It sounds as if your bottom line concern is whether there is a legally valid power of attorney for finances in place—and when it might take effect.
two types of durable power of attorney for finances—and that is what determines when they take effect. You should be able to tell which type your grandfather has by looking closely at the language that specifies when it takes effect.
The first type, which is more rare, takes effect immediately when it is signed. It is usually used when a person needs some help with mechanics of finances, such as balancing a checkbook or paying the bills on time. Many people with various forms of dementia, for example, are able to handle many aspects of their finances, but may need some help with more complicated tasks, such as computing state and federal taxes.
The second type takes effect only after a person is considered legally incapacitated, which requires that one or two doctors declare in writing that a person is mentally incompetent to handle his or her own finances—signaling that its time for the agent named earlier in the document to step in and help out.
If the second type of power of attorney for finances exists here, it would not be sufficient for a doctor to state that your grandfather is incompetent; he or she would have to commit that opinion to writing.
If you remain concerned that your grandfather is being shut out of decisions he can make, consider contacting the family ombudsperson or counselor at the retirement home. Most facilities have such people on staff, who are well-versed in the intricacies of legal documents—and the family dynamics that sometimes get in the way of having them work properly.