HR0177HAM004 LRB096 12258 ASK 25039 a


2     AMENDMENT NO. ___. Amend House Resolution 177, AS AMENDED,
3 by replacing everything after the heading with the following:
4     "WHEREAS, Pre-arrangement plans for funerals and burials
5 or other means of final disposition have increasingly become
6 embattled in controversy in the State of Illinois; and
7     WHEREAS, The types of investment plans chosen by pre-need
8 sellers have come under increased scrutiny, including but not
9 limited to investments in life insurance policies, trust
10 accounts, and other funding means; and
11     WHEREAS, A lack of oversight has resulted in certain
12 investments by the Illinois Funeral Director's Association
13 losing millions of dollars of consumer trust funds and all
14 accounts being marked down to compensate for the losses; and
15     WHEREAS, Litigation has been filed and criminal



HR0177HAM004 - 2 - LRB096 12258 ASK 25039 a

1 investigations have been ongoing accusing both Trust and
2 Pre-Need life insurance companies of a "pattern and practice of
3 deceit"; and
4     WHEREAS, A growing number of individuals who have
5 contracted pre-arranged funeral and burial services are
6 discovering that the funds deposited as part of the pre-need
7 sales contract do not adequately cover the costs of the funeral
8 and burial pre-arrangements chosen by the consumer; therefore,
9 be it
12 the Funeral and Burial Pre-Arrangement Investigation Task
13 Force be created within the Department of Financial and
14 Professional Regulation to investigate and study the reasons
15 for losses of the Pre-Need Funeral Trust Fund of the Illinois
16 Funeral Directors and any and all other Funeral and Burial
17 Pre-Need funding plans and investments offered in Illinois; and
18 be it further
19     RESOLVED, That the Task Force make recommendations for the
20 oversight and operation of all funeral and burial pre-need
21 programs offered by whatever funding means, and develop
22 possible new licenses and continuing education components to
23 protect the consumer and profession, and to educate sellers in



HR0177HAM004 - 3 - LRB096 12258 ASK 25039 a

1 the industry, in the State of Illinois; and be it further
2     RESOLVED, That the Task Force shall consist of the
3 following members: 3 members appointed by the Speaker of the
4 House of Representatives and 3 members appointed by the
5 Minority Leader of the House of Representatives (one of the 6
6 appointed House members shall be appointed chairperson); one
7 member appointed by the State Comptroller; one member appointed
8 by the Director of the Cemetery Care and Burial Trust Division
9 of the State Comptroller's Office; one member appointed by the
10 Director of the Division of Insurance within the Department of
11 Financial and Professional Regulation; and one member
12 appointed by the Secretary of the Department of Financial and
13 Professional Regulation; and be it further
14     RESOLVED, That the Task Force take voluntary assistance and
15 testimony from legal and professional organizations and
16 institutions; and be it further
17     RESOLVED, That the members of the Task Force shall serve
18 without compensation, but may be reimbursed for actual expenses
19 incurred while serving on the Task Force from funds
20 appropriated to the Department of Financial and Professional
21 Regulation for that purpose; and be it further
22     RESOLVED, That the Task Force take testimony from past and



HR0177HAM004 - 4 - LRB096 12258 ASK 25039 a

1 present Board members of the Illinois Funeral Directors
2 Association regarding their investment of Pre-Need Funeral
3 Trust Fund moneys, the collection of administrative fees, the
4 crediting of excessive interest to member accounts, the
5 pre-need contracts of consumers, and other policies that
6 threatened the solvency of the Pre-Need Funeral Trust Fund; and
7 be it further
8     RESOLVED, That the Task Force shall submit its final report
9 to the Governor and the General Assembly by December 31,
10 2009.".