84R8550 SCL-F By: Eltife S.B. No. 656 A BILL TO BE ENTITLED AN ACT relating to perpetual care cemeteries. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subchapter B, Chapter 712, Health and Safety Code, is amended by adding Section 712.020 to read as follows: Sec. 712.020. CONFLICT WITH OTHER LAW. To the extent of any conflict between this subchapter and Subtitle B, Title 9, Property Code, this subchapter controls. SECTION 2. Section 712.021(b), Health and Safety Code, is amended to read as follows: (b) Except as provided by Section 712.0255, the [The] principal of the fund may not be reduced voluntarily, and it must remain inviolable. The trustee shall maintain the principal of the fund separate from all operating funds of the corporation. SECTION 3. Subchapter B, Chapter 712, Health and Safety Code, is amended by adding Section 712.0255 to read as follows: Sec. 712.0255. JUDICIAL MODIFICATION OR TERMINATION OF FUND. (a) The commissioner may petition a court to modify or terminate a fund under Section 112.054, Property Code. In addition to the grounds described by that section, the commissioner may petition a court under that section if the income from the fund is inadequate to maintain, repair, and care for the perpetual care cemetery and another source for providing additional contributions to the fund is unavailable. (b) If feasible, the corporation for the perpetual care cemetery and the trustee of the fund are necessary parties to an action described by this section. A court may not modify or terminate the fund without the consent of the commissioner. (c) At the request or with the consent of the commissioner, the court may order the distribution and transfer of all or a portion of the assets in the fund to a nonprofit corporation, municipality, county, or other appropriate person who is willing to accept, continue to care for, and maintain the perpetual care cemetery. A transfer under this subsection does not limit the court's ability to modify or terminate the fund under an action described by this section. SECTION 4. Section 712.0441(d), Health and Safety Code, is amended to read as follows: (d) In addition to any penalty that may be imposed under Subsection (a), the commissioner may bring a civil action against a person [corporation] to enjoin a violation described in Subsection (a) that has not been corrected within 30 days after the receipt by the person [corporation] of written notice from the commissioner of the violation. Any such civil action may be brought in a [the] district court of Travis County or a [the] county in which the [corporation's] perpetual care cemetery is operated. SECTION 5. Section 712.0444, Health and Safety Code, is amended by adding Subsections (a-1) and (d) and amending Subsections (b) and (c) to read as follows: (a-1) An emergency order must: (1) state the grounds on which the order is granted; (2) advise the person against whom the order is directed that the order takes effect immediately; (3) to the extent applicable, require the person to: (A) immediately cease and desist from the conduct or violation that is the basis of the order; or (B) take the affirmative action stated in the order as necessary to correct a condition resulting from the conduct or violation that is the basis of the order or as otherwise appropriate; (4) be delivered by personal delivery or sent by certified mail, return receipt requested, to the person at the person's last known address; and (5) notify the person against whom the order is directed that the person may request a hearing on the order by filing a written request for a hearing with the commissioner not later than the 18th day after the date the order is delivered or mailed, whichever is earlier. (b) The emergency order takes effect as soon as the person against whom the order is directed has actual or constructive knowledge of the issuance of the order. An emergency order remains in effect unless stayed by the commissioner. (c) The person named in the emergency order may request in writing, not later than the 18th day after the date the order is delivered or mailed, whichever is earlier, a hearing to show that the emergency order should be stayed. On receipt of the request, the commissioner shall set a time for the hearing not later than the 21st day after the date the commissioner received the request, unless extended at the request of the person named in the order. (d) Unless the commissioner receives a written request for a hearing in accordance with Subsection (c), the order is final on the 19th day after the date the order is delivered or mailed, whichever is earlier, and may not be appealed. SECTION 6. This Act takes effect immediately if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution. If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2015.