(760 ILCS 100/3) (from Ch. 21, par. 64.3)
Sec. 3.
Gifts and contributions - Trust funds.
Any cemetery authority is
hereby authorized and empowered to accept any gift, grant, contribution,
payment, legacy, or pursuant to contract, any sum of money, funds, securities
or property of any kind, or the income or avails thereof, and to establish a
trust fund to hold the same in perpetuity for the
care of its cemetery, or for the care of any lot, grave, crypt or niche in its
cemetery; or for the special care of any lot, grave, crypt or niche or of any
family mausoleum or memorial, marker, or monument in its cemetery.
The cemetery authority shall act as trustee of all amounts received for
care until they have been deposited into the trust fund established under this
Section. The cemetery authority may continue to be the trustee of up to
$500,000 of care funds that have been deposited into the trust fund, but the
cemetery authority must retain an independent trustee for any amount of care
funds held in trust in excess of that $500,000. A cemetery authority holding
care funds in excess of $500,000 on the effective date of this amendatory Act
of 1996 shall have 36 months to retain an independent trustee for the excess
amounts held in trust; any other cemetery authority must retain an independent
trustee for its care funds in excess of $500,000 as soon as may be practical.
No gift, grant, legacy, payment or other contribution
shall be invalid by reason of any indefiniteness or uncertainty as to the
beneficiary designated in the instrument creating the gift, grant, legacy,
payment or other contribution. If any gift, grant, legacy, payment or
other contribution consists of non-income producing
property, the cemetery authority accepting it is authorized and empowered
to sell such property and to invest the funds obtained in accordance with
the provisions of the next succeeding paragraph.
The care funds authorized by this Section and provided for in Section 4 of
this Act shall be held intact and, unless otherwise restricted by the terms of
the gift, grant, legacy, contribution, payment, contract or other payment, as
to investments made after June 11, 1951 the trustee of the care funds of the cemetery authority, in
acquiring, investing, reinvesting, exchanging, retaining, selling and
managing property for any such trust, shall exercise the judgment and care
under the circumstances then prevailing, which persons of prudence, discretion
and intelligence exercise in the management of their own affairs, not in
regard to speculation but in regard to the permanent disposition of their
funds, considering the probable income as well as the probable safety of
their capital. Within the limitations of the foregoing standard, the trustee of the care funds of the cemetery
authority is authorized to acquire and retain every kind of property, real,
personal or mixed, and every kind of investment, including specifically but
without limiting the generality of the foregoing, bonds, debentures and
other corporate obligations, preferred or common stocks and real estate
mortgages, which persons of prudence, discretion and intelligence acquire or
retain for their own account. Within the limitations of the foregoing
standard,
the trustee is authorized to retain property
properly acquired, without limitation as to time and without regard to its
suitability for original purchase. The care funds authorized by this
Section may be commingled with other trust funds received by such cemetery
authority for the care of its cemetery or for the care or special care of
any lot, grave, crypt, niche, private mausoleum, memorial, marker, or
monument in its cemetery, whether received by gift, grant, legacy,
contribution, payment, contract or other conveyance heretofore or hereafter
made to such cemetery authority. Such care funds may be invested with
common trust funds as provided in The Common Trust Fund Act. The net income
only from the investment of such care funds
shall be allocated and used for the purposes specified in the transaction
by which the principal was established in the proportion that each
contribution bears to the entire sum invested.
(Source: P.A. 89-615, eff. 8-9-96.)
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