SECONDREGULARSESSION
HOUSEBILLNO.2143
101STGENERALASSEMBLY
INTRODUCEDBYREPRESENTATIVEKALBERLOH.
4491H.01I DANARADEMANMILLER,ChiefClerk
ANACT
Torepealsection214.160,RSMo,andtoenactinlieuthereofonenewsectionrelatingto
cemeterytrustfunds.
BeitenactedbytheGeneralAssemblyofthestateofMissouri,asfollows:
SectionA.Section214.160,RSMo,isrepealedandonenewsectionenactedinlieu
2thereof,tobeknownassection214.160,toreadasfollows:
214.160.1.Undersections214.140to214.180,andasotherwisenotprohibited
2underArticleVI,Section23oftheConstitutionofMissouri,thecountycommissionmay
3investorloansaidtrustfundorfundsinUnitedStatesgovernment,state,countyormunicipal
4bonds,certificatesofdeposit,firstrealestatemortgages,ordeedsoftrustandmayutilize
5investmentmanagerstoinvest,reinvest,andmanageassets,subjecttotheterms,conditions,
6andlimitationsprovidedinthissectionandArticleIV,Section15oftheConstitutionof
7Missouri.[They] Whensufficient,thecommissionshallusethenetincomefromsaidtrust
8fundorfundsorsuchinvestmentsorsomuchthereofasisnecessarytosupportandmaintain
9andbeautifyanypublicorprivatecemeteryoranyparticularpartthereofwhichmaybe
10designatedbytheperson,personsorfirmorassociationmakingsaidgiftorbequest.Ifthe
11netincomefromsaidtrustfundorfundsisnotsufficienttosupportandmaintainand
12beautifyacemetery,thecommissionmayonlyuseasmuchoftheprincipalthereofas
13thecommissiondeemsnecessaryforthepurposeofthebasicmaintenancetocontrolthe
14growthofgrassandweeds.Inmaintainingorsupportingthecemeteryoranyparticularpart
15orportionthereofthecommissionshallasnearlyaspossiblefollowtheexpressedwishesof
16thecreatorofsaidtrustfund.
EXPLANATION—Matterenclosedinbold-facedbrackets[thus] intheabovebillisnotenactedandis
intendedtobeomittedfromthelaw.Matterinbold-facetypeintheabovebillisproposedlanguage. 17 2.Aninvestmentmanagershalldischargehisorherdutiesintheinterestofthepublic
18orprivatecemeteryandtheinterestoftheperson,persons,orfirmmakingthegiftorbequest
19andshall:
20 (1)Actwiththesamecare,skill,prudence,anddiligenceunderthecircumstances
21thenprevailingthataprudentpersonactinginasimilarcapacityandfamiliarwiththose
22matterswoulduseintheconductofasimilarenterprisewithsimilaraims;
23 (2)Actwithdueregardforthemanagement,reputation,andstabilityoftheissuerand
24thecharacteroftheparticularinvestmentsbeingconsidered;
25 (3)Makeinvestmentsforthepurposeofsupporting,maintaining,andbeautifyingany
26publicorprivatecemeteryoranyparticularpartthereof,whichmaybedesignatedbythe
27person,persons,orfirmorassociationmakingsaidgiftorbequest,andofdefraying
28reasonableexpensesofinvestingtheassets;
29 (4)Giveappropriateconsiderationtothosefactsandcircumstancesthatthe
30investmentfiduciaryknowsorshouldknowarerelevanttotheparticularinvestmentor
31investmentcourseofactioninvolved,includingtheroletheinvestmentorinvestmentcourse
32ofactionplaysinthatportionoftheinvestmentsforwhichtheinvestmentfiduciaryhas
33responsibility.Forpurposesofthissubdivision,"appropriateconsideration"shallinclude,but
34isnotlimitedto,adeterminationbytheinvestmentfiduciarythataparticularinvestmentor
35investmentcourseofactionisreasonablydesignedtofurtherthepurposesofsupporting,
36maintaining,andbeautifyinganypublicorprivatecemeteryoranyparticularpartthereof,
37whichmaybedesignatedbytheperson,persons,orfirmorassociationmakingsaidgiftor
38bequest,whileconsideringtheriskoflossandtheopportunityforgainorotherreturn
39associatedwiththeinvestmentorinvestmentcourseofactionandconsideringthefollowing
40factorsastheyrelatetotheinvestmentorinvestmentcourseofaction:
41 (a)Thediversificationoftheinvestments;
42 (b)Theliquidityandcurrentreturnoftheinvestmentsrelativetotheanticipatedcash
43flowrequirements;and
44 (c)Theprojectedreturnoftheinvestmentsrelativetothefundingobjectives;and
45 (5)Giveappropriateconsiderationtoinvestmentsthatwouldenhancethegeneral
46welfareofthisstateanditscitizensifthoseinvestmentsofferthesafetyandrateofreturn
47comparabletootherinvestmentsavailabletotheinvestmentfiduciaryatthetimethe
48investmentdecisionismade.
49 3.Asusedinthissection,"invest"or"investment"meansutilizationofmoneysinthe
50expectationoffuturereturnsintheformofincomeorcapitalgain.
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