State of Illinois
90th General Assembly
Legislation

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[ Introduced ][ Engrossed ][ Senate Amendment 001 ]

90_SB1244enr

      760 ILCS 100/2            from Ch. 21, par. 64.2
      760 ILCS 100/9            from Ch. 21, par. 64.9
          Amends  the  Cemetery  Care  Act.    Removes   from   the
      definition  of  "care"  overhead  expense  and maintenance of
      records of lot ownership, transfers, and burials.    Provides
      that   the   definition   of  "care"  does  not  include  the
      compensation of employees the preponderance of  whose  duties
      do  not  involve  the  maintenance of the cemetery.  Provides
      that a cemetery authority owning, operating, controlling,  or
      managing a privately operated cemetery shall make application
      for  a  license within 30 days whenever it is newly organized
      and desires to be licensed to accept care funds  or  whenever
      there is a sale or transfer of a controlling interest.
                                                     LRB9008269NTsb
SB1244 Enrolled                                LRB9008269NTsb
 1        AN  ACT  to  amend  the  Cemetery  Care  Act  by changing
 2    Sections 2 and 15b.
 3        Be it enacted by the People of  the  State  of  Illinois,
 4    represented in the General Assembly:
 5        Section  5.  The Cemetery Care Act is amended by changing
 6    Sections 2 and 15b as follows:
 7        (760 ILCS 100/2) (from Ch. 21, par. 64.2)
 8        Sec. 2.  Definitions.  The  following  words,  terms  and
 9    phrases  used  in this Act, for the purpose of this Act, have
10    the following meanings:
11        "Person"  means  any  person,  partnership,  association,
12    corporation, or other entity.
13        "Trustee" means any person authorized to hold funds under
14    this Act.
15        "Comptroller" means  the  Comptroller  of  the  State  of
16    Illinois.
17        "Care"  means  the  maintenance  of a cemetery and of the
18    lots, graves, crypts, niches, family  mausoleums,  memorials,
19    and  markers therein; including: (i) the cutting and trimming
20    of lawn, shrubs, and  trees  at  reasonable  intervals;  (ii)
21    keeping  in repair the drains, water lines, roads, buildings,
22    fences,  and  other  structures,  in  keeping  with  a   well
23    maintained  cemetery;  (iii)  also overhead expense necessary
24    for such purposes, including maintenance of machinery, tools,
25    and equipment for such care; (iv) compensation of  employees,
26    payment  of  insurance  premiums, and reasonable payments for
27    employees pension and other benefits plans; and  (v)  to  the
28    extent  surplus  income  from the care fund is available, the
29    payment of overhead expenses necessary for such purposes, and
30    for  maintaining  necessary   records   of   lot   ownership,
31    transfers, and burials.
SB1244 Enrolled            -2-                 LRB9008269NTsb
 1        "Care  funds"  as distinguished from receipts from annual
 2    charges or gifts for current or annual care, means any realty
 3    or personalty impressed with a trust  by  the  terms  of  any
 4    gift,  grant,  contribution,  payment, legacy, or pursuant to
 5    contract,  accepted  by  any   cemetery   authority   owning,
 6    operating,  controlling  or  managing  a  privately  operated
 7    cemetery,  or  by any trustee or licensee, agent or custodian
 8    for the same, under Section 3 of this Act,  and  the  amounts
 9    set  aside  under  Section  4  of  this  Act,  and any income
10    accumulated therefrom, where legally so directed by the terms
11    of the transaction by which the principal was established.
12        "Cemetery" means any land  or  structure  in  this  State
13    dedicated  to  and  used,  or  intended  to  be used, for the
14    interment of human remains.
15        "Cemetery authority" means any person, firm, corporation,
16    trustee, partnership,  association  or  municipality  owning,
17    operating,  controlling  or  managing  a  cemetery or holding
18    lands for burial grounds or burial purposes in this State.
19        "Mausoleum crypt" means a space in a  mausoleum  used  or
20    intended  to  be used, above or under ground, to entomb human
21    remains.
22        "Family burying ground" means a cemetery in which no lots
23    are sold to the public and in which interments are restricted
24    to a group of persons related  to  each  other  by  blood  or
25    marriage.
26        "Fraternal  cemetery"  means  a cemetery owned, operated,
27    controlled, or  managed  by  any  fraternal  organization  or
28    auxiliary  organizations  thereof, in which the sale of lots,
29    graves, crypts or niches is  restricted  principally  to  its
30    members.
31        "Grave"  means  a space of ground in a cemetery, used, or
32    intended to be used, for burial.
33        "Investment Company Act of 1940" means Title 15,  of  the
34    United  States  Code, Sections 80a-1 to 80a-51, inclusive, as
SB1244 Enrolled            -3-                 LRB9008269NTsb
 1    amended.
 2        "Investment  Company"  means   any   issuer   (a)   whose
 3    securities  are  purchasable  only  with  care funds or trust
 4    funds, or both; and (b) which  is  an  open  and  diversified
 5    management  company  as  defined  in and registered under the
 6    "Investment Company Act of 1940"; and (c) which  has  entered
 7    into  an  agreement  with  the  Comptroller  containing  such
 8    provisions   as  the  Comptroller  by  regulation  reasonably
 9    requires for the proper administration of this Act.
10        "Municipal cemetery" means a  cemetery  owned,  operated,
11    controlled  or  managed  by  any  city, village, incorporated
12    town,  township,  county,  or  other  municipal  corporation,
13    political subdivision, or instrumentality thereof  authorized
14    by law to own, operate, or manage a cemetery.
15        "Niche"  means  a space in a columbarium used or intended
16    to be used, for inurnment of cremated human remains.
17        "Privately  operated  cemetery"  means  any  entity  that
18    offers interment  rights,  entombment  rights  or  inurnments
19    rights,  other than a fraternal, municipal, State, federal or
20    religious cemetery or a family burying ground.
21        "Religious cemetery" means a  cemetery  owned,  operated,
22    controlled,  or  managed  by any recognized church, religious
23    society, association or  denomination,  or  by  any  cemetery
24    authority  or any corporation administering, or through which
25    is administered, the temporalities of any recognized  church,
26    religious society, association or denomination.
27        "State  or  federal  cemetery"  means  a  cemetery owned,
28    operated, controlled, or managed by any State or the  federal
29    government  or  any  political subdivision or instrumentality
30    thereof.
31        "Entombment right" means the right  to  place  individual
32    human  remains  or  individual  cremated  human  remains in a
33    specific mausoleum  crypt  or  lawn  crypt  selected  by  the
34    consumer for use as a final resting place.
SB1244 Enrolled            -4-                 LRB9008269NTsb
 1        "Interment  right"  means  the  right to place individual
 2    human  remains  or  cremated  human  remains  in  a  specific
 3    underground location selected by the consumer for  use  as  a
 4    final resting place.
 5        "Inurnment  right"  means  the  right to place individual
 6    cremated human remains in a specific niche  selected  by  the
 7    consumer for use as a final resting place.
 8        "Lawn  crypt" means a permanent underground crypt usually
 9    constructed  of  reinforced  concrete  or  similar   material
10    installed  in  multiple  units  for  the  entombment of human
11    remains.
12        "Imputed value" means  the  retail  price  of  comparable
13    rights within the same or similar area of the cemetery.
14    (Source: P.A. 88-477.)
15        (760 ILCS 100/15b)
16        Sec. 15b.  Sales; liability of purchaser for shortage.
17        In  the case of a sale of any privately operated cemetery
18    or any part thereof or of any related personal property by  a
19    cemetery  authority to a purchaser or pursuant to foreclosure
20    proceedings, except the sale of burial rights,  services,  or
21    merchandise  to  a  person  for his or her personal or family
22    burial  or  interment,  the  purchaser  is  liable  for   any
23    shortages existing before or after the sale in the care funds
24    required to be maintained in a trust pursuant to this Act and
25    shall  honor  all instruments issued under Section 4 for that
26    cemetery. Any shortages existing in the care funds constitute
27    a prior lien in favor of the trust for the total value of the
28    shortages, and notice of such lien shall be provided  in  all
29    sales instruments.
30        In   the   event   of  a  sale  or  transfer  of  all  or
31    substantially all of the assets of  the  cemetery  authority,
32    the  sale  or  transfer  of  the  controlling interest of the
33    corporate stock of the cemetery  authority  if  the  cemetery
SB1244 Enrolled            -5-                 LRB9008269NTsb
 1    authority  is  a  corporation, or the sale or transfer of the
 2    controlling of the partnership if the cemetery authority is a
 3    partnership, the cemetery authority shall, at least  21  days
 4    prior  to  the  sale  or transfer, notify the Comptroller, in
 5    writing, of the pending date of sale or  transfer  so  as  to
 6    permit  the Comptroller to audit the books and records of the
 7    cemetery authority.  The audit must  be  commenced  within  5
 8    business   days  of  the  receipt  of  the  notification  and
 9    completed within the 21 day notification  period  unless  the
10    Comptroller  notifies  the  cemetery  authority  during  that
11    period  that  there  is  a basis for determining a deficiency
12    which will require additional time to finalize.  The sale  or
13    transfer  may  not  be  completed  by  the cemetery authority
14    unless and until:
15             (a)  The Comptroller has completed the audit of  the
16        cemetery authority's books and records;
17             (b)  Any  delinquency existing in the care funds has
18        been paid by  the  cemetery  authority,  or  arrangements
19        satisfactory  to  the  Comptroller  have been made by the
20        cemetery authority  on  the  sale  or  transfer  for  the
21        payment of any delinquency;
22             (c)  The  Comptroller  issues  a  new  cemetery care
23        license  upon  application  of   the   newly   controlled
24        corporation or partnership, which license must be applied
25        for within 30 days of the anticipated date of the sale or
26        transfer, subject to the payment of any delinquencies, if
27        any, as stated in item (b) above.
28        For   purposes   of   this   Section,   a  person,  firm,
29    corporation, partnership, or institution  that  acquires  the
30    cemetery  through  a real estate foreclosure shall be subject
31    to the provisions of this Section.  The sale or  transfer  of
32    the  controlling  interest  of  a  cemetery  authority  to an
33    immediate  family  member  is  not  subject  to  the  license
34    application process required in item (c) of this Section.
SB1244 Enrolled            -6-                 LRB9008269NTsb
 1    (Source: P.A. 88-477.)
 2        Section 99.  Effective date.  This Act takes effect  upon
 3    becoming law.

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