Colorado 2022 Regular Session

Colorado House Bill HB1228 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
	1	+	Second Regular Session
	2	+	Seventy-third General Assembly
	3	+	STATE OF COLORADO
	4	+	REREVISED
	5	+	This Version Includes All Amendments
	6	+	Adopted in the Second House
	7	+	LLS NO. 22-0324.01 Yelana Love x2295
1	8		HOUSE BILL 22-1228
2		-	BY REPRESENTATIVE(S) Roberts and Bockenfeld, Duran, Lindsay,
3		-	Lontine, Ricks, Snyder, Soper, Cutter, Herod, Kipp, McCluskie, Ortiz,
4		-	Valdez D.;
5		-	also SENATOR(S) Coram, Donovan, Gonzales.
	9	+	House Committees Senate Committees
	10	+	Judiciary Judiciary
	11	+	Finance
	12	+	Appropriations
	13	+	A BILL FOR AN ACT
6	14		C
7		-	ONCERNING THE CONTINUATION OF THE REGULATION OF PRENEED
8		-	FUNERAL CONTRACTS
9		-	, AND, IN CONNECTION THEREWITH ,
10		-	IMPLEMENTING THE RECOMMENDATIONS CONTAINED IN THE 2021
11		-	SUNSET REPORT BY THE DEPARTMENT OF REGULATORY AGENCIES
12		-	AND MAKING AN APPROPRIATION
13		-	.
14		-	Be it enacted by the General Assembly of the State of Colorado:
15		-	SECTION 1. In Colorado Revised Statutes, 24-34-104, repeal
16		-	(23)(a)(X); and add (30)(a)(VII) as follows:
17		-	24-34-104. General assembly review of regulatory agencies and
18		-	functions for repeal, continuation, or reestablishment - legislative
19		-	declaration - repeal. (23) (a) The following agencies, functions, or both,
20		-	are scheduled for repeal on September 1, 2022:
21		-	(X) The regulation of preneed funeral contracts in accordance with
22		-	NOTE: This bill has been prepared for the signatures of the appropriate legislative
23		-	officers and the Governor. To determine whether the Governor has signed the bill
24		-	or taken other action on it, please consult the legislative status sheet, the legislative
25		-	history, or the Session Laws.
26		-	________
27		-	Capital letters or bold & italic numbers indicate new material added to existing law; dashes
28		-	through words or numbers indicate deletions from existing law and such material is not part of
29		-	the act. article 15 of title 10;
30		-	(30) (a) The following agencies, functions, or both, are scheduled
31		-	for repeal on September 1, 2029:
	15	+	ONCERNING THE CONTINUATION OF THE REGULATION OF PRENEED101
	16	+	FUNERAL CONTRACTS , AND, IN CONNECTION THEREWITH ,102
	17	+	IMPLEMENTING THE RECOMMENDAT IONS CONTAINED IN THE103
	18	+	2021
	19	+	SUNSET REPORT BY THE DEPARTMENT OF REGULATORY104
	20	+	AGENCIES AND MAKING AN APPROPRIATION .
	21	+	105
	22	+	Bill Summary
	23	+	(Note: This summary applies to this bill as introduced and does
	24	+	not reflect any amendments that may be subsequently adopted. If this bill
	25	+	passes third reading in the house of introduction, a bill summary that
	26	+	applies to the reengrossed version of this bill will be available at
	27	+	http://leg.colorado.gov/
	28	+	.)
	29	+	Sunset Process - House Judiciary Committee. The bill
	30	+	implements the recommendations of the department of regulatory
	31	+	SENATE
	32	+	3rd Reading Unamended
	33	+	April 22, 2022
	34	+	SENATE
	35	+	Amended 2nd Reading
	36	+	April 21, 2022
	37	+	HOUSE
	38	+	3rd Reading Unamended
	39	+	March 4, 2022
	40	+	HOUSE
	41	+	Amended 2nd Reading
	42	+	March 3, 2022
	43	+	HOUSE SPONSORSHIP
	44	+	Roberts and Bockenfeld, Duran, Lindsay, Lontine, Ricks, Snyder, Soper
	45	+	SENATE SPONSORSHIP
	46	+	Coram, Donovan, Gonzales
	47	+	Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.
	48	+	Capital letters or bold & italic numbers indicate new material to be added to existing statute.
	49	+	Dashes through the words indicate deletions from existing statute. agencies, as contained in the department's sunset review of preneed
	50	+	funeral contracts, as follows:
	51	+	! Continues the regulation of preneed funeral contracts for 7
	52	+	years, to September 1, 2029;
	53	+	! Removes from statute the surety bond or net worth
	54	+	requirements for an applicant for a license to sell preneed
	55	+	funeral contracts and requires the commissioner of
	56	+	insurance (commissioner) to establish the requirements in
	57	+	rule;
	58	+	! Allows the commissioner to investigate the books, records,
	59	+	and accounts of a contract seller without the requirement
	60	+	that the commissioner receive a complaint or indication of
	61	+	noncompliance;
	62	+	! Removes the fees for license renewal from statute and
	63	+	requires the commissioner to establish the fees in rule
	64	+	based on the cost of regulating the industry and the
	65	+	outstanding preneed contract obligations of the contract
	66	+	sellers;
	67	+	! Requires money held in trust for a preneed contract that is
	68	+	unclaimed after a reasonable amount of time to be reported
	69	+	to the state treasurer for deposit into the unclaimed property
	70	+	trust fund; and
	71	+	! Requires each funeral establishment, at the time of
	72	+	registration renewal, to attest to whether the funeral
	73	+	establishment sells preneed contracts and requires the
	74	+	director of the division of professions and occupations to
	75	+	enter into a memorandum of understanding with the
	76	+	commissioner to share information on funeral
	77	+	establishments that sell preneed contracts.
	78	+	Be it enacted by the General Assembly of the State of Colorado:1
	79	+	SECTION 1. In Colorado Revised Statutes, 24-34-104, repeal2
	80	+	(23)(a)(X); and add (30)(a)(VII) as follows:3
	81	+	24-34-104. General assembly review of regulatory agencies4
	82	+	and functions for repeal, continuation, or reestablishment - legislative5
	83	+	declaration - repeal. (23) (a) The following agencies, functions, or both,6
	84	+	are scheduled for repeal on September 1, 2022:7
	85	+	(X) The regulation of preneed funeral contracts in accordance
	86	+	8
	87	+	1228-2- with article 15 of title 10;1
	88	+	(30) (a) The following agencies, functions, or both, are scheduled2
	89	+	for repeal on September 1, 2029:3
32	90		(VII) T
33		-	HE REGULATION OF PRENEED FUNERAL CONTRACTS IN
34		-	ACCORDANCE WITH ARTICLE
35		-	15 OF TITLE 10.
36		-	SECTION 2. In Colorado Revised Statutes, amend 10-15-123 as
37		-	follows:
38		-	10-15-123. Repeal of article. This article 15 is repealed, effective
	91	+	HE REGULATION OF PRENEED FUNERAL CONTRACTS IN4
	92	+	ACCORDANCE WITH ARTICLE 15 OF TITLE 10.5
	93	+	SECTION 2. In Colorado Revised Statutes, amend 10-15-123 as6
	94	+	follows:7
	95	+	10-15-123. Repeal of article. This article 15 is repealed, effective8
39	96		September 1, 2022
40		-	SEPTEMBER 1, 2029. Before its THE repeal, the
41		-	department of regulatory agencies shall review the regulation of preneed
42		-	funeral contracts in accordance with section 24-34-104.
43		-	SECTION 3. In Colorado Revised Statutes, 10-15-103, amend
44		-	(1)(a), (4)(a), and (5)(b) as follows:
45		-	10-15-103. License procedure - records - examination of records
46		-	- definition - rules. (1) (a) A contract seller shall not enter into a preneed
47		-	contract or accept any funds or other consideration without a license from
48		-	the commissioner. To be valid, an application for an initial license must be
49		-	in writing, signed by the applicant, and duly verified on forms furnished by
50		-	the commissioner. Each application must be accompanied by payment of
51		-	five hundred dollars and either:
52		-	PROOF OF EITHER THE NET WORTH OR
53		-	SURETY BOND REQUIREMENTS ESTABLISHED BY THE COMMISSIONER BY
54		-	RULE
55		-	.
56		-	(I) A current balance sheet, income statement, and statement of cash
57		-	flow to demonstrate that the business has a net worth of at least ten
58		-	thousand dollars, signed by a certified public accountant ("CPA"), or, if
59		-	prepared by the applicant or public accountant, accompanied by a current
60		-	tax return; or
61		-	(II) A surety bond of at least ten thousand dollars to honor preneed
62		-	contract obligations.
63		-	(4) (a) The commissioner may investigate the books, records, and
64		-	accounts of a contract seller to ensure that trust funds, preneed contracts,
65		-	PAGE 2-HOUSE BILL 22-1228 and preneed insurance policies comply with this article ARTICLE 15. The
66		-	commissioner, or a qualified person designated by the commissioner, may
67		-	examine the books, records, and accounts of the contract seller as often as
68		-	necessary upon receiving a complaint or indication of noncompliance
69		-	and
70		-	may require the attendance of and examine under oath all persons whose
71		-	testimony the commissioner needs for this purpose.
	97	+	SEPTEMBER 1, 2029. Before its THE repeal, the9
	98	+	department of regulatory agencies shall review the regulation of preneed10
	99	+	funeral contracts in accordance with section 24-34-104.11
	100	+	SECTION 3. In Colorado Revised Statutes, 10-15-103, amend12
	101	+	(1)(a), (4)(a), and (5)(b) as follows:13
	102	+	10-15-103. License procedure - records - examination of14
	103	+	records - definition - rules. (1) (a) A contract seller shall not enter into15
	104	+	a preneed contract or accept any funds or other consideration without a16
	105	+	license from the commissioner. To be valid, an application for an initial17
	106	+	license must be in writing, signed by the applicant, and duly verified on18
	107	+	forms furnished by the commissioner. Each application must be19
	108	+	accompanied by payment of five hundred dollars and either: PROOF OF20
	109	+	EITHER THE NET WORTH OR SURETY BOND REQUIREMENTS ESTABLISHED21
	110	+	BY THE COMMISSIONER BY RULE.22
	111	+	(I) A current balance sheet, income statement, and statement of23
	112	+	cash flow to demonstrate that the business has a net worth of at least ten24
	113	+	thousand dollars, signed by a certified public accountant ("CPA"), or, if25
	114	+	prepared by the applicant or public accountant, accompanied by a current26
	115	+	tax return; or27
	116	+	1228
	117	+	-3- (II) A surety bond of at least ten thousand dollars to honor1
	118	+	preneed contract obligations.2
	119	+	(4) (a) The commissioner may investigate the books, records, and3
	120	+	accounts of a contract seller to ensure that trust funds, preneed contracts,4
	121	+	and preneed insurance policies comply with this article ARTICLE 15. The5
	122	+	commissioner, or a qualified person designated by the commissioner, may6
	123	+	examine the books, records, and accounts of the contract seller as often7
	124	+	as necessary upon receiving a complaint or indication of noncompliance8
	125	+	and may require the attendance of and examine under oath all persons9
	126	+	whose testimony the commissioner needs for this purpose.10
72	127		(5) (b) T
73		-	HE COMMISSIONER SHALL ESTABLISH the annual renewal fee
74		-	shall be based upon the aggregate preneed contract price of all preneed
75		-	contracts outstanding at the end of each calendar year. If the aggregate
76		-	preneed contract price is: BY RULE BASED ON THE COST OF REGULATING THE
77		-	INDUSTRY AND THE OUTSTANDING PRENEED CONTRACT OBLIGATIONS OF THE
78		-	CONTRACT SELLERS
79		-	.
80		-	(I) One hundred thousand dollars or less, the annual renewal fee
81		-	shall be one hundred dollars;
82		-	(II) Greater than one hundred thousand dollars but not exceeding
83		-	five hundred thousand dollars, the annual renewal fee shall be two hundred
84		-	dollars;
85		-	(III) Greater than five hundred thousand dollars but not exceeding
86		-	one million dollars, the annual renewal fee shall be five hundred dollars;
87		-	(IV) Greater than one million dollars but not exceeding five million
88		-	dollars, the annual renewal fee shall be one thousand dollars;
89		-	(V) Greater than five million dollars but not exceeding ten million
90		-	dollars, the annual renewal fee shall be one thousand five hundred dollars;
91		-	(VI) In excess of ten million dollars, the annual renewal fee shall be
92		-	two thousand dollars.
93		-	SECTION 4. In Colorado Revised Statutes, add 10-15-111.7 as
94		-	follows:
95		-	10-15-111.7. Disposition of unclaimed preneed funeral contracts
96		-	- unclaimed property trust fund. (1) N
97		-	OTWITHSTANDING THE FAILURE OF
98		-	A PRENEED CONTRACT FOR FUNERAL SERVICES BENEFICIARY
99		-	'S HEIRS,
100		-	ASSIGNS, OR DULY AUTHORIZED REPRESENTATIVE TO CANCEL A PRENEED
101		-	PAGE 3-HOUSE BILL 22-1228 CONTRACT FOR FUNERAL SERVICES WITHIN ONE HUNDRED SIXTY -EIGHT
102		-	HOURS AFTER THE DEATH OF THE PRENEED CONTRACT BENEFICIARY
103		-	, EACH
104		-	CONTRACT SELLER SHALL REQUIRE A TRUSTEE WITH WHOM PRENEED
105		-	CONTRACT FUNDS HAVE BEEN DEPOSITED FOR A PRENEED CONTRACT THAT
106		-	IS UNCLAIMED TO REPORT TO THE STATE TREASURER AS PROVIDED IN
107		-	SECTION
108		-	38-13-401. THE TRUSTEE SHALL COMPLY WITH THE REQUIREMENTS
109		-	OF THE
110		-	"REVISED UNIFORM UNCLAIMED PROPERTY ACT", ARTICLE 13 OF
111		-	TITLE
112		-	38, FOR DEPOSIT OF THE UNCLAIMED PRENEED CONTRACT FUNDS INTO
113		-	THE UNCLAIMED PROPERTY TRUST FUND CREATED IN SECTION
114		-	38-13-801
115		-	(1)(a).
116		-	(2) A
117		-	PRENEED CONTRACT FOR FUNERAL SERVICES IS UNCLAIMED AT
118		-	THE EARLIER OF THE FOLLOWING
119		-	:
120		-	(a) T
121		-	HREE YEARS AFTER THE DATE ON WHICH THE CONTRACT SELLER
122		-	HAS KNOWLEDGE OF THE DEATH OF THE PRENEED CONTRACT BENEFICIARY
123		-	,
124		-	OBTAINED THROUGH ANY SOURCE , INCLUDING A DECLARATION OF DEATH ,
125		-	A DEATH CERTIFICATE, A COMPARISON OF THE CONTRACT SELLER'S RECORDS
126		-	AGAINST THE
127		-	UNITED STATES SOCIAL SECURITY ADMINISTRATION 'S DEATH
128		-	MASTER FILE
129		-	, OR OTHER EQUIVALENT RESOURCE ;
130		-	(b) T
131		-	HE DATE THE PRENEED CONTRACT BENEFICIARY , IF LIVING,
132		-	WOULD HAVE ATTAINED ONE HUNDRED FIFTEEN YEARS OF AGE ; OR
133		-	(c) SIXTY-FIVE YEARS FROM THE DATE THAT THE PRENEED
134		-	CONTRACT WAS EXECUTED
135		-	.
136		-	(3) F
137		-	OR PURPOSES OF THIS SECTION, THE AMOUNT REPORTABLE FOR
138		-	AN UNCLAIMED PRENEED CONTRACT IS THE AMOUNT PAID BY THE
139		-	PURCHASER TO THE CONTRACT SELLER
140		-	, LESS SELLING COSTS NOT TO EXCEED
141		-	FIFTEEN PERCENT OF THE TOTAL PRENEED CONTRACT PRICE
142		-	, LIQUIDATED
143		-	DAMAGES
144		-	, AND CONTRACTUAL OFFSETS , AS AUTHORIZED BY LAW.
145		-	(4) S
146		-	UBSECTION (2)(a) OF THIS SECTION DOES NOT REQUIRE A
147		-	CONTRACT SELLER TO COMPARE THE CONTRACT SELLER
148		-	'S RECORDS TO THE
149		-	UNITED STATES SOCIAL SECURITY ADMINISTRATION 'S DEATH MASTER FILE.
150		-	SECTION 5. In Colorado Revised Statutes, 12-135-110, amend
151		-	(2)(b) as follows:
152		-	PAGE 4-HOUSE BILL 22-1228 12-135-110. Registration required. (2) (b) Each funeral
153		-	establishment registration shall be renewed, according to a schedule
154		-	established by the director in accordance with section 12-20-202 (1), in a
155		-	form as determined by the director. A
156		-	T THE TIME OF RENEWAL , EACH
157		-	FUNERAL ESTABLISHMENT SHALL ATTEST TO WHETHER THE FUNERAL
158		-	ESTABLISHMENT SELLS PRENEED CONTRACTS
159		-	. THE DIRECTOR SHALL ENTER
160		-	INTO A MEMORANDUM OF UNDERSTANDING WITH THE COMMISSIONER OF
161		-	INSURANCE TO SHARE INFORMATION REGARDING FUNERAL ESTABLISHMENTS
162		-	THAT SELL PRENEED CONTRACTS
163		-	.
164		-	SECTION 6. Appropriation. (1) For the 2022-23 state fiscal year,
165		-	$81,958 is appropriated to the department of regulatory agencies for use by
166		-	the division of insurance. This appropriation is from the division of
167		-	insurance cash fund created in section 10-1-103 (3), C.R.S. To implement
168		-	this act, the division may use this appropriation as follows:
169		-	(a) $74,543 for personal services, which amount is based on an
170		-	assumption that the division will require an additional 0.9 FTE; and
171		-	(b) $7,415 for operating expenses.
172		-	SECTION 7. Act subject to petition - effective date. This act
173		-	takes effect at 12:01 a.m. on the day following the expiration of the
174		-	ninety-day period after final adjournment of the general assembly; except
175		-	that, if a referendum petition is filed pursuant to section 1 (3) of article V
176		-	of the state constitution against this act or an item, section, or part of this act
177		-	within such period, then the act, item, section, or part will not take effect
178		-	unless approved by the people at the general election to be held in
179		-	PAGE 5-HOUSE BILL 22-1228 November 2022 and, in such case, will take effect on the date of the official
180		-	declaration of the vote thereon by the governor.
181		-	____________________________ ____________________________
182		-	Alec Garnett Steve Fenberg
183		-	SPEAKER OF THE HOUSE PRESIDENT OF
184		-	OF REPRESENTATIVES THE SENATE
185		-	____________________________ ____________________________
186		-	Robin Jones Cindi L. Markwell
187		-	CHIEF CLERK OF THE HOUSE SECRETARY OF
188		-	OF REPRESENTATIVES THE SENATE
189		-	APPROVED________________________________________
190		-	(Date and Time)
191		-	_________________________________________
192		-	Jared S. Polis
193		-	GOVERNOR OF THE STATE OF COLORADO
194		-	PAGE 6-HOUSE BILL 22-1228
	128	+	HE COMMISSIONER SHALL ESTABLISH the annual renewal11
	129	+	fee shall be based upon the aggregate preneed contract price of all
	130	+	12
	131	+	preneed contracts outstanding at the end of each calendar year. If the13
	132	+	aggregate preneed contract price is: BY RULE BASED ON THE COST OF14
	133	+	REGULATING THE INDUSTRY AND THE OUTSTANDING PRENEED CONTRACT15
	134	+	OBLIGATIONS OF THE CONTRACT SELLERS .16
	135	+	(I) One hundred thousand dollars or less, the annual renewal fee17
	136	+	shall be one hundred dollars;18
	137	+	(II) Greater than one hundred thousand dollars but not exceeding19
	138	+	five hundred thousand dollars, the annual renewal fee shall be two20
	139	+	hundred dollars;21
	140	+	(III) Greater than five hundred thousand dollars but not exceeding22
	141	+	one million dollars, the annual renewal fee shall be five hundred dollars;23
	142	+	(IV) Greater than one million dollars but not exceeding five24
	143	+	million dollars, the annual renewal fee shall be one thousand dollars;25
	144	+	(V) Greater than five million dollars but not exceeding ten million26
	145	+	dollars, the annual renewal fee shall be one thousand five hundred27
	146	+	1228
	147	+	-4- dollars;1
	148	+	(VI) In excess of ten million dollars, the annual renewal fee shall2
	149	+	be two thousand dollars.3
	150	+	SECTION 4. In Colorado Revised Statutes, add 10-15-111.7 as4
	151	+	follows:5
	152	+	10-15-111.7. Disposition of unclaimed preneed funeral6
	153	+	contracts - unclaimed property trust fund. (1) NOTWITHSTANDING THE7
	154	+	FAILURE OF A PRENEED CONTRACT FOR FUNERAL SERVICES BENEFICIARY'S8
	155	+	HEIRS, ASSIGNS, OR DULY AUTHORIZED REPRESENTATIVE TO CANCEL A9
	156	+	PRENEED CONTRACT FOR FUNERAL SERVICES WITHIN ONE HUNDRED10
	157	+	SIXTY-EIGHT HOURS AFTER THE DEATH OF THE PRENEED CONTRACT11
	158	+	BENEFICIARY, EACH CONTRACT SELLER SHALL REQUIRE A TRUSTEE WITH12
	159	+	WHOM PRENEED CONTRACT FUNDS HAVE BEEN DEPOSITED FOR A PRENEED13
	160	+	CONTRACT THAT IS UNCLAIMED TO REPORT TO THE STATE TREASURER AS14
	161	+	PROVIDED IN SECTION 38-13-401. THE TRUSTEE SHALL COMPLY WITH THE15
	162	+	REQUIREMENTS OF THE "REVISED UNIFORM UNCLAIMED PROPERTY ACT",16
	163	+	ARTICLE 13 OF TITLE 38, FOR DEPOSIT OF THE UNCLAIMED PRENEED17
	164	+	CONTRACT FUNDS INTO THE UNCLAIMED PROPERTY TRUST FUND CREATED18
	165	+	IN SECTION 38-13-801 (1)(a).19
	166	+	(2) A PRENEED CONTRACT FOR FUNERAL SERVICES IS UNCLAIMED20
	167	+	AT THE EARLIER OF THE FOLLOWING:21
	168	+	(a) THREE YEARS AFTER THE DATE ON WHICH THE CONTRACT22
	169	+	SELLER HAS KNOWLEDGE OF THE DEATH OF THE PRENEED CONTRACT23
	170	+	BENEFICIARY, OBTAINED THROUGH ANY SOURCE , INCLUDING A24
	171	+	DECLARATION OF DEATH, A DEATH CERTIFICATE, A COMPARISON OF THE25
	172	+	CONTRACT SELLER'S RECORDS AGAINST THE UNITED STATES SOCIAL26
	173	+	SECURITY ADMINISTRATION'S DEATH MASTER FILE, OR OTHER EQUIVALENT27
	174	+	1228
	175	+	-5- RESOURCE;1
	176	+	(b) THE DATE THE PRENEED CONTRACT BENEFICIARY , IF LIVING,2
	177	+	WOULD HAVE ATTAINED ONE HUNDRED FIFTEEN YEARS OF AGE ; OR3
	178	+	(c) SIXTY-FIVE YEARS FROM THE DATE THAT THE PRENEED4
	179	+	CONTRACT WAS EXECUTED .5
	180	+	(3) FOR PURPOSES OF THIS SECTION, THE AMOUNT REPORTABLE6
	181	+	FOR AN UNCLAIMED PRENEED CONTRACT IS THE AMOUNT PAID BY THE7
	182	+	PURCHASER TO THE CONTRACT SELLER , LESS SELLING COSTS NOT TO8
	183	+	EXCEED FIFTEEN PERCENT OF THE TOTAL PRENEED CONTRACT PRICE ,9
	184	+	LIQUIDATED DAMAGES, AND CONTRACTUAL OFFSETS, AS AUTHORIZED BY10
	185	+	LAW.11
	186	+	(4) SUBSECTION (2)(a) OF THIS SECTION DOES NOT REQUIRE A12
	187	+	CONTRACT SELLER TO COMPARE THE CONTRACT SELLER'S RECORDS TO THE13
	188	+	UNITED STATES SOCIAL SECURITY ADMINISTRATION'S DEATH MASTER FILE.14
	189	+	SECTION 5. In Colorado Revised Statutes, 12-135-110, amend15
	190	+	(2)(b) as follows:16
	191	+	12-135-110. Registration required. (2) (b) Each funeral17
	192	+	establishment registration shall be renewed, according to a schedule18
	193	+	established by the director in accordance with section 12-20-202 (1), in19
	194	+	a form as determined by the director. A
	195	+	T THE TIME OF RENEWAL, EACH20
	196	+	FUNERAL ESTABLISHMENT SHALL ATTEST TO WHETHER THE FUNERAL21
	197	+	ESTABLISHMENT SELLS PRENEED CONTRACTS . THE DIRECTOR SHALL ENTER22
	198	+	INTO A MEMORANDUM OF UNDERSTANDING WITH THE COMMISSIONER OF23
	199	+	INSURANCE TO SHARE INFORMATION REGARDING FUNERAL24
	200	+	ESTABLISHMENTS THAT SELL PRENEED CONTRACTS .25
	201	+	SECTION 6. Appropriation. (1) For the 2022-23 state fiscal
	202	+	26
	203	+	year, $81,958 is appropriated to the department of regulatory agencies for27
	204	+	1228
	205	+	-6- use by the division of insurance. This appropriation is from the division1
	206	+	of insurance cash fund created in section 10-1-103 (3), C.R.S. To2
	207	+	implement this act, the division may use this appropriation as follows:3
	208	+	(a) $74,543 for personal services, which amount is based on an4
	209	+	assumption that the division will require an additional 0.9 FTE; and5
	210	+	(b) $7,415 for operating expenses.6
	211	+	SECTION 7. Act subject to petition - effective date. This act7
	212	+	takes effect at 12:01 a.m. on the day following the expiration of the8
	213	+	ninety-day period after final adjournment of the general assembly; except9
	214	+	that, if a referendum petition is filed pursuant to section 1 (3) of article V10
	215	+	of the state constitution against this act or an item, section, or part of this11
	216	+	act within such period, then the act, item, section, or part will not take12
	217	+	effect unless approved by the people at the general election to be held in13
	218	+	November 2022 and, in such case, will take effect on the date of the14
	219	+	official declaration of the vote thereon by the governor.15
	220	+	1228
	221	+	-7-