Alabama 2022 Regular Session

Alabama House Bill HB338 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	1 HB338
2	2	2 216213-1
3	3	3 By Representative Brown (K)
4	4	4 RFD: Boards, Agencies and Commissions
5	5	5 First Read: 15-FEB-22
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7	7	Page 0 1 216213-1:n:02/04/2022:KMS/cmg LSA2021-2670
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14	14	8 SYNOPSIS: Under existing law, the Alabama Board of
15	15	9 Funeral Service licenses and regulates funeral
16	16	10 establishments, funeral directors, and embalmers.
17	17	11 This bill would provide for the licensing
18	18	12 and regulation of cemetery authorities and
19	19	13 cemeteries by the board.
20	20	14 Amendment 621 of the Constitution of Alabama
21	21	15 of 1901, now appearing as Section 111.05 of the
22	22	16 Official Recompilation of the Constitution of
23	23	17 Alabama of 1901, as amended, prohibits a general
24	24	18 law whose purpose or effect would be to require a
25	25	19 new or increased expenditure of local funds from
26	26	20 becoming effective with regard to a local
27	27	21 governmental entity without enactment by a 2/3 vote
28	28	22 unless: it comes within one of a number of
29	29	23 specified exceptions; it is approved by the
30	30	24 affected entity; or the Legislature appropriates
31	31	25 funds, or provides a local source of revenue, to
32	32	26 the entity for the purpose.
33	33	Page 1 1 The purpose or effect of this bill would be
34	34	2 to require a new or increased expenditure of local
35	35	3 funds within the meaning of the amendment. However,
36	36	4 the bill does not require approval of a local
37	37	5 governmental entity or enactment by a 2/3 vote to
38	38	6 become effective because it comes within one of the
39	39	7 specified exceptions contained in the amendment.
40	40	8
41	41	9 A BILL
42	42	10 TO BE ENTITLED
43	43	11 AN ACT
44	44	12
45	45	13 Relating to the Alabama Board of Funeral Service; to
46	46	14 amend Sections 34-13-20 and 34-13-111, Code of Alabama 1975;
47	47	15 to add Article 6, commencing with Section 34-13-300, to
48	48	16 Chapter 13, Title 34, Code of Alabama 1975; to provide for the
49	49	17 licensing and regulation of cemetery authorities and
50	50	18 cemeteries by the board; to make corresponding technical
51	51	19 changes; and to repeal Sections 27-17A-46, 27-17A-47, and
52	52	20 27-17A-48, Code of Alabama 1975, relating to endowment care
53	53	21 cemeteries, the establishment of an endowment care fund, and
54	54	22 the maintenance of records by a cemetery authority,
55	55	23 respectively, under the Cemetery Merchandise and Services
56	56	24 Trust Fund; and in connection therewith would have as its
57	57	25 purpose or effect the requirement of a new or increased
58	58	26 expenditure of local funds within the meaning of Amendment 621
59	59	27 of the Constitution of Alabama of 1901, now appearing as
60	60	Page 2 1 Section 111.05 of the Official Recompilation of the
61	61	2 Constitution of Alabama of 1901, as amended.
62	62	3 BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
63	63	4 Section 1. 34-13-20 and 34-13-111 of the Code of
64	64	5 Alabama 1975, are amended to read as follows:
65	65	6 "§34-13-20.
66	66	7 "(a) There is established the Alabama Board of
67	67	8 Funeral Service, consisting of nine members, each of whom. The
68	68	9 members of the board shall be citizens of the United States
69	69	10 and residents of the State of Alabama.
70	70	11 "(b) The appointing authorities shall coordinate
71	71	12 their appointments to assure board membership is inclusive and
72	72	13 reflects the racial, gender, geographic, urban/rural urban,
73	73	14 rural, and economic diversity of the state.
74	74	15 "(c) Commencing on January 1, 2019 2023, as the
75	75	16 terms of the members serving on the board on August 1, 2017
76	76	17 2022, expire, the professional membership of the board shall
77	77	18 be reconstituted to consist of seven nine professional members
78	78	19 and two consumer members.
79	79	20 "(1) Each professional member of the board shall be
80	80	21 a citizen of the United States, a resident of Alabama, and
81	81	22 licensed and in good standing with the board as an embalmer or
82	82	23 funeral director at the time of appointment and during the
83	83	24 entire term of office. Professional members of the board shall
84	84	25 be appointed by the Governor pursuant to subsection (e). As
85	85	26 the terms of the members serving on the board on the effective
86	86	27 date of the act adding this sentence expire, the professional
87	87	Page 3 1 membership of the board shall be appointed to reflect the
88	88	2 following:
89	89	3 "a. Four Three of the professional members of the
90	90	4 board shall hold a current license from the board to practice
91	91	5 embalming in the state, shall have been actively practicing
92	92	6 embalming in the state for the last 10 consecutive years
93	93	7 immediately preceding appointment, and shall be engaged in the
94	94	8 practice of embalming at the time of appointment to the board.
95	95	9 "b. Three Four of the professional members of the
96	96	10 board shall hold a current license from the board to practice
97	97	11 funeral directing in the state, shall have been actively
98	98	12 engaged in funeral directing in the state for the last 10
99	99	13 consecutive years immediately preceding appointment, and shall
100	100	14 be the operator of a funeral establishment in this state at
101	101	15 the time of appointment to the board. Two of these four
102	102	16 professional members shall also hold a current certificate of
103	103	17 authority to sell preneed services and merchandise.
104	104	18 "c. Two of the professional members of the board
105	105	19 shall hold a current license from the board to practice as a
106	106	20 cemetery sales agent, shall have been actively engaged in
107	107	21 cemetery sales in the state for the last five consecutive
108	108	22 years immediately preceding appointment, and shall be an
109	109	23 operator of a cemetery in this state at the time of
110	110	24 appointment to the board. One of these two professional
111	111	25 members shall also hold a current certificate of authority to
112	112	26 sell preneed services and merchandise. The initial appointment
113	113	27 for one cemetery sales agent appointed pursuant to this
114	114	Page 4 1 paragraph shall expire on December 31, 2025, and for the other
115	115	2 December 31, 2026. Thereafter, the cemetery sales agent
116	116	3 members shall serve pursuant to subsection (e).
117	117	4 "(2) Each consumer member of the board shall
118	118	5 represent the public in general and shall have been a citizen
119	119	6 of the United States and a resident of Alabama for the last 10
120	120	7 consecutive years immediately preceding appointment and during
121	121	8 the entire term of office. A consumer member of the board may
122	122	9 not have held, nor currently hold, a license or certification
123	123	10 issued by the board, be employed at any time by, or
124	124	11 professionally or financially associated with, the holder of a
125	125	12 license or certificate issued by the board, or be related
126	126	13 within the third degree of consanguinity or affinity to the
127	127	14 holder of a license or certificate issued by the board. One
128	128	15 consumer member of the board shall be appointed by the
129	129	16 Lieutenant Governor and one consumer member shall be appointed
130	130	17 by the Speaker of the House of Representatives pursuant to a
131	131	18 procedure adopted by rule of the board.
132	132	19 "(d) Commencing in October of 2018 2022, and each
133	133	20 October thereafter of a year where at least one professional
134	134	21 member term on the board has expired, or is vacant for any
135	135	22 reason, all licensed funeral directors and, licensed
136	136	23 embalmers, and licensed cemetery sales agents shall meet in
137	137	24 Montgomery, at a time and place fixed by the board, for the
138	138	25 purpose of nominating and submitting the names of three
139	139	26 licensed persons for each position on the board to the
140	140	27 Governor. The Governor shall promptly appoint one of the three
141	141	Page 5 1 persons so nominated to serve as a professional member of the
142	142	2 board.
143	143	3 "(e)(1) Professional and consumer members of the
144	144	4 board shall serve staggered terms of four years each to
145	145	5 provide continuity of service on the board. If an appointment
146	146	6 is not made before the expiration of a term, the board member
147	147	7 then serving may continue to serve until a successor has been
148	148	8 appointed. A board member may not serve more than two full
149	149	9 consecutive terms on the board.
150	150	10 "(2) A board member who is appointed to fill a
151	151	11 vacancy which occurs before the expiration of the term of the
152	152	12 vacating member shall serve the remaining portion of the term
153	153	13 to which the former member was appointed. If a member is
154	154	14 appointed to fill an unexpired term of less than two years,
155	155	15 the time may not be counted toward the maximum eight years of
156	156	16 service.
157	157	17 "(3) Not more than one professional member of the
158	158	18 board may reside in the same district as created by Section
159	159	19 34-13-21. A cemetery sales agent may serve in the same
160	160	20 district as another board member. The nominating cemetery
161	161	21 sales agents shall coordinate their nominations to ensure that
162	162	22 one cemetery sales agent serving on the board resides within
163	163	23 the northern half of the state and one resides within the
164	164	24 southern half of the state, as divided by the board, and
165	165	25 neither may reside within the same congressional district.
166	166	26 "(4) At each meeting where nominations are made for
167	167	27 the professional members of the board, only one licensed
168	168	Page 6 1 funeral director or, licensed embalmer, or licensed cemetery
169	169	2 sales agent employed by the same funeral establishment or
170	170	3 cemetery may vote. Only licensed funeral directors and
171	171	4 embalmers may nominate and vote on board seats held by funeral
172	172	5 directors and embalmers pursuant to subsection (c) and only
173	173	6 licensed cemetery sales agents may nominate and vote on board
174	174	7 seats held by cemetery sales agents pursuant to subsection
175	175	8 (c).
176	176	9 "(f)(1) In accordance with applicable law, in
177	177	10 addition to a board member resigning from the board in
178	178	11 writing, a board member may be removed from the board for any
179	179	12 of the following grounds:
180	180	13 "a. The refusal or inability to perform board duties
181	181	14 in an efficient, responsible, or professional manner.
182	182	15 "b. The misuse of his or her position on the board
183	183	16 to obtain financial gain or seek personal advantage for
184	184	17 himself, herself, or another person.
185	185	18 "c. A final adjudication or determination of guilt
186	186	19 by any lawful authority of the board member or sanction of the
187	187	20 board member for the violation of any law the board determines
188	188	21 is substantially related to any practice governed by this
189	189	22 chapter.
190	190	23 "d. The revocation or suspension of the license of a
191	191	24 professional member of the board.
192	192	25 "(2) Any board member who fails to qualify after
193	193	26 appointment shall automatically become ineligible to serve as
194	194	27 a member of the board and a new member, properly qualified,
195	195	Page 7 1 shall be appointed in the same manner as the original
196	196	2 appointment and shall serve the remainder of the term of the
197	197	3 vacating board member.
198	198	4 "(3) If a consumer board member fails to attend two
199	199	5 or more meetings within a year, without a valid excuse as
200	200	6 determined by the board, he or she shall be removed from the
201	201	7 board. A new consumer board member shall be appointed in the
202	202	8 same manner as the original appointment and shall serve the
203	203	9 remainder of the term.
204	204	10 "§34-13-111.
205	205	11 "(a) No funeral establishment or branch thereof for
206	206	12 the preparation, disposition, and care of dead human bodies
207	207	13 shall be opened or maintained unless licensed by the board. No
208	208	14 funeral establishment or branch shall be moved without
209	209	15 obtaining a new funeral establishment license from the board.
210	210	16 "(b) Every funeral service, memorial service, or
211	211	17 committal service, or part thereof, that is conducted in
212	212	18 Alabama, for hire or for profit, shall be in the actual charge
213	213	19 and shall be under the direct supervision of a funeral
214	214	20 director who is licensed by the board, unless otherwise
215	215	21 provided for in this chapter or by rule of the board.
216	216	22 "(c) The board shall set a fee, not exceeding one
217	217	23 hundred fifty dollars ($150), that shall be in addition to the
218	218	24 license fee for the first inspection of any funeral
219	219	25 establishment seeking a license under Section 34-13-72 made
220	220	26 for the purpose of determining whether the funeral
221	221	27 establishment has fulfilled the requirements for licensure
222	222	Page 8 1 pursuant to this chapter. The board shall set a fee, not
223	223	2 exceeding one hundred fifty dollars ($150), for each
224	224	3 reinspection necessitated by failure of any funeral
225	225	4 establishment to pass the first inspection. The board, or a
226	226	5 representative of the board, shall annually conduct at least
227	227	6 one unannounced inspection of each funeral establishment and
228	228	7 branch, with an inspection fee of not more than one hundred
229	229	8 dollars ($100). The inspection fee shall be submitted to the
230	230	9 board within 45 days after the inspection. Any funeral
231	231	10 establishment that does not submit the inspection fee within
232	232	11 45 days shall be charged a late penalty fee, as established by
233	233	12 the board. A funeral establishment, or branch thereof, that is
234	234	13 used for the preparation, disposition, and care of dead human
235	235	14 bodies shall meet and conform to this chapter and to such
236	236	15 other lawful standards and requirements as may be determined
237	237	16 by rule of the board in furtherance of this chapter; and, for
238	238	17 failure to do so, the board may revoke the funeral
239	239	18 establishment license in accordance with the procedure set
240	240	19 forth in this chapter.
241	241	20 "(d) Applications for transfer of a license to
242	242	21 another location in the same county shall be made upon a form
243	243	22 furnished by the board and shall be accompanied by a fee of
244	244	23 not more than seventy-five dollars ($75).
245	245	24 "(e) Any change in ownership of a funeral
246	246	25 establishment shall be immediately reported to the board on a
247	247	26 form provided by the board. The new owner of the establishment
248	248	27 shall comply with Section 34-13-112 and Section 34-13-113 and
249	249	Page 9 1 shall provide to the board a signed copy of the asset purchase
250	250	2 agreement with dollar amounts redacted. The fee for a change
251	251	3 of ownership application is two hundred fifty dollars ($250).
252	252	4 "(f)(1) Each funeral establishment operating under
253	253	5 this chapter shall pay, on a date prescribed by rule of the
254	254	6 board, a disposition fee not exceeding fifty dollars ($50) for
255	255	7 each final disposition arranged or performed by the funeral
256	256	8 establishment. The disposition fee applies to all final
257	257	9 dispositions and may be collected directly from the consumer,
258	258	10 submitted to the board quarterly, and deposited into the
259	259	11 Alabama State Funeral Service Fund.
260	260	12 "(2) When a final disposition is not arranged by a
261	261	13 funeral establishment operating under this chapter, each
262	262	14 cemetery shall pay, on a date prescribed by rule of the board,
263	263	15 a disposition fee not exceeding fifty dollars ($50) for each
264	264	16 final disposition arranged or performed by the out-of-state
265	265	17 funeral establishment. The disposition fee may be collected
266	266	18 directly from the consumer, submitted to the board quarterly,
267	267	19 and deposited into the Alabama State Funeral Service Fund.
268	268	20 "(3) Failure to remit a disposition fee as required
269	269	21 by this subsection shall result in disciplinary action by the
270	270	22 board pursuant to this chapter."
271	271	23 Section 2. A new Article 6, commencing with Section
272	272	24 34-13-300, is added to Chapter 13 of Title 34, Code of Alabama
273	273	25 1975, to read as follows:
274	274	26 ARTICLE 6. REGULATION OF CEMETERIES.
275	275	27 §34-13-300. Cemetery operations.
276	276	Page 10 1 This article applies to cemetery authorities and
277	277	2 does not apply to any cemetery owned and operated by a
278	278	3 governmental agency or a religious institution and any
279	279	4 cemetery which does not charge fees or sell plots, internment
280	280	5 rights, or any related cemetery merchandise.
281	281	6 §34-13-301. Initial license; cemetery authority.
282	282	7 (a) No legal entity may operate a cemetery authority
283	283	8 without first obtaining a cemetery establishment license
284	284	9 issued by the board.
285	285	10 (b) An applicant for a cemetery establishment
286	286	11 license shall file a written application with the board on
287	287	12 forms provided by the board.
288	288	13 (c) A cemetery establishment license is not
289	289	14 transferable. At least 30 days before a cemetery authority
290	290	15 changes ownership, or before more than 50 percent change in
291	291	16 equity ownership occurs, the person acquiring the ownership or
292	292	17 control shall submit a completed application for a cemetery
293	293	18 establishment license to the board and shall satisfy the
294	294	19 ownership requirements provided in Section 34-13-302.
295	295	20 §34-13-302. Existing companies; effect of article.
296	296	21 (a) A cemetery authority existing on October 1,
297	297	22 2022, may continue in full force and effect after that date,
298	298	23 shall immediately apply for an establishment license, and
299	299	24 shall thereafter be operated in accordance with this article.
300	300	25 (b) Any person who operates a non-endowment care
301	301	26 cemetery shall register, apply for, and obtain an
302	302	27 establishment license from the board to operate the
303	303	Page 11 1 non-endowment care cemetery. Thereafter, the non-endowment
304	304	2 care cemetery shall be operated in accordance with this
305	305	3 chapter.
306	306	4 (c) To obtain a license to operate a cemetery
307	307	5 authority, an applicant shall substantiate, to the
308	308	6 satisfaction of the board, the following:
309	309	7 (1) That the applicant is of good moral character
310	310	8 and shall submit to a criminal history background check
311	311	9 pursuant to subdivision (2).
312	312	10 (2) An applicant for an establishment license shall
313	313	11 submit to the board, on a form sworn to by the applicant, his
314	314	12 or her name, date of birth, Social Security number, and two
315	315	13 complete sets of fingerprints for completion of a criminal
316	316	14 history background check. The board shall submit the
317	317	15 fingerprints to the Alabama State Law Enforcement Agency for a
318	318	16 state criminal history background check. The fingerprints
319	319	17 shall be forwarded by the agency to the Federal Bureau of
320	320	18 Investigation for a national criminal history background
321	321	19 check. Costs associated with conducting a criminal history
322	322	20 background check shall be paid by the applicant. The board
323	323	21 shall keep information received pursuant to this subdivision
324	324	22 confidential, except that information received and relied upon
325	325	23 in denying the issuance of a cemetery establishment license
326	326	24 may be disclosed if necessary to support the denial. All
327	327	25 character information, including the information obtained
328	328	26 through the criminal history background checks, shall be
329	329	Page 12 1 considered in licensure decisions to the extent permissible by
330	330	2 all applicable laws.
331	331	3 (d) An applicant for an original or renewal license
332	332	4 to operate a cemetery authority shall submit all of the
333	333	5 following to the board:
334	334	6 (1) A completed application, including a copy of the
335	335	7 current rules of the non-endowment care cemetery.
336	336	8 (2) If requested by the board, a current plat of the
337	337	9 land utilized by the non-endowment care cemetery, showing the
338	338	10 location of the non-endowment care cemetery, and each burial
339	339	11 plot and mausoleum, including the status of each, and the
340	340	12 status of each interment space or burial chamber, and any
341	341	13 access roads to the non-endowment care cemetery.
342	342	14 (3) A schedule of all charges in accordance with
343	343	15 Section 8-30-2, and as required by board rule, detailing and
344	344	16 itemizing the retail cost of all products, interment rights,
345	345	17 and all merchandise and services offered by the cemetery
346	346	18 authority.
347	347	19 (4) Payment of any applicable fees. An application
348	348	20 to the board for an initial cemetery authority license shall
349	349	21 be accompanied by an application fee, in an amount to be
350	350	22 determined by the board, not to exceed one thousand dollars
351	351	23 ($1,000). Thereafter, on or before September 1 of each year,
352	352	24 the licensee shall pay a license renewal fee, in an amount to
353	353	25 be determined by the board, not to exceed one thousand dollars
354	354	26 ($1,000).
355	355	Page 13 1 (5) A designation of a point of contact, including
356	356	2 the name of the general manager of the non-endowment care
357	357	3 cemetery. If this information should change at any time, the
358	358	4 new point of contact and general manager should be immediately
359	359	5 reported to the board on a form prescribed by the board.
360	360	6 (6) Evidence of satisfactory completion of an
361	361	7 inspection of the non-endowment care cemetery by the board.
362	362	8 (e) A non-endowment care cemetery shall publicly
363	363	9 display all current and valid licenses and a current schedule
364	364	10 of all charges.
365	365	11 (f)(1) The board may suspend or revoke a
366	366	12 non-endowment care cemetery establishment license if the board
367	367	13 determines that the continued operation of the cemetery
368	368	14 authority is hazardous to purchasers, beneficiaries, or the
369	369	15 people of this state.
370	370	16 (2) If the board determines that the continued
371	371	17 operation of the cemetery authority is hazardous to
372	372	18 purchasers, beneficiaries, or the people of this state, the
373	373	19 board may levy a fine, in an amount determined by the board,
374	374	20 not to exceed five hundred dollars ($500) per day, and may
375	375	21 revoke the establishment license of the non-endowment care
376	376	22 cemetery until the board determines any hazardous conditions
377	377	23 are removed and resolved.
378	378	24 (g) In addition to any other penalty imposed by this
379	379	25 chapter, the board may levy a fine, not to exceed fifty
380	380	26 dollars ($50) per day, for each day a cemetery authority fails
381	381	27 to file any reports or records as required by the board.
382	382	Page 14 1 §34-13-303. Registration and licensing of existing
383	383	2 endowment care cemeteries.
384	384	3 (a) Any person who operates an endowment care
385	385	4 cemetery shall register, apply for, and obtain a cemetery
386	386	5 establishment license from the board to operate the endowment
387	387	6 care cemetery. Thereafter, the endowment care cemetery shall
388	388	7 be operated in accordance with this chapter.
389	389	8 (b) To obtain a license to operate as an endowment
390	390	9 care cemetery, an applicant shall substantiate, to the
391	391	10 satisfaction of the board, the following:
392	392	11 (1) That the applicant is of good moral character
393	393	12 and shall submit to a criminal history background check
394	394	13 pursuant to subdivision (2).
395	395	14 (2) An applicant for an endowment care cemetery
396	396	15 establishment license shall submit to the board, on a form
397	397	16 sworn to by the applicant, his or her name, date of birth,
398	398	17 Social Security number, and two complete sets of fingerprints
399	399	18 for completion of a criminal history background check. The
400	400	19 board shall submit the fingerprints to the Alabama State Law
401	401	20 Enforcement Agency for a state criminal history background
402	402	21 check. The fingerprints shall be forwarded by the agency to
403	403	22 the Federal Bureau of Investigation for a national criminal
404	404	23 history background check. Costs associated with conducting a
405	405	24 criminal history background check shall be paid by the
406	406	25 applicant. The board shall keep information received pursuant
407	407	26 to this subdivision confidential, except that information
408	408	27 received and relied upon in denying the issuance of an
409	409	Page 15 1 endowment care cemetery establishment license may be disclosed
410	410	2 if necessary to support the denial. All character information,
411	411	3 including the information obtained through the criminal
412	412	4 history background checks, shall be considered in licensure
413	413	5 decisions to the extent permissible by all applicable laws.
414	414	6 (c) An applicant for an original or renewal
415	415	7 endowment care cemetery establishment license shall submit all
416	416	8 of the following to the board:
417	417	9 (1) A completed application, including a copy of the
418	418	10 current rules of the endowment care cemetery.
419	419	11 (2) A schedule of all charges in accordance with
420	420	12 Section 8-30-2, and as required by board rule, detailing and
421	421	13 itemizing the retail cost of all products, interment rights,
422	422	14 and all services offered by the cemetery authority.
423	423	15 (3) Payment of all applicable fees. An application
424	424	16 to the board for an initial license as an endowment care
425	425	17 cemetery shall be accompanied by an application fee, in an
426	426	18 amount to be determined by the board, not to exceed one
427	427	19 thousand dollars ($1,000). Thereafter, on or before September
428	428	20 1 of each year, each licensed endowment care cemetery shall
429	429	21 pay a license renewal fee, in an amount to be determined by
430	430	22 the board, not to exceed one thousand dollars ($1,000).
431	431	23 (4) A designation of a point of contact, including
432	432	24 the name of the general manager of the endowment care
433	433	25 cemetery. Any change in the designation of a point of contact
434	434	26 or the general manager shall be immediately reported to the
435	435	27 board on a form prescribed by the board.
436	436	Page 16 1 (5) Evidence of satisfactory completion of an
437	437	2 inspection by the endowment care cemetery by the board.
438	438	3 (6) Verification, in a manner prescribed by the
439	439	4 board, that the endowment care trust fund of the endowment
440	440	5 care cemetery is active and in good standing.
441	441	6 (d)(1) The board may revoke, suspend, place on
442	442	7 probation, or refuse to renew the establishment license of the
443	443	8 endowment care cemetery, if the board determines that the
444	444	9 continued operation of the endowment care cemetery would be
445	445	10 hazardous to purchasers, beneficiaries, or the people of this
446	446	11 state.
447	447	12 (2) The board may levy a fine, in an amount
448	448	13 determined by the board, not to exceed five hundred dollars
449	449	14 ($500) per day, until the board determines the hazardous
450	450	15 conditions are removed and resolved.
451	451	16 (e) In addition to any other penalty imposed by this
452	452	17 chapter, the board may levy a fine, not to exceed fifty
453	453	18 dollars ($50) per day, for each day an endowment care cemetery
454	454	19 fails to file its annual reports as required by this chapter,
455	455	20 and the board may levy a fine, not to exceed fifty dollars
456	456	21 ($50) per day, for each day an endowment care cemetery fails
457	457	22 to file the statement of activities of the endowment trust.
458	458	23 §34-13-304. Licensing a newly established cemetery
459	459	24 authority.
460	460	25 (a) No newly established cemetery authority may
461	461	26 operate, unless otherwise authorized by this chapter or rule
462	462	Page 17 1 of the board, without first obtaining an establishment license
463	463	2 from the board.
464	464	3 (b) A legal entity wanting to establish a new
465	465	4 cemetery authority shall first file a written application with
466	466	5 the board, on forms provided by the board.
467	467	6 (c) Upon receipt of the application fee, in an
468	468	7 amount to be determined by the board, not to exceed one
469	469	8 thousand dollars ($1,000), the board shall conduct an
470	470	9 investigation of the applicant that examines all of the
471	471	10 following criteria for approval of the application:
472	472	11 (1) The creation of a legal entity to conduct
473	473	12 cemetery business, and its proposed financial structure.
474	474	13 (2) Verification, in a manner prescribed by the
475	475	14 board, that the endowment care trust fund of the cemetery is
476	476	15 established in good standing.
477	477	16 (3) A plat of the land to be used for the cemetery,
478	478	17 showing the location of the cemetery and the access roads to
479	479	18 the cemetery.
480	480	19 (4) A schedule of all charges in accordance with
481	481	20 Section 8-30-2, and as required by board rule, detailing and
482	482	21 itemizing the retail cost of all products, interment rights,
483	483	22 and all merchandise and services to be offered by the cemetery
484	484	23 authority.
485	485	24 (5) Payment of all applicable fees.
486	486	25 (6) Evidence of satisfactory completion of an
487	487	26 inspection of the cemetery by the board.
488	488	Page 18 1 (7) Submission of documentation from the governing
489	489	2 body of the municipality with jurisdiction over the property
490	490	3 in which the cemetery is to be located, certifying that the
491	491	4 applicant has satisfied all municipal and county commission
492	492	5 requirements to operate the cemetery, and that the plans for
493	493	6 the cemetery are in compliance with all municipal and county
494	494	7 zoning requirements.
495	495	8 (8) Submission of development plans that are
496	496	9 sufficient to ensure the community that the cemetery will
497	497	10 provide adequate cemetery services and that the property is
498	498	11 suitable for use as a cemetery.
499	499	12 (d) The board, upon receipt of all documents and
500	500	13 reports, shall grant or refuse to grant the authority to
501	501	14 organize a cemetery to the applicant based upon the criteria
502	502	15 set forth in this chapter or rule of the board.
503	503	16 (e) A newly established cemetery authority shall
504	504	17 publicly display all current and valid licenses pursuant to
505	505	18 this chapter or rule of the board.
506	506	19 (f) If the board decides to deny an application, the
507	507	20 board shall give written notice of that decision to the
508	508	21 applicant. The notice shall state a time and a place for a
509	509	22 hearing before the board and shall include a summary statement
510	510	23 of the reasons for the proposed denial. The notice shall be
511	511	24 mailed, by certified mail, to the applicant at the address
512	512	25 stated in the application at least 20 days before the date of
513	513	26 the scheduled hearing. The applicant shall pay the costs of
514	514	27 the hearing as assessed by the board, unless the applicant
515	515	Page 19 1 notifies the board, by certified mail at least five days
516	516	2 before the date of the scheduled hearing, that the applicant
517	517	3 waives the hearing. An appeal of the decision of the board
518	518	4 shall be with the Circuit Court of Montgomery County.
519	519	5 (g) If the board decides to grant a cemetery
520	520	6 establishment license, the board shall give written notice of
521	521	7 that decision to the applicant. The notice shall also inform
522	522	8 the cemetery authority that a cemetery establishment license
523	523	9 to operate a cemetery shall be issued upon the completion of
524	524	10 all of the following:
525	525	11 (1) The establishment of an endowment care trust
526	526	12 fund, and submission to the board of a certificate from the
527	527	13 trust company certifying receipt of the initial deposit
528	528	14 required under this chapter.
529	529	15 (2) A description, by metes and bounds, of the
530	530	16 acreage tract of the proposed cemetery, together with
531	531	17 evidence, pursuant to a title insurance policy or
532	532	18 certification by an attorney, that the applicant is the owner
533	533	19 in fee simple of the tract of land.
534	534	20 (3) A plat of the cemetery, showing the number and
535	535	21 location of all lots surveyed and permanently staked for sale.
536	536	22 (4) Certification after an inspection by the board,
537	537	23 or a representative of the board, that at least two acres of
538	538	24 the proposed cemetery, including a paved road extending from a
539	539	25 public roadway to the developed section, are fully developed
540	540	26 and ready for burials.
541	541	Page 20 1 (h) On or before September 1 of each year, each
542	542	2 licensed cemetery authority shall pay a license renewal fee,
543	543	3 in an amount determined by the board, not to exceed one
544	544	4 thousand dollars ($1,000).
545	545	5 (i) The board may revoke, suspend, place on
546	546	6 probation, or refuse to renew a cemetery establishment license
547	547	7 if the board determines that the continued operation of the
548	548	8 cemetery authority would be hazardous to purchasers,
549	549	9 beneficiaries, or to the people of this state.
550	550	10 §34-13-305.
551	551	11 A legal entity or cemetery authority may not
552	552	12 represent to the public that it is operating as an endowment
553	553	13 care cemetery or perpetual care cemetery until it has received
554	554	14 a license from the board to operate as an endowment care
555	555	15 cemetery and has satisfied the endowment care trust provisions
556	556	16 specified in Section 34-13-306.
557	557	17 §34-13-306.
558	558	18 Any provision of law to the contrary
559	559	19 notwithstanding, if the board determines that the continued
560	560	20 operation of an endowment care cemetery is hazardous to
561	561	21 purchasers, beneficiaries, or the public, the board may direct
562	562	22 the trustee of the endowment care fund to release any or all
563	563	23 portions of funds, including any principal amounts held in the
564	564	24 endowment trust, to be distributed and released to the
565	565	25 cemetery authority for the sole purposes of eliminating the
566	566	26 hazardous conditions, and the board may adopt rules to ensure
567	567	Page 21 1 the released endowment care funds are used for their intended
568	568	2 purposes and principal amounts are repaid.
569	569	3 §34-13-307. Designation and licensing of a general
570	570	4 manager.
571	571	5 (a) Each cemetery authority shall designate a
572	572	6 general manager, who shall be and remain employed by the
573	573	7 cemetery authority at a designated cemetery or cemeteries. The
574	574	8 general manager shall be licensed as a preneed sales agent, if
575	575	9 the cemetery authority has a certificate of authority, or a
576	576	10 cemetery sales agent in accordance with this chapter. A
577	577	11 general manager is responsible for all of the following at a
578	578	12 designated cemetery:
579	579	13 (1) Full charge, control, and supervision of all
580	580	14 activities performed on the premises and involving cemetery
581	581	15 services.
582	582	16 (2) Preparing or submitting all reports and
583	583	17 documents prescribed or required by the board.
584	584	18 (3) Reporting any significant changes in operations,
585	585	19 management, or pertinent information to the board.
586	586	20 (4) Assisting the board in conducting inspections of
587	587	21 the cemeteries.
588	588	22 (5) Ensuring all licenses relating to the operation
589	589	23 of each cemetery are renewed timely.
590	590	24 (b) A general manager may sell, offer, and execute
591	591	25 the sales of grave spaces, mausoleum crypts, niches, vaults,
592	592	26 or any other cemetery merchandise or services under any plan
593	593	27 authorized for the cemetery and on behalf of all cemetery
594	594	Page 22 1 locations owned or operated by the sponsoring cemetery
595	595	2 authority.
596	596	3 (c) The sponsoring cemetery authority shall be
597	597	4 responsible for the activities of the general manager. A
598	598	5 cemetery authority shall be subject to discipline if any
599	599	6 person acting as a general manager violates this chapter or
600	600	7 rule of the board.
601	601	8 §34-13-308. Licenses for cemetery sales agents.
602	602	9 (a) A cemetery sales agent is a person licensed in
603	603	10 this state to sell cemetery services or cemetery merchandise.
604	604	11 No person shall offer to sell niches, memorials, vaults, or
605	605	12 any other cemetery merchandise or services under any plan
606	606	13 authorized for any cemetery, before obtaining a license as a
607	607	14 cemetery sales agent from the board.
608	608	15 (b) To obtain a license as a cemetery sales agent, a
609	609	16 person shall file a written application with the board on
610	610	17 forms prescribed by the board. The board may require whatever
611	611	18 information and documentation the board deems necessary to
612	612	19 protect the public interest.
613	613	20 (c) The requirements of this section are in addition
614	614	21 to the requirements provided in Chapter 30 of Title 8 for a
615	615	22 salesperson.
616	616	23 (d) The qualifications for licensure as a cemetery
617	617	24 sales agent are as follows:
618	618	25 (1) The applicant shall be at least 18 years of age.
619	619	26 (2) The applicant shall be in good standing with the
620	620	27 board.
621	621	Page 23 1 (3) The applicant may not have any felony or
622	622	2 misdemeanor convictions that relate to any activity regulated
623	623	3 by this chapter or a crime involving moral turpitude, as
624	624	4 defined by this chapter.
625	625	5 (4)a. The applicant shall be of good moral character
626	626	6 and shall submit to a criminal history background check
627	627	7 pursuant to paragraph b.
628	628	8 b. The applicant shall submit to the board, on a
629	629	9 form sworn to by the applicant, his or her name, date of
630	630	10 birth, Social Security number, and two complete sets of
631	631	11 fingerprints for completion of a criminal history background
632	632	12 check. The board shall submit the fingerprints to the Alabama
633	633	13 State Law Enforcement Agency for a state criminal history
634	634	14 background check. The fingerprints shall be forwarded by the
635	635	15 agency to the Federal Bureau of Investigation for a national
636	636	16 criminal history background check. Costs associated with
637	637	17 conducting a criminal history background check shall be paid
638	638	18 by the applicant. The board shall keep information received
639	639	19 pursuant to this subdivision confidential, except that
640	640	20 information received and relied upon in denying the issuance
641	641	21 of a cemetery sales agent license may be disclosed if
642	642	22 necessary to support the denial. All character information,
643	643	23 including the information obtained through the criminal
644	644	24 history background checks, shall be considered in licensure
645	645	25 decisions to the extent permissible by all applicable laws.
646	646	26 (e) An application for licensure as a cemetery sales
647	647	27 agent shall be submitted to the board with an application fee,
648	648	Page 24 1 in an amount to be determined by the board, not to exceed five
649	649	2 hundred dollars ($500). The application shall contain, at a
650	650	3 minimum, all the following:
651	651	4 (1) The name, address, Social Security number, and
652	652	5 date of birth of the applicant and any other information the
653	653	6 board may reasonably require of the applicant.
654	654	7 (2) The name, address, and establishment license
655	655	8 number of the sponsoring cemetery authority.
656	656	9 (3) An affidavit, signed by the applicant, that the
657	657	10 applicant satisfies the requirements of this chapter.
658	658	11 (4) An affidavit, signed by the general manager of
659	659	12 the cemetery, stating all of the following:
660	660	13 a. That the cemetery authority has trained the
661	661	14 applicant in the provisions of this chapter relating to the
662	662	15 sale of cemetery services and merchandise, grave spaces,
663	663	16 mausoleum crypts, and niches.
664	664	17 b. That the cemetery authority has trained the
665	665	18 applicant in the provisions of the sales contracts of the
666	666	19 cemetery authority, and the nature of the burial rights sold
667	667	20 by the cemetery authority.
668	668	21 c. That the applicant is authorized to offer, sell,
669	669	22 and sign preneed sales contracts on behalf of the cemetery
670	670	23 authority, if the cemetery authority has a current and active
671	671	24 certificate of authority to sale preneed sales contracts.
672	672	25 (5) A statement indicating whether the applicant has
673	673	26 any type of working or agency relationship with any other
674	674	27 cemetery authority or funeral home.
675	675	Page 25 1 (f) A cemetery sales agent may be registered as a
676	676	2 cemetery sales agent on behalf of more than one cemetery
677	677	3 authority, provided that he or she has received the written
678	678	4 consent of all cemetery authorities and has filed the written
679	679	5 consent with the board.
680	680	6 (g) A cemetery authority shall notify the board
681	681	7 within 30 days after sponsorship of a cemetery sales agent has
682	682	8 been terminated.
683	683	9 (h) A cemetery sales agent shall be affiliated with
684	684	10 the cemetery authority that he or she is representing.
685	685	11 (i) Upon receipt of an application that complies
686	686	12 with this section, the board shall issue a cemetery sales
687	687	13 agent license to the applicant. The board, by rule, shall
688	688	14 provide for the annual renewal of the license and shall charge
689	689	15 a renewal fee, in an amount to be determined by the board, not
690	690	16 to exceed five hundred dollars ($500).
691	691	17 (j) If the board grants a cemetery sales agent
692	692	18 license, the board shall give written notice of that decision
693	693	19 to the applicant. A cemetery sales agent license shall be
694	694	20 issued to the applicant upon presentment to the board of a
695	695	21 duly executed statement of employment between the applicant
696	696	22 and the cemetery or cemeteries to be serviced by him or her.
697	697	23 (k) If the board denies an application for a
698	698	24 cemetery sales agent license, the board shall give written
699	699	25 notice of that decision to the applicant. The notice shall
700	700	26 state a time and a place for a hearing before the board and
701	701	27 shall include a summary statement of the reasons for the
702	702	Page 26 1 denial. The notice shall be mailed, by registered of certified
703	703	2 mail, to the applicant at the address stated in the
704	704	3 application at least 30 days before the date of the scheduled
705	705	4 hearing. An appeal of the decision of the board shall be with
706	706	5 the Circuit Court of Montgomery County.
707	707	6 (l) The cemetery authority shall be responsible for
708	708	7 the activities of all cemetery sales agents and all employees
709	709	8 acting as cemetery sales agents, who are affiliated with the
710	710	9 cemetery authority and who perform any type of sales of grave
711	711	10 spaces, mausoleum crypts, or niches on behalf of the cemetery
712	712	11 authority. A cemetery authority shall be subject to discipline
713	713	12 if any person acting as a cemetery sales agent violates this
714	714	13 chapter or any rule of the board.
715	715	14 (m) A cemetery sales agent may sell, offer, and
716	716	15 execute the sales of grave spaces, mausoleum crypts, niches,
717	717	16 vaults, or any other cemetery merchandise or services under
718	718	17 any plan authorized for the cemetery and on behalf of all
719	719	18 cemetery locations owned or operated by the sponsoring
720	720	19 cemetery authority.
721	721	20 (n) An individual may begin operating as a cemetery
722	722	21 sales agent as soon as a completed application as a cemetery
723	723	22 sales agent is approved by the board.
724	724	23 §34-13-309. Application for a change of control;
725	725	24 filing fee.
726	726	25 A person who proposes to acquire ownership of more
727	727	26 than 50 percent of an existing cemetery authority, whether by
728	728	27 purchasing the capital stock of the cemetery authority,
729	729	Page 27 1 purchasing an owner's interest in the cemetery authority, or
730	730	2 otherwise acting to effectively change the control of the
731	731	3 authority, shall first make application on a form prescribed
732	732	4 by the board for a certificate of approval for the proposed
733	733	5 change of control. The application shall contain the name and
734	734	6 address of each proposed new owner. The board shall issue a
735	735	7 certificate of approval only after the board determines that
736	736	8 the proposed new owners are qualified by good moral character,
737	737	9 experience, and financial responsibility to control and
738	738	10 operate the cemetery authority in a legal and proper manner,
739	739	11 and that the interest of the public generally will not be
740	740	12 jeopardized by the proposed change in control. An application
741	741	13 for approval of a change of control shall be completed and
742	742	14 accompanied by a filing fee, in an amount determined by the
743	743	15 board, not to exceed one thousand six hundred dollars
744	744	16 ($1,600). The board may not approve any change of control
745	745	17 until the applicant has provided sufficient evidence that any
746	746	18 trust accounts, as required by this chapter or rule of the
747	747	19 board, are maintained and funded in the required amounts. If
748	748	20 the cemetery authority has posted a performance bond in lieu
749	749	21 of any trust accounts, as required by this chapter or rule of
750	750	22 the board, then the board may not approve any change of
751	751	23 control until the applicant has provided sufficient evidence
752	752	24 that the performance bond is being appropriately maintained
753	753	25 and is in an amount sufficient to cover all payments made
754	754	26 directly or indirectly by or on account of purchasers who have
755	755	27 not received the purchased property and services.
756	756	Page 28 1 §34-13-310. Applications for license renewal.
757	757	2 All applications for a renewal license under this
758	758	3 chapter shall be submitted annually on or before September 1,
759	759	4 in the case of an existing cemetery authority. Before any sale
760	760	5 of cemetery property, in the case of a new cemetery authority,
761	761	6 or a change of ownership or control as provided in Section
762	762	7 34-13-305, an application for transfer and a new establishment
763	763	8 license shall be submitted and approved and a new license
764	764	9 issued.
765	765	10 §34-13-311. License not assignable or transferable.
766	766	11 No license issued pursuant to this chapter shall be
767	767	12 transferable or assignable and no licensee shall develop or
768	768	13 operate any cemetery, authorized by this chapter, under any
769	769	14 name or at any location other than that contained in the
770	770	15 application for the license.
771	771	16 §34-13-312. Individual sales contracts and
772	772	17 purchaser's endowment care and maintenance expectations.
773	773	18 At the time of making a sale or receiving the
774	774	19 initial sale deposit under this chapter, the cemetery
775	775	20 authority shall deliver to the person to whom the sale is
776	776	21 made, or who makes the deposit, both of the following:
777	777	22 (1) An instrument in writing, in a form approved by
778	778	23 the board, itemizing all merchandise and services sold and a
779	779	24 statement that the net income of the endowment care and
780	780	25 maintenance trust fund shall be used solely for the care and
781	781	26 maintenance of the cemetery, for reasonable costs of
782	782	Page 29 1 administering the care and maintenance, and for reasonable
783	783	2 costs of administering the trust fund.
784	784	3 (2) A copy of the current rules of the cemetery
785	785	4 authority.
786	786	5 §34-13-313.
787	787	6 (a) The cemetery authority shall publicly display
788	788	7 all current and valid licenses as provided in this chapter and
789	789	8 a current schedule of charges shall be available upon request.
790	790	9 (b) In accordance with Section 8-30-2, each cemetery
791	791	10 organized and operating under the laws of this state shall
792	792	11 have a full and complete schedule of all charges for cemetery
793	793	12 services and cemetery merchandise, provided by the cemetery,
794	794	13 plainly printed or typewritten, maintained, made available to
795	795	14 consumers, and subject to inspection. A copy shall be kept at
796	796	15 the usual place for transacting the regular business of the
797	797	16 cemetery.
798	798	17 §34-13-314. Timely delivery of cemetery merchandise.
799	799	18 (a) The board may adopt rules to ensure the prompt
800	800	19 installation and setting of memorials, grave markers, head
801	801	20 stones, and other markers by requiring memorials, grave
802	802	21 markers, head stones, and other markers to be ordered and
803	803	22 installed in a timely manner, as defined by the board.
804	804	23 (b) The board may impose a fine, in an amount
805	805	24 determined by the board, not to exceed two hundred dollars
806	806	25 ($200) per day for each violation, on any seller who violates
807	807	26 the rules adopted by the board pursuant to subsection (a).
808	808	Page 30 1 §34-13-315. Authority of board to investigate
809	809	2 cemetery complaints, practices, and implement resolutions.
810	810	3 In addition to any power conferred on the board by
811	811	4 this chapter, the board shall have the following powers and
812	812	5 duties relating to the enforcement of this article and any
813	813	6 rule adopted pursuant to this article:
814	814	7 (1) To investigate, upon its own initiative or upon
815	815	8 a verified complaint in writing, the actions of any person
816	816	9 engaged in the business or acting in the capacity of a
817	817	10 licensee under this chapter. The board may suspend, revoke, or
818	818	11 place on probation the license of any licensee who, in
819	819	12 performing or attempting to perform any of the acts specified
820	820	13 in this article or rule of the board, the board determines has
821	821	14 done any of the following:
822	822	15 a. Failed to pay a required fee.
823	823	16 b. Failed to make a report required by this chapter
824	824	17 or rule of the board.
825	825	18 c. Failed to remit any required amount to the care
826	826	19 and maintenance trust fund, merchandise trust fund, or
827	827	20 pre-construction trust fund.
828	828	21 d. Made a substantial misrepresentation.
829	829	22 e. Made a false statement of a character likely to
830	830	23 influence or persuade.
831	831	24 f. Made a continued and flagrant course of
832	832	25 misrepresentation or made false promises through cemetery
833	833	26 sales agents or employees.
834	834	Page 31 1 g. Violated any provision of this chapter or rule of
835	835	2 the board.
836	836	3 h. Operated a cemetery in a manner that was
837	837	4 hazardous to a purchaser, beneficiary, or the people of this
838	838	5 state.
839	839	6 i. Engaged in any other conduct, whether of the same
840	840	7 or a different character than specified in this section, which
841	841	8 constitutes fraud or dishonest dealing, or has any felony or
842	842	9 misdemeanor convictions that relate to any activity regulated
843	843	10 by this chapter or a crime involving moral turpitude, as
844	844	11 defined by this chapter.
845	845	12 (2) To apply to the courts, in its own name, for
846	846	13 injunctive relief to prevent a violation of this chapter or
847	847	14 any rule of the board. A court may grant injunctive relief
848	848	15 regardless of whether criminal prosecution or any other action
849	849	16 is instituted as a result of the violation. A single violation
850	850	17 is sufficient to invoke the injunctive relief provided by this
851	851	18 subdivision. In any action for injunctive relief, an order or
852	852	19 judgment may be entered awarding a temporary or permanent
853	853	20 injunction as deemed proper by the court; provided, that
854	854	21 before any action is brought by the board pursuant to this
855	855	22 subdivision, the board shall give a cemetery authority at
856	856	23 least 20 days' notice in writing, stating the alleged
857	857	24 violation and giving the cemetery authority an opportunity,
858	858	25 within that 20-day period, to cure the violation. In addition
859	859	26 to all other means provided by law for the enforcement of a
860	860	27 temporary restraining order, temporary injunction, or
861	861	Page 32 1 permanent injunction, the court may impound and appoint a
862	862	2 receiver for the property and business of the cemetery
863	863	3 authority including, but not limited to, books, papers,
864	864	4 documents, and records pertaining thereto, or so much thereof
865	865	5 as the court may deem reasonably necessary to prevent further
866	866	6 violation of this chapter or rule of the board through or by
867	867	7 means of the use of the property and business. The board may
868	868	8 institute proceedings against a cemetery authority, and its
869	869	9 owners or officers, when an audit, pursuant to this chapter or
870	870	10 rule of the board, reveals a shortage in the care and
871	871	11 maintenance trust fund, merchandise trust fund, or mausoleum
872	872	12 and below ground crypts pre-construction trust fund, to
873	873	13 recover the shortage.
874	874	14 (3) To adopt rules requiring licensees to file with
875	875	15 the board plans and specifications for the minimum quality of
876	876	16 any product sold. The sale of any product for which plans and
877	877	17 specifications required by the rules of the board have not
878	878	18 been filed, or the sale of any product of a lesser quality
879	879	19 than the plans and specifications filed with the board, is a
880	880	20 violation of this chapter.
881	881	21 (4) If the board finds that failure by a licensee to
882	882	22 maintain a cemetery properly has caused that cemetery to
883	883	23 become a public nuisance or a health or safety hazard, the
884	884	24 board may do any of the following:
885	885	25 a. Bring an action for injunctive relief against the
886	886	26 responsible licensee in the circuit court of the county in
887	887	Page 33 1 which the cemetery, or any part thereof, is located or in the
888	888	2 Circuit Court of Montgomery County.
889	889	3 b. Issue an emergency suspension of all licenses
890	890	4 held by the cemetery, and its associated personnel, in
891	891	5 accordance with the Administrative Procedure Act.
892	892	6 §34-13-316. Cemetery inspection and endowment audit
893	893	7 by the board.
894	894	8 (a) The board, as often as the board determines
895	895	9 necessary, shall inspect and audit the business of any person
896	896	10 operating a cemetery authority under this chapter. The
897	897	11 inspection and audit shall be performed by representatives of
898	898	12 the board who are employed or contracted by the board.
899	899	13 (b) A written report of each inspection and audit
900	900	14 shall be filed with and maintained by the board.
901	901	15 (c) Any person, establishment, or entity inspected
902	902	16 and audited, upon request, shall produce all records of the
903	903	17 person, establishment, or entity. The representatives of the
904	904	18 board designated to perform inspections and audits may inspect
905	905	19 and audit the records and affairs of any person,
906	906	20 establishment, or entity operating a cemetery authority under
907	907	21 the jurisdiction of the board at any time, regardless of
908	908	22 whether the inspection and audit are in connection with a
909	909	23 formal inspection or audit, or not.
910	910	24 (d) Any person, establishment, or entity subject to
911	911	25 a formal inspection and audit pursuant to this section shall
912	912	26 pay the board an audit fee, in an amount determined by the
913	913	27 board, not to exceed one thousand dollars ($1,000) per audit
914	914	Page 34 1 day. The scope of informal, formal, and special inspections
915	915	2 and audits shall be established by rule of the board.
916	916	3 (e) Whenever the board determines that a special
917	917	4 inspection and audit of the premises, facilities, books, or
918	918	5 records of a cemetery authority is necessary because of the
919	919	6 failure of the cemetery authority to comply with this chapter
920	920	7 or rule adopted by the board, the board shall charge a fee
921	921	8 based on the cost of the special inspection and audit
922	922	9 including, but not limited to, the compensation of any
923	923	10 employees involved in the special audit and any other
924	924	11 reasonable expenses incurred.
925	925	12 (f) The board, by rule, may provide for the
926	926	13 suspension or revocation of the cemetery establishment license
927	927	14 of any person, establishment, or entity that fails to submit
928	928	15 levied inspection and audit fees to the board within 30 days
929	929	16 after the invoice date. In addition, the board may levy a
930	930	17 fine, in an amount determined by the board, not to exceed
931	931	18 fifty dollars ($50) per day for each day the cemetery
932	932	19 authority fails to submit the inspection and audit fees.
933	933	20 §34-13-317. Additional penalties and fines.
934	934	21 (a) Unless otherwise provided by this chapter, any
935	935	22 person who violates this chapter, or rule adopted by the board
936	936	23 pursuant to this chapter, shall be guilty of a Class A
937	937	24 misdemeanor.
938	938	25 (b)(1) Any person who knowingly executes a sales
939	939	26 contract or receives payments for cemetery merchandise or
940	940	Page 35 1 services without having a valid license as a cemetery sales
941	941	2 agent:
942	942	3 a. Shall be guilty of a Class B felony for each
943	943	4 contract for which the amount of the contract, or the sum of
944	944	5 payments received, is greater than two thousand five hundred
945	945	6 dollars ($2,500).
946	946	7 b. Shall be guilty of a Class C felony for each
947	947	8 contract for which the amount of the contract, or the sum of
948	948	9 payments received, is greater than five hundred dollars ($500)
949	949	10 and equal to or less than two thousand five hundred dollars
950	950	11 ($2,500).
951	951	12 c. Shall be guilty of a Class A misdemeanor for each
952	952	13 contract for which the amount of the contract, or the sum of
953	953	14 payments received, is five hundred dollars ($500) or less.
954	954	15 (2) In addition to the criminal penalty imposed
955	955	16 under subdivision (1), upon conviction of an offense under
956	956	17 subdivision (1), or an equivalent offense in any jurisdiction,
957	957	18 as determined by the board, a person may not thereafter obtain
958	958	19 a certificate of authority from the board or be licensed as a
959	959	20 preneed sales agent, cemetery sales agent, or general manager
960	960	21 by the board.
961	961	22 (3) If the board determines that the continued
962	962	23 operation of a cemetery authority is hazardous to purchasers,
963	963	24 beneficiaries, or the people of this state, the board may levy
964	964	25 a fine, in an amount determined by the board, not to exceed
965	965	26 five hundred dollars ($500) per day, and may revoke the
966	966	27 establishment license of the cemetery authority, until the
967	967	Page 36 1 board determines that the hazardous conditions are removed and
968	968	2 resolved.
969	969	3 (4) In addition to any other penalty provided by
970	970	4 this chapter, or rule of the board pursuant to this chapter,
971	971	5 the board may levy a fine, in an amount determined by the
972	972	6 board, not to exceed fifty dollars ($50) per day, for each day
973	973	7 a cemetery authority fails to file any reports required by
974	974	8 this chapter or rule of the board, and the board may also levy
975	975	9 a fine, in an amount determined by the board, not to exceed
976	976	10 fifty dollars ($50) per day, for each day a cemetery authority
977	977	11 fails to satisfy and comply with any order issued by the
978	978	12 board.
979	979	13 (5) If a representative of a cemetery authority
980	980	14 offers to sell grave spaces or lots, interment rights, niches,
981	981	15 memorials, vaults, or any other cemetery merchandise or
982	982	16 services under any plan authorized for any cemetery before
983	983	17 obtaining a license from the board as a cemetery sales agent,
984	984	18 the board may levy a fine, not to exceed two thousand five
985	985	19 hundred dollars ($2,500), on the cemetery authority for each
986	986	20 violation.
987	987	21 (6) If a cemetery authority sells interment rights,
988	988	22 grave spaces or lots, niches, memorials, vaults, or any other
989	989	23 cemetery merchandise or services under any plan authorized for
990	990	24 any cemetery before obtaining a cemetery establishment license
991	991	25 from the board, the board may levy a fine, not to exceed two
992	992	26 thousand five hundred dollars ($2,500), on the cemetery
993	993	27 authority for each violation.
994	994	Page 37 1 Section 3. Sections 27-17A-46, 27-17A-47, and
995	995	2 27-17A-48, Code of Alabama 1975, relating to endowment care
996	996	3 cemeteries, the establishment of an endowment care fund, and
997	997	4 the maintenance of records by a cemetery authority,
998	998	5 respectively, under the Cemetery Merchandise and Services
999	999	6 Trust Fund, are repealed.
1000	1000	7 Section 4. Although this bill would have as its
1001	1001	8 purpose or effect the requirement of a new or increased
1002	1002	9 expenditure of local funds, the bill is excluded from further
1003	1003	10 requirements and application under Amendment 621, now
1004	1004	11 appearing as Section 111.05 of the Official Recompilation of
1005	1005	12 the Constitution of Alabama of 1901, as amended, because the
1006	1006	13 bill defines a new crime or amends the definition of an
1007	1007	14 existing crime.
1008	1008	15 Section 5. This act shall become effective on the
1009	1009	16 first day of the first month following its passage and
1010	1010	17 approval by the Governor, or its otherwise becoming law.
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