b. A statement of the financial resources available for the project.
c. A copy of the proposed interment rights agreement to be used, which shall include the following:
(1) That purchase payments will be held in trust in accordance with the requirements of chapter 523A until construction of the mausoleum or columbarium is complete.
(2) That the purchaser may request a refund of the purchase amount, if construction does not begin within five years of the purchaser’s first payment.
(3) That the new facility will operate as a perpetual care cemetery in compliance with this chapter, even if the facility is located at a nonperpetual care cemetery.
(4) That the purchaser will receive an ownership certificate upon payment in full or, if later, when construction is complete.
(IA Code s. 523I.314).
Michigan: Preconstruction sales of crypts or niches in a mausoleum or columbarium are prohibited unless the cemetery authority does one of the following:
(a) Agrees to complete the mausoleum or columbarium within 4 years after the date of the first sale of an entombment or inurnment right in the proposed mausoleum or columbarium or, if construction is not completed within that time and upon the request of the purchaser, agrees to offer to the purchaser a refund of 100% of the purchase price with interest calculated at the rate of 4% per annum. Or,
(b) Agrees that if the person for whom the entombment or inurnment right in the proposed mausoleum or columbarium dies before completion of the mausoleum or columbarium, an alternative disposition of the remains shall be provided until completion of the mausoleum or columbarium or until a refund is made of one hundred percent of the purchase price with interest calculated at the rate of 4% per annum. (MCL s. 456.536a). Michigan law requires the establishment of a perpetual care fund of $50,000 before any sales may be made. Each month thereafter, the cemetery must deposit not less than fifteen percent of its proceeds received from the sales of burial rights, entombment rights, or columbarium rights (MCL 456.536 (5) and (6)). Michigan does not appear to have a specific provision allowing individual municipalities to increase the required deposit percentage.
Minnesota: Cemetery authorities may sell burial space in a mausoleum or columbarium prior to completion if they have obtained a performance bond sufficient to cover all construction costs associated with building the mausoleum or columbarium at the time of sale (Minn. Stats. s. 306.90). Minnesota law requires that cemetery authorities deposit ten percent of the proceeds of all sales of mausoleum burial spaces into the cemetery’s permanent care and improvement fund. Minnesota does not appear to have a specific provision allowing individual municipalities to increase the required deposit percentage. Summary of factual data and analytical methodologies:
The cemetery board reviewed its rules in advance of its report pursuant to s. 227.29, Stats. The changes in this rule project were deemed necessary to bring the rules into compliance with state law;to enhance the clarity of the rules; and to provide better guidance to stakeholders. Analysis and supporting documents used to determine effect on small business or in preparation of economic impact analysis:
The rule was posted for a period of 14 days to solicit public comment on economic impact, including how the proposed rules may affect businesses, local government units, and individuals. No comments were received.
Fiscal Estimate and Economic Impact Analysis:
The Fiscal Estimate and Economic Impact Analysis are attached.
Effect on small business:
These proposed rules do not have an economic impact on small businesses, as defined in s. 227.114 (1), Stats. The Department’s Regulatory Review Coordinator may be contacted by email at Daniel.Hereth@wisconsin.gov, or by calling (608) 267-2435. Agency contact person:
Jon Derenne, Administrative Rules Coordinator, Department of Safety and Professional Services, Division of Policy Development, 4822 Madison Yards Way, P.O. Box 8366, Madison, Wisconsin 53708; telephone 608-266-0955; email at DSPSAdminRules@wisconsin.gov. ------------------------------------------------------------------------------------------------------------
TEXT OF RULE
Section 1. CB 6.02 (3) is created to read:
CB 6.02 (3) “Temporary certification” means a contingent approval issued by the board where, following an initial inspection, the board determines that the mausoleum only contains minor, non-structural defects; and is valid for a period determined by the board, but not to exceed six months.
Section 1. CB 6.07 (1) and (2) are amended to read:
CB 6.07 (1) If the board or its designee determines that, except for certain minor non-structural defects, the construction, alteration, or conversion complies with the approved plans, the board or its designee may provide the cemetery authority with a written progress reporttemporary certification that is contingent on the correction of those minor defects.
(2) If a cemetery authority with a progress reporttemporary certification notifies the board or its designee in writing before the expiration date of the temporary certification that the defects in the construction, alteration, or conversion of the public mausoleum have been corrected, the board or its designee shall, within 30 days after receiving the notice, reinspect the public mausoleum and provide the cemetery authority with a final inspection report as to whether the construction, alteration, or conversion complies with the approved plans.
Section 2. CB 6.08 is amended to read:
CB 6.08 Mausoleum sales. No person may sell a mausoleum space, except an undeveloped space that is sold in accordance with s. 440.92, Stats., or bury human remains in the public mausoleum until either the board has issued a temporary certification that the mausoleum contains only minor, non-structural defects, or all inspection defects are corrected and the board or its designee reinspects the public mausoleum and provides the cemetery authority with a final inspection report that indicates the construction, alteration, or conversion complies with the approved plans. Section 3. CB 6.085 is created to read:
CB 6.085 Municipal requests for larger mausoleum care funds. A municipality may require by ordinance, with the written approval of the board, that cemetery authorities within its jurisdiction maintain a larger mausoleum care fund than what is required under s. 157.12 (3) (a) 1. and 2, Stats. The board may issue a written approval of such an ordinance if: (1) The municipality submits a request to the board containing the following:
(a) A copy of the proposed ordinance.
(b) A statement demonstrating a need for an ordinance that deviates from the statutory requirements.
(c) An affidavit from the municipality certifying that it has consulted with the cemetery authorities in its jurisdiction who may be impacted by the proposed ordinance.
(2) The requirements under the ordinance are reasonable as determined by the board.
Section 4. EFFECTIVE DATE. The rules adopted in this order shall take effect on the first day of the month following publication in the Wisconsin Administrative Register, pursuant to s. 227.22 (2) (intro.), Stats. ------------------------------------------------------------------------------------------------------------
(END OF TEXT OF RULE)
------------------------------------------------------------------------------------------------------------
Dated __August 11, 2020__ __________________________________
Chair
