PROPOSED RULES
(Board of Funeral Directors and Embalmers)
Original Notice.
Preproposal statement of inquiry was filed as WSR 02-03-087.
Title of Rule: To amend existing rules, adopt uniform rules concerning cremation, and to adopt new rules concerning board policy.
Purpose: To amend existing rules for clarity; bring terminology in line with industry standards; to adopt uniform rules concerning cremation of human remains for consistency between the funeral and cemetery boards; and to bring existing board policy into rule.
Statutory Authority for Adoption: RCW 18.39.175.
Statute Being Implemented: Chapter 18.39 RCW.
Summary: The rules being established, amended, or repealed will update the rules governing the funeral service industry in accordance with the governor's directive requiring periodic rule review. See proposed and amended rules shown below.
Name of Agency Personnel Responsible for Drafting, Implementation and Enforcement: Dennis McPhee, Department of Licensing, 405 Black Lake Boulevard, Olympia, WA, (360) 664-1555.
Name of Proponent: Board of Funeral Directors and Embalmers, governmental.
Rule is not necessitated by federal law, federal or state court decision.
Explanation of Rule, its Purpose, and Anticipated Effects: To clarify definitions; establish accountability for the conduct of others; amend embalming and preparation room standards. Amend rules concerning control of human remains; confidential information; concealment of a crime; inspections of funeral establishments and crematories; board approval of embalming schools and accrediting associations; renewal of licenses, registrations, endorsements or permits; apprenticeship registration and reporting; establishment licensure; AIDS prevention and education requirements; effective date of continuing education requirement; procedure for obtaining approval of continuing education; and to adopt uniform rules of procedure for cremation.
WAC 308-48-070 and 308-48-100 will be repealed.
Proposal Changes the Following Existing Rules: See copies of rule changes and new rules shown below.
No small business economic impact statement has been prepared under chapter 19.85 RCW. The Board of Funeral Directors and Embalmers has determined there will be no impact on small business as a result of these rules.
RCW 34.05.328 does not apply to this rule adoption.
Hearing Location: Holiday Inn (Ballroom "A"), 1 South Grady Way, Renton, WA 98055, on September 5, 2002, at 11:30 a.m.
Assistance for Persons with Disabilities: Contact Dennis McPhee by telephone TDD (360) 586-2788, or (360) 664-1555.
Submit Written Comments to: Dennis McPhee, Program Manager, Funeral and Cemetery Unit, P.O. Box 9012, Olympia, WA 98507-9012, fax (360) 586-4414, by September 4, 2002.
Date of Intended Adoption: September 5, 2002.
June 27, 2002
Jon Donnellan
Administrator
OTS-5462.3
RULES OF PROCEDURE FOR CREMATION
(2) "Crematory" the building or area of a building that houses a cremation chamber, to be used for the cremation of human remains.
(3) "Crematory authority or endorsement" the legal entity and their authorized representatives, licensed to perform cremations.
(4) "Cremation chamber" means the enclosed space in a crematory in which the cremation process takes place.
(5) "Cremation" means the reduction of human remains to bone fragments, in a crematory, by means of incineration.
(6) "Cremated human remains" means the end products of cremation.
(7) "Pulverization" is the reduction of identifiable bone fragments to unidentifiable dimensions by manual or mechanical means following cremation.
(8) "Processing" is the removal of foreign objects from cremated human remains and may include pulverization.
(9) "Cremation container" means the container in which the human remains must be enclosed before being placed in the cremation chamber for cremation. A cremation container must:
• Be composed of a combustible material. If the remains are delivered to a crematory in a noncombustible container, the authorizing agent must be informed of the disposition of the container, if the container is not actually used in the cremation process. Any transfer of human remains to combustible containers at the crematory must be in accordance with chapter 18.39 RCW, Title 308 WAC, and applicable public health laws.
• Be rigid enough for placement into the cremation chamber.
• Assure protection to the health and safety of the crematory operators and others.
• Provide a proper covering for the human remains.
• Be resistant to leakage or spillage of body fluids.
(10) "Sealable container" means any container in which cremated human remains can be placed and closed to prevent leakage or spillage of cremated human remains.
(11) "Holding facility" means an area designated for the care, storage and holding of human remains prior to disposition. A holding facility must:
• Comply with any applicable public health laws.
• Preserve the dignity of the human remains.
• Recognize the personal integrity, health and safety of employees and others.
• Be secure from access by anyone other than authorized personnel.
(12) "Human remains" means the body of a deceased person.
(13) "Cadaver" means the body of a deceased person, or any part thereof, which has been donated to science for medical research purposes.
(14) "Body parts" means limbs and other portions of human anatomy that have been removed from a person or human remains for medical purposes during treatment, surgery, biopsy, autopsy or medical research.
(15) "Commingling" means the mixing of cremated human remains of more than one deceased person.
(16) "Residue" means the cremation products that may unavoidably remain in the cremation chamber after manual sweeping techniques are performed.
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• Name of deceased.
• Date of death.
• Place of death.
• Name and relationship of authorizing agent.
• Name of firm engaging crematory services.
• Description of the cremation container to be consumed with the human remains.
• An identification number assigned each human remains and inscribed on a metal disc or metal tag. The metal identification disc or tag must identify the crematory and accompany the human remains through each phase of the cremation, processing and packaging. The disc or tag identification number must be recorded on all paperwork regarding a human remains and in the crematory log.
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(2) A crematory must not accept human remains in a cremation container having evidence of body fluid leakage.
(3) Human remains that are not embalmed must be held only within a refrigerated facility of adequate capacity, with a maximum temperature of 48 degrees Fahrenheit, or in compliance with applicable public health regulations.
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(2) Immediately prior to being placed within the cremation chamber, the identification of the human remains must be verified by the crematory operator. Appropriate identification of the human remains will be placed near the cremation chamber in such a way as to identify the human remains being cremated. The metal identification disc or metal tag must be placed in the cremation chamber with the human remains.
(3) Simultaneous cremation of more than one human remains within the same cremation chamber is not permitted, unless written authorization is obtained from the authorizing agent of each human remains to be cremated simultaneously. Such written authorization will exempt the crematory from all liability for commingling the products of the cremation process.
(4) Simultaneous cremation of more than one human remains within the same cremation chamber may be performed without the authorizations required in subsection (3) of this section, if:
• Equipment, techniques, and other devices are employed that keep the human remains separate and distinct, before and during the cremation process.
• Recoverable cremated remains are kept separate and distinct after the cremation process.
(5) Crematories licensed by the state cemetery board or the board of funeral directors and embalmers, will only be used for the cremation of human remains, cadavers, or human body parts.
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(2) The cremation products must be placed within an individual container or tray in such a way that will insure against commingling with other cremated human remains.
(3) Identification must be attached to the container or tray.
(4) All cremated human remains must undergo processing to comply with applicable legal requirements.
(5) Processing or pulverization of cremated human remains may not be required if cremated human remains are to be placed in a cemetery, mausoleum, columbarium, or building devoted exclusively to religious purposes, or where religious or cultural beliefs oppose the practice.
(6) All body prostheses, bridgework, or similar items removed from the cremated human remains during processing will be disposed of by the crematory, as directed by the authorizing agent.
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(2) The packaged cremated human remains will be identified. The metal identification disc or metal tag must stay with the cremated human remains.
(3) If the cremated human remains do not completely fill the container, the remaining space may be filled with suitable packing material. The container must then be securely closed.
(4) If the entire cremated human remains will not fit within the designated container, the remainder of the cremated human remains must be returned to the authorizing agent in a second container, clearly identified as being part of, and together with, the designated container. Upon written consent of the authorizing agent, excess cremated human remains may be disposed of in any legal manner.
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• Date of death.
• Date burial transit permit was issued.
• Date of delivery of human remains to the crematory.
• Date of cremation.
• Name of crematory operator performing the cremation.
• Name of person performing packaging, and date of packaging.
• Date of release or date of disposition of the cremated human remains.
(2) When cremated human remains have been in the possession of a crematory, funeral establishment or cemetery for a period of two years or more, the entity holding the cremated human remains may arrange for disposition in any legal manner, provided the entity:
• Attempts to contact the authorizing agent for disposition instructions by registered mail.
• Informs the authorizing agent(s) of the procedures that will be followed if disposition instructions are not received.
• Informs the authorizing agent(s) that disposition will take place if disposition instructions are not received within sixty days of initiation of the contact process.
• Informs the authorizing agent(s) that recovery of the cremated human remains, after the disposition, may or may not be possible.
• Maintains a permanent record of the location of the disposition.
(3) No entity making disposition of cremated human remains under subsection (2) of this section will be liable for the disposition or nonrecoverability of cremated human remains.
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OTS-5460.2
AMENDATORY SECTION(Amending Order PM 604, filed 7/11/86)
WAC 308-48-010
Definitions.
For the purpose of these
rules, the following terms ((shall)) will be construed ((in the
following manner)) as follows:
(1) (("Funeral director," "embalmer," and "funeral
establishment" shall have the same meaning as provided in RCW 18.39.010.
(2) "Board" shall mean the state board of funeral directors and embalmers.
(3))) "Licensee" ((shall)) will mean any person or entity
holding a license, registration, endorsement, or permit issued by
the director.
(((4))) (2) "In its employ" as used in RCW 18.39.148
((shall)) will include personnel who are employed on a part-time
basis as well as personnel who are employed on a full-time basis.
((Any prohibition in these rules and regulations stated as
against a licensee or apprentice shall be taken and treated as a
prohibition against such action by the licensee or apprentice in
his own proper person, directly or indirectly, or by agent,
servant, employee or associate, or through any person, firm or
corporation, and as a prohibition against such action known and
permitted by him and operating or tending to operate for his
benefit from whatever source.))
[Statutory Authority: RCW 18.39.175(4). 86-15-022 (Order PM 604), § 308-48-010, filed 7/11/86. Statutory Authority: RCW 18.39.175. 83-04-020 (Order PL 419), § 308-48-010, filed 1/26/83; Rule 1, filed 9/17/64.]
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(1) Have an exclusive area/office at an identified location for conducting the business which is accessible to the public.
(2) Provide private and secure area(s) for holding human remains which will include:
(a) A refrigerated holding area of adequate capacity for unembalmed remains with a maximum temperature of 48 degrees Fahrenheit;
(b) A sink with hot and cold running water;
(c) Covered receptacles for soiled linens, bandages, refuse and other waste materials which meet OSHA, WISHA, department of health and any other applicable regulations;
(d) Adequate chemicals for the disinfection of human remains and the equipment used in handling and caring for human remains;
(e) Chemical storage that meets OSHA, WISHA, department of health and any other applicable regulations.
(3) Provide rest rooms that are available for staff and the public.
(4) In the case where the holding of human remains is not provided at this facility, provide the identification of the facility upon request to the board and the individual or individuals that has/have the right to control the disposition of the human remains where this establishment or branch provides for the holding and/or preparation of the human remains entrusted to its care (this off-site facility must meet the requirements of subsection (2) of this section).
(5) Provide for the privacy of uncasketed human remains in vehicles used for transportation of the remains by screening, curtains, or adequately tinted windows.
(6) Provide that if embalming is performed at the establishment or branch, no embalming of a human remains shall be performed in a funeral establishment or branch establishment except in a room set aside exclusively for embalming of a human remains. Such room shall be maintained and kept in a clean sanitary condition, and every embalming and preparation room shall be constructed, equipped, and maintained as follows:
(a) The surfaces of the floor, walls, and ceiling shall be covered with tile or other hard, smooth, impervious washable material.
(b) The room shall be adequately lighted and adequately
ventilated. The ventilation shall be provided by an exhaust fan
or by an appropriate air-conditioning unit ((which will
completely remove objectionable fumes)).
(c) The room shall be equipped and provided with hot and cold running water, a utility sink, and cabinets, closets or shelves for instruments and supplies.
(d) The room shall be equipped with adequate sewage and waste disposal and drainage facilities and systems.
(e) The doors shall be tight closing and rigid and any
windows of the room shall be so maintained as to obstruct any
view into such room. The room's entry door(s) must be labeled
"Private" or "Authorized Entry Only((.))", and must be locked at
all times.
(f) The embalming or preparation table shall be nonporous.
(g) The room shall be equipped with proper and convenient
covered receptacles for refuse((, bandages, cotton, and other
waste materials)).
[Statutory Authority: RCW 18.39.175(4). 97-21-060, § 308-48-031, filed 10/14/97, effective 11/14/97. Statutory Authority: RCW 18.39.157(4) [18.39.175(4)]. 88-08-015 (Order PM 716), § 308-48-031, filed 3/28/88.]
(2) A licensee in charge of ((a dead body shall)) human
remains will be governed by the directions of those lawfully
entitled to such control ((as aforesaid)), as to matters relating
to the preparation, handling and final ((disposal of such body))
disposition of the human remains (including steps in preparation,
autopsy, embalming, dressing, viewing, videotaping,
photographing; ((type of clothing, casket, box or vault;
cremation; time, place, type and manner of funeral ceremonies and
burial or other customary disposal) insofar as public health and
laws will permit.
(3) Whenever any dead human body shall have been in the lawful possession of any person, firm, corporation or association for a period of one year or more, or whenever the cremated remains of any dead human body have been in the lawful possession of any person, firm, corporation or association for a period of two years or more, upon submission of evidence to the effect that such person, firm, corporation or association has made unsuccessful efforts to have the person or persons responsible for the remains, provide for disposition of same, special permits for such disposition may be secured from the state department of health)) funeral, burial and cremation merchandise, and disposition arrangements.
[Rule 4, filed 9/17/64.]
[Rule 5, filed 9/17/64.]
(2) Any licensee ((or apprentice)) having or obtaining, as a
result of ((his)) providing services, any information in relation
to a possible crime ((shall forthwith)) must communicate such
information to a ((proper law-enforcement officer)) properly
qualified official.
(3) No licensee ((or apprentice shall do)) will perform any
act knowing that it will conceal evidence of crime.
(((4) No embalmer or apprentice embalmer shall knowingly use
any fluid or compound which is in violation of federal or state
law, in the embalming of a dead body.))
[Statutory Authority: RCW 18.39.175(4). 86-15-022 (Order PM 604), § 308-48-060, filed 7/11/86; Rule 6, filed 9/17/64.]
(2) Inspections shall cover ((the areas of sanitation and
public health as well as conformity)) compliance with applicable
statutes and rules. Funeral establishments and crematories will
be open for inspection during normal business hours. If the
establishment or crematory is not open, the ownership must
identify someone to the department that can open the
establishment or crematory for an unannounced inspection, or
provide a method of access to the inspector.
[Statutory Authority: RCW 18.39.157(4) [18.39.175(4)]. 88-08-015 (Order PM 716), § 308-48-085, filed 3/28/88; Order PL 273, § 308-48-085, filed 8/1/77.]
(2) The board((, in approving)) approves associations
accrediting schools, colleges or universities providing a
two-year college course pursuant to RCW 18.39.045((,)). The
board approves of accrediting groups recognized by the Council
((on Postsecondary)) for Higher Education Accreditation
(((COPA))). The board adopts the standards of ((COPA relevant to
the recognition of accrediting groups as of May 15, 1982 and
approves all and only those groups recognized and in good
standing with COPA pursuant to those standards or as subsequently
revised, and approved by the board)) the Council for Higher
Education Accreditation.
The board may approve other accrediting associations which
((apply for the board's approval and which)) meet the board's
standards ((to the board's satisfaction may be approved, but)).
It is the responsibility of an association to apply for approval
and of an applicant to ascertain whether or not a school, college
or university has been accredited by an association approved by
the board.
(((3) In both (1) and (2), the board reserves the right to
withdraw approval of any course of instruction in an embalming
school or any association accrediting a school, college or
university providing a two-year college course which ceases to
meet the approval of the board and/or the American Board of
Funeral Service Education, Inc. or COPA.))
[Statutory Authority: RCW 18.39.175(4), 18.39.035(2) and 18.39.045. 84-11-059 (Order PL 468), § 308-48-145, filed 5/18/84.]
(((b) Individuals making application for initial license
with the state of Washington and under the reciprocity
regulations, provided they meet all such requirements, will be
issued a license, to expire on their next birth anniversary
date.))
(2) ((After the initial conversion to a staggered system,
licensees may)) Funeral establishments, branch establishments,
prearrangement sales licenses, and crematories must renew their
licenses((, at the annual renewal fee rate, for one year, from
birth anniversary date to next birth anniversary date)) annually.
(3) ((Under the staggered license renewal system, the late
payment penalty provision will be applied as follows:
(a))) Before the expiration date of the ((individual's))
license, the director ((shall)) will mail a notice ((for)) of
renewal ((of license to every person holding a current license)).
The licensee must return such notice along with current renewal
fees prior to the expiration of ((said)) the license. ((Should
the licensee fail to renew his or her)) Failure to renew the
license prior to the expiration date((, then the individual is
subject to)) will require payment of the penalty fee.
[Order PL 207, § 308-48-180, filed 11/5/75; Order PL 171, § 308-48-180, filed 5/20/74.]
(2) ((A transfer of apprenticeship report shall be submitted
by the apprentice or his new employer to the director, department
of licensing, within thirty days of his hiring by a new
supervising employer. Such report is to be signed by the
apprentice and his new supervising employer. No apprenticeship
credit shall be allowed for period worked between the time of
transfer and the reporting of same unless such report is
submitted within the required thirty days of such transfer.)) No
credit for apprenticeship ((shall)) will be allowed for any
period during which the apprentice is not (([duly] [duty]))
registered pursuant to RCW 18.39.120((, except as provided for in
WAC 308-48-120)). In the event an apprentice's ((supervising
employer)) sponsor dies or is otherwise incapable of certifying
apprenticeship credit, such credit may be given by
((certification of the apprentice of credit due or by))
certification by another ((licensee)) licensed funeral director
or embalmer who has knowledge of the work performed and the
credit due((: Provided, That in either such case, documentation
or reasonable proof of such credit may be required by the
director)) or by documentation or reasonable proof of such credit
as determined by the board.
[Statutory Authority: RCW 18.39.120 and 18.39.175. 88-01-024 (Order PM 697), § 308-48-200, filed 12/9/87. Statutory Authority: RCW 18.39.175. 83-04-020 (Order PL 419), § 308-48-200, filed 1/26/83; Order PL-249, § 308-48-200, filed 5/21/76.]
(2) Branches of an establishment may operate under the general license of the establishment, pursuant to RCW 18.39.145 and 18.39.148 and the following terms and conditions:
(a) Branch(es) must operate under the same name as the
((general)) establishment.
(b) ((Branch(es) must be identified by location on the
general establishment license.
(c))) Branch(es) must display a ((duplicate of the general))
current branch license.
(((d))) (c) Branch(es) must have a licensed funeral director
and embalmer in its employ and available to provide any services
requiring the professional skills of a licensee.
(((e))) (d) The failure of a branch to meet the standards of
an establishment may result in cancellation of the ((entire
general)) establishment license, pursuant to RCW 18.39.148.
[Statutory Authority: RCW 18.39.175(4). 87-11-063 (Order PM 652), § 308-48-210, filed 5/20/87.]
(a) "Acquired immunodeficiency syndrome" or "AIDS" means the clinical syndrome of HIV-related illness as defined by the board of health by rule.
(b) "Office on AIDS" means that section within the department of social and health services or any successor department with jurisdiction over public health matters as defined in 70.24 RCW.
(2) ((Application for licensure or apprenticeship
registration. Effective January 1, 1990 persons applying for
licensure or apprenticeship registration shall submit evidence to
show compliance with the education requirements of subsection
(4).
(3))) Renewal of funeral director and/or embalmer licenses
or apprenticeship registrations((. Effective with the renewal
period beginning January 1, 1990, ending December 31, 1990)), and
all persons making initial application for funeral director
and/or embalmer licensure, or initial renewal ((or)) of funeral
director and/or embalmer apprenticeship registration ((shall))
must submit evidence to show compliance with the education
requirements of subsection (((4))) (3) of this section.
(((4))) (3) AIDS education and training.
(a) Acceptable education and training. The board will
accept education and training that is consistent with the model
curriculum available from the office on AIDS. Such education and
training ((shall)) must be a minimum of four and one half clock
hours and ((shall)) must include, but is not limited to, the
following: Prevention, transmission and treatment of AIDS.
(b) Implementation. ((Effective January 1, 1990,)) The
requirement for initial funeral director and/or embalmer
licensure, the first renewal of a funeral director and/or
embalmer apprenticeship registration, ((renewal,)) or
reinstatement of any license or apprenticeship registration on
lapsed, inactive, or disciplinary status ((shall)) will include
((completion of AIDS education and training. All persons
affected by this section shall show)) evidence of completion of
an education and training program, which meets the requirements
of subsection (a).
(c) Documentation. The applicant ((shall)) must:
(i) Certify, on forms provided, that the minimum education
and training has been completed ((after January 1, 1987));
(ii) Keep records for ((two)) five years documenting
attendance and description of the learning;
(iii) Be prepared to validate, through submission of these records, that attendance has taken place.
(((5))) (4) Continuing education. The AIDS education
requirement may be counted towards the fulfillment of the
continuing education requirement.
[Statutory Authority: RCW 70.24.270. 89-04-002 (Order PM 793), § 308-48-350, filed 1/19/89.]
(2) With respect to any individual, the regulation will become effective on the 1987 renewal or two years after initial licensure in this state, whichever is later.
(3) Acceptable courses taken after January 1, 1985 may be included in the first computation of continuing education hours necessary for renewal)) initial licensure as a funeral director and/or embalmer, or initial registration as an apprentice funeral director and/or embalmer.
[Statutory Authority: 1984 c 279 § 53(b). 85-01-077 (Order PL 504), § 308-48-520, filed 12/19/84.]
(2) The board may require examples of teaching materials and descriptive information about any continuing education activity and refuse approval of any continuing education activity that does not meet the qualifications.
(3) The board may monitor any approved activity and, upon a subsequent significant variation in the program, may disapprove any part of the credit hours.
(((4) The board may grant post approval or disapprove
participation in a nonapproved continuing education activity. If
participation in such activity is approved, the board may
consider and determine the number of hours of credit which shall
be given for such participation. The board may determine that
such nonapproved activities satisfy any, all, or none of the
requirements. A petition for credit under this post approval
subsection must be filed with the board within thirty days after
completion of the activity. Such petition shall include
documentation as the board may require. Failure to comply with
these provisions shall be sufficient grounds to refuse credit.))
[Statutory Authority: RCW 18.39.175(4). 91-20-071, § 308-48-600, filed 9/26/91, effective 10/27/91. Statutory Authority: 1984 c 279 § 53(b). 85-01-077 (Order PL 504), § 308-48-600, filed 12/19/84.]
The following sections of the Washington Administrative Code are repealed:
WAC 308-48-070 | Fraud and deceit. |
WAC 308-48-100 | Improper methods for seeking business. |
WAC 308-48-185 | Funeral establishments and crematories -- License expiration. |
WAC 308-48-700 | Definitions. |
WAC 308-48-710 | Identification of human remains. |
WAC 308-48-720 | Holding human remains for cremation. |
WAC 308-48-730 | Cremation of human remains. |
WAC 308-48-740 | Processing of cremated remains. |
WAC 308-48-750 | Packaging and storage of cremated or processed remains. |
WAC 308-48-760 | Disposition of cremated or processed remains. |
WAC 308-48-770 | Endorsement required. |
OTS-5461.1
AMENDATORY SECTION(Amending WSR 90-17-148, filed 8/22/90,
effective 9/22/90)
WAC 308-49-150
Prearrangement funeral service contract form
requirements.
(1) The terms of prearrangement funeral service
contracts are of substantial importance to both consumers and the
establishment.
Contracts ((therefore should)) must be written in language
that can be easily understood by all parties and printed or typed
in easily readable type size and style.
(2) Every ((contract shall)) prearrangement funeral service
contract must include the following information:
(a) The name of the purchaser and the beneficiary of the contract;
(b) A description of the services and merchandise to be
provided, if specific merchandise and services are to be
furnished, and a statement clearly setting forth whether the
purchase price ((paid)) fully pays for such services and
merchandise or if the purchase price is to be applied toward the
cost of such services and merchandise when they are provided;
(c) The total purchase price to be paid under the contract and the manner and terms which will govern payment;
(d) ((If a contract is to be funded through a prearrangement
funeral service trust fund it shall also include the following
information:
(i) That a prearrangement funeral service trust exists and of the amount to be deposited into the trust;
(ii) Identification of the trust to be used and information as to how the trustees may be contacted;
(iii) If the contract is revocable or not or if there are provisions to convert to an irrevocable status;
(iv) That all moneys paid are fully refundable if canceled by the purchaser within thirty days of signing;
(v) In the case of cancellation by purchaser or beneficiary after thirty days of signing that up to ten percent of the contract may be retained by the seller.)) That all funds placed in trust plus net accruals are subject to refund.
(((vi) That reasonable fees as set forth by statute for the
administration of the trust plus taxes paid or withheld shall be
deducted from the interest, dividends and increases that the
trust may earn.
(vii) That the board may terminate a contract if the establishment goes out of business, becomes insolvent or bankrupt, makes an assignment for the benefit of creditors, has its prearrangement funeral service certificate of registration revoked, or for any other reason is unable to fulfill the obligations under the contract. That in such event, or upon demand of the purchaser or beneficiary of the prearrangement funeral service contract the funeral establishment shall refund to the purchaser or beneficiary all moneys deposited in trust and allocated to the contract unless otherwise ordered by a court of competent jurisdiction. That the purchaser or beneficiary may, in lieu of a refund, elect to transfer the prearrangement funeral service contract and all amounts in trust to another funeral establishment licensed by the board to enter into prearrangement funeral service contracts which will agree to endorse the contract and to be bound to the contract and to provide for the funeral merchandise or services.
(e) If a contract is to be funded through insurance, the contract shall also contain language which:
(i) States the amount of insurance;
(ii) Informs the purchaser of the name and address of the insurance company through which the insurance will be provided and the policy number;
(iii) Informs the purchaser that amounts paid for insurance may not be refundable.
(f) A statement to the purchaser of the contract that the funds deposited under the contract, plus accruals thereon, shall be withdrawable from the trust under the following circumstances and conditions;
(i) If the funeral establishment files a verified statement with the trust that the prearrangement funeral merchandise and services covered by the contract have been furnished and delivered in accordance therewith; or
(ii) If the funeral establishment files a verified statement with the trust that the prearrangement funeral merchandise and services covered by the contract have been canceled in accordance with its terms;))
(3) Such contract shall be dated and be executed by the purchaser and by the funeral establishment through its owner, officer or managing agent.
(((4) If a retail installment transaction is involved, the
contract shall comply with the requirements of chapter 63.14 RCW.))
[Statutory Authority: RCW 18.39.175(4). 90-17-148, § 308-49-150, filed 8/22/90, effective 9/22/90. Statutory Authority: 1982 c 66 § 12. 83-04-021 (Order PL 420), § 308-49-150, filed 1/26/83.]
(2) Such prearrangement funeral service trust agreements shall be between the funeral establishment and trustees designated by the funeral establishment. The agreement shall include language that provides for:
(a) A minimum of two trustees;
(b) Duties and responsibilities of the trustees;
(c) Method of removal of trustees;
(d) Selection of depository(ies);
(e) ((Procedures to be followed when the establishment
deposits prearrangement funeral service contract moneys;
(f) Conditions under which moneys may be withdrawn from the trust and procedures to be followed in making withdrawals;
(g))) Details as to investment and administration of the trust;
(((h))) (f) Compensation of trustees and expenses to be
incurred;
(((i))) (g) Accounting methods to be used;
(((j))) (h) Provisions for amendment and termination of the
trust agreement.
(3) Such prearrangement funeral service trust agreements are
an integral part of the prearrangement funeral service contract
and shall be approved by the board prior to use. Amendments((,))
or changes to the trust agreement((, or termination of the trust
agreement shall)) must receive prior approval from the board
before incorporation of amendment or change((, or implementation
of termination)).
[Statutory Authority: RCW 18.39.175(4). 97-21-064, § 308-49-164, filed 10/14/97, effective 11/14/97; 90-17-148, § 308-49-164, filed 8/22/90, effective 9/22/90.]
(2) The statement shall include a balance sheet and a profit and loss statement for the preceding fiscal year and/or other such fiscal documents as the board may require.
(3) The funeral establishment shall list any changes in its officers, directors, managers or partners or any change in ownership greater than ten percent which have occurred in the preceding fiscal year.
(4) With respect to each prearrangement funeral service
contract trust fund, the following information ((shall)) must be
provided:
(a) The name of the depository and the account number;
(b) The number of outstanding contracts at the beginning of the fiscal year;
(c) The total amount paid in by the holders of such contracts pertinent to the trust fund;
(d) The total amount deposited in the trust account;
(e) The number of new contracts issued during the fiscal year;
(f) The amount paid in on such new contracts and the amount deposited in the trust fund for such contracts;
(g) The number of individuals withdrawing from the contracts, the principal amount paid to them and the amount of interest, dividends, or accretions, separately stated, paid to them.
(h) The number of cases where prearrangement funeral merchandise and services covered by the contract have been furnished and delivered and the amount transferred out of the trust fund to the funeral establishment for such services and/or merchandise;
(i) The number of outstanding contracts as of the end of the fiscal year and the amount being held in trust for such contracts.
(5) The annual report form ((shall)) must include
verification from the depository as to the amount of money held
in funeral prearrangement trust as of the reporting date.
(6) The annual statement ((shall)) must be accompanied by a
fee as determined by the director, payable to the state
treasurer.
[Statutory Authority: RCW 18.35.175(4). 88-13-010 (Order PM 737), § 308-49-170, filed 6/6/88. Statutory Authority: RCW 18.39.290 and 18.39.320. 87-18-053 (Order PM 677), § 308-49-170, filed 9/1/87. Statutory Authority: 1982 c 66 § 12. 83-04-021 (Order PL 420), § 308-49-170, filed 1/26/83.]
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