Department of Health and Rehabilitative Services, State of Florida, Plaintiff v. Rachel G. Davis, as Guardian of the Estate of Arthur Grady Glasscock

RONEY, Circuit Judge:

Since 1976 the State of Florida has been taking care of Arthur Grady Glasscock, an adjudicated incompetent, in the Florida State Hospital. Over the years Glasscock’s guardian in Alabama has accumulated over $40,000 in social security and veterans’ benefits. From these accumulated funds, Florida sought reimbursement of approximately $12,000 for Glasscock’s past care and maintenance. The district court, denying relief, held the funds were exempt from creditors under two federal statutes and that Florida was merely a creditor as to its claim for past care and maintenance. We…