decedent's estate to recover insurance benefits.
Finally, the Public Administrator is
sometimes nominated as the personal representative in a Will when the
person writing the Will does not have someone else in mind to administer
their estate.
When Should A Public Administrator Become Involved?
Living People: Whenever a
person has assets in need of protection, the Public Administrator is
available to act. Generally, this arises when the person to be protected
is unable to effectively manage his or her financial affairs, has not
made other arrangements for that purpose, (e.g., through a power of
attorney), does not have close family willing to come forward and accept
responsibility or there is the need for an independent person.
Decedents: In dealing with
the estates of decedents, there is a two-step process to determine
whether the Public Administrator needs to act. First, the situation is
reviewed to determine if there is someone present who has the right
under Colorado law to administer the estate. Second, we ask is that
someone both willing, appropriate and able to act? If the answer to
either inquiry is no, then the Public Administrator's Office becomes
involved.
Statutorily, "someone" means an heir, or a devisee (i.e., beneficiary
under a Will), or a person designated by the Will to act as the Personal
Representative. The term "heir" means an individual with a legal right
to receive a portion of the estate, and not just a blood relative.
Because of the foregoing requirements, it is important after a person's
death to make a diligent search for their heir(s), devisee(s), and any
nominated personal representative prior to contacting the Public
Administrator. If you are unsure or unable to locate an heir with a
right to receive a portion of the estate, or a beneficiary under the
Will or a person nominated as a personal representative in the Will,
then the Public Administrator's Office needs to be notified as soon as
possible.
Prompt notification to the Public Administrator's Office is important
(and statutorily required) to protect the assets while the process of
determining who should administer the estate takes place.
How can a Public Administrator Help?
Examples of cases which have involved the
Denver Public Administrator illustrate how they can help:
1. A person has no one he or she trusts
and is concerned that they may be losing the ability to effectively
manage their financial affairs, or believes that others may be taking
financial advantage of them.
2. A person learns that the individual he
or she wanted to administer their Will has become disabled or passed
away, and they know of no one else whom they trust to handle their
estate.
3. An administrator/nurse/social worker
in a nursing or private home, or assisted care living facility becomes
concerned about:
-
the possibility that someone is
financially exploiting a resident, e.g., the resident is writing
checks to someone more frequently or in excess of what he/she
normally gives to others; or there is a sudden romance accompanied
by a sudden diminishment of assets;
-
the increasing inability of a
resident to manage his/her financial affairs, e.g., routine bill
paying, management of outside investments, and assets such as the
maintenance of his/her separate house, etc. Often, creditor
complaints and collection or foreclosure notices are an early clue;
-
a resident's family which cannot
agree on how to deal with the resident's financial assets which
appear to be wasting through a lack of proper attention;
-
a resident expresses distrust over
the actions of someone who is supposed to be acting for him/her
under a power of attorney or other authorization;
-
a resident suffers a debilitating
stroke or other serious medical emergency and there is no one
authorized to step forward to help manage his/her assets, pay bills,
etc; or,
-
a resident dies and attempted
contact(s) with listed persons/family members/persons named in a
Will are not returned or followed through with, or the listed
persons indicate that they are not willing or able to act.
The above examples provide typical fact
patterns which have involved the Public Administrator. The circumstances
which you confront may be different, but when in doubt know that the
goal of every Public Administrator is to help those who would otherwise
be without assistance or protection. If you know of a situation where a
Public Administrator may be needed, please contact the office in the
appropriate county.
Fee Expectations
With regard to fees, it may help to know that the
compensation of a Public Administrator and his or her staff comes solely
from the estates they handle and the fees are required to be reasonable.
The Denver Public Administrator receives no public funds. Therefore, if
an estate has little or no economic value, it can sometimes cost the
Public Administrator and his or her law firm personally to administer
the estate.
Melissa R. Schwartz, a partner in the firm, is now Public Administrator for the
City and County of Denver and Marcie R. McMinimee, also a partner in the
firm, and R.L. Steenrod Jr. are the Deputy Public Administrators. Rather
than charging both legal and fiduciary fees, our attorneys charge only
one fee for their professional fiduciary time and the other legal
services provided by this office. Further, in order to keep fees and
expenses to a reasonable level, this office makes extensive use of
paralegals, clerks and assistants and utilizes computer and software
support in the routine administration of estates and trusts. Our goal is
to provide affordable probate, trust, and conservatorship services in a
responsible and professional manner.
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