Bill > HB1619

This bill amends the Cemetery Care Act to introduce new provisions for managing cemetery care funds, focusing on how these funds can be invested and distributed. The bill defines new terms like "average fair market value" (the average of an asset's fair market values over multiple years), "total return percentage" (an annual percentage between 3-5% selected by the fund's trustee), and "net income" (which can be either ordinary income from interest and dividends or a total return distribution). The bill allows cemetery authorities to establish a master trust fund for collective investment and provides them with two options for taking distributions from their fund: ordinary income or total return distribution. Cemetery authorities wishing to use the total return distribution method must submit an application to the Comptroller at least 120 days before implementation, providing details about their investment policy, trust agreement, and distribution strategy. The bill also introduces oversight mechanisms, giving the Comptroller authority to take corrective measures if the fund's value declines significantly or if certain financial conditions are not met. Additionally, the bill provides a mechanism for handling cemeteries that are abandoned or seeking dissolution, allowing a circuit court to order a willing local municipality to take over the cemetery if no receiver is available. The changes are designed to provide more flexibility in managing cemetery care funds while maintaining financial oversight and protecting the long-term maintenance of cemeteries.

Business and Industry

https://www.ilga.gov/legislation/BillStatus.asp?DocNum=1619&GAID=18&DocTypeID=HB&SessionID=114&GA=104