89R15998 EAS-D By: Smithee H.B. No. 4774 A BILL TO BE ENTITLED AN ACT relating to the administration of perpetual care trust funds for capital improvements at perpetual care cemeteries. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 712.025, Health and Safety Code, is amended to read as follows: Sec. 712.025. USE OF FUND DISTRIBUTIONS. (a) Except as provided by Subsection (b), fund [Fund] distributions may be used only to provide the perpetual care described by the instrument that established the fund, including the general care and maintenance of the property entitled to perpetual care in the perpetual care cemetery. (b) The corporation for the perpetual care cemetery may petition the district court in the county in which the perpetual care cemetery is located to use fund distributions for making capital improvements to the perpetual care cemetery. The court may grant the petition on a showing that: (1) the use of the fund distributions for the proposed capital improvements will not adversely affect the perpetual care cemetery's ability to provide perpetual care; and (2) the proposed capital improvements are in the best interest of the perpetual care cemetery and the families of those who are buried in the perpetual care cemetery who benefit from the cemetery's perpetual care. SECTION 2. This Act takes effect September 1, 2025.