Virginia Senate Bill SB183

Virginia 2022 Regular Session

• Introduced: 1/10/22
• Refer: 1/10/22
• Report Pass: 1/19/22
• Engrossed: 1/24/22
• Refer: 2/23/22
• Report Pass: 3/1/22
• Enrolled: 3/9/22
• Chaptered: 4/7/22
• Passed: 4/7/22

Caption

Cemetery Board; appointment of receiver upon revocation or surrender of license to operate cemetery.

Impact

The amendment to §54.1-2313.1 of the Code of Virginia places greater accountability on cemetery businesses by allowing the Board to intervene when a licensee is suspected of mishandling funds. This could significantly impact how cemetery companies operate, enhancing consumer protection by ensuring that funds are properly managed and that consumers' pre-need burial arrangements are honored. It essentially strengthens the regulatory framework governing these companies, with a focus on transparency and accountability in financial practices.

Summary

Senate Bill 183 aims to amend the existing legislation regarding the operation of cemetery companies in Virginia, particularly addressing the regulation of preneed burial and perpetual care trust funds. The bill empowers the Cemetery Board to take action, including the appointment of a receiver, in cases where there are concerns about a licensee's ability to manage these funds. This is intended to safeguard the interests of individuals who prepay for burial services and ensure compliance with the relevant laws and regulations associated with cemetery operations.

Sentiment

The sentiment around SB183 appears to be broadly supportive, particularly from consumer advocacy groups and those concerned about the management of public interests in cemetery services. The provision for appointing a receiver is seen as a proactive measure to protect consumers, ensuring that their rights are not compromised. However, there may be some opposition from cemetery companies who might view increased regulations as burdensome or costly. Overall, the bill reflects a growing acknowledgement of the importance of consumer protection in this sector.

Contention

One of the notable points of contention surrounding SB183 is the balance between regulatory oversight and the operational freedom of cemetery companies. Critics may argue that too much regulation could stifle business operations or impose additional costs, while supporters emphasize the necessity of such measures to protect consumers. The discussions highlight the tension between ensuring adequate consumer protections and maintaining a viable business environment for cemetery services, particularly in light of public trust concerns related to financial management.