The original instrument was prepared by Michelle D. Ridge. The following digest,
which does not constitute a part of the legislative instrument, was prepared by Cathy
Wells.
DIGEST
SB 540 Reengrossed 2018 Regular Session Riser
Present law provides for the establishment of a trust fund for a perpetual or endowed care cemetery.
Proposed law provides for the creation of a master trust fund for the purposes of collective
investment and administration.
Proposed law provides that with the written consent of each participant in a master trust fund, a
designated trustee of two or more trust funds may apply to the board to establish a master trust fund
in which deposits are made pursuant to law.
Proposed law provides that the master trust fund shall be subject to the following requirements:
(1)It shall include only trust funds with a principal balance of less than $250,000. Provides that
if a trust fund has a principal sum exceeding $250,000 at the end of a reporting period, such
trust fund shall be removed from the master trust fund within 90 days.
(2)The designated trustee of a master trust fund shall maintain separate records of principal and
income for each participant in the master trust fund.
(3)The income and associated expenses of the master trust fund shall be divided among the
participants in the master trust fund based on the proportion that each participant contributes
to the balance of the master trust fund.
(4) The annual report by the designated trustee of the master trust fund shall include an itemized
separate accounting for each participant in the master trust fund.
(5)The operation of the master trust fund shall be subject to the provisions of Title 8 of the
Louisiana Revised Statutes of 1950 and the rules and regulations of the board.
Present law provides that a trustee shall file with the La. Cemetery Board (board), with a copy to the
clerk of the district court for the parish in which the cemetery is located, an annual report and final
accounting showing in detail all receipts and disbursements of cash and all receipts and deliveries
of other trust property.
Proposed law removes the requirement that the trustee provide a copy of the annual report and the
final accounting to the clerk of the district court for the parish in which the cemetery is located.
Proposed law provides that the annual report and the final accounting shall be open for public inspection and upon request, a copy of the annual report and final accounting shall be made
available.
Present law provides that any cemetery in existence on August 1, 1962, which, prior to such date,
sold or contracted to sell interment spaces with a provision for perpetual or endowed care, qualifies
for the exceptions, if the owner of said cemetery filed in the office of the recorder of mortgages for
the parish in which said cemetery is located, a sworn affidavit executed by said owner, or its
principal officer, setting forth certain information.
Present law provides that a like affidavit shall be filed at the end of each fiscal year thereafter for the
operation of such cemetery.
Proposed law requires the like affidavit be filed with the board.
Effective upon signature of the governor or lapse of time for gubernatorial action.
(Amends R.S. 8:454, 8:456(A)(1)(intro para), 456(B), and 457(B); adds R.S. 8:454(C) and 456(C))
Summary of Amendments Adopted by Senate
Committee Amendments Proposed by Senate Committee on Commerce, Consumer
Protection, and International Affairs to the original bill
1. Provides that the annual report and final accounting shall be open for public
inspection, and upon request, a copy of such information shall be made available.
Senate Floor Amendments to engrossed bill
1. Adds clarifying language relative to inspection of annual report and final accounting.
2. Legislative Bureau amendments.