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The adult ward and her sister, who serves as the guardian, are sole beneficiaries of a family trust. The grantor specifically wrote into the trust a codicil that exempts trust assets from being accessed by any gov't entity. Will this trust actually be shielded from Medicare/Medicaid when the guardian applies for Medicaid on her sister's behalf?

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If the Guardian is not a professional who understands the Medicaid regulations in your state, ask the Guardian to consult an Elder Law Attorney in your state who will read the Trust document and advise on the best path to eligibility.

The Elder Law Attorney can determine if the Trust complies with eligibility regulations or whether it can be reformed or decanted to fit the rules in your state.

There are many regulations, and alternative trust arrangements, that can help applicants and disabled family members.
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Reply to John L. Roberts
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It probably does shield the asset. Many trusts are specially designed for this purpose and are perfectly acceptable.
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Reply to vegaslady
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Regardless of the codicil, a family trust does not shield assets from Medicaid. But I think we would need more information to actually answer the question.
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Reply to worriedinCali
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I agree that a lawyer is needed. There revocable trusts and irrevocable trusts. Irrevocable cannot be touched by Medicaid. In my nephews instance, upon his death, Medicaid is first in line to help recoup what they put out and then the beneficiary.
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Reply to JoAnn29
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worriedinCali Jan 15, 2019
Medicaid may be able to touch an irrevocable trust in some instances and even when they can’t actually take the money, the trust can still be counted as assets & disqualify you from Medicaid eligibility.
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