Alabama 2022 Regular Session

Alabama House Bill HB47

Introduced
1/11/22  
Refer
1/11/22  
Engrossed
3/17/22  

Caption

Funeral Service Board, licensing and regulation of cemetery authorities and cemeteries, Alabama Preneed Funeral and Cemetery Act, established, adding, amending and renumbering numerous sections, Secs. 27-17A-2, 27-17A-17, 27-17A-45, 27-17A-57 repealed; Secs. 34-13-1, 34-13-2, 34-13-4, 34-13-7, 34-13-9, 34-13-11, 34-13-12, 34-13-20, 34-13-22, 34-13-23, 34-13-26, 34-13-27, 34-13-52, 34-13-53, 34-13-54, 34-13-55, 34-13-56, 34-13-56.1, 34-13-111, 34-13-113 am'd.

Impact

The legislation has significant implications for the oversight of funeral and cemetery services in the state. By transferring regulatory authority to a specialized board, stakeholders anticipate improved enforcement of standards related to preneed contracts and the financial management of those contracts. The bill also introduces regulations that aim to ensure that funds collected for preneed contracts are adequately protected, which is vital in preserving consumer trust in the industry. Additionally, it establishes clear criminal penalties for violations, thereby emphasizing consumer protection within the sector.

Summary

House Bill 47 aims to establish the Alabama Preneed Funeral and Cemetery Act of 2022, as well as amend and renumber numerous sections of the Code of Alabama concerning funeral and cemetery services. The bill's intent is to transfer the regulation of preneed contracts from the Department of Insurance to the Alabama Board of Funeral Service, enhancing oversight and consumer protections regarding preneed agreements. This act compels funeral service providers and cemetery authorities to maintain compliance with various operational and financial responsibilities, including the management of preneed funds in trust, which are intended to ensure the fulfillment of contracts for services or merchandise purchased ahead of time.

Sentiment

Sentiment surrounding HB 47 appears to be largely supportive among lawmakers advocating for stronger consumer protections in funeral service contracts. Proponents argue that the bill will rectify existing gaps in regulation and provide better safeguards for individuals committing to preneed arrangements. Conversely, some critics may express concerns regarding the potential for excessive regulation, which could complicate the operational flexibility of funeral services and cemeteries if overly stringent provisions are imposed.

Contention

Notable points of contention may arise regarding the balance between regulatory oversight and business operational flexibility within the funeral and cemetery services sector. While there is consensus on the need for consumer protections, discussions may revolve around how stringent regulations should be to avoid hindering service providers and limiting consumer choices. The bill's effective implementation also hinges on the appropriate allocation of resources to the Alabama Board of Funeral Service, ensuring it can adequately perform its regulatory responsibilities without imposing undue financial burdens on service providers.

Companion Bills

No companion bills found.

Similar Bills

AL HB212

Relating to the Alabama Board of Funeral Service; to amend Section 34-13-1, as amended by Act 2022-339, 2022 Regular Session, Sections 34-13-20, 34-13-21, and 34-13-22, Sections 34-13-23 and 34-13-27, as amended by Act 2022-339, 2022 Regular Session, Code of Alabama 1975, to rename the Alabama Board of Funeral Service as the Alabama Board of Funeral Services and to provide further for definitions and the membership of the board; to add Article 5 to Chapter 13, Title 34, Code of Alabama 1975, by amending and renumbering Sections 27-17A-1, 27-17A-3, 27-17A-4, 27-17A-10 to 27-17A-25, inclusive, 27-17A-30 to 27-17A-34, inclusive, and 27-17A-40 to 27-17A-57, inclusive, as Sections 34-13-170 to 34-13-172, inclusive, 34-13-190 to 34-13-206, inclusive, 34-13-230 to 34-13-234, inclusive, and 34-13-260 to 34-13-277, inclusive, Code of Alabama 1975; to establish the Alabama Preneed Funeral and Cemetery Act of 2023; to transfer the existing Preneed Funeral and Cemetery Act, and the regulation of preneed contracts, from the Commissioner and Department of Insurance to the Alabama Board of Funeral Service; to authorize the Department of Insurance to temporarily transfer certain funds to the board to defray costs associated with the administration and operation of the Alabama Preneed Funeral and Cemetery Act of 2023; and in connection therewith would have as its purpose or effect the requirement of a new or increased expenditure of local funds within the meaning of Section 111.05 of the Constitution of Alabama of 2022.

AL SB131

Relating to the Alabama Board of Funeral Service; to amend Section 34-13-1, as amended by Act 2022-339, 2022 Regular Session, Sections 34-13-20, 34-13-21, and 34-13-22, Sections 34-13-23 and 34-13-27, as amended by Act 2022-339, 2022 Regular Session, Code of Alabama 1975, to rename the Alabama Board of Funeral Service as the Alabama Board of Funeral Services and to provide further for definitions and the membership of the board; to add Article 5 to Chapter 13, Title 34, Code of Alabama 1975, by amending and renumbering Sections 27-17A-1, 27-17A-3, 27-17A-4, 27-17A-10 to 27-17A-25, inclusive, 27-17A-30 to 27-17A-34, inclusive, and 27-17A-40 to 27-17A-57, inclusive, as Sections 34-13-170 to 34-13-172, inclusive, 34-13-190 to 34-13-206, inclusive, 34-13-230 to 34-13-234, inclusive, and 34-13-260 to 34-13-277, inclusive, Code of Alabama 1975; to establish the Alabama Preneed Funeral and Cemetery Act of 2023; to transfer the existing Preneed Funeral and Cemetery Act, and the regulation of preneed contracts, from the Commissioner and Department of Insurance to the Alabama Board of Funeral Service; to authorize the Department of Insurance to temporarily transfer certain funds to the board to defray costs associated with the administration and operation of the Alabama Preneed Funeral and Cemetery Act of 2023; and in connection therewith would have as its purpose or effect the requirement of a new or increased expenditure of local funds within the meaning of Section 111.05 of the Constitution of Alabama of 2022.

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