53-6-169. Payment of excess burial funds or assets to department. (1) After the death of a person who at any time received medicaid benefits, a mortician, funeral director, or other person, including but not limited to the decedent's spouse, heir, devisee, or personal representative, who holds funds or other property in excess of $5,000 in value that was specifically designated and set aside for paying for the disposition of the decedent's remains and for related expenses shall, after paying for the disposition and related expenses, pay all remaining funds to the department within 30 days following the burial, cremation, or other final disposition of the decedent's remains. The funds must be paid to the department regardless of any provision in a written contract, trust, or other agreement entered into on or after July 1, 1995, directing a different disposition of the funds. Funds paid to the department under this section are not considered to be property of the decedent's estate, and 53-6-167 does not apply to recovery of the funds by the department.

(2) The department shall apply any funds received under this section proportionately to the federal and state shares of recoverable medical assistance and shall pay any remaining amount to a person entitled by law to the funds.