Bill Text: NC S403 | 2013-2014 | Regular Session | Amended
Bill Title: Omnibus Election Clarifications
Spectrum: Partisan Bill (Republican 1-0)
Status: (Passed) 2014-08-06 - Ch. SL 2014-111 [S403 Detail]
Download: North_Carolina-2013-S403-Amended.html
GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2013
S 2
SENATE BILL 403
Commerce Committee Substitute Adopted 5/9/13
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Short Title: Amend Uniform Prudent Investor Act. |
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Sponsors: |
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Referred to: |
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March 26, 2013
A BILL TO BE ENTITLED
AN ACT to amend the laws regulating investments of cemeteries and preneed funeral funds.
The General Assembly of North Carolina enacts:
SECTION 1. G.S. 65‑60.1(e) reads as rewritten:
"(e) Any trustee shall invest and reinvest cemetery
trust funds in the same manner as provided by law for the investment of
trust funds by the clerk of the superior court; provided, however, that this
subsection does not apply to a perpetual trust fund described in G.S. 65‑64
or cemetery trust funds held in a fund designated as Trust Fund "A"
pursuant to G.S. 65‑64(e), which may be invested and reinvested in
accordance with G.S. 32‑71.Article 9 of Chapter 36C of the
General Statutes."
SECTION 2. G.S. 90‑210.61(a)(1) reads as rewritten:
"(a) Preneed funeral funds are subject to the provisions of this Article and shall be deposited or applied as follows:
(1) If the preneed funeral contract purchaser chooses
to fund the preneed funeral contract by a trust deposit or deposits, the
preneed licensee shall deposit all preneed funeral funds with in
an insured account in a financial institution, in trust, in the preneed
licensee's name as trustee within five business days.and invest and
reinvest funds in accordance with Article 9 of Chapter 36C of the General
Statutes. The preneed licensee, at the time of making the deposit as
trustee, shall furnish to the financial institution the name of each preneed
funeral contract purchaser and the amount of payment on each for which the
deposit is being made. The preneed licensee may establish an individual trust
fund for each preneed funeral contract contract but also is
specifically authorized to establish commingled trust accounts for investment and
reinvestment of preneed funeral funds of multiple preneed funeral contracts. or
a common trust fund for all preneed funeral contracts.The trust accounts
shall be carried in the name of the preneed licensee as trustee, but in all
cases, accounting records shall be maintained for each individual preneed
funeral contract purchaser showing the amounts deposited and invested, and
interest, dividends, increases, and accretions earned.accretions,
decreases, and the taxes and expenses which may be charged under this
subdivision. Except as provided in this Article, all interest, dividends, increases,
or accretions earned by the funds shall remain with the principal.in
the trust account. The trust fund may be charged with applicable taxes and
for reasonable charges paid by the trustee to itself or others for the
preparation of fiduciary tax returns. Penalties charged by a financial
institution for early withdrawals caused by a transfer pursuant to G.S. 90‑210.63
shall be paid by the preneed licensee. Penalties charged as a result of other
early withdrawals as permitted by this Article shall be paid from the trust
fund, and the financial institution shall give the preneed funeral contract
purchaser prompt notice of these penalties."
SECTION 3. This act is effective when it becomes law.
