Full Text of HB1074 95th General Assembly
HB1074 95TH GENERAL ASSEMBLY
|
|
|
95TH GENERAL ASSEMBLY
State of Illinois
2007 and 2008 HB1074
Introduced 2/8/2007, by Rep. William Davis SYNOPSIS AS INTRODUCED: |
|
|
Amends the Illinois Funeral or Burial Funds Act, the Crematory Regulation Act, the Cemetery Care Act, and the Illinois Pre-Need Cemetery Sales Act. Provides that licenses and license renewals shall be issued for a 5-year term. Provides requirements for license renewal and makes conforming changes in other provisions of the Acts. In the Cemetery Care Act, adds a provision requiring a cemetery association holding $75,000 or less in its care funds to file a report with the Comptroller in lieu of other annual report requirements and provides that the Comptroller shall examine at least annually every licensee who holds $750,000 or more (was, $250,000 or more) in its care funds. Effective January 1, 2008.
|
| |
|
|
| FISCAL NOTE ACT MAY APPLY | |
|
|
A BILL FOR
|
|
|
|
|
HB1074 |
|
LRB095 09808 RAS 30018 b |
|
| 1 |
| AN ACT concerning regulation.
| 2 |
| Be it enacted by the People of the State of Illinois,
| 3 |
| represented in the General Assembly:
| 4 |
| Section 5. The Illinois Funeral or Burial Funds Act is | 5 |
| amended by changing Sections 3a, 3a-5, and 3f and by adding | 6 |
| Sections 3a-1, 3a-2, 3a-3, and 3a-4 as follows:
| 7 |
| (225 ILCS 45/3a) (from Ch. 111 1/2, par. 73.103a)
| 8 |
| Sec. 3a. Denial, nonrenewal, suspension, or revocation of | 9 |
| license.
| 10 |
| (a) The Comptroller may refuse to issue or renew or may | 11 |
| suspend
or revoke a license on any of the following grounds:
| 12 |
| (1) The applicant or licensee has made any
| 13 |
| misrepresentations or false statements or concealed any
| 14 |
| material fact.
| 15 |
| (2) The applicant or licensee is insolvent.
| 16 |
| (3) The applicant or licensee has been engaged in
| 17 |
| business practices that work a fraud.
| 18 |
| (4) The applicant or licensee has refused to give
| 19 |
| pertinent data to the Comptroller.
| 20 |
| (5) The applicant or licensee has failed to satisfy
any | 21 |
| enforceable judgment or decree rendered by any court
of | 22 |
| competent jurisdiction against the applicant.
| 23 |
| (6) The applicant or licensee has conducted or is
about |
|
|
|
HB1074 |
- 2 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| to conduct business in a fraudulent manner.
| 2 |
| (7) The trust agreement is
not in compliance with State | 3 |
| or federal law.
| 4 |
| (8) The fidelity bond is not satisfactory to the
| 5 |
| Comptroller.
| 6 |
| (9) As to any individual required to be listed in the | 7 |
| license application for license or license renewal ,
the | 8 |
| individual has
conducted or is about to conduct any | 9 |
| business on behalf
of the applicant in a fraudulent manner; | 10 |
| has been
convicted of any felony or misdemeanor, an | 11 |
| essential
element of which is fraud; has had a judgment | 12 |
| rendered
against him or her based on fraud in any civil
| 13 |
| litigation; has failed to satisfy any enforceable
judgment | 14 |
| or decree rendered against him or her by any
court of | 15 |
| competent jurisdiction; or has been convicted
of any felony | 16 |
| or any theft-related offense.
| 17 |
| (10) The applicant or licensee, including any member,
| 18 |
| officer, or director thereof if the applicant or
licensee | 19 |
| is a firm, partnership, association or
corporation and any | 20 |
| shareholder holding more than 10% of
the corporate stock, | 21 |
| has violated any provision of this
Act or any regulation, | 22 |
| decision, order, or finding made
by the Comptroller under | 23 |
| this Act.
| 24 |
| (11) The Comptroller finds any fact or condition
| 25 |
| existing which, if it had existed at the time of the
| 26 |
| original application for such license or license renewal ,
|
|
|
|
HB1074 |
- 3 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| would have
warranted the Comptroller in refusing the | 2 |
| issuance or renewal of
the license.
| 3 |
| (b) Before refusal to issue or renew and before suspension | 4 |
| or
revocation of a
license, the Comptroller shall hold a | 5 |
| hearing to determine whether the
applicant or licensee, | 6 |
| hereinafter referred to as the respondent, is entitled
to hold | 7 |
| such a license. At least 10 days prior to the date set for such
| 8 |
| hearing, the Comptroller shall notify the respondent in writing | 9 |
| that on the
date designated a hearing will be held to determine | 10 |
| his eligibility for a
license and that he may appear in person | 11 |
| or by counsel. Such written
notice may be served on the | 12 |
| respondent personally, or by registered or
certified mail sent | 13 |
| to the respondent's business address as shown in his
latest | 14 |
| notification to the Comptroller. At the hearing, both the
| 15 |
| respondent and the complainant shall be accorded ample | 16 |
| opportunity to
present in person or by counsel such statements, | 17 |
| testimony, evidence and
argument as may be pertinent to the | 18 |
| charges or to any defense thereto. The
Comptroller may | 19 |
| reasonably continue such hearing from time to time.
| 20 |
| The Comptroller may subpoena any person or persons in this | 21 |
| State and take
testimony orally, by deposition or by exhibit, | 22 |
| in the same manner and with
the same fees and mileage | 23 |
| allowances as prescribed in judicial proceedings
in civil | 24 |
| cases.
| 25 |
| Any authorized agent of the Comptroller may administer | 26 |
| oaths to witnesses
at any hearing which the Comptroller is |
|
|
|
HB1074 |
- 4 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| authorized to conduct.
| 2 |
| (Source: P.A. 92-419, eff. 1-1-02.)
| 3 |
| (225 ILCS 45/3a-1 new)
| 4 |
| Sec. 3a-1. Term of license. | 5 |
| (a) Any license that was issued under this Act before the | 6 |
| effective date of this amendatory Act of the 95th General | 7 |
| Assembly shall expire according to a schedule developed by the | 8 |
| Comptroller pursuant to the original date of issuance and must | 9 |
| thereafter be renewed as provided in this Act. Beginning on the | 10 |
| effective date of this amendatory Act of the 95th General | 11 |
| Assembly, a license or license renewal under this Act shall be | 12 |
| issued for a 5-year term, which shall expire as provided in | 13 |
| this Act. | 14 |
| (b) The Comptroller by rule may adopt a system under which | 15 |
| licenses must be renewed by various dates during the year, | 16 |
| coinciding with the due date of the annual report of the | 17 |
| licensee or any extensions thereof. | 18 |
| (225 ILCS 45/3a-2 new)
| 19 |
| Sec. 3a-2. Requirements for license renewal. In order to | 20 |
| complete the license renewal process, the licensee shall submit | 21 |
| a license renewal application to the Comptroller in writing | 22 |
| signed by the licensee and duly verified on forms furnished by | 23 |
| the Comptroller upon the date of renewal. The Comptroller may | 24 |
| prescribe abbreviated license renewal application forms for |
|
|
|
HB1074 |
- 5 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| persons holding multiple licenses issued by the Comptroller. | 2 |
| Each renewal application (except abbreviated applications) | 3 |
| shall contain all the following: | 4 |
| (1) An affirmative statement indicating the licensee's | 5 |
| desire for renewal and agreement to abide by all applicable | 6 |
| statutes and rules. | 7 |
| (2) A $25 nonrefundable renewal fee. | 8 |
| (3) A completed annual report. | 9 |
| (4) The following information for the licensee, and | 10 |
| each member, officer, and director thereof, if the licensee | 11 |
| is a firm, partnership, association, or corporation, and | 12 |
| each shareholder holding more than 10% of the corporate | 13 |
| stock, if the licensee is a corporation: | 14 |
| (A) His or her name and current address (both | 15 |
| residence and place of business).
| 16 |
| (B) A detailed statement of the individual's | 17 |
| business experience for the 10 years immediately | 18 |
| preceding the application. | 19 |
| (C) Any present or prior connection between the | 20 |
| individual and any other person engaged in pre-need | 21 |
| sales. | 22 |
| (D) Any felony or misdemeanor convictions of which | 23 |
| fraud was an essential element and any charges or | 24 |
| complaints lodged against the individual of which | 25 |
| fraud was an essential element and that resulted in | 26 |
| civil or criminal litigation. |
|
|
|
HB1074 |
- 6 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| (E) Any failure of the individual to satisfy an | 2 |
| enforceable judgment entered against him or her based | 3 |
| upon fraud. | 4 |
| (F) Any other information requested by the | 5 |
| Comptroller relating to past
business practices of the | 6 |
| individual. | 7 |
| Since the information required by this item (4) and item | 8 |
| (5) may be confidential or contain proprietary | 9 |
| information, this information shall not be available to | 10 |
| other licensees or the general public and shall be used | 11 |
| only for the lawful purposes of the Comptroller in | 12 |
| enforcing this Act.
| 13 |
| (5) A current statement of the licensee's assets and | 14 |
| liabilities. | 15 |
| (6) The current name and address of the licensee's | 16 |
| principal place of business at which the books, accounts, | 17 |
| and records are available for examination by the | 18 |
| Comptroller as required by this Act. | 19 |
| (7) The current names and addresses of the licensee's | 20 |
| branch locations at which pre-need sales are conducted and | 21 |
| that operate under the same license number as the | 22 |
| licensee's principal place of business. | 23 |
| (8) The name of the current trustee and, if applicable, | 24 |
| the names of the advisors to the trustee, including a copy | 25 |
| of the current trust agreement under which the trust funds | 26 |
| are held as required by this Act. |
|
|
|
HB1074 |
- 7 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| (9) Such other information as the Comptroller may | 2 |
| reasonably require in order to determine whether the | 3 |
| licensee's renewal application qualifies under this Act. | 4 |
| (225 ILCS 45/3a-3 new)
| 5 |
| Sec. 3a-3. Remedy for delinquent license renewal. | 6 |
| (a) If a licensee continues to conduct activities requiring | 7 |
| a license but fails to submit a completed license renewal | 8 |
| application to the Comptroller within the time specified in | 9 |
| this Act, the Comptroller shall impose upon the licensee a | 10 |
| penalty in the amount of $5 per day for each day the renewal | 11 |
| statement is not submitted. The Comptroller may abate all or | 12 |
| part of the $5 daily penalty for good cause shown. | 13 |
| (b) In the event the renewal application is denied by the | 14 |
| Comptroller, the renewal fee paid is not refundable. | 15 |
| (225 ILCS 45/3a-4 new)
| 16 |
| Sec. 3a-4. License renewal process. Once the licensee has | 17 |
| filed for license renewal, the expiring license shall remain in | 18 |
| effect until the renewal has been issued. Upon approval of the | 19 |
| Comptroller, the Comptroller shall issue a license renewal to | 20 |
| be posted in the place of business of the licensee.
| 21 |
| (225 ILCS 45/3a-5)
| 22 |
| Sec. 3a-5. License requirements.
| 23 |
| (a) Every license issued by the Comptroller shall state
the |
|
|
|
HB1074 |
- 8 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| number of the license, the business name and address of
the | 2 |
| licensee's principal place of business, each branch
location | 3 |
| also operating under the license, and the
licensee's parent | 4 |
| company, if any. The license shall be
conspicuously posted in | 5 |
| each place of business operating
under the license. The | 6 |
| Comptroller may issue such
additional licenses as may be | 7 |
| necessary for licensee branch
locations upon compliance with | 8 |
| the provisions of this Act
governing an original issuance of a | 9 |
| license for each new
license.
| 10 |
| (b) Individual salespersons representing a licensee
shall | 11 |
| not be required to obtain licenses in their
individual | 12 |
| capacities, but must acknowledge, by affidavit,
that they have | 13 |
| been provided with a copy of and have read
this Act. The | 14 |
| licensee shall retain copies of the affidavits
of its sellers | 15 |
| for its records and shall make the affidavits
available to the | 16 |
| Comptroller for examination upon request.
| 17 |
| (c) The licensee shall be responsible for the activities
of | 18 |
| any person representing the licensee in selling or
offering a | 19 |
| pre-need contract for sale.
| 20 |
| (d) Any person not selling on behalf of a licensee shall
| 21 |
| obtain its own license.
| 22 |
| (e) No license shall be transferable or assignable
without | 23 |
| the express written consent of the Comptroller. A
transfer of | 24 |
| more than 50% of the ownership of any business
licensed | 25 |
| hereunder shall be deemed to be an attempted
assignment of the | 26 |
| license originally issued to the licensee
for which consent of |
|
|
|
HB1074 |
- 9 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| the Comptroller shall be required.
| 2 |
| (f) Every license issued hereunder shall remain in force
| 3 |
| until it expires or has been suspended, surrendered, or revoked | 4 |
| in
accordance with this Act. The Comptroller, upon the request
| 5 |
| of an interested person or on his own motion, may issue new
| 6 |
| licenses to a licensee whose license or licenses have been
| 7 |
| revoked, if no factor or condition then exists which would
have | 8 |
| warranted the Comptroller to originally refuse the
issuance of | 9 |
| such license.
| 10 |
| (Source: P.A. 92-419, eff. 1-1-02 .)
| 11 |
| (225 ILCS 45/3f)
| 12 |
| Sec. 3f. Revocation of license.
| 13 |
| (a) The Comptroller, upon determination that grounds
exist | 14 |
| for the nonrenewal, revocation or suspension of a license | 15 |
| issued
under this Act, may refuse to renew, revoke or suspend, | 16 |
| if appropriate, the license issued to
a licensee or to a | 17 |
| particular branch office location with respect to which
the | 18 |
| grounds for the nonrenewal, revocation or suspension may occur | 19 |
| or exist.
| 20 |
| (b) Whenever a license is not renewed or is revoked by the
| 21 |
| Comptroller, he or she shall apply to the Circuit Court of the | 22 |
| county wherein
the licensee is located for a receiver to | 23 |
| administer the trust funds of the
licensee or to maintain the | 24 |
| life insurance policies and tax-deferred annuities
held by the | 25 |
| licensee under a pre-need contract.
|
|
|
|
HB1074 |
- 10 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| (Source: P.A. 92-419, eff. 1-1-02.)
| 2 |
| Section 10. The Crematory Regulation Act is amended by | 3 |
| changing Sections 11, 11.5, 13, and 62.10 and by adding | 4 |
| Sections 10.1, 10.2, 10.3, and 10.4 as follows:
| 5 |
| (410 ILCS 18/10.1 new)
| 6 |
| Sec. 10.1. Term of license.
| 7 |
| (a) Any license that was issued under this Act before the | 8 |
| effective date of this amendatory Act of the 95th General | 9 |
| Assembly shall expire according to a schedule developed by the | 10 |
| Comptroller pursuant to the original date of issuance and must | 11 |
| thereafter be renewed as provided in this Act. Beginning on the | 12 |
| effective date of this amendatory Act of the 95th General | 13 |
| Assembly, a license or license renewal shall be issued for a | 14 |
| 5-year term, which shall expire as provided in this Act. | 15 |
| (b) The Comptroller by rule may adopt a system under which | 16 |
| licenses must be renewed by various dates during the year, | 17 |
| coinciding with the due date of the annual report of the | 18 |
| licensee or any extensions thereof. | 19 |
| (410 ILCS 18/10.2 new)
| 20 |
| Sec. 10.2. Requirements for license renewal. In order to | 21 |
| complete the license renewal process, the licensee shall submit | 22 |
| a license renewal application to the Comptroller in writing on | 23 |
| forms furnished by the Comptroller upon the date of renewal. |
|
|
|
HB1074 |
- 11 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| The Comptroller may prescribe abbreviated license renewal | 2 |
| application forms for persons holding multiple licenses issued | 3 |
| by the Comptroller. Each renewal application (except | 4 |
| abbreviated applications) shall contain all of the following: | 5 |
| (1) An affirmative statement indicating the licensee's | 6 |
| desire for renewal and agreement to abide by all applicable | 7 |
| statutes and rules. | 8 |
| (2) A $25 nonrefundable renewal fee. | 9 |
| (3) A completed annual report. | 10 |
| (4) The current name and address (both residence and | 11 |
| business) of the licensee, if the licensee is an | 12 |
| individual; the full name and address of every member, if | 13 |
| the licensee is a partnership; the full name and address of | 14 |
| every member of the board of directors, if the licensee is | 15 |
| an association; and the name and address of every officer, | 16 |
| director, and shareholder holding more than 25% of the | 17 |
| corporate stock, if the licensee is a corporation. | 18 |
| (5) A description of the type of structure and | 19 |
| equipment used in the operation of the crematory, including | 20 |
| the operating permit number issued to the cremation device | 21 |
| by the Illinois Environmental Protection Agency. | 22 |
| (6) An updated attestation by the owner that cremation | 23 |
| services shall be by a person trained in accordance with | 24 |
| the requirements of Section 22 of this Act. | 25 |
| (7) A copy of the certifications issued by the | 26 |
| certification program to the person or persons who operate |
|
|
|
HB1074 |
- 12 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| the cremation device. | 2 |
| (8) Any further information that the Comptroller | 3 |
| reasonably may require. | 4 |
| (410 ILCS 18/10.3 new)
| 5 |
| Sec. 10.3. Remedy for delinquent license renewal. | 6 |
| (a) If a licensee continues to conduct activities requiring | 7 |
| a license but fails to submit a completed license renewal | 8 |
| application to the Comptroller within the time specified in | 9 |
| this Act, the Comptroller shall impose upon the licensee a | 10 |
| penalty of $5 for each day the licensee remains delinquent in | 11 |
| submitting the renewal application. The Comptroller may abate | 12 |
| all or part of the $5 daily penalty for good cause shown. | 13 |
| (b) In the event the renewal application is denied by the | 14 |
| Comptroller, the renewal fee paid is not refundable. | 15 |
| (410 ILCS 18/10.4 new)
| 16 |
| Sec. 10.4. License renewal process. Once the licensee has | 17 |
| filed for license renewal, the expiring license shall remain in | 18 |
| effect until the renewal has been issued. Upon approval of the | 19 |
| Comptroller, the Comptroller shall issue a license renewal to | 20 |
| be posted in the place of business of the licensee.
| 21 |
| (410 ILCS 18/11)
| 22 |
| Sec. 11. Grounds for refusal of license or license renewal
| 23 |
| or suspension or revocation of
license.
|
|
|
|
HB1074 |
- 13 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| (a) In this Section, "applicant" means a person who has | 2 |
| applied for a
license
or license renewal under
this Act.
| 3 |
| (b) The Comptroller may refuse to issue or renew a license | 4 |
| under this Act, or may
suspend
or revoke a license issued under | 5 |
| this Act, on any of the following grounds:
| 6 |
| (1) The applicant or licensee has made any | 7 |
| misrepresentation or false
statement or concealed any | 8 |
| material fact in connection with a license
application or | 9 |
| licensure under this Act.
| 10 |
| (2) The applicant or licensee has been engaged in | 11 |
| business practices that
work a fraud.
| 12 |
| (3) The applicant or licensee has refused to give | 13 |
| information required
under this Act to be disclosed to the
| 14 |
| Comptroller.
| 15 |
| (4) The applicant or licensee has conducted or is about | 16 |
| to conduct
cremation
business in a fraudulent manner.
| 17 |
| (5) As to any individual listed in the license or | 18 |
| license renewal application as required
under Section 10 or | 19 |
| 10.2 , that individual has conducted or is about to conduct | 20 |
| any
cremation business on behalf of the applicant in a | 21 |
| fraudulent manner or has
been
convicted
of any felony or | 22 |
| misdemeanor an essential element of which is fraud.
| 23 |
| (6) The applicant or licensee has failed to make the | 24 |
| annual report
required
by this Act or to comply with a | 25 |
| final order, decision, or finding of the
Comptroller
made | 26 |
| under this Act.
|
|
|
|
HB1074 |
- 14 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| (7) The applicant or licensee, including any member, | 2 |
| officer, or director
of
the applicant or licensee if the | 3 |
| applicant or licensee is a firm, partnership,
association, | 4 |
| or corporation and including any shareholder holding more | 5 |
| than 25%
of the corporate stock of the applicant or | 6 |
| licensee, has violated any provision
of
this Act or any | 7 |
| regulation or order made by the Comptroller under this Act.
| 8 |
| (8) The Comptroller finds any fact or condition | 9 |
| existing that, if it had
existed at the time of the | 10 |
| original application for a license or license renewal under | 11 |
| this Act,
would
have warranted the Comptroller in refusing | 12 |
| the issuance of the license.
| 13 |
| (Source: P.A. 92-675, eff. 7-1-03.)
| 14 |
| (410 ILCS 18/11.5)
| 15 |
| Sec. 11.5. License revocation or suspension; surrender of | 16 |
| license.
| 17 |
| (a) Upon determining that grounds exist for the nonrenewal,
| 18 |
| revocation , or suspension of
a
license issued under this Act, | 19 |
| the Comptroller, if appropriate, may revoke ,
or
suspend , or | 20 |
| refuse to renew the
license issued to the licensee.
| 21 |
| (b) Upon the nonrenewal, revocation , or suspension of a | 22 |
| license issued under this Act,
the
licensee must immediately | 23 |
| surrender the license to the Comptroller. If the
licensee fails | 24 |
| to
do so, the Comptroller may seize the license.
| 25 |
| (Source: P.A. 92-675, eff. 7-1-03.)
|
|
|
|
HB1074 |
- 15 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| (410 ILCS 18/13)
| 2 |
| Sec. 13. License; display; transfer; duration.
| 3 |
| (a) Every license issued under this Act must state the | 4 |
| number of the
license, the
business name and address of the | 5 |
| licensee's principal place of business, and
the licensee's
| 6 |
| parent company, if any. The license must be conspicuously | 7 |
| posted in the place
of business
operating under the license.
| 8 |
| (b) No license is transferable or assignable without the | 9 |
| express
written
consent of the Comptroller. A transfer of more | 10 |
| than 50% of the ownership of any
business licensed under this | 11 |
| Act shall be deemed to be an attempted assignment
of
the | 12 |
| license
originally issued to the licensee for whom consent of | 13 |
| the Comptroller is
required.
| 14 |
| (c) Every license issued under this Act shall remain in | 15 |
| force until it expires or has
been
surrendered, suspended, or | 16 |
| revoked in accordance with this Act.
Upon
the request of an | 17 |
| interested person or on the Comptroller's own motion, the
| 18 |
| Comptroller may
issue a new
license to a licensee whose license | 19 |
| has been revoked under this Act if no
factor or
condition then | 20 |
| exists which would have warranted the Comptroller in
originally | 21 |
| refusing
the issuance of the license.
| 22 |
| (Source: P.A. 92-675, eff. 7-1-03.)
| 23 |
| (410 ILCS 18/62.10)
| 24 |
| Sec. 62.10. Investigation of actions; hearing.
|
|
|
|
HB1074 |
- 16 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| (a) The Comptroller shall make an investigation
upon
| 2 |
| discovering facts that, if proved, would constitute grounds for | 3 |
| refusal , denial ,
suspension, or
revocation of a license under | 4 |
| this Act.
| 5 |
| (b) Before refusing to issue or renew , and before | 6 |
| suspending or revoking, a license
under
this Act, the | 7 |
| Comptroller shall hold a hearing to determine whether the
| 8 |
| applicant for a
license or the licensee ("the respondent") is | 9 |
| entitled to hold such a license.
At least 10
days before the | 10 |
| date set for the hearing, the Comptroller shall notify the
| 11 |
| respondent in
writing that (i) on the designated date a hearing | 12 |
| will be held to determine the
respondent's
eligibility for a | 13 |
| license and (ii) the respondent may appear in person or by
| 14 |
| counsel. The
written notice may be served on the respondent | 15 |
| personally, or by registered or
certified
mail sent to the | 16 |
| respondent's business address as shown in the respondent's
| 17 |
| latest
notification to the Comptroller. The notice must include | 18 |
| sufficient information
to inform
the respondent of the general | 19 |
| nature of the reason for the Comptroller's
action.
| 20 |
| (c) At the hearing, both the respondent and the complainant | 21 |
| shall be
accorded
ample opportunity to present in person or by | 22 |
| counsel such statements,
testimony,
evidence, and argument as | 23 |
| may be pertinent to the charge or to any defense to
the charge. | 24 |
| The
Comptroller may reasonably continue the hearing from time | 25 |
| to time. The
Comptroller
may subpoena any person or persons in | 26 |
| this State and take testimony orally, by
deposition, or by |
|
|
|
HB1074 |
- 17 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| exhibit, in the same manner and with the same fees and
mileage | 2 |
| as
prescribed in judicial proceedings in civil cases. Any | 3 |
| authorized agent of the
Comptroller
may administer oaths to | 4 |
| witnesses at any hearing that the Comptroller is
authorized to
| 5 |
| conduct.
| 6 |
| (d) The Comptroller, at the Comptroller's expense, shall | 7 |
| provide a certified
shorthand reporter to take down the | 8 |
| testimony and preserve a record of every
proceeding at
the | 9 |
| hearing of any case involving the refusal to issue or renew a | 10 |
| license under this
Act, the
suspension or revocation of such a | 11 |
| license, the imposition of a monetary
penalty, or the
referral | 12 |
| of a case for criminal prosecution. The record of any such | 13 |
| proceeding
shall
consist of the notice of hearing, the | 14 |
| complaint, all other documents in the
nature
of pleadings
and | 15 |
| written motions filed in the proceeding, the transcript of | 16 |
| testimony, and
the report and
orders of the Comptroller. Copies | 17 |
| of the transcript of the record may be
purchased from
the | 18 |
| certified shorthand reporter who prepared the record or from | 19 |
| the
Comptroller.
| 20 |
| (Source: P.A. 92-675, eff. 7-1-03.)
| 21 |
| Section 15. The Cemetery Care Act is amended by changing | 22 |
| Sections 7, 8, 10, 11, 14, 15, 15.3, 15.4, and 18 and by adding | 23 |
| Sections 9.1, 9.2, 9.3, 9.4, and 12.1 as follows:
| 24 |
| (760 ILCS 100/7) (from Ch. 21, par. 64.7)
|
|
|
|
HB1074 |
- 18 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| Sec. 7. License to hold care funds.
No cemetery authority | 2 |
| owning, operating, controlling or managing a
privately | 3 |
| operated cemetery may accept the care funds authorized by the
| 4 |
| provisions of Section 3 of this Act without securing from the | 5 |
| Comptroller a
license to hold
the funds. The license shall be | 6 |
| secured by the
cemetery authority whether
the cemetery | 7 |
| authority is serving as trustee of the care funds or whether
| 8 |
| the care funds are held by an independent trustee.
| 9 |
| All licenses issued under the provisions of this Act by the | 10 |
| Department
of Financial Institutions prior to the time the | 11 |
| administration of this Act
was transferred to the Comptroller | 12 |
| shall remain valid for all purposes
unless such license expires | 13 |
| or is terminated, surrendered or revoked as provided in
this | 14 |
| Act.
| 15 |
| (Source: P.A. 89-615, eff. 8-9-96.)
| 16 |
| (760 ILCS 100/8) (from Ch. 21, par. 64.8)
| 17 |
| Sec. 8. Every cemetery authority shall register with the | 18 |
| Comptroller upon
forms furnished by him or her. Such | 19 |
| registration statement shall state whether
the cemetery | 20 |
| authority claims that the cemetery owned, operated, | 21 |
| controlled, or
managed by it is a fraternal cemetery, | 22 |
| municipal, State, or federal cemetery,
or religious cemetery, | 23 |
| or a family burying ground, as the case may be, as
defined in | 24 |
| Section 2 of this Act, and shall state the date of | 25 |
| incorporation if
a corporation and whether incorporated under |
|
|
|
HB1074 |
- 19 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| general or private act of the
legislature. Such registration | 2 |
| statement shall be accompanied by a fee of $5.
Such fee shall | 3 |
| be paid to the Comptroller and no registration statement shall
| 4 |
| be accepted by him without the payment of such fee. Every | 5 |
| cemetery authority
that is not required to file an annual | 6 |
| report under this Act shall bear the
responsibility of | 7 |
| informing the Comptroller whenever a change takes place
| 8 |
| regarding status of cemetery, name of contact person, and that | 9 |
| person's address
and telephone number.
| 10 |
| Upon receipt of a registration statement, if a claim is | 11 |
| made that a
cemetery is a fraternal cemetery, municipal | 12 |
| cemetery, or religious
cemetery, or a family burying ground, as | 13 |
| the case may be, as defined in
Section 2 of this Act, and the | 14 |
| Comptroller shall determine that such
cemetery is not a | 15 |
| fraternal cemetery, a municipal cemetery, or a religious
| 16 |
| cemetery, or a family burying ground, as the case may be, as | 17 |
| defined in
Section 2 of this Act, the Comptroller shall notify | 18 |
| the cemetery authority
making the claim of such determination; | 19 |
| provided, however, that no such
claim shall be denied until the | 20 |
| cemetery authority making such claim has
had at least 10 days' | 21 |
| notice of a hearing thereon and an opportunity to be
heard. | 22 |
| When any such claim is denied, the Comptroller shall within 20 | 23 |
| days
thereafter prepare and keep on file in his office the | 24 |
| transcript of the
evidence taken and a written order or | 25 |
| decision of denial of such claim and
shall send by United | 26 |
| States mail a copy of such order or decision of denial
to the |
|
|
|
HB1074 |
- 20 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| cemetery authority making such claim within 5 days after the | 2 |
| filing
in his office of such order, finding or decision. A | 3 |
| review of any such
order, finding or decision may be had as | 4 |
| provided in the Administrative
Review Law, as now or hereafter | 5 |
| amended.
| 6 |
| Where no claim is made that a cemetery is a fraternal | 7 |
| cemetery,
municipal cemetery or religious cemetery or family | 8 |
| burying ground, as the
case may be, as defined in Section 2 of | 9 |
| this Act, the registration
statement shall be accompanied by a | 10 |
| fidelity bond in the amount required by
Section 9 of this Act. | 11 |
| Upon receipt of such application, statement and
bond, the | 12 |
| Comptroller shall issue a license to accept the care funds
| 13 |
| authorized by the provisions of Section 3 of this Act to each | 14 |
| cemetery
authority owning, operating, controlling or managing | 15 |
| a privately operated
cemetery. However, the Comptroller shall | 16 |
| issue a license
without the filing of a bond where the filing | 17 |
| of a bond is excused by
Section 18 of this Act.
| 18 |
| The license issued by the Comptroller shall remain in full | 19 |
| force and
effect until it expires or is surrendered by the | 20 |
| licensee or revoked by the
Comptroller as hereinafter provided.
| 21 |
| (Source: P.A. 88-477.)
| 22 |
| (760 ILCS 100/9.1 new)
| 23 |
| Sec. 9.1. Term of license. | 24 |
| (a) Any license that was issued under this Act before the | 25 |
| effective date of this amendatory Act of the 95th General |
|
|
|
HB1074 |
- 21 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| Assembly shall expire according to a schedule developed by the | 2 |
| Comptroller pursuant to the original date of issuance and must | 3 |
| thereafter be renewed as provided in this Act. Beginning on the | 4 |
| effective date of this amendatory Act of the 95th General | 5 |
| Assembly, a license or license renewal shall be issued for a | 6 |
| 5-year term, which shall expire as provided in this Act. | 7 |
| (b) The Comptroller by rule may adopt a system under which | 8 |
| licenses must be renewed by various dates during the year, | 9 |
| coinciding with the due date of the annual report of the | 10 |
| licensee or any extensions thereof. | 11 |
| (760 ILCS 100/9.2 new)
| 12 |
| Sec. 9.2. Requirements for license renewal. In order to | 13 |
| complete the license renewal process, the licensee shall submit | 14 |
| a license renewal application to the Comptroller in writing | 15 |
| signed by the licensee and on forms furnished by the | 16 |
| Comptroller upon the date of renewal. The Comptroller may | 17 |
| prescribe abbreviated license renewal forms for persons | 18 |
| holding multiple licenses issued by the Comptroller. Each | 19 |
| renewal application (except abbreviated applications) shall | 20 |
| contain all the following: | 21 |
| (1) An affirmative statement indicating the licensee's | 22 |
| desire for renewal and agreement to abide by all applicable | 23 |
| statutes and rules. | 24 |
| (2) A $25 nonrefundable renewal fee. | 25 |
| (3) A completed annual report. |
|
|
|
HB1074 |
- 22 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| (4) The following information for the licensee; each | 2 |
| member, if the licensee is a partnership or association; | 3 |
| each officer or director, if the licensee is a corporation; | 4 |
| and each party owning 10% or more of the cemetery authority | 5 |
| and the parent company, if any: | 6 |
| (A) Name and current address (both residence and | 7 |
| place of business).
| 8 |
| (B) A detailed statement of the individual's | 9 |
| business experience for the 10 years immediately | 10 |
| preceding the application. | 11 |
| (C) Any present or prior connection between the | 12 |
| individual and any other cemetery or cemetery | 13 |
| authority. | 14 |
| (D) Any felony or misdemeanor convictions of which | 15 |
| fraud was an essential element, any judgment against | 16 |
| the person in a civil suit in which the complaint is | 17 |
| based on fraud, and whether the person is, at the time | 18 |
| of application, a defendant in a civil suit in which | 19 |
| the complaint is based on fraud. | 20 |
| (E) Any failure of the individual to satisfy an | 21 |
| enforceable judgment entered against him or her based | 22 |
| upon fraud. | 23 |
| Since the information required by this item (4) and the | 24 |
| following item (5) may be confidential or contain | 25 |
| proprietary information, this information shall not be | 26 |
| available to other licensees or the general public and |
|
|
|
HB1074 |
- 23 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| shall be used only for the lawful purposes of the | 2 |
| Comptroller in enforcing this Act.
| 3 |
| (5) A current statement of the licensee's assets and | 4 |
| liabilities. | 5 |
| (6) The current name, address, and legal boundaries of | 6 |
| each cemetery for which the care funds are entrusted and at | 7 |
| which the books, accounts, and records are available for | 8 |
| examination by the Comptroller as required by Section 13 of | 9 |
| this Act. | 10 |
| (7) Any other information that the Comptroller may | 11 |
| reasonably require in order to determine whether the | 12 |
| licensee qualifies for license renewal under this Act. | 13 |
| (760 ILCS 100/9.3 new)
| 14 |
| Sec. 9.3. Remedy for delinquent renewal. | 15 |
| (a) If a licensee continues to conduct activities requiring | 16 |
| a license but fails to submit a completed license renewal | 17 |
| application to the Comptroller within the time specified in | 18 |
| this Act, the Comptroller shall impose upon the licensee a | 19 |
| penalty of $5 for each day the licensee remains delinquent in | 20 |
| submitting the renewal application. The Comptroller may abate | 21 |
| all or part of the $5 daily penalty for good cause shown. | 22 |
| (b) In the event the renewal application is denied by the | 23 |
| Comptroller, the renewal fee paid is not refundable. | 24 |
| (760 ILCS 100/9.4 new)
|
|
|
|
HB1074 |
- 24 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| Sec. 9.4. License renewal process. Once the licensee has | 2 |
| filed for license renewal, the expiring license shall remain in | 3 |
| effect until the renewal has been issued. Upon approval of the | 4 |
| Comptroller, the Comptroller shall issue a license renewal to | 5 |
| be posted in the place of business of the licensee.
| 6 |
| (760 ILCS 100/10) (from Ch. 21, par. 64.10)
| 7 |
| Sec. 10. Upon receipt of such application for license or | 8 |
| license renewal , the Comptroller shall
issue a license or | 9 |
| license renewal to the applicant unless the Comptroller | 10 |
| determines that:
| 11 |
| (a) The applicant or licensee has made any | 12 |
| misrepresentations or false statements or
has concealed any | 13 |
| essential or material fact, or
| 14 |
| (b) The applicant or licensee is insolvent; or
| 15 |
| (c) The applicant or licensee is or has been using | 16 |
| practices in the conducting of the
cemetery business that work | 17 |
| or tend to work a fraud; or
| 18 |
| (d) The applicant or licensee has refused to furnish or | 19 |
| give pertinent data to
the Comptroller; or
| 20 |
| (e) The applicant or licensee has failed to notify the | 21 |
| Comptroller with respect
to any material facts required in the | 22 |
| application for license under the
provisions of this Act; or
| 23 |
| (f) The applicant or licensee has failed to satisfy any | 24 |
| enforceable judgment entered by
the circuit court in any civil | 25 |
| proceedings against such applicant; or
|
|
|
|
HB1074 |
- 25 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| (g) The applicant or licensee has conducted or is about to | 2 |
| conduct its business
in a fraudulent manner; or
| 3 |
| (h) The applicant or licensee or any individual listed
in | 4 |
| the license
or license renewal application has
conducted or is | 5 |
| about to conduct any business on behalf of the applicant in
a | 6 |
| fraudulent manner; or has been convicted of a felony or any | 7 |
| misdemeanor
of which an essential element is fraud; or has been | 8 |
| involved in any civil
litigation in which a judgment has been | 9 |
| entered against him or her based on
fraud; or has failed to | 10 |
| satisfy any enforceable judgment entered
by the circuit court | 11 |
| in any civil proceedings against such individual; or has
been | 12 |
| convicted of any felony of which fraud is an essential element; | 13 |
| or has
been convicted of any theft-related
offense;
or has | 14 |
| failed to comply with the requirements of this Act;
or has | 15 |
| demonstrated a pattern of
improperly failing to honor a
| 16 |
| contract with a consumer; or
| 17 |
| (i) The applicant or licensee has ever had a license | 18 |
| involving cemeteries or funeral
homes revoked, suspended, or | 19 |
| refused to be issued in Illinois or elsewhere.
| 20 |
| If the Comptroller so determines, then he or she shall | 21 |
| conduct a hearing to
determine whether to deny the application | 22 |
| for license or license renewal . However, no application for | 23 |
| license or license renewal shall be
denied unless the applicant | 24 |
| or licensee has had at least 10 days' notice of a hearing on
| 25 |
| the application and an opportunity to be heard thereon. If the | 26 |
| application for license or license renewal is
denied, the |
|
|
|
HB1074 |
- 26 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| Comptroller shall within 20 days thereafter prepare and keep on
| 2 |
| file in his or her office the transcript of the evidence taken | 3 |
| and a written
order of denial thereof, which shall contain his | 4 |
| or her findings with respect
thereto and the reasons supporting | 5 |
| the denial, and shall send by United States
mail a copy of the | 6 |
| written order of denial to the applicant at the address set
| 7 |
| forth in the application for license or license renewal , within | 8 |
| 5 days after the filing of such order. A
review of such | 9 |
| decision may be had as provided in Section 20 of this Act.
| 10 |
| The license or license renewal issued by the Comptroller | 11 |
| shall remain in full force and
effect until it expires or is | 12 |
| surrendered by the licensee or revoked by the
Comptroller as | 13 |
| hereinafter provided.
| 14 |
| (Source: P.A. 92-419, eff. 1-1-02.)
| 15 |
| (760 ILCS 100/11) (from Ch. 21, par. 64.11)
| 16 |
| Sec. 11. Issuance and display of license. A license issued | 17 |
| under this Act authorizes the
cemetery authority to accept care | 18 |
| funds for the cemetery
identified in the license. If a license
| 19 |
| application seeks licensure to accept care funds on behalf
of | 20 |
| more than one cemetery location, the Comptroller, upon
approval | 21 |
| of the license application, shall issue to the
cemetery | 22 |
| authority a separate license for each cemetery
location | 23 |
| indicated on the application. Each license issued
by the | 24 |
| Comptroller under this Act is independent of any
other license | 25 |
| that may be issued to a cemetery authority
under a single |
|
|
|
HB1074 |
- 27 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| license application.
| 2 |
| Every license issued by the Comptroller shall state the | 3 |
| number of the
license and the address at which the business is | 4 |
| to be conducted. Such
license shall be kept conspicuously | 5 |
| posted in the place of business of the
licensee and shall not | 6 |
| be transferable or assignable.
| 7 |
| No more than one place of business shall be maintained | 8 |
| under the same
license, but the Comptroller may issue more than | 9 |
| one license to the same
licensee upon compliance with the | 10 |
| provisions of this Act governing an
original issuance of a | 11 |
| license, for each new license.
| 12 |
| Whenever a licensee shall wish to change the name as | 13 |
| originally set
forth in his license, he shall give written | 14 |
| notice thereof to the
Comptroller together with the reasons for | 15 |
| the change and if the change is
approved by the Comptroller he | 16 |
| shall issue a new license.
| 17 |
| A license issued by the Comptroller shall remain in full
| 18 |
| force and effect until it expires or is surrendered by the | 19 |
| licensee or
suspended or revoked by the Comptroller as
provided | 20 |
| in this Act.
| 21 |
| (Source: P.A. 92-419, eff. 1-1-02.)
| 22 |
| (760 ILCS 100/12.1 new)
| 23 |
| Sec. 12.1. Any cemetery association, as established | 24 |
| pursuant to the Cemetery Association Act, holding $75,000 or | 25 |
| less in its care funds, in lieu of complying with the annual |
|
|
|
HB1074 |
- 28 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| report requirements of Section 12 of this Act, shall file with | 2 |
| the Comptroller a financial report containing information | 3 |
| required by the Comptroller. Each report shall be made under | 4 |
| oath and shall be in the form furnished by the Comptroller. The | 5 |
| report shall be filed free of cost. If any financial report | 6 |
| shows that the amount of the care funds held in trust at the | 7 |
| end of the preceding calendar year or fiscal year, as the case | 8 |
| may be, has increased in amount greater than $75,000, then, for | 9 |
| the next calendar or fiscal year, as the case may be, the | 10 |
| cemetery association shall file an annual report as required | 11 |
| under Section 12 of this Act.
| 12 |
| (760 ILCS 100/14) (from Ch. 21, par. 64.14)
| 13 |
| Sec. 14. The Comptroller may at any time investigate the | 14 |
| cemetery business
of every licensee with respect to its care | 15 |
| funds. The Comptroller shall
examine at least annually every | 16 |
| licensee who holds $750,000
$250,000 or more in
its care funds. | 17 |
| For that purpose, the Comptroller shall have free access
to the | 18 |
| office and places of business and to such records of all
| 19 |
| licensees and of all trustees of the care funds of all | 20 |
| licensees as
shall relate to the acceptance, use and investment | 21 |
| of care funds. The
Comptroller may require the attendance of | 22 |
| and examine under oath all
persons whose testimony he may | 23 |
| require relative to such business and in
such cases the | 24 |
| Comptroller or any qualified representative of the
Comptroller | 25 |
| whom the Comptroller may designate, may administer oaths to
all |
|
|
|
HB1074 |
- 29 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| such persons called as witnesses, and the Comptroller, or any | 2 |
| such
qualified representative of the Comptroller, may conduct | 3 |
| such
examinations. The cost of an initial examination
shall be | 4 |
| borne by the
cemetery authority if it has $10,000 or more in | 5 |
| such fund; otherwise, by
the Comptroller. The charge made by | 6 |
| the Comptroller for such examination
shall be based upon the | 7 |
| total amount of care funds held by the cemetery
authority as of | 8 |
| the end of the calendar or fiscal year for which a
report is | 9 |
| required by Section 12 of this Act and shall be in accordance
| 10 |
| with the following schedule:
| 11 |
| less than $10,000 .........................no charge;
| 12 |
| $10,000 or more but less than
| 13 |
| $50,000 .....................................$10;
| 14 |
| $50,000 or more but less than
| 15 |
| $100,000 ....................................$40;
| 16 |
| $100,000 or more but less than
| 17 |
| $250,000 ....................................$80;
| 18 |
| $250,000 or more ....................................$100.
| 19 |
| Any licensee which is not required to be examined annually | 20 |
| shall submit
an annual report to the Comptroller containing | 21 |
| such information as the
Comptroller reasonably may request.
| 22 |
| The Comptroller may order additional audits or | 23 |
| examinations as he or she
may deem necessary or advisable to | 24 |
| ensure the safety and stability of the trust
funds and to | 25 |
| ensure compliance with this Act. These additional audits or
| 26 |
| examinations shall only be made after good cause is established |
|
|
|
HB1074 |
- 30 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| by the
Comptroller in the written order. The grounds for | 2 |
| ordering these additional
audits or examinations may include, | 3 |
| but shall not be limited to:
| 4 |
| (1) material and unverified changes or fluctuations in | 5 |
| trust balances;
| 6 |
| (2) the licensee changing trustees more than twice in | 7 |
| any 12-month
period;
| 8 |
| (3) any withdrawals or attempted withdrawals from the | 9 |
| trusts in violation
of this Act; or
| 10 |
| (4) failure to maintain or produce documentation | 11 |
| required by this Act for
deposits into trust accounts or | 12 |
| trust investment activities.
| 13 |
| Prior to ordering an additional audit or examination, the | 14 |
| Comptroller shall
request the licensee to respond and comment | 15 |
| upon the factors identified by the
Comptroller as warranting | 16 |
| the subsequent examination or audit. The licensee
shall have 30 | 17 |
| days to provide a response to the Comptroller. If the
| 18 |
| Comptroller decides to proceed with the additional examination | 19 |
| or audit, the
licensee shall bear the full cost of that | 20 |
| examination or audit, up to a maximum
of $7,500. The
| 21 |
| Comptroller may elect to pay for the examination or audit and | 22 |
| receive
reimbursement from the licensee. Payment of the costs | 23 |
| of the examination or
audit by a licensee shall be a condition | 24 |
| of receiving or maintaining a license
under this Act. All | 25 |
| moneys received by the Comptroller for examination or
audit | 26 |
| fees shall be maintained in a separate account to be known as |
|
|
|
HB1074 |
- 31 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| the
Comptroller's Administrative
Fund. This Fund,
subject to | 2 |
| appropriation by the General Assembly, may
be utilized by the | 3 |
| Comptroller for
enforcing this Act and other purposes that may | 4 |
| be authorized by law.
| 5 |
| (Source: P.A. 89-615, eff. 8-9-96.)
| 6 |
| (760 ILCS 100/15) (from Ch. 21, par. 64.15)
| 7 |
| Sec. 15. The Comptroller may, upon 10 days' notice to the | 8 |
| licensee, by
United
States mail directed to the licensee at the | 9 |
| address set forth in the
license, stating the contemplated | 10 |
| action and, in general, the grounds
therefor, and upon | 11 |
| reasonable opportunity to be heard prior to such action,
revoke | 12 |
| of fail to renew any license issued hereunder if he finds that:
| 13 |
| (a) The licensee has failed to make the annual report
or to | 14 |
| maintain in effect the required bond or to comply with an | 15 |
| order,
decision, or finding of the Comptroller made pursuant to | 16 |
| this Act; or that
| 17 |
| (b) The licensee has violated any provision of this Act or | 18 |
| any
regulation or direction made by the Comptroller under this | 19 |
| Act; or that
| 20 |
| (c) Any fact or condition exists which would constitute | 21 |
| grounds for
denying an application for a new license or license | 22 |
| renewal .
| 23 |
| (Source: P.A. 91-7, eff. 6-1-99.)
| 24 |
| (760 ILCS 100/15.3) (from Ch. 21, par. 64.15-3)
|
|
|
|
HB1074 |
- 32 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| Sec. 15.3. Every license issued hereunder shall remain in | 2 |
| force until the same expires or has
been surrendered or revoked | 3 |
| in accordance with this Act, but the
Comptroller may on his own | 4 |
| motion, issue new licenses to a licensee whose
license or | 5 |
| licenses have been revoked if no fact or condition then exists
| 6 |
| which clearly would have warranted the Comptroller in refusing | 7 |
| originally
the issuance of such license under this Act.
| 8 |
| (Source: P.A. 78-592.)
| 9 |
| (760 ILCS 100/15.4) (from Ch. 21, par. 64.15-4)
| 10 |
| Sec. 15.4. No license shall be revoked or not renewed until | 11 |
| the licensee has had at least
10 days' notice of a hearing | 12 |
| thereon and an opportunity to be heard. When any
license is so | 13 |
| revoked or not renewed , the Comptroller shall within 20 days | 14 |
| thereafter,
prepare and keep on file in his office the | 15 |
| transcript of the evidence taken
and a written order or | 16 |
| decision of revocation, and shall send by United
States mail a | 17 |
| copy of such order or decision of revocation or failure to | 18 |
| renew to the licensee
at the address set forth in the license | 19 |
| within 5 days after the filing in
his office of such order, | 20 |
| finding or decision. A review of any such order,
finding or | 21 |
| decision may be had as provided in Section 19 of this Act.
| 22 |
| (Source: P.A. 83-333.)
| 23 |
| (760 ILCS 100/18) (from Ch. 21, par. 64.18)
| 24 |
| Sec. 18. Application; when bond is unnecessary. The |
|
|
|
HB1074 |
- 33 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| provisions of this Act as
to the (a) registration, (b) | 2 |
| application for license or license renewal , (c) filing of a | 3 |
| fidelity
bond, (d) filing of an annual report, and (e) | 4 |
| examination by the Comptroller,
apply to a cemetery authority | 5 |
| owning, operating, controlling or managing a
privately | 6 |
| operated cemetery whether the care funds are held by such | 7 |
| cemetery
authority as trustee or by any independent trustee for | 8 |
| the same.
However, no bond need be filed with
the Comptroller | 9 |
| as to care funds of such cemetery authority held as trustee by
| 10 |
| a bank or trust company authorized to do business in this State | 11 |
| as a trust
company in accordance with Section 2-10 of the | 12 |
| Corporate Fiduciary Act or held
by an investment company.
| 13 |
| Upon application by such cemetery authority to the | 14 |
| Comptroller, and upon
a showing that all of the care funds of | 15 |
| such cemetery authority are held by
such bank or trust company | 16 |
| as trustee for such cemetery authority pursuant to
an agreement | 17 |
| in writing approved from time to time by the Comptroller for | 18 |
| the
handling and management of all of the care funds of such | 19 |
| cemetery authority, or
are held by an investment company, the | 20 |
| Comptroller in writing may permit the
licensee to operate | 21 |
| without the filing of any bond as to such care funds except
| 22 |
| such fidelity bond as he or she may require for the protection | 23 |
| of such cemetery
authority against defaults by its employees | 24 |
| engaged in the handling and
collection of funds.
| 25 |
| (Source: P.A. 88-477; 89-615, eff. 8-9-96.)
|
|
|
|
HB1074 |
- 34 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| Section 20. The Illinois Pre-Need Cemetery Sales Act is | 2 |
| amended by changing Sections 7, 8, 9, and 12 and by adding | 3 |
| Sections 6a, 6b, 6c, and 6d as follows: | 4 |
| (815 ILCS 390/6a new)
| 5 |
| Sec. 6a. Term of license. | 6 |
| (a) Any license that was issued under this Act before the | 7 |
| effective date of this amendatory Act of the 95th General | 8 |
| Assembly shall expire according to a schedule developed by the | 9 |
| Comptroller pursuant to the original date of issuance and must | 10 |
| thereafter be renewed as provided in this Act. Beginning on the | 11 |
| effective date of this amendatory Act of the 95th General | 12 |
| Assembly, a license or license renewal shall be issued for a | 13 |
| 5-year term, which shall expire as provided in this Act. | 14 |
| (b) The Comptroller by rule may adopt a system under which | 15 |
| licenses must be renewed by various dates during the year, | 16 |
| coinciding with the due date of the annual report of the | 17 |
| licensee or any extensions thereof. | 18 |
| (815 ILCS 390/6b new)
| 19 |
| Sec. 6b. Requirements for license renewal. In order to | 20 |
| complete the license renewal process, the licensee shall submit | 21 |
| a license renewal application to the Comptroller in writing | 22 |
| under oath, signed by the licensee and in the form furnished by | 23 |
| the Comptroller upon the date of renewal. The Comptroller may | 24 |
| prescribe abbreviated license renewal application forms for |
|
|
|
HB1074 |
- 35 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| persons holding multiple licenses issued by the Comptroller. | 2 |
| Each renewal application (except abbreviated applications) | 3 |
| shall contain all of the following: | 4 |
| (1) An affirmative statement indicating the licensee's | 5 |
| desire for renewal and agreement to abide by all applicable | 6 |
| statutes and rules. | 7 |
| (2) A $25 nonrefundable renewal fee. | 8 |
| (3) A completed annual report. | 9 |
| (4) The following information for the licensee, and | 10 |
| each member, officer, and director thereof, if the licensee | 11 |
| is a firm, partnership, association, or corporation, and | 12 |
| each shareholder holding more than 10% of the corporate | 13 |
| stock, if the licensee is a corporation: | 14 |
| (A) His or her name and current address (both | 15 |
| residence and place of business).
| 16 |
| (B) A detailed statement of the individual's | 17 |
| business experience for the 10 years immediately | 18 |
| preceding the application. | 19 |
| (C) Any present or prior connection between the | 20 |
| individual and any other person engaged in pre-need | 21 |
| sales. | 22 |
| (D) Any felony or misdemeanor convictions of which | 23 |
| fraud was an essential element and any charges or | 24 |
| complaints lodged against the individual of which | 25 |
| fraud was an essential element and that resulted in | 26 |
| civil or criminal litigation. |
|
|
|
HB1074 |
- 36 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| (E) Any failure of the individual to satisfy an | 2 |
| enforceable judgment entered against him or her based | 3 |
| upon fraud. | 4 |
| (F) Any other information requested by the | 5 |
| Comptroller relating to past
business practices of the | 6 |
| individual. | 7 |
| Since the information required by this item (4) and item | 8 |
| (5) may be confidential or contain proprietary | 9 |
| information, this information shall not be available to | 10 |
| other licensees or the general public and shall be used | 11 |
| only for the lawful purposes of the Comptroller in | 12 |
| enforcing this Act.
| 13 |
| (5) A detailed statement of the licensee's current | 14 |
| assets and liabilities. | 15 |
| (6) The current name and address of the licensee's | 16 |
| principal place of business at which the books, accounts, | 17 |
| and records are available for examination by the | 18 |
| Comptroller as required by this Act. | 19 |
| (7) The current name and address of the licensee's | 20 |
| branch locations at which pre-need sales are conducted and | 21 |
| that operate under the same license number as the | 22 |
| licensee's principal place of business. | 23 |
| (8) A current copy of the trust agreement under which | 24 |
| the trust funds are to be held as required by this Act. | 25 |
| (9) Such other information as the Comptroller may | 26 |
| reasonably require in order to determine whether the |
|
|
|
HB1074 |
- 37 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| licensee's renewal application qualifies under this Act. | 2 |
| (815 ILCS 390/6c new)
| 3 |
| Sec. 6c. Remedy for delinquent license renewal. | 4 |
| (a) If a licensee continues to conduct activities requiring | 5 |
| a license but fails to submit a completed license renewal | 6 |
| application to the Comptroller within the time specified in | 7 |
| this Act, the Comptroller shall impose upon the licensee a | 8 |
| penalty of $5 for each day the licensee remains delinquent in | 9 |
| submitting the application. The Comptroller may abate all or | 10 |
| part of the $5 daily penalty for good cause shown. | 11 |
| (b) In the event the renewal application is denied by the | 12 |
| Comptroller, the renewal fee paid is not refundable. | 13 |
| (815 ILCS 390/6d new)
| 14 |
| Sec. 6d. License renewal process.
Once the licensee has | 15 |
| filed for license renewal, the expiring license shall remain in | 16 |
| effect until the renewal has been issued. Upon approval of the | 17 |
| Comptroller, the Comptroller shall issue a license renewal to | 18 |
| be posted in the place of business of the licensee.
| 19 |
| (815 ILCS 390/7) (from Ch. 21, par. 207)
| 20 |
| Sec. 7. The Comptroller may refuse to issue or renew a | 21 |
| license or may suspend or revoke
a license on any of the | 22 |
| following grounds:
| 23 |
| (a) The applicant or licensee has made any |
|
|
|
HB1074 |
- 38 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| misrepresentations or false
statements or concealed any | 2 |
| material fact;
| 3 |
| (b) The applicant or licensee is insolvent;
| 4 |
| (c) The applicant or licensee has been engaged in business | 5 |
| practices that
work a fraud;
| 6 |
| (d) The applicant or licensee has refused to give pertinent | 7 |
| data to the
Comptroller;
| 8 |
| (e) The applicant or licensee has failed to satisfy any | 9 |
| enforceable
judgment or decree rendered by any court of | 10 |
| competent jurisdiction against
the applicant;
| 11 |
| (f) The applicant or licensee has conducted or is about to | 12 |
| conduct
business in a fraudulent manner;
| 13 |
| (g) The trust agreement is not in compliance
with State or | 14 |
| federal law;
| 15 |
| (h) The pre-construction performance bond, if applicable, | 16 |
| is not
satisfactory to the Comptroller;
| 17 |
| (i) The fidelity bond is not satisfactory to the | 18 |
| Comptroller;
| 19 |
| (j) As to any individual listed in the license application | 20 |
| for license or license renewal as required
pursuant to Section | 21 |
| 6 or 6b , that individual has conducted
or is
about to conduct | 22 |
| any business on behalf of the applicant in a fraudulent
manner, | 23 |
| has been convicted of any felony or misdemeanor an essential
| 24 |
| element of which is fraud, has had a judgment rendered against | 25 |
| him or her
based on
fraud in any civil litigation, has failed | 26 |
| to satisfy any enforceable
judgment or decree rendered against |
|
|
|
HB1074 |
- 39 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| him by any court of competent
jurisdiction, or has been | 2 |
| convicted of any felony or any theft-related
offense;
| 3 |
| (k) The applicant or licensee has failed to make the annual | 4 |
| report
required by this Act or to comply with a final order, | 5 |
| decision, or finding
of the Comptroller made pursuant to this | 6 |
| Act;
| 7 |
| (l) The applicant or licensee, including any member, | 8 |
| officer, or director
thereof if the applicant or licensee is a | 9 |
| firm, partnership, association, or
corporation and any | 10 |
| shareholder holding more than 10% of the corporate stock,
has | 11 |
| violated any provision of this Act
or
any regulation or order | 12 |
| made by the Comptroller under this Act; or
| 13 |
| (m) The Comptroller finds any fact or condition existing | 14 |
| which, if it
had existed at the time of the original | 15 |
| application for such license or renewal of such license would
| 16 |
| have warranted the Comptroller in refusing the issuance or | 17 |
| renewal of the license.
| 18 |
| (Source: P.A. 92-419, eff. 1-1-02.)
| 19 |
| (815 ILCS 390/8) (from Ch. 21, par. 208)
| 20 |
| Sec. 8. (a) Every license issued by the Comptroller shall | 21 |
| state the
number of the license, the business name and address | 22 |
| of the licensee's
principal place of business, each branch | 23 |
| location also operating under the
license, and the licensee's | 24 |
| parent company, if any. The license shall be
conspicuously | 25 |
| posted in
each place of business operating under the license. |
|
|
|
HB1074 |
- 40 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| The Comptroller may issue
additional licenses as may be | 2 |
| necessary for license branch locations upon compliance with the | 3 |
| provisions of this Act
governing an original issuance of a | 4 |
| license for each new license.
| 5 |
| (b) Individual salespersons representing a licensee
shall | 6 |
| not be required
to obtain licenses in their individual | 7 |
| capacities
but must acknowledge, by affidavit, that they have
| 8 |
| been provided a copy of and have read this Act. The licensee | 9 |
| must
retain copies of the affidavits of its salespersons for | 10 |
| its
records and must make the affidavits available to the
| 11 |
| Comptroller for examination upon request.
| 12 |
| (c) The licensee shall be responsible for the activities of | 13 |
| any person
representing the licensee in selling or offering a | 14 |
| pre-need contract for sale.
| 15 |
| (d) Any person not selling on behalf of a
licensee
shall be | 16 |
| required to obtain his or her own license.
| 17 |
| (e) Any person engaged in pre-need sales, as defined | 18 |
| herein, prior to
the effective date of this Act may continue | 19 |
| operations until the application
for license under this Act is | 20 |
| denied; provided that such person shall make
application for a | 21 |
| license within 60 days of the date that application forms
are | 22 |
| made available by the Comptroller.
| 23 |
| (f) No license shall be transferable or assignable without | 24 |
| the express
written consent of the Comptroller. A transfer of | 25 |
| more than 50% of the
ownership of any business licensed | 26 |
| hereunder shall be deemed to be an attempted
assignment of the |
|
|
|
HB1074 |
- 41 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| license originally issued to the licensee for which consent
of | 2 |
| the Comptroller shall be required.
| 3 |
| (g) Every license issued hereunder shall remain in force | 4 |
| until the same
expires or has been suspended, surrendered or | 5 |
| revoked in accordance with this Act,
but the Comptroller, upon | 6 |
| the request of an interested person or on his
own motion, may | 7 |
| issue new licenses to a licensee whose license or licenses
have | 8 |
| been revoked, if no factor or condition then exists which would | 9 |
| have
warranted the Comptroller in refusing originally the | 10 |
| issuance of such license.
| 11 |
| (Source: P.A. 92-419, eff. 1-1-02.)
| 12 |
| (815 ILCS 390/9) (from Ch. 21, par. 209)
| 13 |
| Sec. 9. The Comptroller may upon his own motion investigate | 14 |
| the actions
of any person providing, selling, or offering | 15 |
| pre-need sales contracts
or of any applicant
or any person or | 16 |
| persons holding or claiming to hold
a license under this Act. | 17 |
| The Comptroller shall make such an investigation
on receipt of | 18 |
| the verified written complaint of any person setting forth
| 19 |
| facts which, if proved, would constitute grounds for refusal to | 20 |
| issue or renew , suspension,
or revocation of a license.
Before | 21 |
| refusing to issue or renew , and before suspension or revocation | 22 |
| of a license,
the Comptroller shall hold a hearing to determine | 23 |
| whether the applicant or
licensee,
hereafter called the | 24 |
| respondent, is entitled to hold
such a license. At
least 10 | 25 |
| days prior to the date set for such hearing, the Comptroller |
|
|
|
HB1074 |
- 42 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| shall
notify the respondent in writing that on the date | 2 |
| designated a hearing
will be held to determine his eligibility | 3 |
| for a license and that he may
appear in person or by counsel. | 4 |
| Such written notice may be served on the
respondent personally, | 5 |
| or by registered or certified mail sent to the
respondent's
| 6 |
| business address as shown in his latest notification to the | 7 |
| Comptroller and
shall include sufficient information to inform | 8 |
| the respondent of the general
nature of the charge. At the | 9 |
| hearing, both the respondent and the complainant
shall be | 10 |
| accorded ample opportunity to present in person or by counsel | 11 |
| such
statements, testimony, evidence and argument as may be | 12 |
| pertinent to the
charges or to any defense thereto. The | 13 |
| Comptroller may reasonably continue
such hearing from time to | 14 |
| time.
| 15 |
| The Comptroller may subpoena any person or persons in this | 16 |
| State and take
testimony orally, by deposition or by exhibit, | 17 |
| in the same manner and with
the same fees and mileage as | 18 |
| prescribed in judicial proceedings in civil cases.
| 19 |
| Any authorized agent of the Comptroller may administer | 20 |
| oaths to witnesses
at any hearing which the Comptroller is | 21 |
| authorized to conduct.
| 22 |
| The Comptroller, at his expense, shall provide a certified | 23 |
| shorthand reporter
to take down the testimony and preserve a | 24 |
| record of all proceedings at the
hearing of any case involving | 25 |
| the refusal to issue or renew a license, the suspension
or | 26 |
| revocation of a license, the imposition of a monetary penalty, |
|
|
|
HB1074 |
- 43 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| or the
referral
of a case for criminal prosecution. The record | 2 |
| of any such proceeding shall
consist of the notice of hearing, | 3 |
| complaint, all other documents in the
nature of pleadings and | 4 |
| written motions filed in the proceedings, the
transcript
of | 5 |
| testimony and the report and orders of the Comptroller. Copies | 6 |
| of the
transcript of such record may be purchased from the | 7 |
| certified shorthand
reporter
who prepared the record or from | 8 |
| the Comptroller.
| 9 |
| (Source: P.A. 92-419, eff. 1-1-02.)
| 10 |
| (815 ILCS 390/12) (from Ch. 21, par. 212)
| 11 |
| Sec. 12. License nonrenewal, revocation , or suspension.
| 12 |
| (a) The Comptroller may, upon determination that grounds
| 13 |
| exist for the revocation or suspension or nonrenewal of a | 14 |
| license issued
under this Act, revoke ,
or suspend , or fail to | 15 |
| renew , if appropriate, the license issued to a
licensee or to a
| 16 |
| particular branch office location with respect to which the
| 17 |
| grounds for revocation ,
or suspension , or failure to renew may | 18 |
| occur or exist.
| 19 |
| (b) Upon the nonrenewal, revocation , or suspension of any | 20 |
| license, the
licensee shall immediately surrender the license | 21 |
| or licenses to the Comptroller. If the licensee fails to do so, | 22 |
| the
Comptroller has the right to seize the license or licenses.
| 23 |
| (Source: P.A. 92-419, eff. 1-1-02.)
| 24 |
| Section 99. Effective date. This Act takes effect January | 25 |
| 1, 2008. |
|
|
|
HB1074 |
- 44 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
|
INDEX
| 2 |
|
Statutes amended in order of appearance
|
| 3 |
| 225 ILCS 45/3a |
from Ch. 111 1/2, par. 73.103a |
| 4 |
| 225 ILCS 45/3a-1 new |
|
| 5 |
| 225 ILCS 45/3a-2 new |
|
| 6 |
| 225 ILCS 45/3a-3 new |
|
| 7 |
| 225 ILCS 45/3a-4 new |
|
| 8 |
| 225 ILCS 45/3a-5 |
|
| 9 |
| 225 ILCS 45/3f |
|
| 10 |
| 410 ILCS 18/10.1 new |
|
| 11 |
| 410 ILCS 18/10.2 new |
|
| 12 |
| 410 ILCS 18/10.3 new |
|
| 13 |
| 410 ILCS 18/10.4 new |
|
| 14 |
| 410 ILCS 18/11 |
|
| 15 |
| 410 ILCS 18/11.5 |
|
| 16 |
| 410 ILCS 18/13 |
|
| 17 |
| 410 ILCS 18/62.10 |
|
| 18 |
| 760 ILCS 100/7 |
from Ch. 21, par. 64.7 |
| 19 |
| 760 ILCS 100/8 |
from Ch. 21, par. 64.8 |
| 20 |
| 760 ILCS 100/9.1 new |
|
| 21 |
| 760 ILCS 100/9.2 new |
|
| 22 |
| 760 ILCS 100/9.3 new |
|
| 23 |
| 760 ILCS 100/9.4 new |
|
| 24 |
| 760 ILCS 100/10 |
from Ch. 21, par. 64.10 |
| 25 |
| 760 ILCS 100/11 |
from Ch. 21, par. 64.11 |
|
|
|
|
HB1074 |
- 45 - |
LRB095 09808 RAS 30018 b |
|
| 1 |
| 760 ILCS 100/12.1 new |
|
| 2 |
| 760 ILCS 100/14 |
from Ch. 21, par. 64.14 |
| 3 |
| 760 ILCS 100/15 |
from Ch. 21, par. 64.15 |
| 4 |
| 760 ILCS 100/15.3 |
from Ch. 21, par. 64.15-3 |
| 5 |
| 760 ILCS 100/15.4 |
from Ch. 21, par. 64.15-4 |
| 6 |
| 760 ILCS 100/18 |
from Ch. 21, par. 64.18 |
| 7 |
| 815 ILCS 390/6a new |
|
| 8 |
| 815 ILCS 390/6b new |
|
| 9 |
| 815 ILCS 390/6c new |
|
| 10 |
| 815 ILCS 390/6d new |
|
| 11 |
| 815 ILCS 390/7 |
from Ch. 21, par. 207 |
| 12 |
| 815 ILCS 390/8 |
from Ch. 21, par. 208 |
| 13 |
| 815 ILCS 390/9 |
from Ch. 21, par. 209 |
| 14 |
| 815 ILCS 390/12 |
from Ch. 21, par. 212 |
| |
|