HOUSE BILL REPORT

SHB 450

BYHouse Committee on State Government (originally sponsored by Representatives H. Sommers and B. Williams; by request of  Governor Gardner)

Revising and reorganizing laws pertaining to the cemetery board.

House Committe on State Government

Majority Report:     The substitute bill be substituted therefor and the substitute bill do pass.  (9)

     Signed by Representatives H. Sommers, Chair; Peery, Vice Chair; Baugher, Chandler, Hankins, O'Brien, Sayan, Taylor and Walk.

House Staff:Pam Madson (786-7135)

AS PASSED HOUSE MARCH 4, 1987

BACKGROUND:

The Cemetery Board, created in 1953, consists of six members appointed by the governor and serving staggered four-year terms. The board employs one staff person, who is exempt from civil service.

The board is responsible for administering and enforcing laws pertaining to cemeteries, morgues and human remains.  It issues certificates of authority and has substantial oversight and monitoring responsibility for cemetery trust funds and reports (it examines pre-arrangement trust and endowment care funds and receives and examines annual reports from each cemetery authority).  The board sets an annual regulatory charge for cemeteries authorities that is limited in statute.

The board has the authority to hold disciplinary hearings, administer oaths, and refer evidence regarding violations of its rules or state law to the attorney general or the appropriate prosecuting attorney for prosecution.

The Legislative Budget Committee has conducted a sunset review of the Cemetery Board and included recommendations that: (1) the Cemetery Board should continue as currently constituted, however, if placed within another agency, it should retain its organizational identity; (2) enabling legislation should be amended to provide for greater administrative authority to protect trust funds; and (3) the board should increase its range of disciplinary options.

SUMMARY:

Transferring the Cemetery Board to the Department of Licensing.  Administrative functions of the Cemetery Board are transferred to the Department of Licensing.  The department provides staff for the board (the authority of the board to employ staff is deleted), and sets all fees and charges.

The board retains its current policy-making character.  It will continue to adopt rules, investigate complaints, grant or deny permits and licenses, and impose penalties and sanctions and take other corrective action.

Restructuring the Statutory Title Relating To Cemeteries.  All functions over which the board has jurisdiction are collected into one chapter that deals with the board's operations.  Subject matter of the title is reorganized.

The board has added authority to protect trust funds by allowing the board to immediately seize funds that are in jeopardy.  Criminal penalties and consumer protection remedies now cover any violation of this title.

Fiscal Note:    Attached.

Effective Date:The bill contains an emergency clause and takes effect on July 1, 1987.

House Committee ‑ Testified For:     Paul Elvig, Cemetery Board; Fred Hellberg, Office of the Governor; Theresa Aragon, Department of Licensing; Mark Allen, Washington Interment Association; and Margaret Casey, Washington State Catholic Conference (primarily for).

House Committee - Testified Against: Margaret Casey, Washington State Catholic Conference (partly opposed).

House Committee - Testimony For:     Placement of the Cemetery Board's administrative functions with the Department of Licensing allows the board to access an expanded administrative capability of a larger department.  It will enhance coordination with other related regulatory functions.  Placement of the board's headquarters in Olympia will bring the board into compliance with constitutional provisions.  By placing religious nonprofit cemeteries under regulation of the board, it can, through auditing reports, keep better track of cemeteries' financial conditions and offer assistance to religious cemeteries when requested .

House Committee - Testimony Against: Placing religious nonprofit cemeteries under regulation of the Cemetery Board will put limitations on the future involvement of the Catholic Church in its own ministry.