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7600. This chapter of the Business and Professions Code constitutes
the chapter on funeral directors and embalmers. It may be cited as
the Funeral Directors and Embalmers Law.

7601. The following terms as used in this chapter shall have
meanings expressed in this section:

7601.1. Protection of the public shall be the highest priority for
the Cemetery and Funeral Bureau in exercising its licensing, regulatory, and disciplinary functions. Whenever the protection of the public is inconsistent with other interests sought to be promoted, the protection of the public shall be paramount.

7602. There is in the department the Cemetery and Funeral Bureau,
under the supervision and control of the director.

The director may appoint a chief at a salary to be fixed and
determined by the director, with the approval of the Director of
Finance. The duty of enforcing and administering this chapter is
vested in the chief, and he or she is responsible to the director
therefor. The chief shall serve at the pleasure of the director.

Every power granted or duty imposed upon the director under this
chapter may be exercised or performed in the name of the director by
a deputy director or by the chief, subject to such conditions and
limitations as the director may prescribe.

7606. The bureau may, pursuant to the provisions of the
Administrative Procedure Act, adopt and enforce reasonably necessary
rules and regulations relating to:

7607. The bureau may inspect the premises in which the business of
a funeral director is conducted, where embalming is practiced, or
where human remains are stored.

7608. The Director of Consumer Affairs may employ and appoint all
employees necessary to properly administer the work of the bureau, in
accordance with civil service regulations.
With the approval of the Director of Finance, and, subject to the
provisions of Section 159.5, the bureau shall employ investigators
and attorneys to assist the bureau in prosecuting violations of this
chapter, whose compensation and expenses shall be payable only out of
the State Funeral Directors and Embalmers Fund.

7609. This chapter does not apply to, or in any way interfere with,
the duties of any officer of any public institution or of any duly
accredited medical college, nor does it apply to any hospital
licensed pursuant to Chapter 2 (commencing with Section 1250) of
Division 2 of the Health and Safety Code, anyone engaged only in the
furnishing of burial receptacles, or anyone engaged in the operation
of a cemetery solely for the interment of human dead.

7610. All suits or actions commenced in the superior court against
the bureau shall be filed and tried either in the County of
Sacramento, or in the county of the residence of the plaintiff or
petitioner, or in the county where the act occurred, which is the
basis of the suit or action.

7615. A funeral director is a person engaged in or conducting, or holding himself or herself out as engaged in any of the following:

A licensed funeral establishment is a place of business conducted in a building or separate portion of a building having a specific street address or location and devoted exclusively to those activities as are incident, convenient, or related to the preparation and arrangements, financial and otherwise, for the funeral, transportation, burial or other disposition of human remains and including, but not limited to, either of the following:

7616.2. A licensed funeral establishment shall at all times employ
a licensed funeral director to manage, direct, or control its
business or profession. Notwithstanding any other provisions of this
chapter, licensed funeral establishments within close geographical
proximity of each other, may request the bureau to allow a licensed
funeral director to manage, direct, or control the business or
profession of more than one facility.

7617. The business of a licensed funeral establishment shall be
conducted and engaged in at a fixed place or facility.
No person, partnership, association, corporation, or other
organization shall open or maintain a place or establishment at which
to engage in or conduct, or hold himself or herself or itself out as
engaging in or conducting, the business of a funeral establishment
without a license.

7617.1. The applicant for a funeral establishment license, or in
the case the applicant is an association, partnership, or
corporation, all officers of the corporation or association or all
general partners of the partnership shall be at least 18 years of age
and shall not have committed acts or crimes constituting grounds for
denial of licensure under Section 480.

7618. An application for a funeral director's license shall be
written on a form provided by the bureau, verified by the applicant,
accompanied by the fee fixed by this chapter and filed at its
Sacramento office.

7619. The applicant for a funeral director's license shall be at
least 18 years of age, possess an associate of arts or science
degree, or the equivalent, or a higher level of education as
recognized by the Western Association of Colleges and Universities,
or any other nationally recognized accrediting body of colleges and
universities, and shall not have committed acts or crimes
constituting grounds for denial of licensure under Section 480.

7619.2. The bureau shall grant a funeral director's license to any
applicant who complies with this article, notwithstanding Section
7619, if the applicant can demonstrate that he or she has complied
with Section 7622 on or before July 1, 1999.

7619.3. No licensed funeral director shall engage in or conduct, or
hold himself or herself out as engaging in or conducting, the
activities of a funeral director without being employed by, or
without being a sole proprietor of, a licensed funeral establishment.

7620. The application shall specify the address at which the
applicant proposes to engage in or conduct a place of business as a
funeral director.

7621. The applicant shall also furnish the bureau with satisfactory
proof that the facility in which he or she intends to conduct
business as a funeral director is or will be constructed, equipped
and maintained in all respects as a licensed funeral establishment as
defined in this chapter.

7622. Before an individual is granted a funeral director's license,
he or she shall successfully pass an examination upon the following
subjects:

7622.2. No person, partnership, association, corporation, or other
organization shall open or maintain a place or establishment at which
to engage in or conduct, or hold himself, herself, or itself out as
engaging in or conducting, the activities of a funeral director
without a license.

7622.5. An applicant for examination under Section 7622 shall pay
the funeral director's examination fee fixed by this chapter.

7623. If an applicant for a funeral establishment license proposes
to engage in or conduct more than one funeral establishment, the
applicant shall make a separate application and procure a separate
license for each separate establishment.

7624. Not more than one person, partnership, association,
corporation, or other organization engaged in business as a funeral
establishment shall transact business in one specific funeral
facility.

7625. Upon receipt of an application for a license, the bureau
shall cause an investigation to be made of the physical status or
plans and specifications of the proposed funeral establishment, and
of the other qualifications required of the applicant under this
chapter, and for this purpose may subpoena witnesses, administer
oaths, and take testimony.
The bureau shall grant a license if it finds that the proposed
funeral establishment is or will be constructed and equipped as
required by this chapter and that the applicant is qualified in all
other respects as required by this chapter.

7626. The bureau shall examine and pass upon the qualifications of
the applicant as to ability and experience before passing upon the
physical status or plans and specifications of the proposed funeral
establishment.

7626.5. Where a hearing is held to determine whether an application
for a license should be granted, the proceeding shall be conducted
in accordance with Chapter 5 of Part 1 of Division 3 of Title 2 of
the Government Code, and the bureau shall have all of the powers
granted therein.

7627. Every application for a funeral director's license under this
article shall be granted or refused within ninety days from the date
of the filing of the application, or within thirty days after the
close of the hearing upon the application, in case a hearing is held.

7628. Any person, partnership, association, corporation, or other
organization desiring to change the location of a licensed funeral
establishment shall apply therefor on forms furnished by the bureau
and shall include a fee fixed by this chapter. The application shall be granted by the bureau upon the filing with the bureau of a favorable report from an inspector concerning the physical status or plans and specifications of the proposed licensed funeral establishment to the effect that it conforms to the
requirements of this article.

7629. No funeral establishment shall be conducted or held forth as being conducted or advertised as being conducted under any name which might tend to mislead the public or which would be sufficiently like the name of any other licensed funeral director so as to constitute an unfair method of competition.
Any funeral director desiring to change the name appearing on his or her license may do so by applying to the bureau and paying the fee fixed by this chapter.

7630. A funeral establishment's license may be assigned upon payment of the fee fixed by this chapter and upon submission of an audit report prepared and signed by an independent certified public accountant or public accountant currently licensed in this state. The audit report shall include an unqualified opinion on the accuracy of the trust fund balances and a report of compliance with the provisions of this article and Article 9 (commencing with Section
7735). Any shortages in the trust funds shall be funded. The assignee shall comply with all provisions previously placed on the assignor.

7631. In case of the death of a licensed funeral director who leaves a funeral establishment as part or all of the assets of his or her estate, the bureau may issue a temporary license to his or her legal representative, unless the legal representative has committed acts or crimes constituting grounds for denial of licensure under Section 480. A temporary establishment license is valid for six
months from the date of issue. However, upon the petition of the estate's legal representative, the bureau, in its discretion, may grant a reasonable extension to allow for the assets of the estate to be distributed as circumstances warrant.

7632. A funeral director shall cause all human remains embalmed in or at the direction of his or her funeral establishment to be embalmed by a licensed embalmer, by an apprentice embalmer under the supervision of his or her licensed supervising embalmer, or by a student in a program accredited by the American Board of Funeral Service Education under the supervision of a licensed embalmer.

7633. No funeral director shall charge a fee for filing a certificate of death or for providing copies thereof in excess of fees set by statute for filing and providing certified copies of such certificates.

7634. Notwithstanding any other provision of law, a licensed embalmer, at the request of a licensed physician, may remove tissue from human remains for transplant, or therapeutic, or scientific purposes specified in, and pursuant to, the provisions of the Uniform Anatomical Gift Act (Chapter 3.5 (commencing with Section 7150) of Part 1 of Division 7 of the Health and Safety Code), if such embalmer has completed a course in tissue removal for transplant, or
therapeutic, or scientific purposes approved by the Medical Board of California of the State of California.

7640. An embalmer is one who is duly qualified to disinfect or preserve human remains by the injection or external application of antiseptics, disinfectants or preservative fluids; to prepare human bodies for transportation which are dead of contagious or infectious diseases; and to use derma surgery or plastic art for restoring mutilated features; and who is duly licensed as an embalmer under the laws of the State of California.

7641. It is unlawful for any person to embalm a body, or engage in, or hold himself or herself out as engaged in practice as an embalmer, unless he or she is licensed by the bureau. However, this section shall have no effect on students and instructors of embalming in embalming colleges approved by the bureau.

7642. An application for an embalmer's license shall be written on a form provided by the bureau, verified by the applicant, and accompanied by the fee fixed by this chapter.

7643. In order to qualify for a license as an embalmer, the applicant shall comply with all of the following requirements:

7646. The bureau shall require the applicant to pass an examination, which shall include the following subjects:

7647. The bureau shall examine applicants for embalmer's licenses at least once annually. Examinations shall be held at such times and places as may be determined by the bureau. Notice of the time and place of such examinations shall be given as determined by the bureau.

7647.5. Where a hearing is held to determine whether an application for a license should be granted, the proceeding shall be conducted in accordance with Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code, and the bureau shall have all of the powers granted therein.

7648. No embalmer's license is assignable, and only the licensee may engage in the practice of embalming under the license.

7649. Except as provided in Section 102805 of the Health and Safety Code, whenever the name of any licensed embalmer is subscribed to any certificate, the purport of which is that he or she has performed any act mentioned in the certificate, the licensed embalmer shall actually sign his or her name thereto.

7650. From time to time, the bureau may examine the requirements for the issuance of licenses to embalmers in other states of the United States and cause a record to be kept of those states in which standards are maintained for embalmers, not lower than those provided in this chapter.

7660. An apprentice embalmer is a person engaged in the study of embalming under the instruction and supervision of a licensed embalmer who has had at least two years' practical experience as a California licensed embalmer.

7661. An application for registration as an embalmer's apprentice shall be made upon a form provided by the bureau, verified by the applicant and accompanied by the fee fixed by this chapter.

7662. In order to qualify as an apprentice embalmer, an applicant shall comply with all of the following requirements:

7664. Certificates of apprenticeship issued pursuant to this article shall expire when the holder has been issued a license as an embalmer, or six years from the date of registration, whichever first occurs. The certificates may not be renewed, but an apprentice embalmer who has not completed his or her term of apprenticeship at the time his or her certificate expires may apply for reregistration upon compliance with Section 7661. The bureau may, when the
circumstances warrant, allow an apprentice credit under a reregistration for the time actually served under a previous registration, but no reregistration shall have the effect of continuing the term of apprenticeship beyond the period specified in Section 7666.

7665. All registered apprentice embalmers shall comply with the following requirements during their period of apprenticeship:

7668. The bureau may suspend or revoke a certificate of
apprenticeship, after notice and upon complaint and hearing in
accordance with the provisions of Article 6, if the apprentice is
guilty of any of the following acts or omissions:

7669. An apprentice who has had his or her certificate of
apprenticeship suspended or revoked may, within one year after the
suspension or revocation apply for reregistration upon compliance
with the law in effect at the time he or she so applies and payment
of the apprentice application fee fixed by this chapter. No
reregistration shall have the effect of continuing an apprenticeship
beyond the period specified in Section 7666.
The bureau may, when the circumstances warrant, allow an
apprentice credit under a reregistration for the time actually served
under a previous registration, but if the previous registration has
been suspended or revoked for unprofessional conduct, not more than
75 percent of the time previously served shall be credited on the re-registration.

7671. No person who is a duly registered apprentice or a student at
an approved embalming school in California at the time of any amendment to this chapter raising the requirements for apprentice embalmers or license as an embalmer, shall be required to comply with the provisions of such amendment.

7680. Every license issued shall be displayed conspicuously in the place of business or employment of the licensee.
The form and content of every license issued shall be determined in accordance with Section 164.

7685.3. The current address, telephone number, and name of the
Department of Consumer Affairs, Cemetery and Funeral Bureau shall
appear on the first page of any contract for goods and services
offered by a funeral director. At a minimum, the information shall
be in 8-point boldface type and make this statement:

"FOR MORE INFORMATION ON FUNERAL, CEMETERY, AND CREMATION MATTERS, CONTACT: DEPARTMENT OF CONSUMER AFFAIRS, CEMETERY AND FUNERAL BUREAU (ADDRESS), (TELEPHONE NUMBER)."

7686. The bureau may suspend or revoke licenses, after proper notice and hearing to the licensee, if the licensee has been found guilty by the bureau of any of the acts or omissions constituting grounds for disciplinary action. The proceedings under this article shall be conducted in accordance with Chapter 5 of Part 1 of Division 3 of Title 2 of the Government Code, and the bureau shall have all the powers granted therein.

7686.5. All accusations against licensees shall be filed with the bureau within two years after the performance of the act or omission alleged as the ground for disciplinary action; provided, however, that the foregoing provision shall not constitute a defense to an accusation alleging fraud or misrepresentation as a ground for disciplinary action. The cause for disciplinary action in such case shall not be deemed to have accrued until discovery, by the bureau, of the facts constituting the fraud or misrepresentation, and, in such case, the accusation shall be filed within three years after such discovery.

7687. Upon receipt of a complaint, the bureau may make or cause to be made such investigation as it deems necessary.

7690. The bureau may discipline every accused licensee whose default has been entered or who has been tried and found guilty, after formal hearing, of any act or omission constituting a ground for disciplinary action. Any of the following penalties may be imposed by the bureau:

7691. Conviction of a crime substantially related to the qualifications, functions and duties of the license holder in question constitutes a ground for disciplinary action. The record of conviction, or a certified copy thereof, shall be conclusive evidence of such conviction.

7692. Misrepresentation or fraud in the conduct of the business or the profession of a funeral director or embalmer constitutes a ground for disciplinary action.

7692.5. Any false or misleading statement regarding any law or regulation pertaining to the preparation for burial, transportation for burial, or burial of the dead, made wilfully by a licensee to obtain business as a funeral director or embalmer, constitutes a ground for disciplinary action.

7693. False or misleading advertising as a funeral establishment, funeral director, or embalmer constitutes a ground for disciplinary action.

7694. Solicitation, after a death or while a death is impending, of funeral directing or embalming business by the licensee, or by the agents, assistants or employees of the licensee, when such solicitation is authorized or ratified by the licensee, constitutes a ground for disciplinary action. This section does not prohibit general advertising.

7695. Employment by the licensee of persons known as "cappers" or"steerers" or "solicitors," or other such persons to solicit, after a death or while a death is impending, funeral directing or embalming business constitutes a ground for disciplinary action.

7696. Employment, directly or indirectly, of any apprentice, agent, assistant, embalmer, employee or other person, on part or full time, or on commission, for the purpose of calling upon individuals or institutions by whose influence human remains may be turned over to a particular funeral director or embalmer constitutes a ground for disciplinary action.

7697. The buying, after a death or while a death is impending, of funeral directing and embalming business by the licensee, the licensee's agents, assistants or employees, or the direct or indirect payment, or offer of payment, of a commission by the licensee, the licensee's agents, assistants or employees for the purpose of such buying of business, constitutes a ground for disciplinary action.

7699. Aiding or abetting an unlicensed person to practice funeral directing or embalming constitutes a ground for disciplinary action.

7700. Using profane, indecent, or obscene language in the course of the preparation for burial, removal, or other disposition of, or during the funeral service for, human remains, or within the immediate hearing of the family or relatives of a deceased, whose remains have not yet been interred or otherwise disposed of constitutes a ground for disciplinary action.

7701. Solicitation or acceptance by a licensee of any commission or bonus or rebate in consideration of recommending or causing human remains to be disposed of in any crematory, mausoleum or cemetery constitutes a ground for disciplinary action.

7701.5. Solicitation or acceptance by a licensee of any commission or bonus or rebate in consideration of recommending or causing the purchase of flowers from any particular florist or dealer in flowers, for use in connection with a funeral service, constitutes a ground for disciplinary action.

7702. Using any casket or part of a casket which has previously been used as a receptacle for, or in connection with the burial or other disposition of, human remains constitutes a ground for disciplinary action; provided, however, this section shall not apply to exterior casket hardware which is not sold to the purchaser, or where same is reserved by contract.

7703. Violation of any of the provisions of this chapter or of the rules and regulations adopted pursuant to this chapter constitutes a ground for disciplinary action.

7704. Violation of any state law or municipal or county ordinance or regulation affecting the handling, custody, care or transportation of human remains constitutes a ground for disciplinary action.

7705. Fraud or misrepresentation in obtaining a license constitutes a ground for disciplinary action.

7706. Refusing to surrender promptly the custody of human remains, the personal effects, and any certificate or permit required under Division 102 (commencing with Section 102100) of the Health and Safety Code that is in the possession or control of the licensee upon the express order of the person lawfully entitled to custody of the human remains constitutes a ground for disciplinary action.

7707. Gross negligence, gross incompetence or unprofessional conduct in the practice of funeral directing or embalming constitutes a ground for disciplinary action.

7708. The bureau, after a hearing, may deny the application of a funeral establishment, funeral director, embalmer, or apprentice embalmer on proof that the applicant has committed acts or crimes constituting grounds for denial of licensure under Section 480. The record of conviction, or a certified copy thereof, shall be conclusive evidence of the conviction.

7709. A plea or verdict of guilty or a conviction following a plea of nolo contendere is deemed to be a conviction within the meaning of this article. The bureau may order the license suspended or revoked, or may decline to issue a license, when the time for appeal has elapsed, or the judgment of conviction has been affirmed on appeal or when an order granting probation is made suspending the imposition of sentence, irrespective of a subsequent order under the provisions of Section 1203.4 of the Penal Code allowing such person
to withdraw his plea of guilty and to enter a plea of not guilty, or setting aside the verdict of guilty, or dismissing the accusation, information or indictment.

7711. When a funeral establishment, funeral director or embalmer has had his, or her, or its license suspended, canceled, or revoked by the bureau, the bureau, upon written application by the licensee affected, upon not less than 10 days' notice to all parties of record in the particular case, and after hearing all evidence offered in support of and in opposition to that application, may, in its
discretion, and upon those terms as it may deem just, reinstate the applicant.

7715. Any person, partnership, association, corporation, or other form of organization, or any agent or representative thereof, who violates any of the provisions of this chapter is guilty of a misdemeanor.

7716. Every funeral establishment, funeral director or embalmer, or the agents or representatives thereof, who, after a death or while a death is impending, pays, offers to pay or causes to be paid, directly or indirectly, any sum of money or other valuable consideration for the securing of business is guilty of a
misdemeanor.

7717. Every person, who pays or causes to be paid or offers to pay to any funeral establishment, funeral director or embalmer, or to the agent, assistant or employee of either, any commission or bonus or rebate or other thing of value in consideration of the funeral establishment, funeral director or embalmer recommending or causing human remains to be disposed of in any crematory, mausoleum or cemetery, is guilty of a misdemeanor.

7717.5. Every person who pays or causes to be paid or offers to pay to any funeral establishment, funeral director or embalmer, or to the agent, assistant or employee of either, any commission or bonus or rebate or other thing of value in consideration of the funeral establishment, funeral director or embalmer recommending or causing the purchase of flowers from any particular florist or dealer in flowers, for use in connection with a funeral service, is guilty of a misdemeanor; provided, that this section shall not apply to a funeral establishment or funeral director who owns or operates a flower shop as a part of his, her or its funeral business, or to his, her or its agents or employees.

7718. Every person who, after a death or while a death is impending, solicits or accepts any sum of money or other valuable consideration, directly or indirectly, from a funeral establishment, funeral director or embalmer, his, her, or its agent or representative, in order that the funeral establishment, funeral director or embalmer might obtain business, is guilty of a misdemeanor.

7718.5. Every person as an individual, as a partner in a partnership or as an officer or employee of a corporation, association or other organization, who, without a license, holds himself or herself out as a funeral director, is guilty of a
misdemeanor.

7719. Every person guilty of a misdemeanor under the provisions of this chapter, shall, upon conviction thereof, be punished by imprisonment in the county jail for not more than six months, or by a fine not exceeding one thousand dollars ($1,000), or by both.

7725. A license issued under this chapter shall expire each year on the last day of the month in which the license was originally issued. To renew an unexpired license, the licenseholder shall on or before the date on which it would otherwise expire, apply for renewal on a form prescribed by the bureau, and pay the renewal fee prescribed by this chapter.

The bureau shall mail to each licensed funeral establishment, funeral director, and embalmer, addressed to him or her at his or her address of record, a notice that a renewal fee is due and payable.

7725.2. Except as otherwise provided in this article, a license that has expired may be renewed at any time within five years after its expiration on filing of an application for renewal on a form prescribed by the bureau and payment of all accrued and unpaid renewal fees. If the license is not renewed within 30 days after its expiration the licensee, as a condition precedent to renewal, shall also pay the delinquency fee prescribed by this chapter. Renewal under this section shall be effective on the date on which the application is filed, on the date on which all renewal fees are paid, or on the date on which the delinquency fee, if any, is paid, whichever last occurs. If so renewed, the license shall continue in
effect through the date provided in Section 7725 that next occurs after the effective date of the renewal, when it shall expire if it is not again renewed. If a license is not renewed within one year following its expiration, the bureau may require as a condition of renewal that the holder of the license pass an examination on the appropriate subjects provided by this chapter.

7725.3. A suspended license is subject to expiration and shall be renewed as provided in this article, but such renewal does not entitle the holder of the license, while it remains suspended and until it is reinstated, to engage in the activity to which the license relates, or in any other activity or conduct in violation of the order or judgment by which it was suspended.

7725.4. A revoked license is subject to expiration as provided in this article, but it may not be renewed. If it is reinstated after its expiration, the holder of the license, as a condition precedent to its reinstatement, shall pay a reinstatement fee in an amount equal to the renewal fee in effect on the last regular renewal date before the date on which it is reinstated plus the delinquency fee, if any, accrued at the time of its revocation.

7725.5. A license which is not renewed within five years after its expiration may not be renewed, restored, reissued, or reinstated thereafter. The holder of the expired license may obtain a new license only if the holder pays all of the fees, and meets all of the requirements, other than requirements relating to education, set forth in this chapter for obtaining an original license, except that
the bureau may issue a new license to the holder without an examination if the holder establishes to the bureau's satisfaction that, with due regard for the public interest, the holder is qualified to engage in the activity in which the holder again seeks to be licensed. The bureau may, by appropriate regulation, provide for the waiver or refund of all or any part of the application fee in those cases in which a license is issued without an examination under this section.
The provisions of this section do not apply to certificates of apprenticeship.

7727. On or before the 10th day of each month, the department shall pay into the State Treasury and report to the State Controller all the fees received for the bureau. The fees shall be received by the State Treasurer and placed in the State Funeral Directors and Embalmers Fund, which fund is available for expenditures necessary for the proper administration of this chapter.

7729. The amount of the fees prescribed by this chapter shall be fixed according to the following schedule with the minimum amount specified being the amount fixed on January 1, 1988.

7735. No funeral establishment licensed under the laws of the State of California, or the agents or employees of a funeral establishment, shall enter into or solicit any preneed arrangement, contract, or plan, hereinafter referred to as "contract," requiring
the payment to the licensee of money or the delivery to the licensee of securities to pay for the final disposition of human remains or for funeral services or for the furnishing of personal property or funeral merchandise, wherein the use or delivery of those services, property or merchandise is not immediately required, unless the contract requires that all money paid directly or indirectly and all securities delivered under that agreement or under any agreement collateral thereto, shall be held in trust for the purpose for which it was paid or delivered until the contract is fulfilled according to its terms; provided, however, that any payment made or securities deposited pursuant to this article shall be released upon the death of the person for whose benefit the trust was established as provided in Section 7737. The income from the trust may be used to pay for a reasonable annual fee for administering the trust, including a trustee fee to be determined by the bureau, and to establish a reserve of not to exceed 10 percent of the corpus of the trust as a revocation fee in the event of cancellation on the part of the beneficiary. The annual fee for trust administration may be recovered by withdrawals from accumulated trust income, provided that total withdrawals for this purpose shall not exceed the amount determined by the bureau. In no case shall the total amount withdrawn in a year for trust administration exceed the total amount of posted trust income for the immediate 12 preceding months. In addition to annual fees and reserves authorized by this section, a trustee may, at its election, pay taxes on the earnings on any trust pursuant to Section 17760.5 of the Revenue and Taxation Code. In no event, however, shall taxes paid on the earnings of any trust be considered part of the fees or reserves authorized by this section. All remaining income shall be accumulated in trust. None of the corpus of the trust shall be used for payment of any commission nor shall any of the corpus of the trust be used for other expenses of trust administration, or for the payment of taxes on the earnings of the trust.

7735.5. The preneed funeral arrangement contract shall clearly state if benefits are unavailable or limited for any reason.

7736. For the purposes of this article the term "trustee" shall mean any banking institution or trust company legally authorized and empowered by the State of California to act as trustee in the handling of trust funds or not less than three persons one of whom may be an employee of the funeral establishment; the word "trustor" shall mean any person who pays the money or deposits the securities used for those preneed arrangements; the term "beneficiary" shall be the person for whom the funeral services are arranged; the words"corpus of the trust" shall include all moneys paid and securities delivered by the trustor pursuant to the provisions of the article.

7737. All securities purchased by the trustor for deposit in trust and all money received from the trustor for deposit in trust shall be placed in trust with a trustee within 30 days of their receipt by the funeral establishment pursuant to a trust agreement executed by the funeral establishment, the trustor and trustee which shall
provide that the trustee shall hold the money or securities in trust for the purposes for which deposited and that the trustee, upon the signature of a majority of such trustees, shall deliver the corpus of the trust to the funeral establishment upon the filing of a certified copy of the death certificate or other satisfactory evidence of the death of the beneficiary, together with satisfactory evidence that the funeral establishment has furnished the merchandise and services, provided, however, that (1) in the case of a trust agreement between any of the trustees set forth in Section 7736 and a recipient of public assistance, under the provisions of subdivision (a) of Section 11158 or paragraph (1) of subdivision (e) of Section 12152 of the Welfare and Institutions Code, and provided the value limitations of those sections are not exceeded, such trust agreement may further provide that it is irrevocable, and (2) in all other cases such trust agreement shall further provide that at any time before the funeral establishment has furnished the merchandise and services provided for in the contract the trustor or the legally appointed representative may in writing demand and receive the return of the corpus of the trust, together with any income accrued in the trust, less the revocation fee provided for in Section 7735; provided, however, that if and when the trustor becomes otherwise eligible, or in order to become eligible, for public social services, as provided in Division 9 (commencing with Section 10000) of the Welfare and Institutions Code, he or she may agree, at his or her option, that the trust shall be irrevocable in order to avail himself or herself of the provisions of Section 11158 or Section 12152 of the Welfare and Institutions Code. The delivery of the corpus of the trust and the accumulated income to the funeral establishment performing the services, trustor or beneficiary pursuant to the terms of this article and the trust agreement herein referred to, shall relieve the trustee of any further liabilities with regard to those funds or income therefrom.

7737.3. All commingled preneed trust funds held by a funeral establishment shall be subject to an annual, independent certified financial audit with a copy of the audit to be submitted to the bureau for review within 120 days of the close of the fund's fiscal
year. Any findings of noncompliance with existing law regarding preneed trust funds shall be identified by the auditor in a separate report for review and action by the bureau. Audits and reports of noncompliance shall be filed simultaneously.

7737.5. A trustee may deposit the corpus of the trust in any financial institution insured by the Federal Deposit Insurance Corporation.

7737.7. A trustee may deposit the corpus of the trust in any credit union which is insured by the National Credit Union Share Insurance Fund.

7738. A licensed funeral establishment that is also a licensed cemetery authority shall not deposit any money or securities received in connection with preneed funeral arrangements in a special endowment care fund as provided in Article 4 (commencing with Section 8775) of Chapter 5 of Part 3 of Division 8 of the Health and Safety Code, nor shall a licensed funeral establishment permit the deposit of any money or securities received in connection with a special endowment care fund into a preneed funeral trust fund. Nothing in this section shall require the liquidation or conversion of any lawful investment existing on December 31, 1981.

7739. Any person willfully violating the provisions of this article or any of them shall be punishable either by imprisonment in the county jail for a period not exceeding six months, or by fine not exceeding five hundred dollars ($500), or by both imprisonment and fine, or by imprisonment in the state prison for 16 months, or two or three years. If the violator is a funeral establishment licensee, he or she shall also be subject to disciplinary action as provided in Article 6 (commencing with Section 7686).

7740. The bureau is authorized to enforce of its own initiative the provisions of this article and may adopt such rules and regulations as in its opinion may be necessary to perform such duties and to safeguard the trust funds subject to this chapter.

7740.5. A funeral establishment shall pay to the bureau the fee fixed by this chapter for filing with the bureau any report on preneed trust funds required by rules and regulations of the bureau adopted pursuant to Section 7740.

7741. Nothing in this article shall apply to cemetery property; cemetery commodities; cemetery service; or merchandise that is delivered as soon as paid for.

7742. Nothing in this article shall apply to any arrangement, contract or plan for the issuance of securities now or hereafter authorized under a permit of the Commissioner of Corporations of this state.

7745. Every funeral establishment shall present to the survivor of the deceased who is handling the funeral arrangements or the responsible party a copy of any preneed agreement which has been signed and paid for in full, or in part by, or on behalf of the
deceased and is in the possession of the funeral establishment. The copy may be presented in person, by certified mail, or by facsimile transmission, as agreed upon by the survivor of the deceased or the responsible party. A funeral establishment that knowingly fails to present a preneed agreement to the survivor of the deceased or the
responsible party shall be liable for a civil fine equal to three times the cost of the preneed agreement, or one thousand dollars ($1,000), whichever is greater.

9600. This chapter of the Business and Professions Code constitutes the chapter on cemetery regulation. It may be cited as the"Cemetery Act."

9601. The definitions in this article govern the meaning of terms used in the act except as otherwise provided expressly or by necessary implication.

9603. The following terms as used in this chapter shall have the meanings expressed in this section:

9604. A cemetery broker is a person who, other than in reference to an occasional sale, sells or offers for sale, buys, or offers to buy, lists, leases or offers to lease, or solicits, or negotiates the purchase or sale, lease or exchange of cemetery property or interment services, or interest therein, for his or her own account or for another.

9605. A cemetery salesperson is a natural person who, other than in reference to an occasional sale, is employed by a cemetery broker to sell, or offer for sale, list or offer to list, or to buy, or to offer to buy, or to lease, or offer to lease, or to solicit, or to negotiate the purchase or sale or lease or exchange of cemetery property or interment services, or any interest therein, for his or her own account or for another.

9605.2. A crematory manager is a person engaged in or conducting, or holding himself or herself out as engaged in those activities involved in, or incidental to, the maintaining, or operating a crematory licensed under this chapter, and the cremation of human remains.

9606. The definitions in Chapter 1 of Part 1 of Division 7 of the Health and Safety Code are applicable to this act.

9607. "Cemetery licensee" means any cemetery broker, cemetery salesperson, or cemetery manager.

9607.5. "Crematory licensee" shall mean a corporation, partnership, or natural person licensed pursuant to Article 8 (commencing with Section 9780) and shall mean a cemetery licensee for purposes of disciplinary action under Article 6 (commencing with Section 9725).

9607.6. A cremated remains disposer is a person who, for his or her own account or for another, disposes of, or offers to dispose of, cremated human remains by scattering over or on land or sea.

9608. "Endowment care" or "endowed care" shall include both general and special care funds.

9608.5. An "occasional sale" is a sale of cemetery property not acquired or held for purposes of resale or speculation, provided such sale is not one of a series of sales sufficient in number, scope and character to constitute engaging in the business of selling or reselling or holding for speculation cemetery property.

9608.6. "Public cemetery" means a cemetery owned and operated by a city, county, city and county, or public cemetery district.

9611. The bureau shall disclose on its Web site information about each cemetery subject to the jurisdiction of the bureau. In addition to the information required by Section 27, the bureau shall disclose the name of the owner of each cemetery, the name of the cemetery, the business address of the cemetery owner, and the physical address of the cemetery.

9612. Notwithstanding Section 8115 of the Health and Safety Code, in order to protect consumers, the bureau shall adopt regulations that establish minimum standards of maintenance for endowment care cemeteries under the jurisdiction of the bureau. The regulations shall consider differences in cemetery size, location, topography, and type of interments. The regulations shall also consider the extent to which funds are available from the cemetery's endowment care funds to perform maintenance. The standards established pursuant to this section shall not supersede any standards of a higher level of care established pursuant to Section 8115 of the Health and Safety Code.

9625. There is in the department, the Cemetery and Funeral Bureau, under the supervision and control of the director. The director may appoint a chief at a salary to be fixed and determined by the director, with the approval of the Director of Finance. The duty of enforcing and administering this chapter is vested in the chief, and he or she is responsible to the director therefor. The chief shall serve at the pleasure of the director.

9630. The bureau may establish necessary rules and regulations for the administration and enforcement of this act and the laws subject to its jurisdiction and prescribe the form of statements and reports provided for in this act. The rules and regulations shall be adopted, amended, or repealed in accordance with the provisions of the Administrative Procedure Act.

9631. In the enforcement of this act and the laws subject to its jurisdiction, the bureau has all the powers and is subject to all the responsibilities vested in and imposed upon the head of a department under Chapter 2 (commencing with Section 11150) of Part 1 of Division 3 of Title 2 of the Government Code.

9650.1. Each cemetery authority requesting a change of filing date of the endowment care fund report from a calendar year to a fiscal year or a change in fiscal year shall file a petition with the bureau prior to the close of the year of request. The bureau may approve such petition provided that no report shall be for a period of more
than 12 months.

9650.2. The report shall state the name of the trustee or trustees of the endowment care fund. Any change of trustee shall be reported to the bureau within a period of 30 days after the change is made.

9650.3. A copy of each annual audit report shall be transmitted to the bureau and shall be a public record. It shall also be open for public inspection at the offices of the cemetery authority during normal business hours. If the cemetery authority does not maintain offices in the county in which its cemetery is located, it shall file a copy of the annual audit report with the county clerk of the county, which shall be subject to public inspection.

9651. The bureau shall examine the reports filed with it as to their compliance with the requirements of the Health and Safety Code as to the amount of endowment care funds collected and as to the manner of investment of such funds.

9652. The bureau shall examine the endowment care funds of a cemetery authority:

9652.1. If any cemetery authority refuses to pay such expenses, the bureau shall refuse it a certificate of authority and shall revoke any existing certificate of authority. All examination expense moneys collected by the bureau shall be paid into the State Treasury to the credit of the Cemetery Fund.

9654. The bureau may administer oaths and examine under oath any person relative to the endowment care fund. Such examination shall be conducted in the principal office of the person or body in charge of the endowment care fund and shall be private.

9655. If any examination made by the bureau, or any report filed with it, shows that there has not been collected and deposited in the endowment care funds the minimum amounts required by the Health and Safety Code since September 19, 1939, the bureau shall require such cemetery corporation to comply with Sections 8743 and 8744 of the Health and Safety Code.

9656. Whenever the bureau finds, after notice and hearing, that any endowment care funds have been invested in violation of the Health and Safety Code, it shall by written order mailed to the person or body in charge of the fund require the reinvestment of the funds in conformity to that code within a period which shall be not less than two years if the investment was made prior to October 1, 1949, not less than six months if the investment was made on or after October 1, 1949, and before the effective date of the amendment of this section by the 1969 Regular Session of the Legislature, and not less than 30 days if the investment is made on or after the effective date of the amendment. The period may be extended by the bureau in its discretion.

9656.1. The superior court of the county in which the principal office of the cemetery authority in charge of endowment care funds is located shall, upon the filing by the bureau of a verified application showing any of the following conditions hereinafter
enumerated to exist, issue its order vesting title to any endowment care funds of a cemetery authority in the bureau, and directing the bureau forthwith to take possession of all necessary books, records, property, real and personal, and assets, and to conduct as conservator, the management of such endowment care funds, or so much thereof as to the bureau may seem appropriate:

9656.2. When it has been alleged by verified petition pursuant to Section 9652 or when the bureau on its own investigation determines that there is probable cause to believe that any of the conditions set forth in Section 9656.1 exist or that irreparable loss and injury to the endowment care funds of a cemetery authority has occurred or
may occur unless the bureau so acts immediately, the bureau, without notice and before applying to the court for any order, may take possession of the endowment care funds and the books, records, and accounts relating thereto of the cemetery authority, and retain possession subject to the order of the court. Any person having
possession of and refusing to deliver any assets, books or records of a cemetery authority against which a seizure order has been issued by the bureau shall be guilty of a misdemeanor and punishable by a fine not exceeding one thousand dollars ($1,000) or imprisonment not exceeding one year, or by both that fine and imprisonment.

9656.25. If any city, county, or city and county exercises its authority to address public health, safety, or welfare issues in connection with a cemetery within its jurisdiction and if the certificate of authority of the cemetery has been revoked or suspended or has not been renewed, and the bureau holds the endowment care fund of the certificate of authority under applicable provisions of this code, the costs of any action that constitutes care, maintenance, or embellishment of the cemetery within the meaning of Section 8726 of the Health and Safety Code shall be eligible for reimbursement from available income from any endowment care fund in existence for the cemetery. For purposes of this section, local jurisdiction action may be based on charter, ordinance, or inherent police powers. Any claim for money or damages for an act or omission by the local jurisdiction acting in accord with this section shall be subject to all otherwise applicable immunities contained in Division 3.6 (commencing with Section 810) of Title 1 of the Government Code.

9656.3. Whenever the bureau makes any seizure as provided in Section 9656.2, it shall, on demand of the bureau, be the duty of the sheriff of any county of this state, and of the police department of any municipal corporation therein, to furnish the bureau with deputies, patrolmen or officers as may be necessary to assist the bureau in making and enforcing that seizure.

9656.4. Immediately after effecting a seizure pursuant to Section 9656.2, the bureau shall institute a proceeding as provided for in Section 9656.1.

9656.45. Notwithstanding any other provision of law, the bureau shall be the custodian of all moneys collected or surrendered pursuant to Sections 9656.1 and 9656.2. As custodian, the bureau may deposit those moneys, or any part thereof, without court approval, in any of the following: a bank or trust company legally authorized and empowered by the state to act as a trustee in the handling of trust funds; in a centralized State Treasury system bank account; or in funds administered by the State Treasurer.

9656.5. The bureau shall maintain, regulate, operate, and control the property situated in Amador County, referred to as the Elkin Property in Judicial Council Coordination Proceedings Nos. 1814 and 1817, Order Re Proposed Neptune Memorial, Disposition of the Elkin Property, and Order Re Final Disposition of Ashes of the Sacramento Superior Court, and legally described as "Parcel 16-B as shown on the certain Record or Survey for Eugene S. Lowrance, et ux, filed for record May 17, 1971, in Book 17 of Maps and Plats at page 87, Amador County Records." The bureau shall administer and supervise endowment funds established by the court for the property. The bureau shall exercise the authority granted by this section for the sole purpose of protecting the human remains resting on the property and
preserving the property in its natural state.

9657. The bureau is authorized to bring action to enforce the provisions of the law subject to its jurisdiction, in which actions it shall be represented by the Attorney General.

9658. The bureau shall enforce and administer Part 1 (commencing with Section 8100), Part 3 (commencing with Section 8250), and Part 5 (commencing with Section 9501) of Division 8 of the Health and Safety Code.

9659. In any report to the bureau all bonds, debentures or other evidences of debt held by a cemetery corporation if amply secured and if not in default as to principal or interest may be valued as follows:

9660. Any security or other evidence of debt if in default as to principal or interest or if not amply secured shall not be valued as an asset of the endowment care fund above its market value.

9661. Notwithstanding any other provision of law, every cemetery authority shall present to the survivor of the deceased who is handling the burial or cremation arrangements or the responsible party a copy of any preneed agreement that has been signed and paid in full, or in part, by or on behalf of the deceased and is in the
possession of the cemetery authority. The copy may be presented in person, by certified mail, or by facsimile transmission, as agreed upon by the survivor of the deceased or the responsible party. A cemetery authority who knowingly fails to present the preneed agreement to the survivor of the deceased or the responsible party shall be liable for a civil fine equal to three times the cost of the preneed agreement, or one thousand dollars ($1,000), whichever is greater.

9662. The current address, telephone number, and name of the bureau shall appear on the first page of any contract for goods and services offered by a cemetery authority or crematory. At a minimum, the information shall be in 8-point boldface type and make the following statement:

"FOR MORE INFORMATION ON FUNERAL, CEMETERY, AND CREMATION MATTERS, CONTACT: DEPARTMENT OF CONSUMER AFFAIRS, CEMETERY AND FUNERAL BUREAU, (ADDRESS), (TELEPHONE NUMBER)."

A cemetery authority or crematory operator shall supply the above information in writing when presenting a sales contract to any individual.

9663. (a) The bureau shall make available to funeral establishments and cemetery authorities a copy of a consumer guide for funeral and cemetery purchases for purposes of reproduction and distribution. The funeral and cemetery guide that is approved by the bureau, in consultation with the funeral and cemetery industries and any other interested parties, shall be made available in printed form and electronically through the Internet. (b) A cemetery authority shall prominently display and make available to any individual who, in person, inquires about funeral or cemetery purchases, a copy of the consumer guide for funeral and cemetery purchases, reproduced as specified in subdivision (a). (c) Prior to drafting a contract for cemetery goods or services, the cemetery authority or cemetery licensee shall provide to the consumer, for retention, a copy of the consumer guide for funeral and cemetery purchases specified.

9675. This article does not apply to the following cases or to the following persons:

9676. No person shall engage in the business of, act in the capacity of, advertise or assume to act as, a cemetery broker or cemetery salesperson in this state without first obtaining a license from the bureau.

9677. Any act other than an occasional sale of buying or selling, leasing or exchanging cemetery property or interment services of or for another or on his or her own account, or offering for another or for his or her own account to buy or sell, lease or exchange cemetery property or interment services, or negotiating the purchase or sale, lease or exchange of cemetery property or interment services, or negotiating the purchase or sale, lease or exchange, or listing or soliciting, or negotiating a loan on or leasing of cemetery property or interment services constitutes the person making such offer, sale or purchase, exchange or lease, or negotiating the loan, or listing or soliciting, a cemetery broker or cemetery salesperson.

9678. No person engaged in the business or acting in the capacity of a broker or a salesperson within this state shall bring or maintain any action in the courts of this state for the collection of compensation for the performance of any of the acts mentioned in this article without alleging and proving that he or she was a duly licensed cemetery broker or cemetery salesperson at the time the alleged cause of action arose.

9679. No cemetery broker shall employ or compensate, directly or indirectly, any person for performing any of the acts within the scope of this article who is not a licensed cemetery broker, or a cemetery salesperson licensed under the cemetery broker employing or compensating him or her. No cemetery salesperson shall be employed by or accept compensation from any person other than the cemetery broker under whom he or she is at the time licensed. No salesperson shall pay any compensation for performing any of the acts within the scope of this article to any licensee except through the cemetery broker under whom he or she is at the time licensed. For a violation of any of the provisions of this section, the bureau may temporarily suspend or permanently revoke the license of the cemetery licensee in accordance with the provisions of this act relating to disciplinary proceedings.

9680. It is a misdemeanor, punishable by a fine not exceeding one hundred dollars ($100) for each offense, for any person, whether obligor, escrowholder or otherwise, to pay or deliver to anyone a compensation for performing any of the acts within the scope of this article who is not known to be or who does not present evidence to such payer that he or she is a licensed cemetery broker at the time such compensation is earned. For violation of any of the provisions of this section, the bureau may temporarily suspend or permanently revoke the license of the cemetery licensee in accordance with the provisions of this act relating to disciplinary proceedings.

9681. Any person acting as a cemetery broker or cemetery salesperson without a license, or who advertises so as to indicate he or she is a cemetery broker without being so licensed, is guilty of a misdemeanor. If that person is a corporation, it shall be punished by a fine of not to exceed five thousand dollars ($5,000).

9682. Any cemetery salesperson or cemetery broker who sells, causes to be sold, or offers for sale any cemetery property upon the promise, guarantee or representation to the purchaser that the same may be resold or repurchased at a financial profit is guilty of a misdemeanor. For violation of any of the provisions of this section, the bureau may temporarily suspend or permanently revoke the license of the cemetery salesperson or cemetery broker in accordance with the provisions of this act relating to disciplinary proceedings. No violation of any of the provisions of this section by any
cemetery salesperson or employee of any licensed cemetery broker shall cause the suspension or revocation of the license of the employer of the salesperson or employee unless it appears upon a hearing by the bureau that the employer had guilty knowledge of such violation.

9683. Every officer, agent or employee of any company, and every other person who knowingly authorizes, directs or aids in the publication, advertisement, distribution, or circularization of any false statement or representation concerning any cemetery or cemetery brokerage business and every person who, with knowledge that any advertisement, pamphlet, prospectus or letter concerning any cemetery brokerage business or any written statement that is false or fraudulent, issues, circulates, publishes or distributes the same, or causes it to be issued, circulated, published or distributed, or who in any other respect willfully violates or fails, omits or neglects to obey, observe or comply with any order, permit, decision, demand or requirement of the bureau under the provisions of this act relating to cemetery brokerage, is guilty of a misdemeanor, and, if a cemetery licensee, he or she shall be held to trial by the bureau for a suspension or revocation of this cemetery license, as provided in the provisions of this act relating to disciplinary proceedings.

9684. Each cemetery broker, other than a cemetery corporation holding a certificate of authority, and each cemetery salesperson must include in any advertising a statement that he or she is acting as a cemetery broker or cemetery salesperson.

9685. For violation of any of the provisions of Section 9684 the bureau may temporarily suspend or permanently revoke the license of the cemetery licensee in accordance with the provisions of this act relating to disciplinary proceedings.

9686. Any person, other than a person making an occasional sale, who advertises cemetery property for sale or exchange, without being duly licensed as a cemetery broker or a cemetery salesperson, or without possessing a certificate of authority as a cemetery corporation, is guilty of a misdemeanor. If such person is a corporation, it shall be punished by a fine of not to exceed five thousand dollars ($5,000).

9700. Application for license as a cemetery broker shall be made in writing on the form prescribed by the bureau and filed at the principal office of the bureau. The application shall be accompanied by the original cemetery broker's license fee.

9700.5. The bureau shall not grant an original cemetery broker's license to any person who is not a resident of this state. Change of residence to another state shall terminate the license.

9700.6. The bureau shall not grant an original cemetery broker's license to any person who has not held a cemetery salesperson's license for at least two years prior to the date of his or her application for the broker's license, and during that time was not actively engaged in the business of a cemetery salesperson except that if an applicant for a cemetery broker's license having at least the equivalent of two years' general cemetery experience files a written petition with the bureau setting forth his or her qualifications and experience and the bureau approves, he or she may be issued a cemetery broker's license immediately upon passing the appropriate examinations and satisfying the other requirements of this article.

9701. Application for license as a cemetery salesperson shall be made in writing on the form prescribed by the bureau and filed at the principal office of the bureau. The application shall be signed by the applicant, and shall be accompanied by the cemetery salesperson's license fee.

9701.5. Notwithstanding any other provision of this chapter, Section 9702.5 does not apply to an applicant for a cemetery salesperson's license.

9702.1. The bureau shall investigate the qualifications of the applicants. Except as otherwise prescribed in this article, it may issue the license applied for to an applicant on a showing satisfactory to it that the following facts exist:

9702.2. All cemetery brokers who do not possess a certificate of authority shall in addition to the requirements of this chapter file with the bureau a satisfactory bond to the people of the State of California, duly executed by a sufficient surety or sureties to be approved by the bureau, in the amount of ten thousand dollars ($10,000). That bond shall be conditioned for the honest and faithful performance by such broker and his or her salespersons and employees of any undertaking as a licensed cemetery broker or salesperson or employee of said broker at any time when licensed under this chapter, and the strict compliance with the provisions of this chapter and of Division 8 of the Health and Safety Code relating to cemeteries, and the honest and faithful application of all funds received. That bond shall be further conditioned upon the payment of all damages suffered by any person damaged or defrauded by reason of the violation of any of the provisions of this chapter or of Division 8 of the Health and Safety Code relating to cemeteries, or by reason of the violation of the obligation of such broker as an agent, as such obligations are laid down by the Civil Code of the State of California, or by reason of any fraud connected with or growing out of any transactions contemplated by this chapter or Division 8 of the Health and Safety Code.

9702.5. The bureau shall ascertain by written examination that the applicant, and, in case of a copartnership or corporation applicant for a cemetery broker's license, that each officer, agent or member thereof through whom it proposes to act as a cemetery licensee has:

9703. The bureau may, in its discretion, waive the examination of any applicant for a cemetery broker's license who held an unrevoked or unsuspended cemetery license on June 30th of the preceding fiscal year as an individual broker, an officer of a corporation, or member of a copartnership.

9704. An application on the form prescribed by the bureau for the renewal of any unrevoked and unsuspended license filed before midnight of June 30th of the year for which such unrevoked and unsuspended license was issued, accompanied by the applicable renewal fee, entitles the applicant to continue operating under his or her existing license after its usual expiration date, if not previously suspended or revoked, and until such date as he or she is notified in writing that the application has been granted or denied.

9706. No cemetery license gives authority to do any act specified in this act to any person other than the person to whom the license is issued.

9707. When a cemetery brokerage license is issued to a cemetery brokerage corporation, if it desires any of its officers other than the officer through whom it is already licensed to act under its license as a cemetery broker, it shall procure an additional license for each such officer. When a cemetery brokerage license is granted to cemetery brokerage copartnership, if it desires any of its members other than the one through whom it is already licensed to act as a cemetery broker, it shall procure an additional license for each such member.

9708. Each officer of a corporation through whom it is licensed to act as a cemetery broker, and each member of a copartnership through whom it is licensed to act as a cemetery broker, is, while so employed under such license, a licensed cemetery broker, but licensed only to act as such for and on behalf of the corporation or the copartnership, as officer or member, respectively.

9709. The cemetery licenses of both broker and salesperson shall be prominently displayed in the office of the broker. The cemetery salesperson's license shall remain in the possession of the licensed cemetery broker employer until canceled or until the salesperson leaves the employ of the broker.

9710. Immediately upon the salesperson's withdrawal from the employ of the broker, the broker shall return the salesperson's license to the bureau for cancellation. A license canceled but not suspended or revoked may be reinstated within the fiscal year upon receipt of application therefor and the fee for the reinstatement of the
license.

9711. Every licensed cemetery broker shall have and maintain a definite place of business in this state which shall serve as his or her office for the transaction of business. No cemetery license authorizes the licensee to do business except from the location for which the cemetery license was issued. Notice in writing shall be given the bureau of change of business location of a cemetery broker, whereupon the bureau shall issue a new cemetery license for the unexpired period. The change or
abandonment of business location without notification to the bureau shall automatically cancel the license theretofore issued.

9712. If the applicant for a cemetery broker's license maintains more than one place of business within the state he or she shall apply for and procure an additional license for each branch office so maintained. Every such application shall state the name of the person and the location of the place of business for which such license is desired. The bureau may determine whether or not a broker is doing a cemetery brokerage business at or from any particular location which requires him or her to have a branch office license.

9713. Each cemetery broker shall erect and maintain a sign in a conspicuous place on the premises to indicate that he or she is a licensed cemetery broker and his or her name shall be clearly shown thereon. The size and place of the sign shall conform to regulations that may be adopted by the bureau.

9714. For a violation of any of the provisions of Sections 9709, 9710, 9711 and 9713, the bureau may temporarily suspend or permanently revoke the license of the cemetery licensee in accordance with the provisions of this act relating to disciplinary
proceedings.

9715. Application for a certificate of authority shall be made in writing on the form prescribed by the bureau and filed at the principal office of the bureau. The application shall be accompanied by the fee provided for in this act and shall show that the cemetery authority owns or is actively operating a cemetery in this state which is subject to the provisions of the Cemetery Act or that the applicant is in a position to commence operating a cemetery.

9715.1. (a) Each cemetery for which a certificate of authority is required shall be operated under the supervision of a manager who is qualified in accordance with the regulations adopted by the bureau. Each cemetery manager shall be required to successfully pass a written examination evidencing an understanding of the applicable provisions of this code and of the Health and Safety Code. No person shall engage in the business of, act in the capacity of, or advertise or assume to act as, a cemetery manager without first obtaining a license from the bureau. (b) This section shall become operative on July 1, 2003.

9716. The bureau may require such proof as it deems advisable concerning the compliance by such applicant to all the laws, rules, regulations, ordinances and orders applicable.

9718. The bureau may, in accordance with its rules and regulations, authorize interments in cemeteries for which there is no currently valid certificate of authority outstanding if the bureau finds that rights to interment therein will otherwise be impaired. However, nothing in this section authorizes sales of lots, vaults, or niches by cemeteries for which there is no currently valid certificate of authority. Interments permitted under this section shall be conducted by persons authorized by the bureau in accordance with its regulations, and Section 9768 shall not be applicable to such
interments.

The bureau or its representative shall be entitled to inspect and copy any cemetery records necessary to the performance of interments under this section, and any person having custody of those records shall permit inspection and copying thereof for that purpose. The bureau may apply to the superior court for the county in which the cemetery is located for an order temporarily transferring custody of cemetery records to it for purposes of this section.

9719. The bureau shall inspect the books, records, and premises of any crematory licensed under this chapter. In making those inspections, the bureau shall have access to all books and records, the crematory building, the cremation chambers or furnaces, and the storage areas for human remains before and after cremation, during regular office hours or the hours the crematory is in operation. No prior notification of the inspection is required to be given to the crematory licensee. If any crematory licensee fails to allow that inspection or any part thereof, it shall be grounds for the suspension or revocation of a license or other disciplinary action against the licensee. All proceedings under this section shall be conducted in accordance with the provisions of this chapter relating to disciplinary proceedings.

9720. The bureau shall annually conduct a minimum of one unannounced inspection of each licensed crematory.

9723. A cemetery licensed under this chapter shall at all times employ a licensed cemetery manager to manage, supervise, and direct its operations. Notwithstanding any other provision of this chapter, licensed cemeteries within close geographical proximity of each other may request the bureau to allow a licensed cemetery manager to manage, supervise, and direct the business or profession of more than
one facility.

9725. Upon grounds provided in this article and the other articles of this act, the license of any cemetery licensee and the certificate of authority of any cemetery corporation may be revoked or suspended in accordance with the provisions of this article.

9725.1. Unprofessional conduct by any licensee or registrant or by any agent or employee of a licensee or registrant constitutes grounds for disciplinary action. Unprofessional conduct includes, but is not limited to, the following:

9726. The bureau may, upon its own motion, and shall, upon the verified complaint in writing of any person, investigate the actions of any person engaged in the business or acting in the capacity of a cemetery licensee, and may temporarily suspend or permanently revoke a license at any time where the licensee, within the immediately preceding three years, while a cemetery licensee in performing or attempting to perform any of the acts specified in this act, has been guilty of any of the following:

9727. The bureau may suspend or revoke the license of any cemetery licensee who, within the immediately preceding three years, has done any of the following:

9727.1. The bureau may suspend or revoke the license of any cemetery licensee who procures a cemetery license, for himself or herself or any salesperson, by fraud, misrepresentation or deceit. An action to suspend or revoke a license for a violation of the provisions of this section shall be commenced within three years after the discovery by the bureau of that violation.

9727.2. A plea or verdict of guilty or a conviction following a plea of nolo contendere is deemed to be a conviction within the meaning of this article. The bureau may order the license suspended or revoked, or may decline to issue a license, when the time for appeal has elapsed, or the judgment of conviction has been affirmed on appeal or when an order granting probation is made suspending the imposition of sentence, irrespective of a subsequent order under the provisions of Section 1203.4 of the Penal Code allowing such person to withdraw his or her plea of guilty and to enter a plea of not guilty, or setting aside the verdict of guilty, or dismissing the accusation, information or indictment.

9728. When any salesperson is discharged by his or her employer for a violation of any of the provisions of this article prescribing a ground for disciplinary action, a verified written statement of the facts with reference thereto shall be filed forthwith with the bureau by the employer and, if the employer fails to notify the bureau as required by this section, the bureau may temporarily suspend or permanently revoke the cemetery license of the employer in accordance with the provisions of this act.

9729. The bureau may deny, suspend or revoke the cemetery license of a corporation as to any officer or agent acting under its cemetery license, and the cemetery license of a copartnership as to any member acting under its cemetery license, without revoking the cemetery license of the corporation or of the copartnership.

9730. The fees for cemetery licenses at all periods of the fiscal year is the same as provided in this article. All cemetery license fees are payable in advance of issuing the licenses and at the time of filing the application. All licenses shall be issued for the fiscal year and shall expire on June 30th of each fiscal year at midnight.

9731. If a person fails to apply for a license renewal, no renewal license shall be issued except upon payment of the delinquent renewal fee required under Section 9750.5. No person who fails to renew his or her license within one year of the expiration date can engage in any of the activities authorized by a license unless he or she first files the application required for an original license, pays the original license fee, and otherwise complies with all of the provisions of this act pertaining to the issuance of an original license.

9732. The definitions contained in this article are solely for the purposes of this article.

9733. An original cemetery broker's license is a cemetery license issued to a person who did not have a cemetery broker's license on June 30th of the fiscal year previous to the fiscal year for which the license is issued.

9734. A renewal cemetery broker's license is a cemetery license issued to a person who had a cemetery broker's license unrevoked and unsuspended on June 30th of the fiscal year previous to the fiscal year for which the renewal cemetery license is issued.

9735. An original cemetery salesperson's license is a cemetery license issued to a person who did not have a cemetery salesperson's or a broker's license either individually or as an officer of a corporation, or as a member of a copartnership, on June 30th of the fiscal year previous to the fiscal year for which the salesperson's
license is issued.

9736. A renewal cemetery salesperson's license is a cemetery license issued to a person who had a cemetery salesperson's or a broker's license either individually or as an officer of a corporation, or as a member of a copartnership, on June 30th of the
fiscal year previous to the fiscal year for which the salesperson's license is issued.

9737. The proceedings under this article shall be conducted in accordance with Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code, and the bureau shall have all the powers granted therein.

9740. No person shall dispose of or offer to dispose of any cremated human remains unless registered as a cremated remains disposer by the bureau. This article shall not apply to any person, partnership, or corporation holding a certificate of authority as a cemetery, crematory license, cemetery broker's license, cemetery salesperson's license, or funeral director's license, nor shall this article apply to any person having the right to control the disposition of the cremated remains of any person or that person's designee if the person does not dispose of or offer to dispose of more than 10 cremated human remains within any calendar year.

9741.1. The bureau shall prepare and deliver to each registered cremated remains disposer a booklet that includes, but is not limited to, the following information: details about the registration and renewal requirements for cremated remains disposers; requirements for obtaining state permits to dispose of cremated human remains; state storage requirements, if any; statutory duties pursuant to this article, and other applicable state laws.

9742. All aircraft used for the scattering of cremated human remains shall be validly certified by the Federal Aviation Administration. All boats or vessels used for the scattering of cremated human remains shall be registered with the Department of Motor Vehicles or documented by a federal agency, as appropriate. The certification or registration shall be available for inspection by the bureau.

9743. A cremated remains disposer who scatters any cremated human remains without specific written instructions from the person having the right to control the disposition of the remains or who scatters any remains in a manner not in accordance with those instructions shall be subject to disciplinary action.

9744. Each cremated remains disposer shall provide the person with the right to control the disposition of the remains under Section 7100 of the Health and Safety Code with a copy of the completed permit for disposition of human remains pursuant to Chapter 8 (commencing with Section 103050) of Part 1 of Division 102 of the Health and Safety Code within 30 days of the date of the scattering .

9746. All cremated remains disposer registrations shall expire at 12 midnight on September 30th of each year. A person desiring to renew his or her registration shall file an application for renewal on a form prescribed by the bureau accompanied by the required fee. A registration that has expired may be renewed within five years of its expiration upon payment of all accrued and unpaid renewal fees. The bureau shall not renew the registration of any person who has not filed the required annual report until he or she has filed a complete annual report with the department.

9747. If a person fails to apply for renewal of his or her cremated remains disposer registration prior to midnight of September 30th of the year for which the registration was issued, no renewal shall be issued except upon payment of the delinquent renewal fee required under Section 9750.5.

9748. Any person who scatters cremated human remains without a valid registration and who is not otherwise exempt from this article shall be guilty of a misdemeanor. The remains of each person scattered shall constitute a separate violation.

9749. Any person who scatters any cremated human remains without specific written instructions from the person having the right to control the disposition of the remains or who scatters any remains in a manner not in accordance with those instructions shall be guilty of a misdemeanor.

9749.3. Any cremated remains disposer who stores cremated remains in a reckless manner that results in either of the following is guilty of a public offense punishable by imprisonment in a county jail not exceeding one year or by a fine not to exceed five thousand dollars ($5,000), or by both that fine and imprisonment:

9749.5. A cremated remains disposer shall be subject to and shall be disciplined by the bureau in accordance with Article 6 (commencing with Section 9725). Any violation of this article shall also be grounds for disciplinary action.

9750. The amount of fees prescribed for a license or certificate of authority under this act is that fixed by the following provisions of this article. Any license or certificate of authority provided under this act that has expired may be renewed within five years of
its expiration upon payment of all accrued and unpaid renewal and regulatory fees.

9750.5. The delinquent renewal fee for a license, registration, or certificate of authority under this chapter shall be 150 percent of the timely fee, but not less than the renewal fee plus twenty-five dollars ($25).

9751. The original cemetery broker's license fee shall be fixed by the bureau at not more than four hundred dollars ($400).

9752. The original cemetery broker's license fee is payable at the time of the filing of an application for an original cemetery broker' s license. If the applicant fails the required written examination, he or she may be permitted to take another examination upon the filing of an application for reexamination and the payment of a reexamination fee. This reexamination fee shall be fixed by the bureau at not more than one hundred dollars ($100). No part of any original cemetery broker's license fee or reexamination fee is refundable. It is deemed earned upon receipt by the bureau, whether the accompanying application for a license is complete or incomplete.

9753. The annual renewal fee for a cemetery broker's license shall be fixed by the bureau at not more than three hundred dollars ($300).

9754. If the licensee is a cemetery brokerage corporation, the license issued to it entitles one officer only, on behalf of the corporation, to engage in the business of a cemetery broker without the payment of a further fee, that officer to be designated in the application of the corporation for a license. For each other officer of a licensed cemetery brokerage corporation, through whom it engages in the business of a cemetery broker, the annual renewal fee, in addition to the fee paid by the corporation, shall be fixed by the bureau at not more than one hundred dollars ($100).

9755. If the licensee is a cemetery brokerage copartnership, the license issued to it entitles one member only of the copartnership to engage on behalf of the copartnership in the business of a cemetery broker, which member shall be designated in the application of the copartnership for a license. For each other member of the copartnership who on behalf of the copartnership engages in the business of a cemetery broker, the annual renewal fee, in addition to the fee paid by the copartnership, shall be fixed by the bureau at not more than one hundred dollars ($100).

9756. The cemetery salesperson's license fee shall be fixed by the bureau at not more than thirty dollars ($30).

9757. A cemetery salesperson's license fee is payable on each filing of an application for a cemetery salesperson's license.

9759. The annual renewal fee for a cemetery salesperson's license shall be fixed by the bureau at not more than twenty-five dollars ($25).

9760. For a branch office broker's license, the fee shall be fixed by the bureau at not more than one hundred dollars ($100).

9760.5. The cremated remains disposer registration fee shall be one hundred dollars ($100).

9760.6. The renewal fee for a cremated remains disposer registration shall be fifty dollars ($50).

9761. For change of name or of address of licensee on the records of the bureau, the fee shall be fixed by the bureau at not more than twenty-five dollars ($25).

9762. For transfer of a salesperson's license on change of employer, the fee shall be fixed by the bureau at not more than twenty-five dollars ($25).

9763. For a duplicate license the fee shall be fixed by the bureau at not more than twenty-five dollars ($25).

9764. For reinstatement of a license within the fiscal year, the fee shall be fixed by the bureau at not more than twenty-five dollars ($25). As used in this section, "reinstatement of a license" means the reissuance of a canceled cemetery broker's license, or a cemetery salesperson's license which was canceled during the year for which it was issued upon the salesperson's withdrawal from the employ of a cemetery broker.

9764.3. The fee for filing a report of a change of designated manager or a request for approval to share a designated cemetery manager shall not exceed fifty dollars ($50).

9765. Every cemetery authority operating a cemetery shall pay an annual regulatory charge for each cemetery to be fixed by the bureau at not more than four hundred dollars ($400). In addition to an annual regulatory charge for each cemetery, an additional quarterly charge of not more than eight dollars and fifty cents ($8.50) for each burial, entombment, or inurnment made during the preceding quarter shall be paid until December 31, 2007, to the bureau and these charges shall be deposited in the Cemetery Fund. If the cemetery authority performs a burial, entombment, or inurnment, and the cremation was performed at a crematory located on the grounds of the cemetery and under common ownership with the cemetery authority, the total of all additional charges shall be not more than eight dollars and fifty cents ($8.50).

9766. Upon payment of the charges set forth, the bureau shall issue a renewal of the certificate of authority to the cemetery authority.

9767. Failure to pay the charges set forth by Section 9765 of this code prior to February 1st for each year shall be cause for suspension of the certificate of authority. The certificate may be restored upon payment to the bureau of the prescribed charges.

9768. It is a misdemeanor for any cemetery corporation to make any interments without a valid certificate of authority. Each interment shall be a separate violation.

9769. All moneys received by the bureau under the provisions of this chapter shall be accounted for and reported by detailed statements furnished by the bureau to the Controller at least once a month, and at the same time these moneys shall be remitted to the Treasurer, and, upon order of the Controller, shall be deposited in the Cemetery Fund in the State Treasury, which fund is hereby created.

9770. All money paid into the State Treasury and credited to the Cemetery Fund shall be expended in accordance with law for the payment of all actual and necessary expenses incurred in carrying out the provisions of this act.

9780. A crematory established, operated, or maintained, may be operated by a corporation, partnership, or natural person, provided that a valid crematory license shall have been issued by the bureau. Any existing crematory operated by a licensed cemetery authority on January 1, 2002, shall have until January 1, 2003, to make application for a crematory license.

9780.5. Any change in the ownership of a crematory shall be reported to the Cemetery and Funeral Bureau. Any transfer in a single transaction or a related series of transactions of more than 50 percent of the equitable interest in a licensed crematory shall constitute a change of ownership. When a change of ownership in a crematory occurs, the existing crematory license shall lapse and the new owner shall obtain a new license from the bureau as otherwise provided in this act. The bureau shall not require an applicant under this section to obtain any new permit or license from any other governmental agency when the existing permit or license is valid.

9781. Application for a crematory license shall be made in writing on the form prescribed by the bureau and filed at the principal office of the bureau. The application shall be accompanied by the fee provided for in this article and shall show that the applicant owns or is actively operating a crematory in this state or that the applicant is in a position to commence operating such a crematory.

9781.5. The provisions of Article 5 (commencing with Section 8340) of Chapter 2 of Part 3 of Division 8 of the Health and Safety Code shall apply to crematories licensed under this chapter.

9782. The bureau may require such proof as it deems advisable concerning the compliance by such applicant with all the laws, rules, regulations, ordinances, and orders applicable to the applicant and shall not issue such crematory license until it has satisfied itself that the public interest will be served by such applicant.

9784.5. Every crematory licensee, who prohibits relatives or the responsible party from viewing the cremation process, shall disclose this fact in writing to the person or persons entitled to custody of the remains prior to the signing of any contract.

9785. Each crematory licensee shall keep such records as may be required by the bureau to assure compliance with all laws relating to the disposition of cremated human remains and shall file annually with the bureau, a report in the form prescribed by the bureau, describing the operations of the licensee, including the number of cremations made, the disposition thereof, and any other information
as the bureau may, from time to time, require.

9786. Every crematory licensee operating a crematory pursuant to a license issued in compliance with this article shall pay an annual regulatory charge for each crematory, to be fixed by the bureau at not more than four hundred dollars ($400). In addition to an annual regulatory charge for each crematory, every licensee operating a crematory pursuant to a license issued pursuant to this article shall pay until December 31, 2007, an additional charge of not more than eight dollars and fifty cents ($8.50) per cremation made during the preceding quarter, which charges shall be deposited in the Cemetery Fund.

9787.2. A crematory shall at all times employ a licensed crematory manager to manage, supervise, and direct its operations.

9787.4. (a) No person shall engage in or conduct, or hold himself or herself out as engaging in or conducting, the activities of a crematory manager without holding a valid, unexpired crematory manager license issued by the bureau. (b) No licensed crematory manager shall engage in or conduct, or hold himself or herself out as engaging in or conducting, the activities of a crematory manager without being employed by, or without being a sole proprietor, partner, or corporate officer of, a licensed crematory.

9788. It is a misdemeanor for any person, firm, or corporation to cremate human remains or to engage in the disposition thereof without a valid, unexpired crematory license. Each cremation shall be a separate violation.

9789. A crematory licensee shall be subject to and shall be disciplined by the bureau in accordance with Article 6 (commencing with Section 9725).

California Code of Regulations,
TITLE 16. PROFESSIONAL AND VOCATIONAL REGULATIONS
Division 12. State Board of Funeral Directors and Embalmers
(Originally Printed 12-5-46)

1200. Location of Offices. [Repealer filed 7-3-86]
1201. Tenses, Gender, and Number. [Repealer filed 7-3-86]

The power and discretion conferred by law upon the board to receive and file accusations; issue notices of hearing, statements to respondent and statements of issues; receive and file notices of defense; determine the time and place of hearings under Section 11508 of the Government Code; issue subpoenas and subpoenas duces tecum; set and calendar cases for hearing and perform other functions necessary to the business-like dispatch of the business of the board in connection with proceedings under the provisions of Sections 11500 through 11528 of the Government Code, prior to the hearing of such proceedings; and the certification and delivery or mailing of copies of decisions under Section 11518 of said code are hereby delegated to and conferred upon the executive officer.

Note: Authority cited: Sections 7606 and 7607.5, Business and Professions Code. Reference: Sections 7606 and 7607.5, Business and Professions Code; and Section 11500 et seq., Government Code.

History
1. Amendment filed 7-3-86; effective thirtieth day thereafter (Register 86, No. 27).

Each person holding a certificate of registration, license, permit or any other authority to practice or engage in any activity in the State of California under any and all laws administered by the State Board of Funeral Directors and Embalmers shall file his proper and current mailing address with the Board at its office in Sacramento and shall immediately notify the Board at its said office of any and all changes of mailing address, giving both his old and his new address.

(a) Any person, association, partnership, corporation or other organization licensed and conducting business as a funeral establishment shall designate a licensed funeral director to manage the establishment, and shall report the designation to the Board within 10 days of the effective date of the designation.
(b) The designated managing licensed funeral director of a licensed funeral establishment shall be responsible for exercising such direct supervision and control over the conduct of said funeral establishment as is necessary to ensure full compliance with the Funeral Directors and Embalmers Law, the provisions of this chapter and the applicable provisions of the Health and Safety Code. Failure of the designated managing licensed funeral director and/or the licensed funeral establishment to exercise such supervision or control, or failure of the holder of the funeral establishment license to make such designation shall constitute a ground for disciplinary action.
(c) A licensed funeral establishment may, upon approval by the Board, designate a licensed funeral director to manage more than one facility under the following conditions:
(1) the licensed funeral establishments are under common ownership, and;
(2) the common owners have designated one funeral establishment as the main office. The main office is defined as a designated location registered with the Board where the principals of the funeral establishment can be contacted, and;
(3) the remaining establishments must be within a 60 mile radius of the main office, and;
(4) the licensed funeral establishments requesting permission from the Board to use one designated managing licensed funeral director, must make a written request, on a form 21F-12 (4/93) provided by the Board. An inspection shall be scheduled and completed to ensure that the conditions set forth in this section have been satisfied.
(d) A funeral director who advertises his or her services shall hold a current, active license, and shall include his or her license number, the name and license number of the funeral establishment at which he or she is employed, and the name of the city or community where the funeral establishment is located on any television and print advertising including, but not limited to, telephone and other directory listings, and newspaper and magazine advertisements.
Note: Authority cited: Sections 7606 and 7616.2, Business and Professions Code. Reference: Sections 7606, 7616, 7616.2, 7618, 7619, 7620, 7621, and 7622, Business and Professions Code.
History

1. New article 1.5 (sections 1204-1205) and section filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

1205. Review of Funeral Director License Applications; Processing Time
(a) The Board shall inform an applicant for a funeral director license, in writing, within seven (7) days of receipt whether the application is complete and acceptable for filing or is deficient and what specific information is required to complete the application.
(b) The Board shall make a decision within sixty (60) days after the date the application is deemed to be completed whether the applicant meets the requirements for licensure. "Completion of an application" means that a completed application form together with all required information, documentation and fees has been filed by the applicant.
(c) The minimum, median and maximum processing times for an application for a funeral director license from the date of acceptance and filing of the initial application until the Board makes a final decision on the application are:
(1) Minimum-(1) day.
(2) Median-(10) days.
(3) Maximum-(60) days.
Note: Authority cited: Section 7615, Business and Professions Code; and Section 15376, Government Code. Reference: Sections 7615, 7618, 7619, 7621, and 7622 Business and Professions Code; and Section 15376, Government Code.
History
1. New section filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

Article 2. Funeral Establishments

Within 10 days after the receipt of an application for a funeral establishment license, notice of such filing shall be sent to such persons and organizations as the Executive Officer of the Board may deem expedient, located at or near the place where such applicant proposes to engage in business as a funeral establishment, and to such other persons or organizations that may request such information.

Note: Authority cited: Section 7606, Business and Professions Code. Reference: Sections 7607.5, 7617, 7617.1, 7619.3 and 7621, Business and Professions Code.

History
1. Originally published 12-5-46 (Title 16).
2. Amendment filed 11-4-47 as an emergency (Register 10, No. 2).
3. Amendment filed 7-3-86; effective thirtieth day thereafter (Register 86, No. 27).
4. Change without regulatory effect amending article heading filed 4-15-97 pursuant to section 100, title 1, California Code of Regulations (Register 97, No. 16).
5. Amendment of section heading, section and Note filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

1208.1. Review of Funeral Establishment License Applications; Processing Time

(a) The Board shall inform an applicant for licensure as a funeral establishment, in writing, within ten (10) days whether the application is complete and accepted for filing or is deficient and what specific information is required to complete the application.
(b) The Board shall make a decision within ninety (90) days after the date the application is deemed to be completed whether the applicant meets the requirements for licensure. "Completion of an application" means that a completed application form, together with all required information, documentation and fees, has been filed by the applicant. This period may be extended if the applicants' proposed facility is not ready for or fails to pass any required inspection.
(c) The minimum, median and maximum processing times for an application for licensure as a funeral establishment from the date of acceptance and filing of the initial application until the Board makes a final decision on the application are:
(1) minimum-(40) days.
(2) median-(70) days.
(3) maximum-(90) days.
Note: Authority cited: Section 7606, Business and Professions Code; and Section 15376, Government Code. Reference: Sections 7618-7627, Business and Professions Code; and; Section 15376, Government Code.

History
1. New section filed 7-3-86; effective thirtieth day thereafter (Register 86, No. 27).
2. Amendment of section heading and section filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

All ambulances, hearses and first-call or pickup cars and the equipment therein shall be kept clean and sanitary and free from deleterious odors at all times. Such vehicles shall be cleansed with a suitable and effective disinfectant, immediately after being used to transport human remains dead of any contagious disease, or as soon thereafter as practical, so as not to endanger the public health or safety.

Note: Authority cited: Section 7606, Business and Professions Code. Reference: Sections 7606 and 7707, Business and Professions Code.

History
1. Amendment filed 7-3-86; effective thirtieth day thereafter (Register 86, No. 27).
2. Change without regulatory effect amending section filed 4-15-97 pursuant to section 100, title 1, California Code of Regulations (Register 97, No. 16).

The certificate of licensure shall remain the property of the State of California, in possession of the licensee only so long as he/she or it exercises the license at the location specified in the license, and said certificate shall be surrendered to the State Board of Funeral Directors and Embalmers upon change of address, change of name, assignment or upon discontinuance of business at the specified address. This rule shall not prevent a licensed funeral director from conducting a funeral in another licensed establishment, nor shall it prevent a licensed funeral director from conducting a funeral at a church, cemetery, home, public hall, lodge room, or other suitable place.

Note: Authority cited: Section 7606, Business and Professions Code. Reference: Sections 7617, 7620, 7624, 7625 and 7628, Business and Professions Code.

History
1. Amendment filed 7-3-86; effective thirtieth day thereafter (Register 86, No. 27).
2. Change without regulatory effect amending section heading filed 4-15-97 pursuant to section 100, title 1, California Code of Regulations (Register 97, No. 16).

(a) A funeral establishment shall include its name and license number, exactly as shown by the Board's records, and city or community where located in all television and print advertisements, including but not limited to telephone and other directory listings, television, newspaper, and magazine advertisements.
(b) Each applicant for a funeral establishment license shall select one specific trade name under which the license is to be issued and held. Such trade name may not include "also known as" ("aka") designations, but must be a word or group of words combined to form one specific trade name.
(c) A funeral establishment shall not operate under a name utilizing an "also known as" ("aka") designation, or which bears two (2) or more separate and distinct name styles.

Note: Authority cited: Section 7606, Business and Professions Code. Reference: Section 7629, Business and Professions Code.

History
1. Amendment filed 11-14-57; effective thirtieth day thereafter (Register 57, No. 20).
2. Amendment filed 12-2-75; effective thirtieth day thereafter (Register 75, No. 49). (c)
3. Amendment filed 7-3-86; effective thirtieth day thereafter (Register 86, No. 27).
4. Amendment filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

1212. Manager of Funeral Establishment [Repealer filed 7-3-86]
1213. Change in Corporate Officers, Designated Managing Funeral Director, or

(a) Where there is a change in the corporate officers or the designated managing licensed funeral director of a funeral establishment, such change, including the names and titles of the new corporate officers or the name of the new designated managing licensed funeral director, shall be reported to the Board, in writing, within ten (10) days of such change on the form NC1 (12/93) prescribed by the Board accompanied by the fee fixed by this division.
(b) Any transfer, in a single transaction or in a related series of transactions, of more than fifty percent (50%) of the equitable interest in the ownership of a licensed funeral establishment shall constitute a change of ownership and shall require assignment of the funeral establishment license, subject to the provisions of Section 7630, Division 3, Chapter 12, Article 2 of the Business and Professions Code. Such proposed change shall be reported to the Board no later than thirty (30) days prior to the effective date thereof, however, no public notice shall be given by the Board until after the effective date of the transaction.

Note: Authority cited: Section 7606, Business and Professions Code. Reference: Sections 7606, 7618, 7619, 7622 and 7630, Business and Professions Code.

History
1. New section filed 12-2-75; effective thirtieth day thereafter (Register 75, No. 49).
2. Amendment filed 7-3-86; effective thirtieth day thereafter (Register 86, No. 27).
3. Amendment of section heading and section filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

Except as otherwise provided in Health and Safety Code Section 7304, human remains shall not be embalmed without the express authorization of a person having the legal right to control disposition of the remains. Such authorization shall be secured by use of the form prescribed by the Board, attached hereto as Exhibit 1, and made a part of this regulation. The form shall be used in the exact form set forth below, without additions, substitutions, or amendments.

AUTHORIZATION FOR DISPOSITION WITH OR WITHOUT EMBALMING

TO: __________________________(Funeral Establishment Name)
RE: __________________________(Decedent) I, __________________________
do __do not __(check one) request embalming, which I understand is the addition to, or the replacement of, body fluids by chemical preservatives or the application of chemical preservatives for the temporary preservation of the body. I understand that embalming is not required by law.

I understand that for storage or embalming purposes the decedent may be transported to the following licensed funeral establishment: ______________________________________________________________
(name and address of funeral establishment)
then returned for funeral services. I understand I may be charged an additional fee for transport.

The undersigned hereby represents that he/she has the legal right to control disposition of the remains of the decedent.
Signed: __________________________, Relationship __________
Executed this ____day of _______________, _____, at City _______________, State ___.

To Be Completed by funeral establishment if Authorization to Embalm and Notification to Transport Is Obtained Orally (by Telephone):

The above statement of authorization and notification was read to __________________________, Relationship __________, who did __did not __(check one) authorize embalming at the above named funeral establishment. City _______________, State ___, Phone (____________) Date and time authorization granted: _______________

I declare under penalty of perjury that the foregoing is true and correct. Executed this ____day of _______________, _____, at City _______________, State ___.
(s) __________________________

Note: Authority cited: Section 7606 and 7616, Business and Professions Code. Reference: Section 7606, Business and Professions Code.

History
1. New section filed 6-22-79; effective thirtieth day thereafter (Register 79, No. 25).
2. Amendment filed 7-3-80; effective thirtieth day thereafter (Register 80, No. 27).
3. Amendment of section and Note filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

Every person, while engaged in actually embalming human remains, shall be attired in a clean and sanitary smock or gown covering the person from neck to below the knees, and shall, while so engaged, wear impervious gloves; and the body being embalmed shall at all times be so covered as to insure the privacy of said body.

History
1. Change without regulatory effect amending section filed 4-15-97 pursuant to section 100, title 1, California Code of Regulations (Register 97, No. 16).

(a) All preparation, embalming or storage room shall, at all times, be kept and maintained in a clean and sanitary condition.
(b) Every preparation, embalming or storage room shall be provided with proper and convenient receptacles for refuse, bandages, cotton and other waste materials and supplies. All such waste materials shall be disposed of in accordance with State and local health and sanitation requirements or in such a manner as not to endanger the public health and safety.
(c) All instruments, appliances and equipment used in the embalming or other preparation and handling of human remains shall be thoroughly cleansed and disinfected immediately at the conclusion of each individual case.
(d) All areas of a funeral establishment which are open to public use or occupancy shall be kept and maintained in a clean and orderly condition so as not to endanger the public health and safety.

Note: Authority cited: Section 7606, Business and Professions Code. Reference: Sections 7606 and 7707, Business and Professions Code.

History
1. Amendment filed 7-3-86; effective thirtieth day thereafter (Register 86, No. 27).
2. Change without regulatory effect amending subsection (c) filed 4-15-97 pursuant to section 100, title 1, California Code of Regulations (Register 97, No. 16).

1217. Preparation or Storage Room and Destruction of Waste Materials [Repealer filed 7-3-86]
1218. Sanitary Condition of Mortuaries [Repealer filed 7-3-86]
1219. Embalming Table [Repealer filed 7-3-86]
1220. Ventilation of Preparation Room [Repealer filed 6-13-56]

1221. Care and Preparation for Burial

(a) The care and preparation for burial or other disposition of all human remains shall be strictly private, and no one shall be allowed in the embalming or storage room while human remains are being embalmed or prepared for disposition, except the licensed funeral director and his duly authorized officers and/or employees, licensed embalmers and their duly registered apprentices, instructors of the science of embalming in embalming schools or colleges duly accredited by the Board and their students, and except public officials in the discharge of their duties; provided, that this rule shall not apply to duly accredited nurses employed in a case, nor to members of the immediate family of the deceased as defined by section 7100 of the Health and Safety Code.
(b) All human remains being transferred into or out of a funeral establishment or storage facility, except in a casket, shall be covered and kept out of the public view, to the extent reasonably possible.

Note: Authority cited: Section 7606, Business and Professions Code. Reference: Sections 7606, 7616, 7704 and 7707, Business and Professions Code.

History
1. Amendment filed 2-11-75 as an emergency; effective upon filing. Certificate of Compliance included (Register 75, No. 7).
2. Editorial correction (Register 75, No. 35).
3. New subsection (b) filed 6-15-88; operative 7-15-88 (Register 88, No. 25).
4. Change without regulatory effect amending section filed 4-15-97 pursuant to section 100, title 1, California Code of Regulations (Register 97, No. 16).

No embalming fluids shall be used in embalming which contain heavy minerals or metallic substances which have a poisonous effect, such as arsenic, lead and mercury.

Note: Authority cited: Section 7606, Business and Professions Code. Reference: Sections 7606 and 7707, Business and Professions Code.

History
1. New section filed 8-11-53 as an emergency; designated effective 9-9-53 (Register 53, No. 13).
2. Amendment filed 7-3-86; effective thirtieth day thereafter (Register 86, No. 7).

(a) No embalming, preparation or storage room shall be located in any public storage, mini-storage, mini-warehouse, multi-unit storage complex or similar facility used by members of the general public for the storage of goods. Any existing embalming, preparation or storage room located in a prohibited facility shall be relocated and brought into full compliance with this section, within twelve (12) months of this subsection's effective date.
(b) Every licensed funeral establishment shall maintain in its embalming, preparation and/or storage room, a sufficient supply of a suitable and effective disinfectant to provide for the cleansing and disinfection of the facility and its contents.
(c) Every licensed funeral establishment and funeral director who holds unembalmed human remains for a period longer than 24 hours shall cause the body to be refrigerated at an approved facility with sufficient capacity as defined under section 1223.1(d).
(d) All embalming, preparation or storage rooms shall contain only the equipment and supplies necessary for the preparation or care and handling of human remains for disposition or transportation.
(e) As used in this chapter, a storage room is a suitable room, other than a chapel, viewing or visitation room, office, supply room, closet or other room open to public access, which is used by a licensed funeral establishment for the storage or holding of human remains prior to effecting disposition. A storage room may be maintained in conjunction with an embalming or preparation room.

Note: Authority cited: Section 7606, Business and Professions Code. Reference: Sections 7606, 7616, 7621, 7630, 7704 and 7707, Business and Professions Code.

History
1. New section filed 2-29-56; effective thirtieth day thereafter (Register 56, No. 4).
2. Amendment filed 6-13-56; effective thirtieth day thereafter (Register 56, No. 12).
3. Amendment filed 2-11-75 as an emergency; effective upon filing. Certificate of Compliance included (Register 75, No. 7).
4. Editorial correction (Register 75, No. 35).
5. Amendment filed 7-3-86; effective thirtieth day thereafter (Register 86, No. 27).
6. Relettering of former subsections (a)-(d) to subsections (b)-(e), new subsection (a) and change without regulatory effect of subsection (e) filed 6-15-88; operative 7-15-88 (Register 88, No. 25).
7. Amendment filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

A licensed funeral establishment may share a preparation and/or a storage room with other licensed funeral establishments, upon approval by the Board, under the following conditions:
(a) the licensed funeral establishments are under common ownership or have a contractual agreement to share a preparation and/or storage room;
(b) the common owners have designated one funeral establishment as the main office as defined in Section 1204(c)(2);
(c) the remaining establishments or the establishments using the facilities of the main office are within a 60 mile radius of the main office;
(d) the licensed funeral establishment in which the common storage room is located has designated a separate labeled area within the storage room for each of the establishments using its facilities and has sufficient capacity to accommodate each licensee using the space;
(e) An identification and labeling system shall be in place to effectively identify the human remains being prepared and/or stored in the facilities;
(f) The facilities meet the requirements as specified in Section 7616 of the Business and Professions Code and have passed inspection by the Board to determine its suitability for shared purposes;
(g) A licensed funeral establishment requesting permission from the Board to share their preparation and/or storage room, must make a request, in writing, on a form 21F-12 (4/93) provided by the Board. An inspection will then be scheduled and completed to ensure that the above mentioned conditions have been met before the establishment can begin sharing its facilities.

Note: Authority cited: Section 7606 and 7616, Business and Professions Code. Reference: Sections 7606, 7616, 7621, 7630, 7704 and 7707, Business and Professions Code.

History
1. New section filed 10-31-97; operative 11-30-97 (Register 97, No. 44).
1224. Equipment Requirements [Repealer filed 7-3-86]

Article 4. Apprentices
1225. Review of Apprentice Embalmer Registration Applications; Processing Time

(a) The Board shall inform an applicant for registration as an apprentice embalmer, in writing, within seven (7) days whether the application is complete and acceptable for filing or is deficient and what specific information is required to complete the application.
(b) The Board shall make a decision within sixty (60) days after the date the application is deemed to be completed whether the applicant meets the requirements for registration. "Completion of an application" means that a completed application form together with all required information, documentation and fees has been filed by the applicant.
(c) The minimum, median and maximum processing times for an application for registration as an apprentice embalmer from the date of acceptance and filing of the initial application until the Board makes a final decision on the application are:
(1) Minimum-(1) day.
(2) Median-(10) days.
(3) Maximum-(60) days.

Note: Authority cited: Section 7606, Business and Professions Code; and Section 15376, Government Code. Reference: Sections 7661 and 7663, Business and Professions Code; and Section 15376, Government Code.

History
1. Originally published 12-5-46 (Title 16).
2. Amendment filed 11-4-47 as an emergency (Register 10, No. 2).
3. Amendment filed 12-7-65; effective thirtieth day thereafter (Register 65, No. 24).
4. Amendment filed 7-3-86; effective thirtieth day thereafter (Register 86, No. 27).

1226. Record of Changes in Apprenticeship [Repealer filed 7-3-86]
1227. Leave of Absence by Apprentice [Repealer filed 7-3-86]
1228. Completion of Apprenticeship [Repealer filed 7-3-86]

(a) An apprentice shall embalm or assist in embalming at least the first 25 of the 100 bodies required pursuant to Section 7643(d), Article 3, Chapter 12, Division 3 of the Business and Professions Code, only under the direct supervision and in the presence of his or her designated supervising embalmer.
(b) When an apprentice embalms a body out of the presence of the embalmer under whom he or she is apprenticed, the death certificate shall not be signed by such embalmer until he or she makes a personal inspection, in the presence of the apprentice, of the body as embalmed and passes thereon.

Note: Authority cited: Section 7606, Business and Professions Code. Reference: Sections 7606, 7607, 7648, 7649 and 7660, Business and Professions Code.

(a) A licensed funeral establishment may, upon approval by the Board, request to be treated in aggregate for the purpose of training apprentices pursuant to the provisions of Section 7670(b) of the Business and Professions Code under the following conditions:
(1) the licensed funeral establishments are under common ownership;
(2) the common owners have designated one funeral establishment as the main office as defined in Section 1204(c)(2), and;
(3) the remaining establishments must be within a 60 mile radius of the main office.
(b) The licensed funeral establishments requesting permission from the Board to be treated in aggregate, shall make a request, in writing, on a form 21A-12 (12/96) provided by the Board. An inspection shall be scheduled and completed to ensure that the requirements of this section and section 7670 of the Business and Professions Code have been satisfied prior to approval by the Board.

Note: Authority cited: Section 7606 and 7670, Business and Professions Code. Reference: Sections 7606, 7607, 7648, 7649, 7660, and 7670 of the Business and Professions Code.

History
1. New section filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

(a) The Board shall inform an applicant for licensure as an embalmer, in writing, within ten (10) days whether the application is complete and accepted for filing or is deficient and what specific information is required to complete the application.
(b) The Board shall make a decision within 120 days after the date the application is deemed to be complete whether the applicant meets the requirements for licensure. "Completion of an application" means that a completed application form, together with all required information, documentation and fees, has been filed by the applicant. This period may be extended by that time necessary for retaking or rescheduling an application or if the applicant is delayed in completing any required term of apprenticeship or meeting any educational requirements.
(c) The minimum, median and maximum processing times for an application for licensure as an embalmer from the date of acceptance and filing of the initial application until the Board makes a final decision on the application are:
(1) minimum-(90) days.
(2) median-(105) days.
(3) maximum-(120) days.

These processing times apply to those applicants who have completed the required term of apprenticeship and take and pass the first available licensing examination.

Note: Authority cited: Section 7606, Business and Professions Code; and Section 15376, Government Code. Reference: Section 7642, Business and Professions Code; and Section 15376, Government Code.

History
1. Amendment filed 12-7-65; effective thirtieth day thereafter (Register 65, No. 24).
2. Amendment filed 7-3-86; effective thirtieth day thereafter (Register 86, No. 27).

1235. Examination Prior to Completion of Apprenticeship

Applicants for an examination for embalmer's license shall be permitted to take such examination after they have completed their embalming college course, notwithstanding that they may not, at such time, have completed their embalming apprenticeship and in the event of passing such examination the embalmer's license shall be withheld until apprenticeship has been served in full and all other requirements of the law complied with.

History
1. Originally published 12-5-46 (Title 16).
2. Amendment filed 11-4-47 (Register 10, No. 2).

1236. Approval of Embalming Schools [Repealer filed 7-3-86]
1237. Conduct of Examination [Repealer filed 7-3-86]
1238. Same: Applicant to Furnish Pen and Ink [Repealer filed 7-3-86]
1239. Smoking in Examination Room Prohibited [Repealer filed 7-3-86]

(a) The board is authorized to issue citations containing orders of abatement and assessing administrative fines for violations by any licensee of the board of any provision of the Funeral Directors and Embalmers Law or of any regulation adopted by the board, as specified in Section 1241 of this article.
(b) Each citation shall be in writing and shall describe with particularity the nature of the violation, including reference to the statute or regulation alleged to have been violated. Each citation shall contain a statement informing the cited person or entity of his, her or its right to contest the citation and to request a hearing pursuant to subdivision (b)(4) of Business and Professions Code Section 125.9, and Section 1245 of this code. Each citation may contain an assessment of an administrative fine, an order of abatement fixing a reasonable period of time for abatement of the violation, or both an administrative fine and an order of abatement. Each citation shall be served in accordance with the provisions of Section 11505(c) of the Government Code.
(d) If a hearing is not requested pursuant to subdivision (b)(4) of Business and Professions Code Section 125.9, and Section 1245 of this code, payment of any fine shall not constitute an admission of the violation charged.

Note: Authority cited: Sections 125.9, 125.95, 7606 and 7740, Business and Professions Code. Reference: Sections 125.9 and 125.95, Business and Professions Code.

History
1. New article heading and section filed 11-13-92; operative 12-14-92 (Register 92, No. 46). For prior history, see Register 86, No. 27.

(a) Violations of the following code sections shall be designated Class A violations, the administrative fine for which may range from one thousand one dollars ($1,001.00) to two thousand five hundred dollars ($2,500.00):
(1) Business and Professions Code Section 7615, 7616 and 7617.
(2) Business and Professions Code Section 7632.
(3) Business and Professions Code Section 7640 and 7641.
(4) Business and Professions Code Section 7692.
(5) Business and Professions Code Section 7692.5.
(6) Business and Professions Code Section 7705.
(7) Business and Professions Code Section 7707.
(8) Business and Professions Code Section 7737.
(9) California Code of Regulations Section 1258.2.
(10) California Code of Regulations Section 1262.
(11) California Code of Regulations Section 1263(b).
(12) California Code of Regulations Section 1268.
(b) Violations of the following code sections shall be designated Class B violations, the administrative fine for which may range from five hundred one dollars ($501.00) to one thousand dollars ($1,000.00):
(1) Business and Professions Code Section 7623.
(2) Business and Professions Code Section 7629.
(3) Business and Professions Code Section 7635.
(4) Business and Professions Code Section 7685.
(5) Business and Professions Code Section 7685.1.
(6) Business and Professions Code Section 7685.2.
(7) Business and Professions Code Section 7685.3.
(8) Business and Professions Code Section 7693.
(9) Business and Professions Code Sections 7694, 7695, 7696 and 7697.
(10) Business and Professions Code Section 7699.
(11) Business and Professions Code Section 7702.
(12) Business and Professions Code Section 7706.
(13) Business and Professions Code Section 7735.
(14)California Code of Regulations Section 1204.
(15) California Code of Regulations Section 1213.
(16) California Code of Regulations Section 1214.
(17) California Code of Regulations Section 1216.
(18) California Code of Regulations Section 1221.
(19) California Code of Regulations Section 1223.
(20) California Code of Regulations Section 1223.1.
(21) California Code of Regulations Section 1229.
(22) California Code of Regulations Section 1258.1.
(23) California Code of Regulations Section 1258.3.
(24) California Code of Regulations Section 1263(a).
(25) California Code of Regulations Section 1264.
(26) California Code of Regulations Section 1265.
(27) California Code of Regulations Section 1267.
(28) California Code of Regulations Section 1275.
(c) Violations of the following code sections shall be designated Class C violations, the administrative fine for which may range from one hundred dollars ($100.00) to five hundred dollars ($500.00):
(1) Business and Professions Code Section 7628.
(2) Business and Professions Code Section 7633.
(3) Business and Professions Code Section 7665.
(4) Business and Professions Code Section 7668.
(5) Business and Professions Code Section 7670.
(6) Business and Professions Code Section 7680.
(7) Business and Professions Code Section 7700.
(8) Business and Professions Code Sections 7701 and 7701.5.
(9) Business and Professions Code Section 7704.
(10) California Code of Regulations Section 1203.
(11) California Code of Regulations Section 1209.
(12) California Code of Regulations Section 1211.
(13) California Code of Regulations Section 1215.
(14) California Code of Regulations Sections 1255 and 1256.
(15) California Code of Regulations Section 1258.
(16) California Code of Regulations Section 1269.
(17) California Code of Regulations Section 1271.
(d) In assessing an administrative fine, or in issuing an order of abatement, the following factors shall be given due consideration:
(1) The gravity of the violation.
(2) The good or bad faith of the cited person or entity.
(3) The history of previous violations.
(4) Evidence that the violation was or was not willful.
(5) The extent to which the cited person or entity has cooperated with the board's investigation.
(6) The extent to which the cited person or entity has mitigated or attempted to mitigate any damage or injury caused by the violation.
(7) Such other matters as may be proper.

Note: Authority cited: Sections 125.9, 125.95, 7606 and 7740, Business and Professions Code. Reference: Section 125.9, Business and Professions Code.

History
1. New section filed 11-13-92; operative 12-14-92 (Register 92, No. 46). For prior history, see Register 86, No. 27.
2. New subsections (a)(9)-(10), (b)(6), and (b)(17)-(18), subsection renumbering and amendment of Note filed 7-10-95, operative 8-9-95 (Register 95, No. 28).
3. New subsections (b)(3), (b)(14)-(15) and (b)(19)-(20), subsection renumbering, and repealer of subsections (c)(13)-(14) and (c)(16) and subsection renumbering filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

If a cited person or entity who has been issued an order of abatement is unable to complete the correction within the time specific in the citation because of conditions beyond his, her or its control after exercise of reasonable diligence, the person or entity cited may request an extension of time in which to complete the correction. Such a request shall be in writing.

Note: Authority cited: Sections 125.9, 125.95, 7606 and 7740, Business and Professions Code. Reference: Sections 125.9 and 125.95, Business and Professions Code.

History
1. New section filed 11-13-92; operative 12-14-92 (Register 92, No. 46). For prior history, see Register 86, No. 27.

When a citation containing an assessment of an administrative fine is not contested or if the citation and fine is contested and the licensee cited does not prevail, failure of the licensee to pay the fine within 30 days of the issuance or affirmation shall constitute a violation and may result in disciplinary action being taken by the board. When a citation is not contested and a fine is not paid, the full amount of the fine shall be added to the fee for renewal of the license and the license shall not be renewed without payment of the renewal fee and fine.

Note: Authority cited: Sections 125.9, 125.95, 7606 and 7740, Business and Professions Code. Reference: Sections 125.9 and 125.95, Business and Professions Code.

History
1. New section filed 11-13-92; operative 12-14-92 (Register 92, No. 46). For prior history, see Register 86, No. 27.

1244. Appeal of Citation

(a) Any person or entity served with a citation pursuant to this article and Section 125.9 and 125.95 of the Business and Professions Code may contest the citation by filing with the board, within 30 days of the date of issuance of the citation, a written request for a hearing. All hearings under this section shall be conducted in accordance with the provisions of Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code. The cited person or entity may contest any or all of the following aspects of the citation:
(1) The occurrence of a violation of the Funeral Directors and Embalmers Law or of a regulation adopted by the board.
(2) The reasonableness of the order of abatement, if an order of abatement is included in the citation.
(3) The reasonableness of the period of time allowed for correction in an order of abatement, if an order of abatement is included in the citation.
(4) The amount of the fine, if a fine is included in the citation.
(b) Failure of a cited person or entity to appear at the time and location of the requested hearing shall be deemed a withdrawal of his, her or its appeal, and the citation shall constitute a final order of the board and shall not be subject to appeal or review.
Note: Authority cited: Sections 125.9, 125.95, 7606 and 7740, Business and Professions Code. Reference: Sections 125.9 and 125.95, Business and Professions Code.
History
1. New section filed 11-13-92; operative 12-14-92 (Register 92, No. 46). For prior history, see Register 86, No. 27.

(a) Without waiving his, her or its right to contest the citation pursuant to subdivision (b)(4) of Business and Professions Code Section 125.9, and Section 1244 of this code, the cited person or entity may, within ten (10) days after service of the citation, notify the board in writing of his, her or its request for an informal office conference regarding the violations charged in the citation.
(b) An informal office conference shall be held with the cited person or entity or his, her or its legal counsel or authorized representative, within 30 days of receipt of the request. After conclusion of the informal office conference, the citation may be affirmed, modified or dismissed. The cited person or entity shall be notified of the actions taken, in writing, within 15 days of the conclusion of the conference, stating the reasons for the actions, the findings, and the decision. This written notification shall be served in accordance with the provisions of Section 11505(c) of the Government Code. This decision shall be deemed to be a final order with regard to the citation issued, including the fine levied and the order of abatement.
(c) The person or entity cited does not waive his, her or its right to contest the citation pursuant to subdivision (b)(4) of Business and Professions Code Section 125.9, and Section 1245 of this code, by requesting an informal office conference after which the citation is affirmed. However, if the citation is dismissed after an informal office conference, any request for a hearing on the matter shall be deemed to be withdrawn. If the citation, including any fine levied or any order of abatement issued, is modified, the citation originally issued shall be considered withdrawn and a new citation issued. If a hearing is requested for a subsequent citation, it shall be requested in accordance with subdivision (b)(4) of Business and Professions Code Section 125.9 and Section 1245 of this code.

Note: Authority cited: Sections 125.9, 125.95, 7606 and 7740, Business and Professions Code. Reference: Sections 125.9 and 125.95, Business and Professions Code.

History
1. New section filed 11-13-92; operative 12-14-92 (Register 92, No. 46). For prior history, see Register 86, No. 27.

The board is authorized to issue citations containing orders of abatement and assessing administrative fines against unlicensed persons, partnerships, corporations, associations or other organizations who engage in any activity including advertising for which licensure is required as a funeral establishment, funeral director, embalmer or an apprentice embalmer under the Funeral Directors and Embalmers Law. The citation may include a fine for such unlicensed activity which may range from one thousand one dollars ($1,001.00) to two thousand five hundred dollars ($2,500.00). The provisions of Sections 125.9 of the Business and Professions Code shall apply to the issuance of citations for unlicensed activity under this section. The sanctions authorized under this section shall be separate from and in addition to any other civil or criminal remedies.

Note: Authority cited: Sections 125.9, 125.95 and 7606, Business and Professions Code. Reference: Sections 125.9 and 125.95, Business and Professions Code.

History
1. New section filed 11-13-92; operative 12-14-92 (Register 92, No. 46).
2. Change without regulatory effect amending section filed 4-15-97 pursuant to section 100, title 1, California Code of Regulations (Register 97, No. 16).

1248. Calendar of Cases [Repealer filed 7-3-86]
1249. Hearings to Be Public [Repealer filed 11-14-57]
1250. Reinstatement of Licenses [Repealer filed 7-3-86]
1251. Proof of Law Violation [Repealer filed 7-3-86]

For the purposes of denial, suspension, or revocation of a license pursuant to Division 1.5 (commencing with Section 475) of the Business and Professions Code, a crime or act shall be considered to be substantially related to the qualifications, functions or duties of a licensed funeral establishment, licensed funeral director, or licensed embalmer if to a substantial degree it evidences present or potential unfitness of a licensed funeral establishment, licensed funeral director, or licensed embalmer to perform the functions authorized by his license in a manner consistent with the public health, safety, or welfare. Such crimes or acts shall include but not be limited to those involving the following:
(a) Conviction of a crime involving fiscal dishonesty.
(b) Any violation of the provisions of Chapter 12, Division 3 of the Business and Professions Code.

Note: Authority cited: Sections 482, 492 and 7606, Business and Professions Code.

History
1. New section filed 3-22-73 as an emergency; effective upon filing (Register 73, No. 12).
2. Certificate of Compliance filed 5-25-73 (Register 73, No. 21).
3. Repealer and new section filed 2-11-75 as an emergency; effective upon filing. Certificate of Compliance included (Register 75, No. 7).
4. Amendment of first paragraph and Note filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

When considering the denial of a license under Section 480 of the Business and Professions Code, the Board, in evaluating the rehabilitation of the applicant and his present eligibility for a license, will consider the following criteria:
(a) The nature and severity of the act(s) or crime(s) under consideration as grounds for denial.
(b) Evidence of any act(s) committed subsequent to the act(s) or crime(s) under consideration as grounds for denial which also could be considered as grounds for denial under Section 480 of the Business and Professions Code.
(c) The time that has elapsed since commission of the act(s) or crime(s) referred to in subdivision (1) or (2).
(d) The extent to which the applicant has complied with any terms of parole, probation, restitution, or any other sanctions lawfully imposed against the applicant.
(e) Evidence, if any, of rehabilitation submitted by the applicant.

Note: Authority cited: Sections 488, 492 and 7606, Business and Professions Code.

(a) When considering the suspension or revocation of a license on the ground that a licensed funeral establishment, licensed funeral director, or licensed embalmer has been convicted of a crime, the Board, in evaluating the rehabilitation of such person and his eligibility for a license, will consider the following criteria:
(1) Nature and severity of the act(s) or offense(s).
(2) Total criminal record.
(3) The time that has elapsed since commission of the act(s) or offense(s).
(4) Whether the licensee has complied with any terms of parole, probation, restitution or any other sanctions lawfully imposed against the licensee.
(5) If applicable, evidence of expungement proceedings pursuant to Section 1203.4 of the Penal Code.
(6) Evidence, if any, of rehabilitation submitted by the licensee.
(b) Petition for Reinstatement. When considering a petition for reinstatement of a license under the provisions of Section 11522 of the Government Code, the Board shall evaluate evidence of rehabilitation submitted by the petitioner considering those criteria specified in Section 1253 of this article.

Note: Authority cited: Sections 7606 and 7740, Business and Professions Code. Reference: Sections 480, 7615, 7616, 7691, 7711, 7735, 7736, 7737 and 7738, Business and Professions Code.

History
1. New section filed 2-11-75 as an emergency; effective upon filing. Certificate of Compliance included (Register 75, No. 7).
2. Amendment of subsection (a) filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

In reaching a decision on a disciplinary action under the Administrative Procedure Act (Government Code Section 11400 et. seq.), the board shall consider the disciplinary guidelines entitled "A Manual of Disciplinary Guidelines for Funeral Establishments, Funeral Directors, Embalmers, and Apprentice Embalmers (September 1997)" which are hereby incorporated by reference. Deviation from these guidelines and orders, including the standard terms of probation, is appropriate where the board in its sole discretion determines that the facts of the particular case warrant such a deviation-for example, the presence of mitigating factors; the age of the case; evidentiary problems.

Note: Authority cited: Section 7606, Business and Professions Code; and Section 11400.20, Government Code. Reference: Sections 11400.20 and 11425.50(e), Government Code.

If an applicant for licensure as an embalmer or funeral director fails to take a required examination within one year after being notified of eligibility, the application for licensure and/or examination shall be considered to have been abandoned. An application subsequent to the abandonment of a previous application shall be considered a new application and must be accompanied by the required fee.
If an applicant for licensure as an embalmer or funeral director who has taken and passed an examination after January 1, 1997, fails to apply for licensure within 12 months of passing the examination, the application and examination results shall be considered to have been abandoned. An application subsequent to the abandonment of a previous application and/or examination shall be considered a new application and must be accompanied by the required fees. Apprentice Embalmers are exempt from this provision pursuant to Section 7664 of the Business and Professions Code.

Note: Authority cited: Section 7606, Business and Professions Code. Reference: Sections 7620, 7622, 7642 and 7646, Business and Professions Code.

History
1. Repealer of former Section 1254, and renumbering and amendment of former Section 1245 to Section 1254 filed 7-3-86; effective thirtieth day thereafter (Register 86, No. 27). For prior history, see Register 65, No. 24. and 7740, Business and Professions Code.
2. New second paragraph filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

A placard upon which Section 1221 of these rules shall be printed must be fastened to the outside of all doors leading directly into the preparation, embalming, and storage rooms in every funeral establishment.

Note: Authority cited: Section 7606. Reference: Sections 7606, 7615, 7616, 7640, 7641, 7704, and 7707, Business and Professions Code, and Section 7100, Health and Safety Code.

History
1. Amendment of section and new Note filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

Any licensed funeral establishment or licensed funeral director failing to comply with the provisions of Section 1255 shall be subject to disciplinary action by the Board.

Note: Authority cited: Section 7606, Business and Professions Code. Reference: Sections 7704 and 7707, Business and Professions Code.

History
1. Amendment of section and new Note filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

Pursuant to the provisions of Section 7729 of Division 3, Chapter 12, Article 8, of the Business and Professions Code, fees are hereby fixed according to the following schedule:
(a) The application fee for a funeral director's license is two hundred dollars ($200.00).
(b) The application fee for a funeral establishment license is four hundred dollars ($400.00).
(c) The application fee for change of location of a funeral establishment's license is two hundred fifty dollars ($250.00).
(d) The application fee for permission to assign a funeral establishment's license is three hundred dollars ($300.00).
(e) The license renewal fee payable by a licensed funeral director is two hundred dollars ($200.00). The fee for a delinquent renewal of a funeral director's license is three hundred dollars ($300.00).
(f) The license renewal fee payable by a licensed funeral establishment is four hundred dollars ($400.00). The fee for a delinquent renewal of a funeral establishment license is six hundred dollars ($600.00).
(g) The application fee for an embalmers license and for the license examination is one hundred fifty dollars ($150.00).
(h) The renewal fee payable by a licensed embalmer is one hundred dollars ($100.00). The fee for a delinquent renewal of an embalmer's license is one hundred fifty dollars ($150.00).
(i) The application fee for a certificate of registration as an apprentice embalmer is sixty dollars ($60.00).
(j) The fee for an application by a funeral establishment for approval to train apprentice embalmers and for renewal of that approval is one hundred dollars ($100.00).
(k) The application fee for a funeral director's examination is one hundred dollars ($100.00).
(l) The fee for a timely filing of an individual report or a combined report on preneed trust funds, as specified, is two hundred dollars ($200.00). The fee for a late filing of any report on preneed trust funds is three hundred dollars ($300.00).
(m) The application fee for permission to change the name appearing on a funeral establishment's license is two hundred dollars ($200.00). The fee for permission to change the name appearing on any other license or certificate is forty dollars ($40.00).
(n) The application fee for a duplicate funeral director's license, a duplicate funeral establishment's license, a duplicate embalmer's license, or a duplicate certificate of registration as an apprentice embalmer, is forty dollars ($40.00).
(o) The fee for filing a report of a change of corporate officers, designated managing funeral director, or preneed trust fund trustees, is fifty dollars ($50.00).

Note: Authority cited: Sections 7606 and 7729, Business and Professions Code. Reference: Sections 7618, 7622.5, 7628, 7630, 7642, 7661, 7670, 7725, 7725.2, 7725.5, 7729 and 7740.5, Business and Professions Code.

History
1. New section filed 12-2-75; effective thirtieth day thereafter (Register 75, No. 49). For former history, see Register 69, No. 6.
2. Repealer and new section filed 12-19-91; operative 12-19-91 (Register 92, No. 11).
3. Amendment filed 12-30-96 as an emergency; operative 1-1-97 (Register 97, No. 1). A Certificate of Compliance must be transmitted to OAL by 5-1-97 or emergency language will be repealed by operation of law on the following day.
4. Certificate of Compliance as to 12-30-96 order, including additional amendment of subsections (l) and (o), transmitted to OAL 4-25-97 and filed 6-5-97 (Register 97, No. 23).

(a) There shall be prominently displayed in or on each casket having or represented as having a sealing device of any kind, a notice, clearly visible to the public, containing the following statement:
"THERE IS NO SCIENTIFIC OR OTHER EVIDENCE THAT ANY CASKET WITH A SEALING DEVICE WILL PRESERVE HUMAN REMAINS."
The statement shall be printed in at least ten point, boldface type on a card of no less than three inches by five inches in dimension and no other notice, statement, price, information, picture or other printing, other than borders or decorations, shall appear on the card. The print shall be in a color that contrasts with the background on which it is printed. If the card is folded in any manner, the section containing the statement shall be no less than three inches by five inches in dimension and unfolded.
(b) In cases where caskets are displayed in or sold from catalogues, the notice required in Subsection (a) above shall appear on a page at the beginning of any such catalogue containing such casket or caskets. The notice shall be in ten point boldface type or larger and no other notice, statement, price, information, picture or other printing, other than borders or decorations, shall appear on the page.
(c) The notice required in Subsection (a) above shall also be placed in 8-point boldface type or larger at the beginning of the written statement or list which identifies a particular casket or caskets by price required by Business and Professions Code Section 7685.

Note: Authority cited: Section 7606, Business and Professions Code. Reference: Section 7606, Business and Professions Code.

History
1. New section filed 2-15-80; effective thirtieth day thereafter (Register 80, No. 7).
2. Designation and amendment of subsection (a) and new subsections (b)-(c) filed 7-10-95; operative 8-9-95 (Register 95, No. 28).
3. Amendment of subsection (a) filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

(a) For the purposes of Business and Professions Code Section 7685 and this section, the term "provide" shall mean to give for retention to persons who inquire in person about funeral arrangements or the prices of funeral goods or services.
(b) For the purposes of Business and Professions Code Sections 7685 and 7685.1(a), casket descriptions shall be sufficiently descriptive so as to provide a reasonably accurate impression of the casket including its color. The color may be expressed in either the manufacturer's color or generic color. The color description of wood caskets shall specify whether the finish is dark, medium or light.
(c) The statement regarding the price range for all caskets offered for sale, required pursuant to Business and Professions Code Section 7685, shall:
(1) Differentiate between the price range for adult caskets, the price range for infant and child caskets, the price range for rental caskets, and the price range for alternative containers.
(2) Include all caskets that are regularly offered for sale.
(d) The price range required by (c)(1) above shall be restated at the beginning of the casket price list required by Business and Professions Code Section 7685.
(e) All caskets and alternative containers regularly offered for sale shall be either physically displayed in the funeral establishment casket selection room or displayed photographically.
(f) The provisions of Business and Professions Code Section 7685.1(a) shall be applicable to caskets regularly offered for sale and displayed by catalog, by photograph and physically.

Note: Authority cited: Section 7606, Business and Professions Code. Reference: Sections 7606, 7685 and 7685.1, Business and Professions Code.

History
1. New section filed 7-10-95; operative 8-9-95 (Register 95, No. 28).
2. Amendment of subsection (e) filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

(a) A rental casket is a specially designed device used to conceal a rental casket insert containing human remains, for purposes of viewing and/or funeral or other ceremony, and may give the outward appearance of being a casket. No part of a rental casket, including its lining, shall come into contact with any human remains placed therein or placed within a rental casket insert placed therein, unless that part or lining is disposed of with the rental casket insert and human remains.
(b) For the purposes of Business and Professions Code section 7702, a casket is a rigid container which is designed for the encasement of human remains and which is usually constructed of wood, metal, fiberglass, plastic, or like material, and ornamented and lined with fabric.
(c) A rental casket insert is an enclosure without ornamentation which has an interior lining and which is designed for the encasement of human remains for burial, cremation, or transit.
(d) The provisions of Business and Professions Code section 7702 shall not be applicable to rental caskets, as described and defined in subsection (a) of this section, if the purchaser/renter is notified in writing prior to entering into any agreement that the rental casket is designed to be reused and may have previously been used and if the purchaser/renter does not object to the previous use and/or reuse. The purchaser/renter shall acknowledge the notification and express agreement in writing.
(e) A new rental casket insert shall be used for each human remains displayed in a rental casket.
(f) No rental casket shall be used or reused after it has been soiled, stained or otherwise contaminated by or from any human remains placed therein or placed within a rental casket insert placed therein.

Note: Authority cited: Section 7606, Business and Professions Code. Reference: Sections 7606 and 7702, Business and Professions Code.

The statement required by Business and Professions Code section 9662 shall be printed on the first page of any contract for funeral goods and services offered by a funeral establishment which contains charges for both funeral goods and services and cemetery or crematory goods and services.

Note: Authority cited: Section 7606, Business and Professions Code. Reference: Section 7606, Business and Professions Code.

History
1. New section filed 7-10-95; operative 8-9-95 (Register 95, No. 28).
2. Amendment of first paragraph and repealer of second paragraph filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

The statement on the general price list required by Business and Professions Code Section 7685(b) shall be made on the first page of the list, and shall be separate and apart from any other information on the list, and shall state:
“Prior to drafting any contract for goods or services, the responsible party or the decedent’s survivor who is handling the funeral arrangements is entitled to receive a copy of any preneed agreement in the possession of the funeral establishment that has been signed and paid for, in full or in part, by or on behalf of the decedent.”

Note: Authority cited: Section 7606, Business and Professions Code. Reference: Sections 7606, 7685 and 7745, Business and Professions Code.
1. New Section filed 5-13-2004; operative 6-12-2004 (Register 2004, No. 20).

(a) On and after January 1, 1992, all renewable licenses issued under Chapter 12 of Division 3 of the Business and Professions Code, shall expire annually on the last day of the month in which the license was originally issued, if not renewed.
(b) Any licensee who has renewed a license for the 1991 license year shall be required to renew that license for not less than seven (7) months nor more than eighteen (18) months based on its next expiration date under subsection (a). For the purpose of license renewal under this subsection, the applicable renewal fee shall be prorated on a monthly basis and one twelfth of the applicable fee shall be payable for each month or any portion of a month.

Note: Authority cited: Section 7606, Business and Professions Code. Reference: Sections 152.6, 7606, 7725, 7725.2, 7725.3, 7725.4, 7725.5 and 7729, Business and Professions Code.

History
1. New section filed 9-66-66; effective thirtieth day thereafter (Register 66, No. 31).
2. Repealer filed 2-5-69; effective thirtieth day thereafter (Register 69, No. 6).
3. New section filed 12-19-91; operative 12-19-91 pursuant to Government Code section 11346.2(d) (Register 92, No. 11).

A pre--need arrangement, contract or plan subject to the provisions of Business and Professions Code Division 3, Chapter 12, Article 9 (the Short Act) does not include an arrangement wherein:
(a) The funeral establishment's client directly deposits his or her own money in a bank or savings institution trust account in the name of the client as trustee for the funeral establishment, provided that, until death, the client retains the exclusive power to hold, manage, pledge, and invest the funds in the account and may revoke the tentative trust and withdraw the funds, in whole or in part, at any time; and
(b) There is no delivery whatsoever to the funeral establishment of money to pay for the services or merchandise, until such services or merchandise have been provided.
Delivery of money to a funeral establishment within the meaning of this rule and Business and Professions Code Section 7735 includes direct or indirect delivery to the funeral establishment, or to any of the funeral establishment's agents or employees.

Note: Authority cited: Sections 7606 and 7740, Business and Professions Code. Reference: Sections 7735 and 7740, Business and Professions Code.

History
1. New NOTE filed 6-17-77; effective thirtieth day thereafter (Register 77, No. 25). For prior history, see Register 77, No. 9.
2. Amendment filed 7-3-86; effective thirtieth day thereafter (Register 86, No. 27).
3. Change without regulatory effect amending article heading, section heading and section filed 4-15-97 pursuant to section 100, title 1, California Code of Regulations (Register 97, No. 16).

(a) Delivery of merchandise within the meaning of Business and Professions Code Section 7741 shall mean actual personal delivery to a purchaser, trustor or beneficiary of funeral merchandise that is used or is intended to be used in connection with a preneed arrangement or any agreement collateral thereto. Any payment or payments received for funeral merchandise, where actual personal delivery of that merchandise will be delayed, shall be held in a trust as provided in Business and Professions Code, Division 3, Chapter 12, Article 9, until that merchandise is actually and personally delivered to, and is in the immediate possession of, the purchaser.
(b) Neither the delivery of a warehouse receipt, nor any other form of constructive delivery shall constitute delivery of funeral merchandise within the meaning of Section 7741.
(c) Funeral merchandise includes, but is not limited to, caskets, alternative containers, clothing, printed materials and any other merchandise usually sold by a funeral establishment for use in connection with the funeral or preparation for disposition of human remains.

Note: Authority cited: Sections 7606 and 7740, Business and Professions Code. Reference: Sections 7606, 7735, 7740 and 7741, Business and Professions Code.

History
1. Amendment and renumbering as Section 1270 and new section filed 2-25-72; effective thirtieth day thereafter (Register 72, No. 9).
2. Repealer filed 7-3-86; effective thirtieth day thereafter (Register 86, No. 27).
3. New section filed 7-10-95; operative 8-9-95 (Register 95, No. 28).
4. Change without regulatory effect amending subsection (c) filed 4-15-97 pursuant to section 100, title 1, California Code of Regulations (Register 97, No. 16).

(a) The trust funds shall be invested and reinvested, and kept invested in:
(1) Bonds of or securities guaranteed by the United States or an Agency thereof or this State, or of any County, City, or City and County in this State.
(2) Bonds which are legal investments for commercial banks in this State.
(3) Certificates of deposit or other interest-bearing accounts in any bank in this State insured by the Federal Deposit Insurance Corporation.
(4) Investment certificates or shares in any state or federally chartered savings institution insured by the Federal Savings and Loan Insurance Corporation.
(5) Investments of the type and in the manner as provided in Section 15001 et.seq. of the Probate Code.
(b) No loan shall be made to any licensed funeral establishment; nor to any owner, director, officer, partner or stockholder of any licensed funeral establishment; or to trustees of the trust funds; or to partners, relatives, agents, or employees of any licensed funeral establishment or of such trustees.

Note: Specific reference: Sections 7735, 7737 and 7737.5, Business and Professions Code.

History
1. Renumbering from Section 1266 filed 2-25-72; effective thirtieth day thereafter (Register 72, No. 9).
2. Amendment filed 6-17-77; effective thirtieth day thereafter (Register 77, No. 25).
3. Amendment filed 7-3-86; effective thirtieth day thereafter (Register 86, No. 27).
4. Change without regulatory effect amending subsections (a)(4), (a)(5) and (b) filed 4-15-97 pursuant to section 100, title 1, California Code of Regulations (Register 97, No. 16).

All written requests for revocation, by the trustor, of a trust shall be honored within fifteen (15) days of receipt thereof.

Note: Authority cited: Sections 7606 and 7740, Business and Professions Code. Reference: Sections 7735 and 7737, Business and Professions Code.

History
1. Amendment and renumbering as Section 1272 and new section filed 2-25-72; effective thirtieth day thereafter (Register 72, No. 9).
2. Amendment filed 6-17-77; effective thirtieth day thereafter (Register 77, No. 25).
3. Amendment filed 4-3-86; effective thirtieth day thereafter (Register 86, No. 27).

The annual fee for administering a trust, as provided in Business and Professions Code, Division 3, Chapter 12, Article 9, Section 7735, may be recovered by withdrawals from current trust income, but total withdrawals in any year shall not exceed four percent (4%) of the trust balance on December 31 of that year, or on the cancellation or maturity date during that year, of all payments deposited into trust, plus all prior years accumulated income. Any remaining current income shall be accumulated in trust.

Note: Authority cited: Sections 7606 and 7740, Business and Professions Code. Reference: Sections 7735 and 7740, Business and Professions Code.

History
1. Amendment and renumbering as Section 1267 and new section filed 2-25-72; effective thirtieth day thereafter (Register 72, No. 9).
2. Amendment filed 6-17-77; effective thirtieth day thereafter (Register 77, No. 25).
3. Amendment filed 10-5-81; effective thirtieth day thereafter (Register 81, No. 41).
4. Amendment filed 1-12-90; operative 2-11-90 (Register 90, No. 3).

Each funeral establishment charged with the reporting of preneed funds hereunder shall at all times maintain or cause the trustee of the preneed trust to maintain in California and available for inspection by the Board during reasonable working hours, complete financial records of all preneed contracts and arrangements, which records shall be established and maintained in accordance with generally accepted accounting principles. Such records shall include the following, provided, however, that records may otherwise be established and maintained in accordance with generally accepted accounting principles:
(a) An individual trustor contract, plan or agreement.
(b) An individual trustor or beneficiary ledger account which shall set forth the amount of the contract, all payments received, all income prorated in accordance with the ratio which the trust corpus of the account bears to the entire corpus invested as set forth in Section 1265.
(c) A cash receipts journal which shall show each payment received and shall be totaled monthly.
(d) A cash disbursement journal which will show each withdrawal for an investment in compliance with 1263 and each disbursement to the funeral establishment for a serviced account or to the individual trustor on a canceled account, and all withdrawals for documented expenses.
(e) In the case where a checking account is used to deposit payments received or disbursements to the funeral establishment and/or the funeral director, a trustor or an investment, it shall be designated as a trust fund account, and be reported as such. It shall be reconciled each month with the balance shown in the trust account by accounting for checks not yet presented and outstanding, bank deposits not shown on the bank statements, and other adjustments required.
(f) A general ledger which shall be posted monthly with respect to all accounts controlling the fiduciary relationship with the individual trusters. Such postings shall occur within 90 days after the close of each business month.
(g) A portfolio of all investments related to the trust funds.
(h) Records for serviced accounts shall include but not be limited to:
(1) A copy of the death certificate or other satisfactory evidence of the death; copies of all documents required as specified under Sections 7685 and 7685.2, Division 3, Chapter 12, Article 5.5 of the Business and Professions Code; a copy of the final arrangements (itemized); and a copy of the final statement to the family.
(2) All monies received from the trust; all monies received from the family; and all monies received from the Veterans Administration or Social Security or any other source to be applied to the final bill.
(3) A record showing credit for each of the above.
(i) Records for canceled accounts shall include but not be limited to:
(1) A record of all income earned and documented expenses taken including a revocation fee as stated in Section 7735, Division 3, Chapter 12, Article 9, of the Business and Professions Code.
(2) A copy of the final accounting to the family with the canceled check or withdrawal slip showing the amount refunded to the trustor.
(j) All of the foregoing records shall be retained for a period of one year after the account has been canceled or serviced and audited by the State Board and compliance with all recommendations made and audit exceptions resolved or 7 years from the date of service or cancellation, whichever comes first.
The required books and records for more than one licensed funeral establishment may be centrally maintained at a single location in California with notification to the Board or the main office as defined in Section 1204(c)(2), provided that a monthly summary of all financial transactions pertaining to each individual trust account for each licensed funeral establishment is available, at each such establishment during reasonable working hours, to the Board or its authorized representatives; and provides further that the monthly summary contains sufficient information from which the current balance of each individual trustor's account or each individual trustor's share of any commingled trust account may be identified.

Note: Authority cited: Sections 7606 and 7740, Business and Professions Code. Reference: Sections 7735, 7737 and 7740, Business and Professions Code.

History
1. Amendment filed 7-3-80; effective thirtieth day thereafter (Register 80, No. 27). For prior history, see Register 72, No. 9; and 77, No. 25.
2. Amendment file 7-3-86; effective thirtieth day thereafter (Register 86, No. 27).
3. Amendment of first paragraph, subsections (d) and (e), and last paragraph filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

No preneed trust funds shall be mingled or commingled with the funds of any other person, firm, or corporation; except that, for the purpose of investment pursuant to Division 3, Chapter 12, Article 9 of the Business and Professions Code and the provisions of this Article, all preneed funeral trust funds received and held by a single trustee or a single set of trustees, may be commingled for investment purposes.
If the Board finds that such funds have been invested in violation of this Article, it shall, by written order mailed to the person or persons in charge of such funds, require the reinvestment of such funds in conformity to this Article within 90 days from the date of such order; provided, however, that such period may be extended by the Board at its discretion.
In the enforcement of its order, the Board is authorized to bring such action as may be necessary to enforce the provisions of law subject to its jurisdiction.

Note: Authority cited: Sections 7606 and 7740, Business and Professions Code. Reference: Sections 7735 and 7740, Business and Professions Code.

History
1. Amendment and renumbering of former Section 1265 filed 2-25-72; effective thirtieth day thereafter (Register 72, No. 9).
2. Amendment filed 7-3-86; effective thirtieth day thereafter (Register 86, No. 27).

(a) Each licensed funeral establishment and licensed funeral director who enters into any preneed arrangements, contracts or plans described in and subject to the provisions of Article 9, Chapter 12, Division 3 of the Business and Professions Code shall file with the Board annually on or before May 1 of each year and upon transfer of license or cessation of business, a written, verified or audited report, on form 21P-4A (1/94) prescribed and furnished by the Board, pertaining to funds received and held under such arrangements, contracts or plans. Firms utilizing a fiscal year accounting system may request permission, in writing to the Executive Officer, to file said report on a fiscal year basis and, if permission is granted, said report shall then be filed with the Board no later than 120 days from the date of the close of said fiscal year.
(b) The report required under this Article shall accompany the forms of assignment or transfer of a funeral establishment license. The report required hereunder upon cessation of business as a licensed funeral establishment shall be submitted thirty (30) days prior to such cessation of business.
(c) In cases where trust corpus is deposited in individual savings accounts, and not commingled for investment purposes, the Board may require a verified report. Said requirement of verification shall be deemed complied with by a verification under penalty of perjury by the owner, partners, or, in the case of a corporation, by the president or vice-president and one other officer thereof and, in addition thereto, all reports must contain a verification under penalty of perjury executed by at least two (2) trustees not employed by the funeral establishment and, in the case of a banking institution or trust company legally authorized to act as a trustee within the meaning of Section 7736 of Article 9, Chapter 12, Division 3, of the Business and Professions Code, a verification under penalty of perjury on behalf of such trustee by an authorized representative of said trustee.
(d) In cases where trust funds have been commingled for purposes of investment, the Board may require, in addition to the written report required by subsection (a) of this section, an independent audit report prepared and signed by a Certified Public Accountant or Public Accountant, currently licensed in the State of California, which certifies compliance with the provisions of Article 9, Chapter 12, Division 3 of the Business and Professions Code and the provisions of this Article.
(e) All written reports required under this section shall include, but are not limited to, a statement setting forth:
(1) Amounts collected pursuant to preneed arrangements, contracts or plans, or any agreements collateral thereto;
(2) Amounts deposited with the trustee and held in trust;
(3) Amounts of authorized expenditures of income allocable to individual accounts, itemized as to the nature of expenditures;
(4) Amount of authorized expenditures of income paid, itemized as to the nature of expenditure; and
(5) Separately, the total amount of such trust funds invested in each of the investments authorized by law and the amount of cash on hand not invested which statement actually show the financial condition of the trust funds.
(f) Two or more funeral establishments who utilize a common trust fund to hold and administer payments received under preneed contracts may cause the trustee of that common trust fund to file one combined annual report regarding all such preneed contracts, provided each funeral establishment's information is disclosed separately.

Note: Authority cited: Sections 7606 and 7740, Business and Professions Code. Reference: Sections 7735, 7738, 7740 and 7740.5, Business and Professions Code.

History
1. Amendment and renumbering of former Section 1261 filed 2-25-72; effective thirtieth day thereafter (Register 72, No. 9).
2. Amendment filed 2-11-75 as an emergency; effective upon filing. Certificate of Compliance included (Register 75, No. 7).
3. Amendment filed 6-17-77; effective thirtieth day thereafter (Register 77, No. 25).
4. Amendment filed 7-3-86; effective thirtieth day thereafter (Register 86, No. 27).
5. Amendment of subsections (a), (b), (c) and (f) filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

The reports provided for in Section 1269 of this Article shall state the name and address of each of the trustees. Any change of trustees shall be reported to the Board within thirty (30) days after the effective date thereof and shall be accompanied by the appropriate fee.

Note: Specific reference: Sections 7736 and 7740.5, Business and Professions Code.

History
1. Amendment and renumbering from former Section 1263 filed 2-25-72; effective thirtieth day thereafter (Register 72, No. 9).
2. Amendment filed 6-17-77; effective thirtieth day thereafter (Register 77, No. 25).

1272. Failure to File Required Preneed with Board [Repealer filed 7-3-86]
1273. Application to Licensed Funeral Directors Also Licensed As a Cemetery

If, for any reason, a licensed funeral establishment or licensed funeral director is unable to perform the funeral services prior to or upon the death of the beneficiary of a preneed trust agreement, then the trustees shall pay all trust corpus and net income to the beneficiary, trustor or the legal representative of either the beneficiary or trustor without the imposition of any revocation charge.

Note: Authority cited: Sections 7606 and 7740, Business and Professions Code. Reference: Sections 7737 and 7740, Business and Professions Code.

History
1. Renumbering from Section 1267 filed 2-25-72; effective thirtieth day thereafter (Register 72, No. 9).
2. Repealer and new section filed 6-17-77; effective thirtieth day thereafter (Register 77, No. 25).
3. Amendment filed 7-3-86; effective thirtieth day thereafter (Register 86, No. 27).
4. Amendment filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

A preneed trust contract within the meaning of Article 9, Chapter 12, Division 3, of the Business and Professions Code shall include but not be limited to the following information:
(a) The name and address of the trustor.
(b) The name and address of the beneficiary.
(c) The names and addresses of the trustees.
(d) The name, address and phone number of the funeral establishment.
(e) A sequential number which shall be continuous and in order of issue.
(f) A copy of the completed funeral arrangements forms including, but not limited to, the following:
(1) A description of the merchandise and services selected which is sufficiently detailed to identify them; and
(2) Any disclosure of prices or itemization of services or merchandise, which is required to be provided pursuant to State or Federal law, rule or regulation then in effect.
(g) A statement that earned annual income is being credited to the account and that administrative expenses, if charged, are paid from income only.
(h) A statement, in clear nontechnical language, that the contract is either a guaranteed preneed contract or that it is a nonguaranteed preneed contract, and, if guaranteed only in part, the services or merchandise included in the guarantee shall be specified. This statement shall be printed in bold face type and shall be located on the first page of the contract.
(1) If the contract is guaranteed, there shall be included in the contract a complete explanation of all the terms and conditions limiting the guarantee.
(2) If the contract is not guaranteed, there shall be included in the contract a complete explanation of how the trust balance will be applied to pay for services and merchandise provided at the beneficiary's death and that there may be additional payments required or a refund due.
(i) A statement that the trustees of the trust will deliver the corpus of the trust and net income to the funeral establishment filing a certified copy of the Death Certificate and evidence that said funeral establishment has furnished the merchandise and services. (Corpus of the Trust means all monies paid and all securities delivered pursuant to this prearrangement contract.)
(j) A statement that the amount of revocation fee to be charged in the event of revocation, shall in no event exceed ten percent (10%) of the paid-in corpus and is chargeable against earned income only; and a statement that no revocation fee may be charged if the funeral establishment is unable to perform substantially according to the terms of the agreement.
(k) In immediate proximity to the space reserved for the purchaser's signature, in a size equal to at least ten point (10-point) bold type, the following statement: "All funds received will be deposited with the trustees within thirty (30) days and held in a trust which is fully refundable upon fifteen (15) days' written notice except when the beneficiary is the recipient of public assistance, as provided in the Welfare and Institutions Code and this trust agreement has been designated as being irrevocable thereunder."

Note: Authority cited: Sections 7606 and 7740, Business and Professions Code. Reference: Sections 7735, 7736, 7737, 7738, 7740 and 7740.5, Business and Professions Code.

History
1. New section filed 6-17-77; effective thirtieth day thereafter (Register 77, No. 25).
2. Amendment filed 7-3-86; effective thirtieth day thereafter (Register 86, No. 27).
3. Amendment of subsections (h) and (i) filed 1-12-90; operative 2-11-90 (Register 90, No. 3).
4. Change without regulatory effect amending section heading, first paragraph, and subsections (i) and (j) filed 4-15-97 pursuant to section 100, title 1, California Code of Regulations (Register 97, No. 16).

Nothing in this article shall require liquidation or transmutation of any lawful preneed funeral trust agreement existing prior to the effective date of these regulations, but any preneed funeral trust agreement as described in said Article 9, entered into subsequent to July 1, 1977, and all funds and the records and books of account thereof may be maintained separately and apart from the records of any trust funds received by any licensed funeral director prior to that date.
(a) Preneed arrangements, contracts, or plans created or existing prior to July 1, 1977, shall be subject to the provisions of Section 1265, Title 16 of the California Code of Regulations, and shall operate in conformity with the provisions of Section 1265, Title 16 of the California Code of Regulations in the same manner and to the same extent as such arrangements, contracts, and plans created thereafter.
(b) No licensed funeral establishment or licensed funeral director shall service and/or purchase any contract made by any person who is not operating in conformity with the provisions of Article 9, Chapter 12, Division 3, of the California Business and Professions Code.

Note: Authority and reference cited: Sections 7606 and 7740, Business and Professions Code.

History
1. New section filed 6-17-77; effective thirtieth day thereafter (Register 77, No. 25).
2. Amendment filed 10-5-81; effective thirtieth day thereafter (Register 81, No. 41).
3. Amendment filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

“Preneed arrangement,” preneed agreement” or “preneed” is written instruction regarding goods or services or both goods and services for final disposition of human remains when the goods or services are not provided until the time of death, and may be either unfunded or paid for in advance of need.

Note: Authority cited: Section 7606, Business and Professions Code. Reference: Sections 7606, 7685, 7685.6 and 7745, Business and Professions Code.
1. New Section filed 5-13-2004; operative 6-12-2004 (Register 2004, No. 20).

(a) The statement disclosing whether or not the funeral establishment has any preneed agreement made by or on behalf of the deceased shall be made on the “Disclosure of Preneed Funeral Agreement” form provided by the Bureau (Form 21F1 (10/03)), which is hereby incorporated by reference. The disclosure statement shall be signed and dated by the representative of the funeral establishment and by the survivor or responsible party. A copy of the completed disclosure statement shall be given to the survivor or responsible party, and the original completed disclosure statement, or copy thereof, shall be retained by the funeral establishment for not less than one (1) year after the serviced preneed account has been audited by the Bureau or seven (7) years from the date the disclosure statement was made, whichever comes first.
(b) The “survivor” is the person with the right to control disposition of the remains under Health and Safety Code Section 7100, or their designee.
(c) The “responsible party” is the person contracting for funeral goods or services or both funeral goods and services for the decedent from the funeral establishment.
(d) Pursuant to Business and Professions Code Sections 7685.6 and 7745, a copy of any signed preneed agreement made by, or on behalf of the decedent that is paid for in full or in part and is in the possession of the funeral establishment must given to the responsible party or the decedent’s survivor who is handling the funeral arrangements prior to drafting any contract for goods or services.

Note: Authority cited: Section 7606, Business and Professions Code. Reference: Sections 7606, 7685.6 and 7745, Business and Professions Code.
1. New Section filed 5-13-2004; operative 6-12-2004 (Register 2004, No. 20).

These regulations are established to ensure that the practitioners of mortuary science maintain the highest degree of quality in their profession by requiring all funeral directors and embalmers to continue their education after licensure.

Note: Authority cited: Sections 7606, 7622, and 7651, Business and Professions Code. Reference: Sections 7622.3 and 7651, Business and Professions Code.

History
1. New article 9 (sections 1280-1291) and section filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

The following terms, as used in this article, shall have the following meanings, unless the context clearly indicates otherwise.
(a) "Committee" means the continuing education committee established by the Board pursuant to Section 1282.
(b) "Course" shall mean any combination of classes or seminars of continuing education offered by a recognized provider or otherwise approved by the committee.
(c) "Recognized provider" means a person or entity whose qualifications as a continuing education provider have been approved by the committee.
(d) A continuing education "hour" means a minimum of 50 minutes of contact time spent by a licensee in actual attendance at, or participation in, the completion of a course. If a course involves more than one hour of actual attendance or participation, credit may be issued in one-half (½) hour increments.

Note: Authority cited: Sections 7606, 7622, and 7651, Business and Professions Code. Reference: Sections 7622.3 and 7651, Business and Professions Code.

History
1. New section filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

(a) The Board shall appoint an advisory committee to furnish subject matter expertise in implementing, reviewing, and updating its continuing education program. The committee shall consist of the following seven members: three actively-licensed funeral directors; two actively-licensed embalmers; and two adult-education specialists. Members of the committee shall serve for two (2) years from the date of appointment, unless appointed to serve the unexpired term of a former member, in which event they shall serve for the remainder of the unexpired term. Members of the committee shall serve at the pleasure of the Board.
(b)The committee shall:
(1) Develop procedures for its internal operations;
(2) Develop a system for reviewing and appraising recognized providers and courses;
(3) Annually review the Board's continuing education program and, if appropriate, make recommendations to the Board regarding modifications to the program, such as modifications to substantive criteria for courses, and to standards for the approval of recognized providers;
(4) Review and act upon recognized provider applications;
(5) Review and act upon courses proposed by non-recognized providers.
(c) Members of the committee shall serve on a voluntary basis without reimbursement for any expenses incurred while serving on the committee.
(d) All decisions of the committee shall be subject to review and approval by the Board.

Note: Authority cited: Sections 7606, 7622, and 7651, Business and Professions Code. Reference: Sections 7622.3 and 7651, Business and Professions Code.

History
1. New section filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

(a) As a condition of license renewal, every funeral director and embalmer shall certify to the Board that he or she has successfully completed fourteen (14) hours of continuing education on or before December 31, 1998, and shall certify to the Board that he or she has successfully completed fourteen (14) hours of continuing education on or before December 31 of every even-numbered year thereafter.
(b) A maximum of eight (8) credit hours may be applied to required continuing education for each licensee at courses approved for both funeral directors and embalmers.
(c) A licensee shall not receive credit for attending, or participating in, the same course more than once during the same two-year period.
(d) No credit may be granted for partial completion of any course.
(e) Upon approval by the committee a maximum of four (4) continuing education hours may be earned per two year cycle for:
(1) the preparation and delivery of an educational presentation pertaining to funeral directing or embalming before a recognized professional organization;
(2) the authoring of articles or other writings pertaining to funeral directing or embalming which are published in nationally-recognized journals.
(f) Any person seeking to reinstate a license which has lapsed for less than one year must comply with the continuing education requirements for regular renewal of the license.
(g) Any licensee whose license has lapsed but who passed the funeral director's exam prior to July 1, 1999 shall be reinstated upon satisfying the provisions of this section.

Note: Authority cited: Sections 7606, 7622, and 7651, Business and Professions Code. Reference: Sections 7622.3 and 7651, Business and Professions Code.

History
1. New section filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

(a) Anyone seeking to provide continuing education courses as a recognized provider for funeral directors and/or embalmers shall apply to the Board through the committee for registration as a recognized provider prior to offering any course.
(b) Providers requesting recognition shall meet the following criteria:
(1) A provider must be able to verify relevant experience, education, or background to qualify as a recognized provider;
(2) Providers shall provide the staffing, facilities and resources necessary to maintain high standards of scholarship and teaching;
(3) Every instructor shall have education or experience within the last five (5) years in the subject being taught;
(4) Providers shall submit a course monitoring and reporting plan which specifies the methodology for verifying actual attendance and for retaining relevant course records, including evaluations;
(c) Upon receipt of written approval and provider number from the Board, a recognized provider may represent itself as a California Recognized Provider of Continuing Education for Funeral Directors and/or Embalmers.
(d) Every recognized provider's registration expires two (2) years from the date of issuance. A recognized provider may renew its registration by filing an application for renewal on a form CE1 (11/97) provided by the Board, accompanied by a list of all courses offered during the last renewal period pursuant to its registration, the name and qualifications of each instructor, and a summary of the content of each course of study.

Note: Authority cited: Sections 7606, 7622, and 7651, Business and Professions Code. Reference: Sections 7622.3 and 7651, Business and Professions Code.

History
1. New section filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

(a) Unless denied by the Board upon audit, a course offered by a recognized provider shall be considered as approved.
(b) A recognized provider's advertisements for approved course(s) shall clearly indicate the provider's name, the number of course hours, date of expiration, and the provider number assigned by the committee.

Note: Authority cited: Sections 7606, 7622, and 7651, Business and Professions Code. Reference: Sections 7622.3 and 7651, Business and Professions Code.

History
1. New section filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

On a random basis established by the Board, or in response to complaints about a particular provider, the Board may audit selected providers and/or courses. Within fifteen (15) days of receipt of written notification, the recognized provider shall submit to the Board materials the Board deems necessary to complete the audit . The Board shall review the materials to determine whether the provider and/or course satisfies the standards set forth in this article for recognized providers and courses. The Board may conduct the audit itself, or through the committee.

Note: Authority cited: Sections 7606, 7622, and 7651, Business and Professions Code. Reference: Sections 7622.3 and 7651, Business and Professions Code.

History
1. New section filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

(a) A non-recognized provider may petition the committee for approval of a specific course or courses which meet the standards for courses set forth in Section 1288.

Note: Authority cited: Sections 7606, 7622, and 7651, Business and Professions Code. Reference: Sections 7622.3 and 7651, Business and Professions Code.

History
1. New section filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

(a) A recognized provider, or a non-recognized provider of an approved course, shall be responsible for the educational quality of its courses.
(b) Each course shall:
(1) be relevant to the practice of mortuary science, and shall address one of the following topics:
(A) scientific knowledge or technical skills required for the practice of funeral directing or embalming;
(B) business management concepts as they relate to the delivery of efficient professional services to consumers;
(C) ethics and/or legal developments relevant to funeral directing or embalming;
(D) application of new techniques and scientific and clinical advances relating to mortuary science.
(2) provide accurate and current information;
(3) be presented in an orderly and effective fashion conducive to the learning process;
(4) be complete and objective, and not reflect predominantly the commercial views of the provider or of anyone giving financial assistance to the provider;
(5) be based on stated educational goals and objectives.
(c) A provider shall furnish to each course participant a Certificate of Completion which shall include the name and address of the provider, the name and license number of the participant, a brief statement of the subject matter, the number of continuing education hours awarded, the date and location the course was held, and the signature of the course instructor. Recognized providers shall also indicate their provider numbers on Certificates of Completion.
(d) A provider shall maintain records of attendance at, or completion of, its courses for four (4) years.
(e) Each course participant shall be given the opportunity to provide a written evaluation of the course at the conclusion of the course.
(f) An opportunity to enroll in courses shall be available to all licensees.
(g) A minimum of ten (10) continuing education hours for a funeral director must be taken in (b) (1) (A, B, C) of this section during each two-year period.
(h) A minimum of ten (10) continuing education hours for an embalmer must be taken in (b) (1) (A, C, D) of this section during each two-year period.

Note: Authority cited: Sections 7606, 7622, and 7651, Business and Professions Code. Reference: Sections 7622.3 and 7651, Business and Professions Code.

History
1. New section filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

The Board shall deny approval of, suspend, or revoke the registration of any recognized provider or the approval of any course for any of the following acts or omissions:
(a) Obtaining or attempting to obtain registration or course approval through fraud, deceit, false statements, or misrepresentation of material facts, whether such statements or misrepresentations are made knowingly or negligently;
(b) Knowingly failing to provide complete and accurate information in the initial registration or in any notification of change of information;
(c) Failing to notify the Board of a change in the information required for registration of recognized providers;
(d) Falsifying any records regarding the continuing education courses conducted by the provider or the persons who attended or participated in the courses;
(e) Failing to maintain any required records regarding the continuing education courses conducted by the provider or the persons completing the courses;
(f) Failing to provide the Board with copies of any documentation or other information required to be maintained by a provider pursuant to this rule;
(g) Advertising that a course has been approved by the Board prior to the date the approval is granted;
(h) Advertising registration as a recognized provider prior to the date of registration;
(i) Participating in any activity designed or intended to circumvent or evade the requirements of Sections 7622.2 or 7651 of the Business and Professions Code, or the regulations adopted by the Board to implement those sections.

Note: Authority cited: Sections 7606, 7622, and 7651, Business and Professions Code. Reference: Sections 7622.3 and 7651, Business and Professions Code.

History
1. New section filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

(a) The Board shall conduct random audits to verify compliance with this Article. The auditing pool shall consist of a minimum of five percent (5%) of the affected licensees. Those licensees selected for an audit shall be required to document their compliance with the continuing education requirements of this Article on a form CE2 (11/97) provided by the Board.

Note: Authority cited: Sections 7606, 7622, and 7651, Business and Professions Code. Reference: Sections 7622.3 and 7651, Business and Professions Code.

History
1. New section filed 10-31-97; operative 11-30-97 (Register 97, No. 44).

(a) The Board shall inform an applicant, in writing, within seven (7) days whether the application for registration as a recognized provider or for approval of a course from a non-recognized provider is complete and acceptable for filing or is deficient, and what specific information is required to complete the application.
(b) The Board shall make a decision within sixty (60) days after the date the application is deemed to be completed whether the applicant meets the requirements for registration as a recognized provider, or whether a course from a non-recognized provider will be acceptable for continuing education credit.
(c) The minimum, median and maximum processing times for an application for registration as a recognized provider or approval for a course from a non-recognized provider from the date of acceptance and filing of the initial application until the Board makes a final decision on the application are:
(1) Minimum-(1) day.
(2) Median-(10) days.
(3) Maximum-(60) days.

Cemetery and Funeral Bureau California Code of Regulations Department of Consumer Affairs Cemetery Law California Code of Regulations – Cemetery Law

Division 23. State Cemetery Board
(Originally Printed 3-4-50)
Article 1. General................................................................2300-2304
Article 2. Fees.....................................................................2310-2324
Article 3. Applications and Licenses...................................2326-2332
Article 4. Signs, Contracts, Literature, Etc..........................2336-2340
Article 5. Annual Reports....................................................2350-2351
Article 6. Special Care Funds.............................................2370-2380
Article 7. Disciplinary Proceedings......................................2381
Article 7.5. Citation and Fines................................................2382-2388
Article 9. Private Mausoleums and Columbariums.............2390

The principal office of the Board is located at 2535 Capitol Oaks Drive, Suite 300B, Sacramento, California 95833.

Note: Authority cited: Section 9630, Business and Professions Code. Reference cited: Section 9630, Business and Professions Code.

History
1. Amendment filed 12-15-70; effective thirtieth day thereafter (Register 70, No. 51). For prior history see Register 63, No. 3.
2. Amendment filed 12-2-75; effective thirtieth day thereafter (Register 75, No. 49).
3. Amendment filed 6-25-80; effective thirtieth day thereafter (Register 80, No. 26).
4. Change without regulatory effect amending section filed 2-8-95 pursuant to section 100, title 1, California Code of Regulations (Register 95, No. 6).

For the purpose of the rules and regulations contained in this chapter, the present tense includes the past and future tenses, and the future, the present; the masculine gender includes the feminine, and the feminine, the masculine; and the singular includes the plural, and the plural, the singular.

(a) For the purpose of the rules and regulations contained in this chapter, the term “Board” means the Cemetery Board; the term “Code” means Business and Professions Code; and the term “Act” means the Cemetery Act.
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(b) For the purpose of cemetery section development or modification after January 1, 1990, the term “development” means the creation of new interment spaces through the construction of a mausoleum, columbarium, or an in-ground interment section (excluding private mausoleums and/or columbariums) and the term “modification” means the addition, deletion or reconfiguration of interment spaces within an existing

cemetery section, mausoleum, and/or columbarium.
Note: Authority cited: Sections 102.1 and 9630, Business and Professions Code. Reference: Section 8550(d), Health and Safety Code.

HISTORY
1. New subsection (a) designator, new subsection (b) and new Note filed 11-10-98; operative 12-10-98 (Register 98, No. 46).

The power and discretion conferred by law upon the Board to receive and file accusations; issue notices of hearings, statements to respondent and statements of issue; receive and file notices of defense; determine the time and place of hearings under Section 11508 of the Government Code; issue subpoenas and subpoenas duces tecum; set calendar cases for hearing and perform other functions necessary to the businesslike dispatch of the business of the Board in connection with proceedings under the provisions of Sections 11500 through 11528 of the Government Code, prior to the hearing of such proceedings; and the certification and delivery or mailing of copies of decisions under Section 11518 of said Code are hereby delegated to and conferred upon the Executive Officer, or, in his or her absence from the office of the Board, the acting Executive Officer.

Note: Authority cited: Section 9630, Business and Professions Code; and Section 11152, Government Code. Reference: Section 9628, Business and Professions Code.

History
1. Editorial correction filed 12-15-83; effective thirtieth day thereafter (Register 83, No. 51).

Each person holding a certificate of authority, license, permit or any other authority to practice or engage in any activity in the State of California under any and all laws administered by the Board shall file his proper and current mailing address with the Board, at its office in Sacramento and immediately notify the Board of any and all changes of mailing address, giving both his old and his new address.

2310. Regulatory Charge
(a) The annual regulatory charge to be paid by every cemetery authority operating a cemetery under the Act is fixed at the sum of four hundred dollars ($400). An additional quarterly charge of eight dollars fifty cents ($8.50) for each burial, entombment, or www.dca.ca.gov/cemetery Page 2 Cemetery and Funeral Bureau California Code of Regulations Department of Consumer Affairs Cemetery Law
inurnment made during the preceding quarter shall be paid until December 31, 2007, to the Bureau. If the cemetery authority performs a burial, entombment, or inurnment, and the cremation was performed at a crematory located on the grounds of the cemetery and under common ownership with the cemetery authority, the total of all additional charges shall be not more than eight dollars and fifty cents ($8.50).
(b) The annual regulatory charge to be paid by every licensed crematory is fixed at the sum of four hundred dollars ($400). An additional quarterly charge of eight dollars fifty cents ($8.50) for each cremation made during the preceding quarter shall be paid until December 31, 2007, to the Bureau.

Note: Authority cited: Sections 9630 and 9765, Business and Professions Code. Reference cited: Sections 9765 and 9786, Business and Professions Code.

History
1. Amendment filed 12-26-79 as an emergency; effective upon filing (Register 79, No. 52). A Certificate of Compliance must be filed within 120 days or emergency language will be repealed on 4-25-80. For prior history, see Registers 63, No. 3; 73, No. 41; 75, No. 49; and 77, No. 47.
2. Amendment filed 6-25-80; effective thirtieth day thereafter (Register 80, No. 26).
3. Amendment of subsection (a) filed 5-29-81; effective thirtieth day thereafter (Register 81, No. 22).
4. Amendment of subsections (a) and (b) to reduce the amount of the charges filed 11-28-88; operative 12-31-88 (Register 88, No. 51).
5. Amendment of section and Note filed 6-15-95; operative 7-17-95 (Register 95, No. 24).
6. Amendment filed 12-30-96 as an emergency; operative 1-1-97 (Register 97, No. 1). A Certificate of Compliance must be transmitted to OAL by 5-1-97 or emergency language will be repealed by operation of law on the following day.
7. Editorial correction of subsection (b) (Register 97, No. 24).
8. Certificate of Compliance as to 12-30-96 order, including further amendments, transmitted to OAL 4-25-97 and filed 6-9-97 (Register 97, No. 24).
9. Change without regulatory effect amending section filed 12-12-2002 pursuant to section 100, title 1, California Code of Regulations (Register 2002, No. 50).

(a) An initial filing fee of four hundred dollars ($400) shall accompany an original application for a certificate of authority to operate a cemetery. In the event the expenses of the board’s investigation, computed at the rate of $100 per day per man, shall exceed this amount, the applicant shall, within five days after request therefor, deposit such additional sums as deemed necessary by the board provided that the total sum shall not exceed nine hundred dollars ($900).
(b) An initial filing fee of four hundred dollars ($400) shall accompany an original application for a crematory license. In the event the expenses of the board’s investigation, computed at the rate of $100 per day per man, shall exceed this amount, the applicant shall, within five days after request therefor, deposit such additional sums as deemed necessary by the board provided that the total sum shall

not exceed nine hundred dollars ($900).
Note: Authority cited: Sections 9630, 9717 and 9783, Business and Professions Code. Reference cited: Sections 9717 and 9783, Business and Professions Code.
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History
1. New section 2311 filed 1-16-56; effective thirtieth day thereafter (Register 56, No. 2).
2. Amendment filed 12-2-75; effective thirtieth day thereafter (Register 75, No. 49).
3. Amendment filed 6-25-80; effective thirtieth day thereafter (Register 80, No. 26).
4. Amendment of section and Note filed 6-15-95; operative 7-17-95 (Register 95, No. 24).

Note: Authority cited: Sections 9630 and 9751, Business and Professions Code. Reference: Section 9751, Business and Professions Code.

History
1. Amendment filed 12-15-70; effective thirtieth day thereafter (Register 70, No. 51). For prior history, see Register 59, No. 7.
2. Amendment filed 12-2-75; effective thirtieth day thereafter (Register 75, No. 49).
3. Amendment filed 5-29-81; effective thirtieth day thereafter (Register 81, No. 22).
4. Amendment filed 6-15-95; operative 7-17-95 (Register 95, No. 24).

Note: Authority cited: Sections 9630 and 9752, Business and Professions Code. Reference: Section 9752, Business and Professions Code.

Note: Authority cited: Sections 9630 and 9753, Business and Professions Code. Reference: Section 9753, Business and Professions Code.

2315. Cemetery Broker Multiple Corporate Officer or Partner License Renewal Fee

Pursuant to Sections 9754 and 9755 of the Business and Professions Code, the cemetery broker renewal license fee for a license issued to a second or additional
www.dca.ca.gov/cemetery Page 4 Cemetery and Funeral Bureau California Code of Regulations Department of Consumer Affairs Cemetery Law corporate officer or partner of a partnership shall be one hundred dollars for each license in addition to the first fee paid by the corporation or partnership.

Note: Authority cited: Sections 9630, 9754 and 9755, Business and Professions Code. Reference: Sections 9754 and 9755, Business and Professions Code.

The cemetery broker branch office license fee shall be one hundred dollars ($100).

Note: Authority cited: Sections 9630 and 9760, Business and Professions Code. Reference: Section 9760, Business and Professions Code.

(a) The crematory manager examination fee and reexamination fee is four hundred and fifty dollars ($450.00).
(b) The crematory manager license fee is eighty dollars ($80.00).
(c) The annual renewal fee for the crematory manager license is eighty dollars ($80.00).

Note: Authority cited: Sections 9630, Business and Professions Code. Reference: Section 9764.1 and 9787.2, Business and Professions Code.

History
1. New section filed 5-27-2003 as an emergency; operative 5-27-2003 (Register 2003, No. 22). A Certificate of Compliance must be transmitted to OAL by 9-24-2003 or emergency language will be repealed by operation of law on the following day. For prior history, see Register 91, No. 10.
2. Certificate of Compliance as to 5-27-2003 order transmitted to OAL 9-22-2003 and filed 11-3-2003 (Register 2003, No. 45).

(a) The cemetery manager examination fee and reexamination fee is eight hundred dollars ($800.00).
(b) The cemetery manager license fee is eighty dollars ($80.00).
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(c) The annual renewal fee for the cemetery manager license is eighty dollars ($80.00).

Note: Authority cited: Sections 9630, Business and Professions Code. Reference: Section 9723 and 9764.2, Business and Professions Code.

History
1. New section filed 5-27-2003 as an emergency; operative 5-27-2003 (Register 2003, No. 22). A Certificate of Compliance must be transmitted to OAL by 9-24-2003 or emergency language will be repealed by operation of law on the following day.
2. Certificate of Compliance as to 5-27-2003 order transmitted to OAL 9-22-2003 and filed 11-3-2003 (Register 2003, No. 45).

2317.2 Fee for Report of Change of Designation of Cemetery Manager or Crematory Manager and Request to Share a Cemetery Manager

(a) The fee for filing a report of a change of designated crematory manager, or designated cemetery manager, is fifty dollars ($50).
(b) The fee for filing a request to share a designated cemetery manager is fifty dollars ($50).

Note: Authority cited: Sections 9630, Business and Professions Code. Reference: Section 9764.3, Business and Professions Code.

History
1. New section filed 5-27-2003 as an emergency; operative 5-27-2003 (Register 2003, No. 22). A Certificate of Compliance must be transmitted to OAL by 9-24-2003 or emergency language will be repealed by operation of law on the following day.
2. Certificate of Compliance as to 5-27-2003 order transmitted to OAL 9-22-2003 and filed 11-3-2003 (Register 2003, No. 45).

Note: Authority cited: Sections 9630 and 9756, Business and Professions Code. Reference: Section 9756, Business and Professions Code.

History
1. New section filed 9-30-57; effective thirtieth day thereafter (Register 57, No. 17).
2. Amendment filed 12-2-75; effective thirtieth day thereafter (Register 75, No. 49).
3. Amendment filed 5-29-81; effective thirtieth day thereafter (Register 81, No. 22).
4. Amendment filed 5-22-87; operative 7-1-87 (Register 87, No. 23).
5. Amendment filed 2-5-91; operative 2-5-91 (Register 91, No. 10).

Note: Authority cited: Sections 9630 and 9757, Business and Professions Code. Reference: Section 9757, Business and Professions Code.

History
1. New section filed 9-30-57; effective thirtieth day thereafter (Register 57, No. 17).
2. Amendment filed 12-2-75; effective thirtieth day thereafter (Register 75, No. 49).
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3. Amendment of section and Note filed 6-15-95; operative 7-17-95 (Register 95, No. 24).
4. Change without regulatory effect repealing section filed 4-8-97 pursuant to section 100, title 1. California Code of Regulations (Register 97, No. 15).

Note: Authority cited: Sections 9630 and 9759, Business and Professions Code. Reference: Section 9759, Business and Professions Code.

History
1. New Section 2313 filed 1-16-56; effective thirtieth day thereafter (Register 56, No. 2).
2. Renumbered from 2313 and amendment filed 9-30-57; effective thirtieth day thereafter (Register 57, No. 17).
3. Amendment filed 2-20-63; designated effective 4-1-63 (Register 63, No. 3).
4. Amendment filed 12-2-75; effective thirtieth day thereafter (Register 75, No. 49).
5. Amendment filed 5-29-81; effective thirtieth day thereafter (Register 81, No. 22).
6. Amendment filed 5-22-87; operative 7-1-87 (Register 87, No. 23).
7. Amendment filed 6-15-95; operative 7-17-95 (Register 95, No. 24).

The fee for change of name or address on the records of the board shall be twenty-five dollars ($25).

Note: Authority cited: Sections 9630 and 9761, Business and Professions Code. Reference: Section 9761, Business and Professions Code.

History
1. New section filed 9-30-57; effective thirtieth day thereafter (Register 57, No. 17).
2. Amendment filed 2-20-63; designated effective 4-1-63 (Register 63, No. 3). Editorial correction, Register 63, No. 16.
3. Amendment filed 12-2-75; effective thirtieth day thereafter (Register 75, No. 49).
4. Amendment filed 5-22-87; operative 7-1-87 (Register 87, No. 23).
5. Amendment of section and Note filed 6-15-95; operative 7-17-95 (Register 95, No. 24).

The fee for transfer of a cemetery salesman's license upon change of employer shall be twenty-five dollars ($25).

Note: Authority cited: Sections 9630 and 9762, Business and Professions Code. Reference: Section 9762, Business and Professions Code.

History
1. New section filed 9-30-57; effective thirtieth day thereafter (Register 57, No. 17).
2. Amendment filed 12-2-75; effective thirtieth day thereafter (Register 75, No 49).
3. Amendment filed 5-22-87; operative 7-1-87 (Register 87, No. 23).
4. Amendment of section and Note filed 6-15-95; operative 7-17-95 (Register 95, No. 24).

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The fee for a duplicate license shall be twenty-five dollars ($25).

Note: Authority cited: Sections 9630 and 9763, Business and Professions Code. Reference: Section 9763, Business and Professions Code.

History
1. New section filed 9-30-57; effective thirtieth day thereafter (Register 57, No. 17).
2. Amendment filed 12-2-75; effective thirtieth day thereafter (Register 75, No. 49).
3. Amendment filed 5-22-87; operative 7-1-87 (Register 87, No. 23).
4. Amendment of section and Note filed 6-15-95; operative 7-17-95 (Register 95, No. 24).

The fee for reinstatement of a cemetery broker's license or salesman's license within a fiscal year shall be twenty-five dollars ($25).

Note: Authority cited: Sections 9630 and 9764, Business and Professions Code. Reference: Section 9764, Business and Professions Code.

History
1. New section filed 9-30-57; effective thirtieth day thereafter (Register 57, No. 17).
2. Amendment filed 12-2-75; effective thirtieth day thereafter (Register 75, No. 49).
3. Amendment filed 5-22-87; operative 7-1-87 (Register 87, No. 23).
4. Amendment filed 6-15-95; operative 7-17-95 (Register 95, No. 24).

(a) Certificate of Authority. Applications for a certificate of authority to operate a cemetery shall be filed on the form furnished by the board at the principal office of the board. In addition to the payment of the fees required by Section 2311 of these rules, each application shall be accompanied by the following:
(1) A certified copy of:
(A) Articles of incorporation.
(B) Application for permit to sell and issue securities.
(C) Permit to sell and issue securities.
(D) Application to the city or county planning commission for a cemetery use permit or rezoning for cemetery purposes, or both.
(E) Land use or zoning permit.
(F) Declaration of dedication to cemetery purposes certified by the county recorder.
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(G) Deed to the property, contract of purchase or any other instrument which provides the applicant with merchantable title thereto.
(H) Endowment care trust agreement executed by the board of directors of the cemetery authority.
(2) A statement signed by a majority and verified by one of the directors of the applicant, which statement shall set forth:
(A) Names and addresses of the incorporators, directors, officers and trustees of the endowment care fund, including the person who will be in charge of sales, together with a statement of their experience and fitness to engage in cemetery business.
(B) Statement of compensation received or to be received by the officers, directors and all sales agents and/or managers.
(C) A complete and detailed financial statement showing assets, liabilities and reserve.
1. If the applicant is a new corporation, the statement shall designate the amount of stock subscribed, the consideration paid for all stock issued and the amount of promotional stock involved.
2. If the applicant has engaged in business for a period of time, the statements shall include complete operating profit and loss statements for the preceding three (3) years or such period of time as the applicant has been in business if less than three (3) years.
(D) Itemized statement of estimated receipts (from all sources, capitalization, sales, loans, etc.) and expenditures of the applicant for at least five (5) years or such other period as the board may require by written notice to the applicant.
(E) A statement setting forth the size, location and topography of, and water available for, the property to be used for cemetery purposes.
(F) A statement of the applicant's proposed plan of operation which shall include type of selling, approximate size or sales department, number of acres initially developed, etc.
(G) Statement of the amount deposited to the endowment care fund, type of investment made or to be made and the proposed rate of contribution for the future.
(3) An independent confirmation from the depository or other such proof of deposit of the initial contribution to the endowment care fund as required by Section 8738.1 of the Health and Safety Code of the State of California.
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(4) A good and substantial map of the proposed cemetery site (scale not less than 1 inch to 500 feet) and surrounding area showing highways, access roads, etc., and area to be initially developed delineated thereon.
(5) Such other matters as the board may require by written notice to the applicant.
(b) Crematory License Application. Application for a crematory license shall be filed on the form furnished by the board at the principal office of the board. In addition to the payment of the fees required by Section 2311 of these rules, each application shall be accompanied by the following:
(1) A certified copy of:
(A) Articles of incorporation, if applicant is a corporation.
(B) Partnership agreement, if applicant is a partnership.
(C) Land use or zoning permit.
(D) Permit to operate a crematory issued by the local air pollution control district.
(E) Deed, lease or other instrument which provides the applicant with the right to possess and use the property where the business will be located.
(2) A statement signed by the applicant if the applicant is an individual; signed by the majority and verified by one of the directors, if the applicant is a corporation; or signed and verified by a majority of the partners, if applicant is a partnership, which statement shall set forth:
(A) A complete and detailed financial statement showing assets, liabilities, and reserves.
(B) A statement of proposed plan of operation which shall include the type of selling.
(C) A full, true, and complete copy of the standard agreement which will be used for funding of prearranged cremations.
(3) Plans and specifications of the crematory and building, which must be sufficient to allow the board to determine, among other things:
(A) Fire resistant character.
(B) Adequacy of storage for cremated and uncremated remains.
(4) Such other matters as the board may require by written notice to the applicant.
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Note: Authority cited: Section 9630, Business and Professions Code. Reference: Sections 9715, 9716, 9717, 9765, 9781, 9782, 9783 and 9786, Business and Professions Code; and Section 8738.1, Health and Safety Code.

History
1. New Sections 2315 and 2316 filed 1-16-56; effective thirtieth day thereafter (Register 56, No. 2).
2. Renumbering of Sections 2315 and 2316 to 2326 and 2327 respectively filed 9-30-57; effective thirtieth day thereafter (Register 57, No. 17).
3. Amendment filed 6-25-80; effective thirtieth day thereafter (Register 80, No. 26).
4. Amendment filed 8-24-82; effective thirtieth day thereafter (Register 82, No. 35).

(a) Each cemetery for which a new certificate of authority is required shall be operated under the supervision of a managing officer qualified as such by the board.
(1) The applicant for a new certificate of authority, in addition to the requirements of Section 2326, will designate the managing officer. There shall be submitted with the application the written statement of such officer demonstrating that he has two years' experience in the cemetery business, or equivalent experience, which experience shall be commensurate with the size, type, and scope of the proposed activities of the cemetery authority. Additional managing officers who have been qualified and examined by the board may be designated by the applicant and can succeed the managing officer in the event of death, resignation, disability, or other inability to perform the required duties.
(b) Each crematory for which a crematory license is required shall be operated under the supervision of a manager designated by the applicant and qualified as such by the board. Additional managers who have been qualified and examined by the board may be designated by the applicant and can succeed the manager in the event of death, resignation, disability, or other inability to perform the required duties.

Note: Authority cited: Sections 9630 and 9787, Business and Professions Code. Reference: Sections 9715, 9717, and 9787, Business and Professions Code.

History
1. New section filed 3-11-77; effective thirtieth day thereafter (Register 77, No. 11).
2. Amendment filed 6-25-80; effective thirtieth day thereafter (Register 80, No. 26).

Licensed cemeteries, upon approval by the Bureau, may designate a licensed cemetery manager to manage more than one licensed cemetery under the following conditions:
(a) The licensed cemeteries are under common ownership;
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(b) The common owner has designated one cemetery as the main office. The main office is defined as a designated location registered with the Bureau where the principals of the licensed cemetery can be contacted;
(c) The licensed cemeteries are within a 60 mile radius of the main office;
(d) Each licensed cemetery requesting permission from the Bureau to share one designated cemetery manager, shall make a written request on application Form 21A2 (10/03) to the Bureau and pay the fee for requesting to share a designated cemetery manager. An inspection may be scheduled and completed to ensure that the conditions set forth in this section have been satisfied.
(e) The procedure for considering and granting approval to share a cemetery manager under this section shall be as follows:
(1)The Bureau shall inform an applicant requesting approval to share a cemetery manager, in writing, within 14 days of receipt whether the application is complete and acceptable for filing or is deficient and what specific information is required to complete the application.
(2) The Bureau shall make a decision within 30 days after the application is deemed to be completed whether the applicant meets the requirements for approval to share a cemetery manager. “Completion of an application” means that the applicant has filed a completed application form together with all required information, documentation, and fee.
(3) The minimum, median and maximum processing times for an application for approval to share a cemetery manager from the date of acceptance and filing of the initial application until the Bureau makes a final decision on the application are:
(A) Minimum – 7 days.
(B) Median – 14 days.
(C) Maximum – 30 days.

Note: Authority cited: Sections 9630, Business and Professions Code, Section 15376, Government Code. Reference: Sections 9723 and 9723.2, Business and Professions Code, Section 15376, Government Code.

History
1. New section filed 5-27-2003 as an emergency; operative 5-27-2003 (Register 2003, No. 22). A Certificate of Compliance must be transmitted to OAL by 9-24-2003 or emergency language will be repealed by operation of law on the following day.
2. Certificate of Compliance as to 5-27-2003 order, including amendment of subsection (d), transmitted to OAL 9-22-2003 and filed 11-3-2003 (Register 2003, No. 45).

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If an applicant for a license as a cemetery salesman changes employers after filing his application and before the license applied for is issued, such application shall be deemed void and the applicant must file another fee and application.

Note: Authority cited: Section 9630, Business and Professions Code. Reference: Sections 9701 and 9702.1, Business and Professions Code.

History
1. Amendment filed 8-24-82; effective thirtieth day thereafter (Register 82, No. 35).

Pursuant to Section 9702.5 of the Code, an applicant must qualify by written examination, notice of which will be forwarded to the applicant by the board. If the applicant fails to appear at the time and place designated by the board, the board may deem the application abandoned after the expiration of the following periods:
Cemetery broker... Six (6) months
Cemetery salesman ... Two (2) months
Provided, however, that an application shall not be deemed abandoned if an applicant has filed a written request to take a subsequent examination prior to the expiration of the appropriate time periods. In the absence of special circumstances, the applicant whose application has been deemed abandoned shall file a new application accompanied by the required fee.

Note: Authority cited: Section 9630, Business and Professions Code. Reference: Sections 9702.5 and 9715, Business and Professions Code.

History
1. New Section 2317 filed 1-16-56; effective thirtieth day thereafter (Register 56, No. 2).
2. Renumbered from 2317 and amendment filed 9-30-57; effective thirtieth day thereafter (Register 57, No. 17).
3. Amendment filed 3-11-77; effective thirtieth day thereafter (Register 77, No. 11).
4. Amendment filed 8-24-82; effective thirtieth day thereafter (Register 82, No. 35).

2328.1. Cemetery Manager and Crematory Manager Application Form, Abandonment, and Review Processing Time

(a) An applicant for examination or licensure as a cemetery manager or crematory manager shall complete an application, Form 21A3 (10/03).
(b) If an applicant for examination or licensure as a cemetery manager or crematory manager fails to take a required examination within 12 months after being notified of eligibility, or fails to apply for licensure within 12 months of being notified of passing the examination, the application or examination result shall be considered to have been abandoned. An application subsequent to the abandonment of a previous application or examination shall be considered a new application and must be accompanied by the required fees.
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(c) The procedure for considering applications for examination and issuance of licenses under this section shall be as follows:
(1)The Bureau shall inform an applicant for examination or licensure as a cemetery manager or crematory manager, in writing, within 14 days of receipt whether the application is complete and acceptable for filing or is deficient and what specific information is required to complete the application.
(2) The Bureau shall make a decision within 60 days after the application is deemed to be completed whether the applicant meets the requirements for licensure or examination. “Completion of an application” means that the applicant has filed a completed application form together with all required information, documentation and fee.
(3) The minimum, median and maximum processing times for an application for examination or licensure as a cemetery manager or crematory manager from the date of acceptance and filing of the initial application until the Bureau makes a final decision on the application are:
(A) Minimum – 7 days.
(B) Median – 30 days.
(C) Maximum – 60 days.

Note: Authority cited: Sections 9630, Business and Professions Code, Section 15376, Government Code. Reference: 142(b), 9702.5, 9723.1, and 9787.3, Business and Professions Code, Section 15376, Government Code.

History
1. New section filed 5-27-2003 as an emergency; operative 5-27-2003 (Register 2003, No. 22). A Certificate of Compliance must be transmitted to OAL by 9-24-2003 or emergency language will be repealed by operation of law on the following day.
2. Certificate of Compliance as to 5-27-2003 order, including amendment of subsection (a), transmitted to OAL 9-22-2003 and filed 11-3-2003 (Register 2003, No. 45).

An application shall be deemed abandoned and all fees previously paid shall be deemed forfeited if the applicant for a certificate of authority refuses or fails to comply with the provisions of Section 2326 within one year from the date of written notification by the board of the documents or information required to be submitted. The applicant shall be notified in writing of such action. Any application so abandoned may not be reinstated; however, the applicant may file a new application accompanied by the required fees and documents.

Note: Authority cited: Section 9630, Business and Professions Code. Reference: Sections 9702.5, 9716, 9781 and 9782, Business and Professions Code.
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History
1. New section filed 9-30-57; effective thirtieth day thereafter (Register 57, No. 17).
2. Amendment filed 3-11-77; effective thirtieth day thereafter (Register 77, No. 11).
3. Amendment filed 8-24-82; effective thirtieth day thereafter (Register 82, No. 35).
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For the purposes of denial, suspension or revocation of a license pursuant to Division 1.5 (commencing with Section 475) of the Code, a crime or act shall be considered to be substantially related to the qualifications, functions or duties of a cemetery broker or salesman if to a substantial degree it evidences present or potential unfitness of a cemetery broker or salesman to perform the functions authorized by his or her license in a manner consistent with the public health, safety, or welfare. Such crimes or acts shall include but not be limited to those involving the following:
(a) Conviction of a crime involving fiscal dishonesty.
(b) Any violation of the provisions of Chapter 19, Division 3 of the Code.

Note: Authority cited: Sections 481 and 9630, Business and Professions Code. Reference: Section 481, Business and Professions Code.

History
1. Repealer and new section filed 3-11-77; effective thirtieth day thereafter (Register 77, No. 11). For prior history, see Register 73, No. 20.
2. Amendment filed 8-24-82; effective thirtieth day thereafter (Register 82, No. 35).

(a) When considering the denial of a license under Section 480 of the Code, the board, in evaluating the rehabilitation of the applicant and his or her present eligibility for a license, will consider the following criteria:
(1) The nature and severity of the act(s) or crime(s) under consideration as grounds for denial.
(2) Evidence of any act(s) committed subsequent to the act(s) or crime(s) under consideration as grounds for denial which also could be considered as grounds for denial under Section 480 of the Code.
(3) The time that has elapsed since commission of the act(s) or crime(s) referred to in subdivisions (1) and (2).
(4) The extent to which the applicant has complied with any terms of parole, probation, restitution, or any other sanctions lawfully imposed against the applicant.
(5) Evidence, if any, of rehabilitation submitted by the applicant.
(b) When considering the suspension or revocation of a license on the ground that a cemetery broker or salesman has been convicted of a crime, the board, in evaluating the rehabilitation of such person and his or her eligibility for a license, will consider the following criteria:
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(2) Total criminal record.
(3) The time that has elapsed since commission of the act(s) or offense(s).
(4) Whether the licensee has complied with any terms of parole, probation, restitution or any other sanctions lawfully imposed against the licensee.
(5) If applicable, evidence of expungement proceedings pursuant to Section 1203.4 of the Penal Code.
(6) Evidence, if any, of rehabilitation submitted by the licensee.
(c) When considering a petition for reinstatement of a license under the provisions of Section 11522 of the Government Code, the board shall evaluate evidence of rehabilitation submitted by the petitioner considering those criteria specified in subsection (a).

Note: Authority cited: Sections 482 and 9630, Business and Professions Code. Reference: Sections 480 and 482, Business and Professions Code.

Upon the request of a holder of a right of interment in a cemetery, the certificate of authority of which has lapsed or has been revoked, (Hereinafter referred to as “the nonoperating cemetery”), or on its own initiative, the Board may arrange through another cemetery or through such person or firm, or corporation, as it deems advisable, to make interments in the nonoperating cemetery. No such interments shall be authorized by the Board or made unless there has been paid in full to the Board sufficient funds to reimburse the actual direct cost of interment. The power and discretion conferred by law upon the Board to authorize such interments are hereby delegated to and conferred upon the Executive Secretary of the Board, or, in his absence from the office of the Board, the Acting Executive Secretary.
Notwithstanding the rules and regulations of the nonoperating cemetery relative to outside burial containers, the Board may authorize the use of such containers as it deems appropriate.

Note: Authority cited: Section 9630, Business and Professions Code. Reference: Section 9718, Business and Professions Code.

History
1. New section filed 3-11-77; effective thirtieth day thereafter (Register 77, No. 11).
2. Amendment of NOTE filed 8-24-82; effective thirtieth day thereafter (Register 82, No. 35).
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(a) Signs. Each nonendowment care section of an endowment care property, containing property available for sale, shall be separately set off by signs prominently placed designating same as a nonendowment care section. These signs shall be at least 16 inches high and 24 inches wide and shall be mounted upright thus being perpendicular to level ground. Each sign shall contain the following:
(1) A heading containing the words “NONENDOWMENT CARE SECTION” in black lettering at least four inches high.
(2) The phrase “This section is nonendowment care interment property” in black lettering at least 1 1/4 inches high.
(b) Contracts, Literature, Etc. There shall be printed at the head of all contracts, literature, etc., pertaining to nonendowment care property, the following phrase:
“The property described herein is NONENDOWMENT CARE Interment Property.”
The lettering shall appear in a minimum of 10-point type and the words “NONENDOWMENT CARE” shall be in capital letters.

Note: Authority cited: Section 9630, Business and Professions Code. Reference: Sections 8740, 8743 and 8744, Health and Safety Code.

History
1. New section 2320 filed 1-16-56; effective thirtieth day thereafter (Register 56, No. 2).
2. Renumbered from 2320 and amendment filed 9-30-57; effective thirtieth day thereafter (Register 57, No. 17).
3. Amendment filed 8-24-82; effective thirtieth day thereafter (Register 82, No. 35).

(a) Signs.
(1) Entrance Signs. Each nonendowment care cemetery shall post a sign at each entrance. These signs shall be at least 16 inches high and 24 inches wide and shall be prominently mounted upright thus being perpendicular to level ground. Each sign shall contain the following:
(A) A heading containing the words “NONENDOWMENT CARE” in black lettering at least four inches high.
(B) The phrase “This is a nonendowment care interment property” in black lettering at least 1 1/4 inches high.
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(2) Office Signs. Each nonendowment care cemetery shall post a sign in the office or offices where sales are conducted. These signs shall be at least 8 inches high and 12 inches wide and shall contain the following:
(A) A heading containing the words “NONENDOWMENT CARE” in black lettering at least two inches high. (B) The phrase “This is a nonendowment care interment property” in black lettering at least three-fourths inch high.
(b) Contracts, Literature, Etc. There shall be printed at the head of all contracts, literature, publications, etc., of nonendowment care cemeteries the following phrase:
“'This institution is operated as a 'NONENDOWMENT CARE' Interment Property.”
The lettering shall appear in a minimum of 10-point type and the words “NONENDOWMENT CARE” shall be in capital letters.

Note: Authority cited: Section 9630, Business and Professions Code. Reference: Sections 8743 and 8744, Health and Safety Code.

History
1. New Section 2321 filed 1-16-56; effective thirtieth day thereafter (Register 56, No. 2).
2. Renumbering from 2321 to 2337 filed 9-30-57; effective thirtieth day thereafter (Register 57, No. 17).
3. Amendment of NOTE filed 8-24-82; effective thirtieth day thereafter (Register 82, No. 35).

Each cemetery broker shall post in a conspicuous place in the office or offices where sales are conducted a legible sign which shall indicate that he is a licensed cemetery broker and his name shall be clearly indicated thereon. This sign shall be at least 5 1/2 inches high and 8 1/2 inches wide.

Note: Authority cited: Sections 9630 and 9713, Business and Professions Code. Reference: Section 9713, Business and Professions Code.

History
1. New Section 2322 filed 1-16-56; effective thirtieth day thereafter (Register 56, No. 2).
2. Renumbering from 2322 filed 9-30-57; effective thirtieth day thereafter (Register 57, No. 17).
3. Amendment of NOTE filed 8-24-82; effective thirtieth day thereafter (Register 82, No. 35).

(a) Pursuant to Section 9784 of the Code, every contract shall be in writing and shall contain all of the agreements of he parties. Such a contract shall clearly state the following:
(1) The total contract price.
(2) Terms of payment.
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(3) An itemized statement of charges including, as applicable, the following:
(A) Charges for preparation of the body.
(B) Charges for storage.
(C) Charges for permits.
(D) Charges for cremation and disposition.
(E) Charges for transportation.
(F) Any other charges, which shall be particularized.
(b) Any contract, arrangement or plan for the prearrangement of cremation or cremation services shall provide in sufficient detail the manner in which funds paid on account of such arrangements are to be handled including, but not limited to, the following:
(1) The name or names of the persons, firm or entity with custodial responsibility for such funds.
(2) The manner in which such funds and earnings thereon are held.
(3) A provision that any such prearrangement is wholly revocable at any time and that the person establishing such arrangement may recover funds and earnings thereon. Such funds, less an amount not to exceed ten percent of the earned income as a revocation fee, shall be furnished to the person establishing such arrangement within 15 days of receipt of a notice of revocation as provided in the prearrangement contract.

Note: Authority cited: Section 9630, Business and Professions Code. Reference: Section 9784, Business and Professions Code.

History
1. New section filed 6-25-80; effective thirtieth day thereafter (Register 80, No. 26).
2. Amendment of NOTE filed 8-24-82; effective thirtieth day thereafter (Register 82, No. 35).

A contract for the sale of prearranged cemetery services or commodities, the price of which may be modified at the time of delivery of those services or commodities, shall contain the following disclosure statement on the face of the contract in 10-point bold type:
“YOU, THE PURCHASER, WILL HAVE TO PAY, AT THE TIME OF NEED, ANY ADDITIONAL CHARGES RESULTING FROM PRICE INCREASES FOR THE FOLLOWING PREARRANGED SERVICES AND COMMODITIES: . . . .”
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Until January 1, 1984, a licensee may comply with this section by obtaining the purchaser's signature on an addendum which contains the disclosure statement. The licensee shall give the purchaser a copy of the signed addendum together with a copy of the contract of sale, and shall retain the original signed addendum and attach it to the contract of sale.

Note: Authority cited: Section 9630, Business and Professions Code. Reference: Section 8277, Health and Safety Code.

History
1. New section filed 12-27-82; effective thirtieth day thereafter (Register 83, No. 1).

(a) Each crematory licensee and each holder of a certificate of authority who operates a crematory shall keep a record of all remains cremated and such record shall contain the following:
(1) Name and address, if known, of the deceased.
(2) Date burial permit was issued.
(3) County issuing burial permit.
(4) Name, address, and relationship of person or persons authorizing cremation and disposition.
(5) Date of the contract for cremation.
(6) Date, time, and place remains were picked up or received by the licensee.
(7) Date and time of cremation.
(8) Date, time, place, and type of disposition of the cremated remains or name of person or entity to whom the cremated remains were released.
(b) Upon abandonment of the license or termination of licensure, records required by this section shall be turned over to a cemetery approved by the board or to the board.
(c) This section shall not be interpreted to require the holder of a certificate of authority to maintain a separate set of records pertaining to cremations.

Note: Authority cited: Section 9630, Business and Professions Code. Reference: Sections 9719 and 9785, Business and Professions Code.

History
1. New section filed 6-25-80; effective thirtieth day thereafter (Register 80, No. 26).
2. Amendment of Note filed 8-24-82; effective thirtieth day thereafter (Register 82, No. 35).
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3. Amendment of subsection (a), and new subsection (c) filed 3-30-90; operative 4-29-90 (Register 90, No. 16).
4. Editorial correction restoring History 1 and 2 (Register 94, No. 29).

The terminology of Section 9650(c) of the Code shall be deemed to require the certificate of the accountant or auditor preparing such statement and shall be deemed to have been complied with when prepared by a licensed independent certified public accountant or public accountant provided that such statements fully and accurately disclose the position of the endowment care fund and that such certificate does not contain disclaimers or qualifications such as to preclude the rendering of an independent opinion.

Note: Authority cited: Section 9630, Business and Professions Code. Reference: Section 9650, Business and Professions Code.

History
1. New section filed 9-30-57; effective thirtieth day thereafter (Register 57, No. 17).
2. Amendment filed 6-25-80; effective thirtieth day thereafter (Register 80, No. 26).
3. Amendment filed 8-24-82; effective thirtieth day thereafter (Register 82, No. 35).

Each crematory licensee shall file annually with the board a written report on the form prescribed by the board setting forth:
(a) Total number of cremations made.
(b) Disposition of cremations indicating the number which were:
(1) Burials at sea.
(2) Released to a cemetery authority.
(3) Released to the person or persons who authorized cremation.
(4) Other dispositions (describe).
(c) The amount collected and funded for prearranged cremations.
(d) The amount of funds invested in each of the investments authorized by Section 8778 of the Health and Safety Code.
(e) Each annual report by a crematory licensee accepting funds for prearranged cremations shall be accompanied by a financial statement prepared by an independent licensed certified public accountant or public accountant.
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Note: Authority cited: Sections 9630 and 9783, Business and Professions Code. Reference cited: Section 9785, Business and Professions Code.

History
1. New section filed 6-25-80; effective thirtieth day thereafter (Register 80, No. 26).

Preface
In the establishment of agreements between the cemetery authority and a person or persons bequeathing, granting, or giving funds or property in trust as allowed by the provisions of Section 8775 of the Health and Safety Code, the cemetery authority should consider other provisions of law applicable thereto. As an example thereof, reference is made to Division 3, Parts 4, 5 and 8, Chapters 1 and 2 of the Civil Code dealing with trusts. Further, if these particular trusts are not to be revocable by the trustor, such has been held to constitute an insurance business for which a certificate of authority from the Insurance Commissioner is required (See 4 Ops. Cal. Atty. Gen. 103 (NS-5568); 17 Ops. Cal. Atty. Gen. 24 (50/194)).

Trusts established for burial purposes pursuant to Section 8775 of the Health and Safety Code including cremation or other commodities or services furnished at the time of and in connection with such cremation or interment are under the supervision of the State Cemetery Board and must comply with the following requirements:
(a) All moneys paid directly or indirectly and all securities delivered under the trust agreement or any agreement collateral thereto shall constitute the “trust corpus.”
(b) None of the trust corpus shall be used for payment of commission or other expenses of trust administration.
(c) The trust agreement shall specifically set forth any expenses to be charged to the trustor out of income to the trust or any portion of the trut corpus to be retained by the trustees or cemetery authority upon revocation and a copy thereof shall be delivered to the trustor; provided, however, such revocation fee to be retained by the trustee or cemetery authority shall not exceed ten (10) percent of the trust corpus.
(d) Other than as provided in Subsection (c) hereof, the trust income shall be used solely for the purposes authorized by Section 8775 of the Health and Safety Code.
(e) Unless specific property or securities are placed in trust by the trustor, investments of these funds shall be in investments authorized by law–for example, as authorized by Health and Safety Code Sections 8751 and 8751.1 as well as Civil Code Sections 2228 through 2239 and 2261.

Note: Authority cited: Section 9630, Business and Professions Code. Reference: Section 8775, Health and Safety Code.
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History
1. New Article 6 filed 11-16-60; effective thirtieth day thereafter (Register 60, No. 23).
2. Amendment filed 9-2-69; effective thirtieth day thereafter (Register 69, No. 36).
3. Amendment filed 12-15-70; effective thirtieth day thereafter (Register 70, No. 51).
4. Amendment filed 8-24-82; effective thirtieth day thereafter (Register 82, No. 35).

In reaching a decision on a disciplinary action under the Administrative Procedure Act (Government Code Section 11400 et. seq.), the board shall consider the disciplinary guidelines entitled “A Manual of Disciplinary Guidelines for Cemeteries, Crematories, Cremated Remains Disposers, Managers, Brokers, and Salespeople (September 1997)” which are hereby incorporated by reference. Deviation from these guidelines and orders, including the standard terms of probation, is appropriate where the board in its sole discretion determines that the facts of the particular case warrant such a deviation–for example, the presence of mitigating factors; the age of the case; evidentiary problems.

Note: Authority cited: Section 9630, Business and Professions Code; and Sections 11400.20 and 11400.21, Government Code. Reference: Sections 11400.20, 11400.21 and 11425.50(e), Government Code.

History
1. New section filed 7-20-98; operative 8-19-98 (Register 98, No. 30). For prior history, see Register 82, No. 35.

History
1. New Article 7 (Sections 2380 and 2381) filed 11-16-60; effective thirtieth day thereafter (Register 60, No. 23).
2. Repealer filed 8-24-82; effective thirtieth day thereafter (Register 82, No. 35).

Pursuant to Section 9726 of the Code, the board may suspend or revoke the license of any cemetery licensee or the certificate of authority of any cemetery corporation which engages in misrepresentation, dishonest dealings or fraudulent conduct in connection with a trust or other agreement authorized by Health and Safety Code Section 8775, including but not limited to misrepresentations concerning the revocability of such instrument or the amount of commission or trust expenses to be paid or deducted thereunder.

Note: Authority cited: Section 9630, Business and Professions Code. Reference: Sections 9726, 11200 and 11500, Business and Professions Code.

History
1. Repealer and new section filed 8-24-82; effective thirtieth day thereafter (Register 82, No. 35).
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(a) The director of the Department of Consumer Affairs is authorized to determine when and against whom a citation will be issued and to issue citations containing orders of abatement and fines for violations by a licensee or registrant of the provisions of law referred to in section 2383 of this article.
(b) A citation shall be issued whenever any fine is levied or any order of abatement is issued. Each citation shall be in writing and shall describe with particularity the nature and facts of the violation, including a reference to the statute or regulations alleged to have been violated. The citation shall inform the cited person that if he or she desires a hearing to contest the finding of a violation, that hearing shall be requested by written notice to the director within 30 days of the issuance of the citation. The citation shall be served upon the licensee personally or by certified mail.
(c) The amount of any fine to be levied by the director shall take into consideration the factors listed in section 2384 of this article and shall be within the range set forth in section 2383 of this article. In no case shall the total exceed $2,500 for each investigation.

Note: Authority cited: Sections 102.1, 125.9, 148 and 9630, Business and Professions Code. Reference: Sections 125.9 and 148, Business and Professions Code.

History
1. New article 7.5 and section filed 5-25-93; operative 6-24-93 (Register 93, No. 22).
2. Amendment of section and Note filed 10-2-96; operative 11-1-96 (Register 96, No. 40).

(a) The fine for a violation of the following provisions shall be from $150 to $1,500:
Rule........................Description
2340.......................Maintenance of records
2370.......................Special trusts
Business and Professions Code
9679.......................Employing unlicensed salespersons
9684.......................Advertising statements
9702.2....................Cemetery broker bond
9719.......................Access during inspection
9743.......................Scattering remains
9749.......................Scattering of remains
9785.......................Filing crematory report
Health and Safety Code
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7050.5....................Removal of remains from county
7051.......................Removal of remains without authorization
7051.5....................Dental gold and silver
7052.......................Disinterment without authority
7054.......................Disposal in place other than cemetery
7054.7(a)................Commingling of cremated remains
8342.......................Cremation-casket requirement
8360.......................Loans to officers/directors
8362.......................Loans to officers/directors
8733.......................Trustee fees
8734.......................Bond requirement
8738.2....................Endowment care funds
8747.5....................Books and records-availability
8751.......................Endowment care fund investments
8777.......................Special care funds
8778.......................Special care fund investments
(b) The fine for a violation of the following provisions shall be from $100 to $1,000:
Rule........................Description
2339.......................Crematory contracts
2351.......................Crematory report
2381.......................Misrepresentation
Business and Professions Code
9682.......................Representations re resale of property
9726.......................Misrepresentations
9728.......................Discharge of salespersons-report
9744.......................Cremated remains disposer-permit
9745.......................Cremated remains disposer-annual report
9767.......................Payment of regulatory charges
9784.......................Cremation restrictions
Health and Safety Code
7053.......................Failure to release human remains
8120.......................Notice re change in cemetery use
8277.......................Contracts
8278.......................Contract cancellation
8330.......................Record of interment
8331.......................Record of plot ownership
8573.......................Pre-construction sale of crypts
8726.......................Endowment care investments
8732.......................Trustees
8732.1....................Trustees
8780.......................Misrepresentation re endowment care
8781.......................Misrepresentation re endowment care
9550.......................Mausoleum construction without permit
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(c) The fines for a violation of the following provisions shall be from $50 to $500:
Rule........................Description
2336.......................Nonendowment care signs
2337.......................Nonendowment care signs
2338.......................Cemetery broker signs
2339.1....................Cemetery contracts
Business and Professions Code
9680.......................Compensation to unlicensed brokers
9709.......................Display license
9710.......................Return license
9711.......................Notice of change in location
9713.......................Cemetery broker sign
Health and Safety Code
7055.......................Removal of human remains
8276.......................Charges for markers
8309.......................Regulations-availability
8734.......................Bond
8740.......................Nonendowment care signs
8741.......................Endowment care signs-posting
8744.......................Nonendowment care contracts
8745.......................Revision of signs
(d) In his or her discretion, the director may issue a citation containing an order of abatement without levying a fine for the first violation of any provision set forth in subsections (a) through (c) above.

Note: Authority cited: Sections 102.1, 125.9, 9630 and 9658, Business and Professions Code. Reference: Section 125.9, Business and Professions Code.

History
1. New section filed 5-25-93; operative 6-24-93 (Register 93, No. 22).
2. Amendment of subsection (d) and Note filed 10-2-96; operative 11-1-96 (Register 96, No. 40).

In assessing an administrative fine or issuing an order of abatement, the director shall give due consideration to the following factors:
(a) The nature and severity of the violation.
(b) The good or bad faith of the cited person or entity.
(c) History of violations of the same or similar nature.
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(d) Evidence that the violation was willful.
(e) The extent to which the cited person or entity has cooperated with the department's investigation.
(f) The extent to which the cited person or entity has mitigated or attempted to mitigate any damage or injury caused by the violation.
(g) Such other matters as justice may require.

Note: Authority cited: Sections 102.1, 125.9, 148 and 9630, Business and Professions Code. Reference: Sections 125.9 and 148, Business and Professions Code.

History
1. New section filed 5-25-93; operative 6-24-93 (Register 93, No. 22).
2. Amendment of first paragraph, subsection (e) and Note filed 10-2-96; operative 11-1-96 (Register 96, No. 40).

(a) The time allowed for the abatement of a violation shall begin the first day after the order of abatement has been served or received. If a cited person who has been issued an order of abatement is unable to complete the correction within the time set forth in the citation because of conditions beyond his or her control after the exercise of reasonable diligence, the person cited may request an extension of time from the director in which to complete the correction. Such a request shall be in writing and shall be made within the time set forth for abatement. Any order granting a request for an extension shall be in writing and shall specify the new date for compliance.
(b) An order of abatement shall either be personally served or mailed by certified mail, return receipt requested. When an order of abatement is not contested or if the order is appealed and the person cited does not prevail, failure to abate the violation charged within the time allowed shall constitute a violation and failure to comply with the order of abatement.

Note: Authority cited: Sections 102.1, 125.9, 148 and 9630, Business and Professions Code. Reference: Sections 125.9 and 148, Business and Professions Code.

History
1. New section filed 5-25-93; operative 6-24-93 (Register 93, No. 22).
2. Amendment adding subsection (a) designator, amendment of newly designated subsection (a), and amendment of Note filed 10-2-96; operative 11-1-96 (Register 96, No. 40).

(a) In addition to requesting a hearing provided for in subdivision (b)(4) of Section 125.9 of the code, the person cited may, within ten (10) days after service or receipt of the citation, notify the director in writing of his or her request for an informal conference regarding the acts charged in the citation. The time allowed for the request shall begin the first day after the citation has been served or received.
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(b) The director shall hold, within 30 days from the receipt of the request, an informal conference with the person cited or his or her legal counsel or authorized representative. At the conclusion of the informal conference the director may affirm, modify or dismiss the citation, including any fine levied or order of abatement issued. The director shall state in writing the reasons for his or her action and serve or mail, as provided in subsection (b) of Section 2382, a copy of his or her findings and decision to the person cited within ten days from the date of the informal conference. This decision shall mark the conclusion of the informal conference proceeding.
(c) The person cited does not waive his or her request for a hearing to contest a citation by requesting an informal conference after which the citation is affirmed by the director. If the citation is dismissed after the informal conference, the request for a hearing on the matter of the citation shall be deemed to be withdrawn. If the citation, including any fine levied or order of abatement, is modified, the citation originally issued shall be considered withdrawn and a new citation issued. If a hearing is requested for the subsequent citation, it shall be requested within 30 days of the date of issuance in accordance with subdivision (b)(4) of Section 125.9 of the code.

Note: Authority cited: Sections 102.1, 125.9, 148 and 9630, Business and Professions Code. Reference: Sections 125.9 and 148, Business and Professions Code.

History
1. New section filed 5-25-93; operative 6-24-93 (Register 93, No. 22).
2. Amendment of section and Note filed 10-2-96; operative 11-1-96 (Register 96, No. 40).

The director of the Department of Consumer Affairs may issue citations against any unlicensed person who is acting in the capacity of a licensee under the jurisdiction of the department and who is not otherwise exempt from licensure. A citation issued pursuant to this section shall comply with Section 125.9 of the code. Each citation may contain an assessment of an administrative fine, an order of abatement fixing a reasonable period of time for abatement of the violation, or both an administrative fine and an order of abatement. Administrative fines shall be in a range from $250 to $2,500 for each investigation. Any sanction authorized for activity under this section shall be separate from and in addition to any other civil or criminal remedies.

Note: Authority cited: Sections 102.1, 125.9, 148 and 9630, Business and Professions Code. Reference: Sections 125.9 and 148, Business and Professions Code.

History
1. New section filed 5-25-93; operative 6-24-93 (Register 93, No. 22).
2. Amendment of section and Note filed 10-2-96; operative 11-1-96 (Register 96, No. 40).

(a) Any cemetery authority that does not file the annual report required by Section 9650 of the Business and Professions Code within the time prescribed by said Code
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shall be assessed a fine by the director in an amount of four hundred dollars ($400) per month for a maximum of five months. Failure to pay the fine within fifteen (15) days after receipt of written notification of the assessment or, where a timely request for waiver or reduction of the fine has been filed with the director, within fifteen days (15) after receipt of written notification of the director’s decision in the matter, shall be cause for disciplinary action.
(b) A cemetery authority may request waiver or reduction of a fine by making a written request to the director therefor. The request shall be postmarked within the time specified above for payment of the fine and shall be accompanied by a statement showing good cause for the request.
(c) The director may waive or reduce the fine where a timely request is made an he or she determines, in his or her discretion, that the cemetery authority has made a sufficient showing of good cause for the waiver or reduction.
(d) In addition to requesting a hearing to be held pursuant to Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code, the person cited may, within fifteen (15) days after service or receipt of the citation, notify the director in writing of his or her request for an informal conference regarding the acts charged in the citation. The time allowed for the request shall begin the first day after the citation has been served or received. An informal conference shall be in accordance with the procedures delineated in Section 2386, subdivisions (b) and (c).

Note: Authority cited: Sections 102.1, 125.9, 9630 and 9650.4, Business and Professions Code.
Reference: Sections 125.9 and 9650.4, Business and Professions Code.

History
1. New section filed 10-2-96; operative 11-1-96 (Register 96, No. 40).
2. Amendment of subsection (a) filed 6-17-97; operative 7-17-97 (Register 97, No. 25).

(a) Private mausoleums and columbariums shall be constructed as allowed in Section 9600.6 of the Health and Safety Code.
(b) Solid type construction of private mausoleums and columbariums shall also comply with the methods and standards set forth in Part 5 of the Mausoleum and Columbarium Law, (commencing with Section 9501 of the Health and Safety Code), with the exception of Sections 9627, 9632, and 9646, and with the addition of the following construction methods: Solid type construction is construction in which all bearing walls, beams, columns, floor slabs, and roof consists of marble or granite blocks, in solid form, pinned with non-corrosive structural metal pins as hereinafter described. The foundations and footings www.dca.ca.gov/cemetery Page 30 Cemetery and Funeral Bureau California Code of Regulations Department of Consumer Affairs Cemetery Law shall be of poured-in-place reinforced concrete designed and constructed in conformity with the Uniform Building Code. All bearing walls, beams, columns, floor slabs, and roof shall be constructed in conformity with the requirements set forth in the Uniform Building Code, except as otherwise provided in this section. Structural members shall be not less than six inches (6”) thick, if of granite construction, and eight inches (8”) thick, if of marble construction. Each structural part shall be properly pinned and anchored to each other structural part. All vertical joints shall be pinned a maximum of thirty-six inches (36”) on centers, with pins a maximum of eighteen inches (18”) from a horizontal joint, or pinned with one pin per joint section, whichever spacing is smaller. All horizontal points shall be pinned a maximum of twenty-four inches (24”) on centers, or in the case of wall slabs of width greater than twenty-four inches (24”), each slab shall be pinned to roof and floor with at least two pins. No pins shall be closer than four inches (4”) to the corner of a stone. Pins shall be bronze, stainless steel or other non-corrosive structural metal, at least three-fourths inch (3/4”) in diameter and six inches (6”) long. Pins shall be properly grouted in one (1”) holes drilled to a minimum depth of three inches (3”), except the foundations, where they shall be set in place when the concrete is poured. Each course shall be properly grouted solid. All joints services shall be properly roughened to give the binding surfaces a roughness necessary for proper binding. At all vertical joints there shall be proper cramps at each joint line of a similar non-corrosive variety. No course shall be less than eighteen inches (18”) in height, and thirty-six (36”) in length. The roof stone shall be pinned to the side walls. All joints shall be large enough to allow for expansion and contraction, and shall be raked at least one-half inch (1/2”) deep, unless constructed of single slabs. Where granite or marble roof is constructed of more than one piece, and pitch is three inches (3”) per twelve inches (12”) or less, up-slope pieces must overlap down-slope pieces by a minimum of eight inches (8”). For pitches more than three inches (3”) to six inches (6”) per twelve inches (12”), this minimum overlap shall be four inches (4”). For a slope steeper than six inches (6”), this minimum overlap shall be one and one inches (1 1/2”). Where granite or marble roof stone is level or nearly level, and terminated in a vertical joint on one or more sides, this vertical joint shall be protected by a superimposed cap, along whose edge a drainage trough shall be cut in the roof stone of such size and slope as to prevent moisture from entering the bed joint between roof stone and cap. All interior and exterior fastenings for hangers, clips, doors, and other objects shall be of copper base alloy, aluminum, copper, or stainless steel of adequate gauges. All exterior metals used for doors, window frames, skylights, gutters, downspout, flashing, or in embellishment shall be of copper, copper-based alloy, aluminum, or stainless steel of gauges structurally determined.

Note: Authority cited: Sections 102.1 and 9630, Business and Professions Code. Reference: Section 9600.5, Health and Safety Code.

Contents
Introduction
Who Must Comply With the Funeral Rule?
Definition of “funeral provider”
Definition of “funeral goods”and “funeral services”
Does the Rule Apply to Pre-Need Arrangements?
The General Price List (GPL)
Who Gets a GPL?
When Should the GPL Be Offered?
What about Phone or Mail Inquiries?
Does the Rule Require the GPL to Be Given to Keep?
What About the GPL and Pre-need Arrangements?
Information Required on the GPL
Identifying Information
Required Disclosures on the GPL
Right of Selection
Embalming
Alternative Containers
Professional Services Fee
Casket Price List
Outer Burial Container Price List
Required Itemized Prices on the GPL
Forwarding/Receiving Remains,
Direct Cremation, and Immediate Burial
Basic Services of Funeral Director and Staff
Transfer of Remains to Funeral Home
Embalming
Other Preparation of the Body
Use of Facilities and Staff for Viewing
Use of Facilities and Staff for Funeral Ceremony
Use of Facilities and Staff for Memorial Service
Use of Equipment and Staff for Graveside Service
Hearse
Limousine
Casket
Outer Burial Container
Alternative Price Lists
Children and Infants
Government Agencies
Religious Groups and Memorial Societies
The Casket Price List (CPL): Information and Use
The Outer Burial Container (OBC) Price List: Information and Use
Statement of Funeral Goods and Services Selected: Cost Information and Disclosures
Legal Requirements
Embalming
Cash Advance Items
Telephone Price Disclosures
Misrepresentations Prohibited by the Rule
Embalming
Casket for Direct Cremation
Outer Burial Container
Legal and Cemetery Requirements
Preservative and Protective Value Claims
Cash Advance Items
Other Misrepresentations
What Consumers Cannot Be Required to Purchase
Prior Approval for Embalming
Recordkeeping
Comprehension of Disclosures
State Exemption Provisions
Sample Price Lists
Endnotes

These guidelines are intended to help you, the funeral provider, comply with the Federal Trade Commission (FTC or Commis-sion) Funeral Rule. The Funeral Rule went into effect on April 30, 1984. The Commission revised the Rule early in 1994; revisions became effective later that year.

The Funeral Rule requires you to give consumers accurate, itemized price information and various other disclosures about funeral goods and services. In addition, the Rule prohibits you from:

If you violate the Funeral Rule, you may be subject to penalties of up to $10,000 per violation.

These guidelines do not amend or modify the Rule. They explain the requirements of the revised Funeral Rule and discuss how to prepare documents required by the Rule — the General Price List, the Casket Price List, the Outer Burial Container Price List, and the Statement of Funeral Goods and Services Selected. The guidelines also include sample price lists and a sample itemized statement form. These guidelines represent the FTC staff's view of what the law requires. They are not binding on the Commission.

Who Must Comply With the Funeral Rule?

All "funeral providers" must comply with the Rule. You are a funeral provider if you sell or offer to sell both funeral goods and funeral services to the public.
Funeral goods are all products sold directly to the public in connection with funeral services.

You are a funeral provider if you sell or offer to sell funeral goods and both types of funeral services. You do not have to be a licensed funeral director and your business does not have to be a licensed funeral home to be covered by the Funeral Rule. Cemeteries, crematories, and other businesses can also be "funeral providers" if they market both funeral goods and services.

You must comply with the Rule even if a particular consumer buys only goods or only funeral services, but not both. If you offer to sell both goods and services, you must comply with the Rule for every customer. However, you are not covered by the Rule if you sell only funeral goods, such as caskets, but not services relating to the disposition of remains.

You are covered by the Rule even if you organize your business to sell goods through one company and services through another. If you are a funeral provider, you cannot avoid being covered by the Rule by restructuring your business.

The Rule's requirements, as described on the following pages, apply to both pre-need and at-need funeral arrangements.

In pre-need situations, you must comply with all Rule requirements at the time funeral arrangements are pre-planned. You also need to comply with the Rule after the death of the individual who made pre-need arrangements. If the survivors inquire about goods or services, alter the pre-planned arrangements, or are required to pay additional sums of money, you must give them all relevant disclosures and price lists. For example, survivors may be asked to pay additional amounts if the pre-paid plan does not guarantee prices at the time of death. In other cases, survivors may change arrangements specified in the pre-need plan, adding or subtracting certain goods or services. In both situations, the requirements of the Rule apply. You must give the survivors relevant price lists, as well as an itemized Statement of Funeral Goods and Services Selected (see pages 4-5 and 19).

You also must comply with the Rule if you sell pre-need contracts on behalf of one or more funeral homes, but do not yourself provide funeral goods and services. In such a case, even though you don't provide the funeral items, you are an agent of a funeral provider and therefore are covered by the Rule.

The Rule does not apply to pre-need contracts entered into before the Rule went into effect in 1984. However, if a pre-need contract signed before 1984 is modified after 1984, the modification triggers all of the Rule's requirements.

Example: Mr. Green made pre-need arrangements in 1980; he dies in 1994. At the time of his death, his wife wants to change the casket specified in the pre-need contract and to add visitation hours. Because Mrs. Green is changing the contract after 1984, the funeral provider must comply with all of the Rule's requirements, including giving Mrs. Green a General Price List, showing her a Casket Price List, and providing her with an itemized Statement of Goods and Services Selected.

Note: In a situation like the above example, you should check your state law to determine whether it allows you to alter the terms of such a contract.

The General PriceList (GPL) is the key stone of the Funeral Rule. It must contain identifying information (see page 6), itemized prices for the various goods and services that you sell (see pages 9-13), and other important disclosures (see pages 6-9). The GPL enables consumers to comparison shop and to purchase, on an itemized basis, only the goods and services they want.

Who Gets a GPL?
You must give the General Price List to anyone who asks, in person, about funeral goods, funeral services, or the prices of such goods or services. You must give the GPL to such individuals to keep. The request for information does not have to come from a consumer or someone who wants to make funeral arrangements now or in the future. You must give a GPL to all persons who inquire about funeral arrangements. This may include competitors, journalists, and representatives of businesses, religious societies, government agencies, or consumer groups.

Note: If someone asks you about the goods and services that you sell, you must give that person a General Price List. If you are uncertain whether the Rule applies in a particular situation, it would be sensible to provide the list.

You do not have to hand out the General Price List as soon as someone walks into
your business. But, you must offer the price list when you begin to discuss any of the following:

Before giving a GPL to a bereaved individual, you may offer your condolences and discuss preliminary matters like veteran's benefits or death certificates.

The triggering event for giving out the GPL is a face-to-face meeting. The face-to-face meeting can occur anywhere, not just at the funeral home. For example, you must give out a General Price List even if the discussion of prices or arrangements takes place in the family's home or while removing the deceased from a hospital or a nursing home. You should tell your employees to carry extra price lists with them.

Exception: You are not required to offer a General Price List if you remove the deceased for transportation to the funeral home and, at that time, only request the authorization to embalm. When you request authorization to embalm, however, you also must:

Disclose that embalming is not required by law (except in special cases, if relevant); and refrain from further discussion about prices or the selection of funeral goods or services while you remove the deceased. Any further discussion of prices or the selection of goods or services at this time would trigger the requirement to provide a GPL.

You must give certain information to people who telephone (see page 22), but the Rule does not require you to send callers a General Price List. Similarly, you do not have to send a GPL in response to mail inquiries about funeral goods and services. Of course, you certainly are free to send a GPL to someone who calls or writes for information if you wish to do so. However, if a telephone or mail inquiry is followed up by a meeting at the funeral home or elsewhere, you must provide a GPL at that time.

Note: Some states require funeral providers to mail a price list upon request. You should check to see what the requirements are in your state.

A verbal offer of a GPL is not enough to comply with the Rule. You cannot merely tell consumers that a GPL is available for inspection. You also cannot show them a GPL in a booklet or binder where it appears that there is only one copy available or that the booklet is solely for the funeral director's use. You must physically offer consumers a General Price List that they can keep and take home with them. If the consumer does not want to accept or look at the General Price List, you do not have to do anything else. However, you should do nothing to discourage customers from looking at the GPL, such as telling them that it is unnecessary or difficult to understand.

Note: You cannot charge a fee for the price list or place any conditions upon giving consumers information that the Rule requires you to give to them. You must give all required information to anyone who asks, free of charge.

You must give out a General Price List in all pre-need situations. Because you may sell different goods and services on a pre-need basis, your pre-need GPL may vary from the GPL you use in at-need situations. However, any General Price List that you use for pre-need arrangements must include all required disclosures (see pages 6-9) and offer goods and services on an itemized basis (see pages 9-13). You cannot offer only package funerals to pre-need customers.

In addition, as stated above (see pages 2-3), you must give a GPL to anyone who wishes to modify the funeral goods or services already purchased under a pre-need contract or to a survivor who must pay an additional sum because prices have increased since the time the arrangements were pre-planned.

Example: Mr. Stone made pre-need arrangements before his death. His wife wants to change the casket and the services that he bought under the pre-need contract. You must give Mrs. Stone a General Price List at the beginning of the discussions and show her a Casket Price List before she looks at any caskets.

Information Required on the GPL
Identifying Information

The General Price List should be printed or typewritten, and must contain the following identifying information:

The Rule also requires you to make six disclosures on your General Price List.(1) These disclosures discuss:

Each of these disclosures is discussed in the following sections. You must place these required disclosures on the General Price List exactly as the Rule provides. (See also Sample 1 GPL at the end of this publication.)
In addition, you must use the identical wording given in the Rule. You cannot edit or paraphrase.

Note: You can include additional information, such as a reference to your own state laws. But, you cannot change the FTC language or add anything that will modify the

1. Right of Selection
The first disclosure informs consumers that they have a right to select only the items they want to buy, besides a non-declinable basic services fee (see pages 11-12 for a detailed description of this fee).(2) You should place this statement immediately above the prices of the goods and services that you offer. The statement should read as follows:

The goods and services shown below are those we can provide to our customers. You may choose only the items you desire. However, any funeral arrangements you select will include a charge for our basic services and overhead. If legal or other requirements mean you must buy any items you did not specifically ask for, we will explain the reason in writing on the statement we provide describing the funeral goods and services you selected.

You must include the third sentence of the disclosure, indicated in bold-face above, if customers cannot decline the basic services fee. You may add the phrase "and overhead" after the word "services," as shown above, if the fee includes the recovery of overhead costs.

The second disclosure tells consumers that the law does not require embalming.(3) The statement should read as follows:

Except in certain special cases, embalming is not required by law. Embalming may be necessary, however, if you select certain funeral arrangements, such as a funeral with viewing. If you do not want embalming, you usually have the right to choose an arrangement that does not require you to pay for it, such as direct cremation or immediate burial.

You do not need to include the phrase, "except in certain special cases," indicated in bold-face above, if state or local law in the area where you do business does not require embalming under any circumstances. If you want to add information about state law requirements, you can do so after the FTC disclosure. You should place this disclosure in immediate conjunction with the price for embalming.

Note: "In immediate conjunction" means that the embalming disclosure must appear directly next to the price for embalming. You should not put the disclosure on a separate page or anywhere else on the GPL apart from the embalming price. (See also Sample 1 GPL at the end of this publication.)

The third disclosure informs consumers that they may use alternative containers (see the revised Rule for a full definition of this term) for direct cremations.(4) This disclosure must read as follows:

If you want to arrange a direct cremation, you can use an alternative container. Alternative containers encase the body and can be made of materials like fiberboard or composition materials (with or without an outside covering). The containers we provide are (specify containers).

You should place this disclosure in immediate conjunction with (directly next to) the price range for direct cremation. At the end of the last sentence, you should describe the specific kind of container(s) that you offer. If you don't arrange direct cremations, you don't need to include this disclosure on the GPL.

The fourth disclosure tells consumers about any "basic services fee" (the fee for the professional services of the funeral director and staff) that you will add to the total cost of the funeral arrangements.(5) This basic services fee could include a charge for the services you perform in conducting the arrangements conference, planning the funeral, securing the necessary permits, preparing the notices, and coordinating the cemetery or crematory arrangements. This fee also may include overhead that you have not allocated elsewhere. You can include this fee on your General Price List in one of two ways:

Option 1: If you list a separate basic services fee and the charge is non-declinable (the consumer does not have the option of declining the charge), you must provide the following disclosure:

This fee for our basic services and overhead will be added to the total cost of the funeral arrangements you select. (This fee is already included in our charges for direct cremations, immediate burials, and forwarding or receiving remains.)

If you decide on Option 1, this disclosure must appear together with the price for the basic services and with a description of the services you include for that price. (You cannot place this disclosure on a separate page or anywhere else on the GPL apart from the basic services price.) If this basic services fee is non-declinable, the price also must include all charges for the recovery of overhead that you have not allocated elsewhere. In this situation, the first sentence of your disclosure can include the phrase "and overhead" after the word "services," as shown above.

Option 2: Instead of charging a separate basic services fee, you can include the services fee in your casket prices. With this alternative, you must include the following disclosure:

Please note that a fee of (specify dollar amount) for the use of our basic services and overhead is included in the price of our caskets. This same fee shall be added to the total cost of your funeral arrangements if you provide the casket. Our services include (specify).

If you decide on Option 2, the fee should include all charges for the recovery of overhead costs not allocated elsewhere, and you may add the phrase "and overhead" after the word "services" in the first sentence, indicated in bold-face above. The disclosure must appear on the GPL together with the prices for the individual caskets or together with the casket price range if you have a separate Casket Price List.

The fifth disclosure tells consumers that a Casket Price List is available.(6) You may list casket prices either on the General Price List or on a separate "Casket Price List." If you use a separate Casket Price List, your GPL should state the range of prices for the caskets you sell, together with the following disclosure: A complete price list will be provided at the funeral home.

The sixth disclosure informs consumers that an Outer Burial Container Price List is available.(7) Again, you can either put the prices for the outer burial containers on your General Price List, or you can provide a separate "Outer Burial Container Price List." If you use a separate price list, your GPL should state the range of prices for the outer burial containers you sell, together with the following disclosure: A complete price list will be provided at the funeral home.

If you put the prices for the outer burial containers on your General Price List, you also must include the following disclosure in immediate conjunction with (directly next to) the outer burial container prices.

In most areas of the country, state or local law does not require that you buy a container to surround the casket in the grave. However, many cemeteries require that you have such a container so that the grave will not sink in. Either a grave liner or a burial vault will satisfy these requirements.

If instead you provide a separate price list for outer burial containers, then you must include the above disclosure on your Outer Burial Container Price List (see page 17). You don't have to include the phrase, "in most areas of the country," indicated in bold-face above, in the disclosure if your state or local law does not require a container to surround the casket in the grave.

The Rule requires you to itemize the prices for certain goods and services so consumers may choose only those elements of a funeral that they want. You must list the following 16 specified items of goods and services on the GPL, together with the price for each item:(8)

You can list these items in any order you want. You only have to list the items that you actually offer. If you do not offer one or more of the 16 items, you need not list those items on the General Price List. In addition to these 16 items, you also may list other items that you offer, such as acknowledgement cards and cremation urns. You also may provide prices for package funerals on your GPL. However, you must offer any package funerals in addition to and not in place of the required itemized prices.(9)

The itemized prices on your General Price List, as well as your Casket Price List and Outer Burial Container Price List, should be accurate and up-to-date. These prices should reflect the prices that you actually charge your customers.

Of course, you can offer a discount when there are special circumstances, such as arrangements for a friend or relative or a family that otherwise could not afford your services. The Rule does not prevent you from doing this. However, you should not inflate the prices on any of your price lists in order to offer all or most of your customers a discount. In that case, the "discounted" prices would be the accurate prices and should be reflected on the price lists.

Four items that the Rule requires you to list are: (1) forwarding of remains; (2) receiving remains; (3) direct cremation; and (4) immediate burial. Unlike the rest of the goods and services that you must list on the GPL, the prices for these four items must include any fee that you will charge consumers for the basic professional services of the funeral director and staff.

Example: Ms. James wants to arrange an immediate burial for her father. In addition, she chooses acknowledgement cards, use of a limousine, and a graveside service. You should charge her the fee for an immediate burial plus the fees for the other items that she wants. But, you should not charge her an additional non-declinable basic services fee. A charge for your basic services is already included in the price for the immediate burial. The required disclosure about the basic services fee (see pages 11-12) informs the consumer of this fact.

For forwarding of remains and receiving remains, the GPL should list one price for each of these items and describe all services you will provide for the quoted price. The prices for these items should include all charges relating to each service, including any basic services fee and any facilities or equipment fees.

For direct cremations, your GPL must state a price range, along with the required disclosure about the availability of an alternative container (see page 7), then list each of the following options within the range:

You also must describe in the GPL the services and container provided for each price. If you wish, you also may list other options, such as direct cremation with a memorial service or direct cremation with scattering of ashes.

The price of the actual cremation of the deceased may or may not be included in your price for direct cremation. If you own a crematory, it would be appropriate to include the cremation charge in this fee. However, if you use a crematory that someone else owns, you may treat this charge as a cash advance item. In that case, you should make clear to the customer that there will be an added charge by the crematory.

For immediate burials, you must give a price range, together with each of the following separate options within the range:

The charge for services of funeral director and staff is a fee for the basic services that you furnish in arranging any funeral.(10) This is the "basic services fee" that is discussed in the Required Disclosures section. If the customer cannot decline this fee, the disclosure that appears on pages 7-8 is required.

This basic services fee should include services that are common to virtually all forms of disposition or arrangements that you offer, such as conducting the arrangements conference, securing the necessary permits, preparing the notices, sheltering of remains, and coordinating the arrangements with the cemetery, crematory, or other third parties. The basic services fee should not include charges related to other items that must be separately listed on the General Price List and that the customer may decline to purchase.

Note: You should include any charges for the ordinary sheltering of remains by your funeral home in this basic services fee. However, you can list a separate charge for sheltering of remains if: 1) a significant percentage of your customers do not use the funeral home to hold the remains at any point, or 2) you receive a request to hold the remains for an unusually long period of time.

The basic services fee also may include overhead from various aspects of your business operation, such as the parking lot, reception and arrangements rooms, and other common areas. It also may include insurance, staff salaries, taxes, and fees that you must pay. Alternatively, instead of including all overhead in your basic services fee, you can spread the overhead charges across the various individual goods and services you offer. As a third alternative, you can combine the first two approaches: spread some portion of the overhead charges across the individual items, while including the remainder of such charges in your basic services fee.

Note: These are the only ways to recoup overhead costs. In addition, if this basic services fee is non-declinable, the fee must include any charges for overhead that have not been allocated to the other goods and services.

You have two options for listing your basic services fee on the General Price List.
Option 1: You may list a separate price for the basic services of the funeral director and staff, together with a list of the principal services provided for the price and the required disclosures (see pages 7-8). If consumers cannot decline this fee, you should include in this separate price all charges for "unallocated overhead" — that is all overhead not distributed among the other items listed on the GPL.

Option 2: Instead of charging a separate basic services fee, you may include the fee in your casket prices. With this alternative, you must include the appropriate disclosure (see page 8) on the General Price List, together with the prices for the individual caskets or with the casket price range (if you have a separate Casket Price List). This fee also must include all charges for the recovery of unallocated overhead. As the disclosure indicates, you must specify the amount of the basic services fee that is included in the price of the caskets. If the customer provides a casket obtained elsewhere, that same basic services fee must be added to the total cost of the arrangements selected.

The Rule expressly states that the basic services fee is the only non-declinable fee allowed for services, facilities, or unallocated overhead, unless state or local law requires otherwise. Other than the basic services fee, you cannot charge any separate fee for overhead. Charging a second non-declinable fee, such as a "basic facilities fee" or a "casket handling fee," in addition to the basic services fee would violate the Rule. Moreover, you cannot list fees for "additional services" of the funeral director and staff, if those fees should be included in the basic services fee or in one of the other items required to be listed on the GPL.

Example: You have a non-declinable fee for the basic services of funeral director and staff. You also list the following fee on your General Price List: Additional Services of the Funeral Director and Staff. This charge includes: a) coordinating and directing funeral ceremony; b) paying competitive salaries to employees; c) providing 24 hour on-call service to each family; d) maintaining funeral service licensing; and e) complying with federal and state codes and regulations.

This fee for additional services violates the Rule. All of the charges listed should be included elsewhere on the GPL. You should include charge (a) for coordinating and directing the funeral ceremony in the separate charge for a funeral ceremony. (See the discussion of this charge on page 9.) The other items, (b) through (e), relate to basic overhead. You either should include such charges in the basic services fee or allocate these costs among all the items listed on the GPL.

You must list the following items separately with their respective prices. The charge for each item should include all service fees and any equipment or facility charges for providing that particular good or service. (You will not, however, include any portion of the "basic services fee," discussed above, in any of these items.)

Transfer of remains to funeral home. You can choose any pricing method, such as a flat fee, an hourly charge, or a mileage charge. For example, you can charge a flat fee with or without an additional mileage charge for distances beyond a certain specified radius.

Embalming. Your price for embalming should include use of the preparation room, as well as the professional services, equipment, and materials involved in performing embalming. In addition, as discussed on page 7, you must tell consumers that the law does not require embalming.

Other preparation of the body. This charge should include such services as cosmetic work to prepare the deceased for viewing. Under this category, you can also show a price for washing and disinfecting when that procedure is used instead of embalming.

Use of facilities and staff for viewing. You may charge a flat fee or an hourly fee for the use of your facilities for viewing. Your price for a viewing should include charges for both the services of staff and the facilities used in connection with a viewing. You should not list two separate charges relating to a viewing, such as one for the facilities and another for the staff services. However, if you provide staff services for viewing held at another facility, such as a church or a home, you should list a separate fee for such services. (In this situation, a facilities charge would not be appropriate because your own facilities are not being used.)

Use of facilities and staff for funeral ceremony. The charge for a funeral ceremony, that is, a commemorative service with the body present, at the funeral home should include both the use of facilities and the necessary staff services. You should not list two separate charges relating to a funeral ceremony, such as one for the facilities and another for the staff services. However, if you provide staff services for a funeral ceremony at another facility, such as a church, you should list a separate fee for such services.

Use of facilities and staff for memorial service. This is a charge for a commemorative service without the body present. The charge should include both the use of facilities and the staff services. You should not list two separate charges relating to a memorial service, one for the use of facilities and another for the staff services. However, if you provide staff services for a memorial service at another facility, such as a church, you should list a separate fee for such services.

Use of equipment and staff for graveside service. Some families may choose to have a graveside service instead of a funeral ceremony at the funeral home. Your charge for this service should include both staff services and any equipment you may provide (such as a tent and chairs). You should not list two separate charges relating to a graveside service, one for equipment and another for staff services. If your charge for a funeral ceremony normally includes a committal service at the grave following the funeral, you can continue this practice, or you may offer a separate charge for a committal service following a funeral ceremony. The separate charge for a graveside service is intended for those situations where there is no funeral ceremony at the funeral home or elsewhere.

Hearse. You can use any pricing method for the use of a hearse, such as a flat fee, an hourly charge, or a mileage charge. For example, you can charge a flat fee with or without an additional mileage charge for distances beyond a certain specified radius.
Limousine. You can use any pricing method for the use of a limousine, such as a flat fee, an hourly charge, or a mileage charge. For example, you can charge a flat fee with or without an additional mileage charge for distances beyond a certain specified radius.

Casket prices. You can list casket prices in either of two ways: (1) you can list a casket price range, with the disclosure about the availability of the Casket Price List (see page 8); or (2) you can list the prices of individual caskets on your General Price List.

Outer burial container prices. As with casket prices, you can list outer burial container prices in either of two ways: (1) you can list an outer burial container price range, with the relevant disclosure about the Outer Burial Container Price List (see pages 8-9); or (2) you can list the prices of individual containers on your General Price List.

In certain limited situations, discussed immediately below, you may use
alternative price lists.

Remember: Even if you use alternative price lists, you still must comply with all Rule provisions, including mandatory disclosures and itemized prices.

You can set different prices for funeral arrangements for children and infants. You can list the different fees in two ways. You can place these items on your General Price List, Casket Price List and Outer Burial Price List, along with your regular offerings; or you can prepare separate price lists for these arrangements. If you prepare separate price lists, you need not give them out to anyone except those persons inquiring about a funeral for a
child or an infant.

Some funeral providers enter into agreements with government agencies to provide funeral arrangements for indigent persons (or other persons entitled to a government benefit). When entering into such arrangements, you must follow all Rule requirements, including giving price lists to the government agent at the time you make or discuss such arrangements. You can add the prices for these special situations to your regular price list or prepare a separate price list for these arrangements. If you prepare a separate price list, you need not make it available to anyone except the government agency or persons who qualify for the special arrangements.

Some government agencies choose to contract for funeral arrangements on a package basis. You can offer funeral arrangements to anyone — including a government agency — on a package basis, as long as the funeral packages are offered in addition to, not in place of, itemized prices.

When qualifying persons inquire about these package funeral arrangements, you still should provide the GPL, with itemized prices and disclosures, and comply with all other Rule requirements at this time.

Note: You should check your state laws to determine whether arrangements handled as part of an agreement with a government agency can be supplemented or modified by qualifying persons.

Some funeral providers enter into agreements with religious groups, burial societies, or memorial societies to arrange funerals for their members at special prices. You are free to enter into such arrangements, but you must still comply with the Rule's requirements. You must provide price lists to representatives of these groups when they inquire about funeral arrangements on behalf of their members. In addition, if an individual group member inquires in-person about funeral arrangements, you must provide the individual with your price lists. Even if a member chooses a package available only to society members, the member must have the opportunity to look at your price lists. You can either have separate price lists for qualifying members or include such prices on your regular price lists.

If you do not list the retail price of each casket on your General Price List, you must prepare a separate printed or typewritten Casket Price List (CPL).(11)

Information to be Included

The CPL must include the following basic information:

You must give enough descriptive information about each casket on the CPL to enable consumers to identify the specific casket or container and understand what they are buying. For example, the CPL could describe the exterior appearance (including the gauge of metal or type of wood), the exterior trim, and the interior fabric. You also may give any other information, such as a photograph or manufacturer name and model number. However, a photograph or model number alone is not a sufficient description under the Rule.

You need list only those caskets that you usually offer for sale that do not require special ordering, as well as the alternative container(s) you offer for direct cremation. "Special ordering" means purchasing a casket or container that is not in stock and not part of your regular offerings to your customers. Except for the requirement that you make an alternative container available if you offer direct cremation, the Rule does not require you to offer any particular caskets or alternative containers. However, both caskets and alternative containers should be listed on the CPL. You should not have a separate list for alternative containers.

The Rule does not require you to list the caskets or containers that you offer in any particular format or order. The Casket Price List can be in any form, including in a notebook or on a chart, as long as it contains the required information, displayed in a clear and conspicuous manner.

Moreover, you do not have to include customized caskets on your CPL, or list caskets that you keep in your inventory to fill pre-existing, pre-need contracts, but which you no longer regularly offer for sale. Nor is it necessary to prepare a new price list if a casket or container is temporarily out-of-stock. You can simply tell the consumer which casket is not available when you give the consumer the CPL. Also, if a particular casket is available in a variety of interior materials and designs or exterior hardware and finishes, you can simply note that fact on the Casket Price List; you need not list each variation separately. (See also Sample 2 CPL at the end of this publication.)

You must show the Casket Price List to anyone who asks in person about the caskets or alternative containers that you offer or inquires about their prices. You must offer the CPL when you begin discussing caskets or alternative containers — but before showing these items. Consumers must be able to look at the price list before discussing their options or seeing the actual caskets.

Note: Consumers should not first learn of casket prices by entering the casket showroom and reading price cards placed on individual caskets or by having the funeral director recite such information orally.

You can use individual price cards, but only in addition to a Casket Price List. Unlike the General Price List, you do not have to give the consumer a Casket Price List to keep. However, you may do so if you wish.

The Rule does not require that you display the caskets in any specific manner. (Note, however, that many states have regulations regarding the manner of display.) In fact, the Rule does not require that you display any caskets. Some funeral providers present their selections through a book containing photographs of the various caskets offered for sale. In this case, you must incorporate in the book all the information required for the CPL (see page 15), including the heading "Casket Price List."

If you use a manufacturer's or supplier's casket showroom outside of the funeral home, you must offer the CPL when the discussion of caskets begins. If you begin discussing caskets in your place of business, you must offer the Casket Price List at that time. However, if you do not begin discussing caskets until you arrive at the manufacturer's or supplier's showroom, you do not have to show a CPL until you arrive and the discussion begins.

In addition to using a CPL as described above, you must show a Casket Price List to anyone who wishes to modify the particular casket already purchased under a pre-need contract.

Example: Ms. Todd's father entered into a pre-need contract in 1989. If Ms. Todd chooses to upgrade the casket provided under the pre-need contract or inquires about other casket offerings, you should show her a CPL.

If you sell outer burial containers and do not list the retail price of each such container on your General Price List, you must prepare a separate printed or typewritten Outer Burial Container Price List (OBC Price List).(12) The term "outer burial container" refers to any container designed to be placed around the casket in the grave. Such containers may include burial vaults, grave boxes, and grave liners.
Information to be Included on the OBC Price List
The OBC Price List must contain the following basic information:

You must give enough descriptive information about each outer burial container in your OBC Price List to enable consumers to identify the specific container. You need list only those containers that you usually offer for sale and that do not require special ordering. "Special ordering" means purchasing an outer burial container that is not in stock and not part of your regular offerings to your customers. However, the Rule does not require you to offer any particular outer burial containers; in fact, it does not require you to sell any outer burial containers.
The Rule does not require listing the containers that you offer in any particular order. The OBC Price List can be in any form, including in a notebook or on a chart, as long as it contains the required information, including the heading "Outer Burial Container Price List," displayed in a clear and conspicuous manner.

You do not have to list containers that you keep in your inventory to fill pre-existing pre-need contracts, but which you no longer regularly offer for sale. Nor is it necessary to prepare a new price list if a container is temporarily out-of-stock. You can simply tell the consumer which container is not available when you give the consumer the OBC Price List. (See also Sample 3 OBC Price List at the end of this publication.)

You must show this price list to all persons asking about outer burial containers or their prices. You must offer this price list when you begin to discuss outer burial containers, but before showing the containers. Consumers must be able to look at the price list before discussing their options or seeing the actual containers. (The Rule does not require that you display outer burial containers in any specific manner. Note, however, that many states have regulations regarding the manner of display.)

Again, it is not enough for you to tell consumers about price information or to place price cards on top of individual containers or models of containers. You can use individual price cards, but only in addition to an OBC Price List. Unlike the GPL, you do not have to give the OBC Price List for retention. However, you may do so if you wish.

Some funeral providers present their outer burial container selections through a book containing photographs of the various containers offered for sale. If you choose this approach, you must incorporate all the information required for the OBC Price List (see page 17) into the book.
In addition to using an OBC Price List as described above, you must show this price list to anyone who wishes to modify the particular container already purchased under a pre-need contract.

Statement of Funeral Goods and Services Selected: Cost Information and Disclosures

The Statement of Funeral Goods and Services Selected (Statement) is an itemized list of the goods and services that the consumer has selected during the arrangements conference.(13) The Statement allows consumers to evaluate their selections and to make any desired changes.
The Rule does not require any specific form, heading or caption on the Statement. The information required on the Statement, described below, can be included on a contract or any other document that you give to customers at the conclusion of the arrangements discussion. The categories of goods and services listed on the Statement (or other similar document) should generally correspond to the items listed on the GPL, so that customers can easily compare the two documents.

You must give each consumer a completed Statement at the end of the arrangements discussion. If arrangements are made in-person, you should give the Statement at this time. Giving a consumer a copy of the Statement at the funeral or mailing it to the consumer at some later date does not meet the requirements of the Rule.

Note: The Rule does not address the manner or timing of payment. That is between you and the customer.

If arrangements are made over the telephone, you should give the consumer the Statement at the earliest possible date.

Example: On Wednesday evening, Mrs. Shelley calls you to make funeral arrangements for her father and tells you that she will come to the funeral home on Thursday morning to finalize such arrangements. When Mrs. Shelley arrives the next morning, you should give her the required GPL and confirm the arrangements made. Then, once you finalize the arrangements, you should give Mrs. Shelley the Statement.

If a consumer makes all funeral arrangements by telephone, you should make a reasonable attempt to give a completed Statement to the consumer before a final disposition of the remains occurs. If the consumer does not visit the funeral home in person before the final disposition, you should still give or send a completed Statement to the consumer as soon as possible.

The Rule requires you to include cost information and specific disclosures on the Statement.

You should list all of the individual goods and services that the consumer will purchase, together with the price for each item. You cannot simply lump together goods and services that are listed separately on the GPL.

Example: Your Statement would violate the Rule if it listed only three broad categories for "Services," "Facilities," and "Automotive Equipment."

You may still offer funeral packages, as long as they are offered in addition to, not in place of, itemized prices. If the consumer selects a package (after you offer itemized prices), your Statement should describe the package, listing individually each of the goods and services included in the package, and state the package price.

You also must list each cash advance item separately on the Statement, together with the price for each item. Cash advance items are items of service or merchandise that:

Cash advance items may include such things as cemetery or crematory services, pallbearers, public transportation, clergy honoraria, flowers, musicians or singers, nurses, obituary notices, gratuities, and death certificates.

If you don't know the price of a particular cash advance item, you should enter a good faith estimate. However, you should give a written statement of the actual charges before the final bill is paid.

Finally, you must give the consumer the total cost of the arrangements selected (individual goods and services plus cash advance items).

Disclosures

You must place the following three disclosures on your Statement. They should be set out, word-for-word, exactly as the Rule prescribes.

The first disclosure states that you will charge consumers only for the items they have selected and that you will explain any legal, cemetery, or crematory requirements in writing.(14)

Charges are only for those items that you selected or that are required. If we are required by law or by a cemetery or crematory to use any items, we will explain the reasons in writing below.

The form should leave enough space for you to identify and explain in writing any legal, cemetery, or crematory requirement that compels the consumer to purchase a specific funeral good or service. You should enter this information on the Statement before it is given to the customer.

If you selected a funeral that may require embalming, such as a funeral with viewing, you may have to pay for embalming. You do not have to pay for embalming you did not approve if you selected arrangements such as a direct cremation or immediate burial. If we charged for embalming, we will explain why below.

The form should leave enough space for you to explain the reason for embalming. You should enter this information on the Statement before giving it to the customer.

The third disclosure relates to your charges for your services in buying cash advance items. If you charge for purchasing a cash advance item, or if you receive and retain a rebate, commission, or trade or volume discount for a cash advance item, you must make the following disclosure:(16)

You must place this disclosure in immediate conjunction with (directly next to) the list of itemized cash advance items on your Statement and specify those cash advance items to which the disclosure applies. You should not put the disclosure on a separate page or elsewhere on the Statement apart from the list of itemized cash advance items. (See also Sample 4 Statement at the end of this publication.)

Telephone Price Disclosures

You must give consumers who telephone your place of business and ask about your prices or offerings accurate information from your General Price List, Casket Price List, and Outer Burial Container Price List. You also must answer any other questions about your offerings and prices with any readily available information that reasonably answers the question.(17)

Note: You cannot require callers to give their names, addresses, or phone numbers before you give them the requested information. You can ask callers to identify themselves, but you still must answer their questions even if they refuse to do so. You cannot require consumers to come to the funeral home in person to get price information.
You can use an answering machine or answering service to record incoming calls. However, you must respond to questions from callers on an individual basis.

Example: Your answering machine can have a message telling consumers to call a specified number during business hours for information about prices and offerings. You need to provide the requested information when consumers call during those hours, or, you can have an answering machine or answering service take consumers' names and phone numbers so that you can return the calls at your earliest convenience.

You may have an employee answering your phones who can respond to easier questions regarding your offerings and prices by referring to the printed price lists, but who refers more difficult questions to you. If you are unavailable when the call comes in, the employee can take a message so that you can return the call later.

You do not have to give price and other information after business hours if it is not your normal practice to do so. You can tell consumers who call during non-business hours that you will provide the information during regular business hours. However, if a consumer calls after hours to inquire about an at-need situation, and it is your practice to make funeral arrangements during non-business hours, you should provide price or other information the consumer requests.

If you are in the middle of one arrangements conference when another family calls about your offerings, you can take a message and return the call at a later time.

You cannot tell consumers that state or local law requires embalming if that is not true. If state law does require embalming, you may tell the family that embalming is required due to the specific circumstances.

Example: Your state law requires either refrigeration or embalming after a certain period of time. If you have refrigeration facilities available, you must give the consumer the option of either refrigeration or embalming.

You also must tell the consumer in writing that embalming is not required by law except in special circumstances, if relevant. You do this by including on your GPL the mandatory embalming disclosure discussed earlier on page 7.

Note: You must make this disclosure to all consumers, even if embalming is necessary.
Unless state or local law requires embalming, you may not tell consumers that embalming is required for practical purposes in the following situations:

Example: A family wants to arrange a funeral with a formal viewing. The funeral will take place three days after death has occurred on a hot summer day. Your state does not require embalming. You do not have refrigeration facilities. In this situation, you can tell the family that the funeral home requires embalming as a practical necessity to delay decomposition of the remains and to preserve them for viewing. You may not tell the family that the law requires embalming because this is not the case.

Example: A family wants to arrange an immediate burial, but does not want to pay for embalming. Embalming is not required by your state law. Before burial takes place, one family member wants to look briefly at the deceased by lifting the lid of the casket. Here, you may not tell the family that embalming is required. The request to see the deceased does not constitute a formal viewing.
In situations like the above example, you also cannot require the family to pay for "other preparation of the body," if they decline embalming.

You cannot tell consumers that state or local law requires them to buy a casket if they are arranging a direct cremation. (A direct cremation is one that occurs without any formal viewing of the remains or any visitation or ceremony with the body present.) You also must not tell consumers, in the case of direct cremations, that they must buy a casket for any other reason.

If you offer direct cremations, you must make an alternative container available and inform consumers that such containers are available for direct cremations. You do this by including on your GPL the mandatory disclosure about alternative containers discussed on page 7.

An "alternative container" is an unfinished wood box or other non-metal receptacle or enclosure, without ornamentation or a fixed interior lining, which is designed for the encasement of human remains. It is made of fiberboard, pressed-wood, composition materials or like materials, with or without an outside covering.

Note: The Rule also prohibits crematories from requiring that a casket be purchased for direct cremation. However, the Rule allows crematories to set standards for the kind of alternative containers that they will accept. For example, a crematory might stipulate that it will accept only rigid containers.

You cannot tell consumers that state or local law requires them to buy an outer burial container, if that is not true. You also must tell consumers that state law does not require them to purchase an outer burial container. You satisfy this obligation by including on the Outer Burial Container Price List the mandatory disclosure discussed on page 17. The mandatory disclosure about outer burial containers also tells consumers that grave liners are suitable for meeting any cemetery requirement.

You may not tell consumers that a particular cemetery requires an outer burial container, if that is not true. You may want to keep updated rules of local cemeteries to make sure that your information is accurate. If the particular cemetery does require a container, then you should explain this to the family.

You cannot tell consumers that any federal, state, or local law or a particular cemetery or crematory requires them to buy a particular good or service, if that is not true. If you do tell a consumer that he or she must buy a particular item because of any legal, cemetery, or crematory requirement, you must identify and describe the particular requirement in writing on the Statement of Funeral Goods and Services Selected.

You cannot make any representations to consumers that funeral goods or services will delay the natural decomposition of human remains for a long term or an indefinite time. Although the Rule flatly prohibits you from making this representation, the Commission recognizes that it is possible for some funeral goods or services to delay decomposition for a short period.

Example: A family selects a funeral with a viewing. You may explain to the family that embalming will temporarily preserve the body to make it suitable for viewing. But, you cannot tell them that the embalming will preserve the body indefinitely.

You cannot tell consumers that funeral goods (such as caskets or vaults) have protective features or will protect the body from gravesite substances when that is not true.

Federal law requires you to make all warranty information available to consumers. Therefore, you must allow the family to read any of the manufacturer's warranties. However, you should indicate that these claims are made by the manufacturer and not by you.

Example: Mr. Morton has chosen casket A. You should allow him to read the written warranty that the manufacturer offers, but you must not adopt as your own any statement about preservation or protection that you know to be in violation of the Rule. You may want to inform Mr. Morton that the manufacturer has made certain statements about the product, but that you do not have personal knowledge of the protective value of the merchandise.

If you mark-up the charge on cash advance items or receive a commission, discount, or rebate that is not passed on to the consumer, you cannot state that the price charged for the cash advance item is the same as your cost. If there is an added charge, or if you receive and keep a rebate, commission, or trade or volume discount, you must tell the consumer that the price is not the same as your cost. You do this by including on your Statement of Funeral Goods and Services Selected the mandatory disclosure discussed on pages 20-21.

The Rule does not prevent you from adding a service charge, nor does it require you to disclose the amount of that charge. However, some states may have laws or regulations that prohibit any mark-up on cash advance items.

Other kinds of misrepresentations, though not specifically prohibited by the Funeral Rule, are nonetheless illegal. The FTC Act prohibits deceptive acts or practices. Likewise, the consumer protection laws of most states prohibit deceptive practices.

What Consumers Cannot Be Required to Purchase

You cannot require consumers to buy unwanted or unneeded goods and services to get the items that they do want. Consumers must be able to choose only the goods and services that they want, with certain limited exceptions noted below.(19)

Accordingly, you cannot condition the furnishing of any funeral good or service to a consumer on the purchase of any other funeral good or service except for your basic services fee and any items required by law.(20) You also cannot refuse to serve a family because they do not purchase one particular item (e.g., a casket or embalming) or a combination of items or services from you.

In addition, you cannot include the charge for an optional item of service (such as embalming) in a non-declinable basic services fee. This would have the effect of making the optional item a required purchase for every customer.

The Rule expressly prohibits you from charging any fee, as a condition of furnishing any funeral goods or services, other than the fees for:

This means that you cannot charge an additional fee or surcharge to consumers who purchase a casket elsewhere. Such a fee would not fall within the three categories of allowable charges listed above. This extra "casket handling" fee is simply a hidden penalty for those consumers who exercise the right to purchase a casket from another seller.

Moreover, you cannot alter your prices based upon the particular selections of each customer. Such a practice also would defeat the purpose of the Rule to give people accurate, itemized price information that affords them the opportunity to select the arrangements they want.

Exceptions: The three exceptions to the consumer's general right to choose only the goods and services wanted are:

Example: During July, a family requests that a funeral occur five days after death, but does not want embalming. You don't have refrigeration facilities. Your state law does not require embalming under any circumstances. However, in this situation, you can refuse to provide these arrangements, unless the family buys embalming. You can consider such a request impractical or excessively burdensome.

Note: If a customer requests an item that you do not normally offer, you do not have to comply with the request. However, you are free to do so.

"Free" Items: You cannot list any of the 16 items required to be separately itemized on the GPL as "free" or "no charge." Because you recover the cost of the free item in your other prices on the GPL, the customer may not have the choice of rejecting the charge. However, you can offer items not required to be separately itemized on the General Price List (such as acknowledgment cards) at "no charge," as long as your state or local laws do not prohibit this practice.

Prior Approval for Embalming

You can charge a fee for embalming,only in one of the following three circumstances:(23)

1. State or local law requires embalming under the particular circumstances regardless of any wishes the family might have. If this is the case, you must note on the itemized Statement of Funeral Goods and Services Selected that embalming was performed because of a legal requirement and briefly explain that requirement. (Also see the discussion on page 23.)

2. You have obtained prior approval for embalming from a family member or other authorized person. (The Rule does not address the issue of who is an "authorized person" to give such approval. That is a matter of state or local law.) You must get express permission to embalm; it cannot be implied.

Example: A family states that they want a viewing before burial and asks you to "prepare" the deceased. You must specifically ask the family for permission to embalm and must receive their permission before you embalm the body.

In order to obtain the family's express consent to embalm, you must: 1) specifically ask for and obtain their permission, and 2) not misrepresent when embalming is required.

Example: While making funeral arrangements, you tell a family that they will be charged for embalming, no matter what type of funeral arrangements they choose. If they agree to the funeral arrangements in general, this does not constitute express consent to embalm. In addition, if you charge a family for embalming here, you would be charging a second non-declinable fee that violates the Rule (see page 12).

Note: When an individual makes pre- need arrangements and gives express approval for embalming at that time, you do not need to get any additional approval to embalm at the time of death.

The Rule does not require you to get the permission in writing, as long as it is express approval. Some states, however, may require written authorization.

On the Statement of Funeral Goods and Services Selected, you must explain the reason that you charged a fee for embalming. The reason may be that the family requested this service. However, if you tell a consumer that embalming is required for a specific reason (e.g., viewing or legal requirement), then you should list this specific reason on the Statement. Simply noting "family consent" for embalming does not convey the reason for embalming, only that the family has consented.

You must keep price lists for at least one year from the date you last distributed them to customers. You also must keep a copy of each completed Statement of Funeral Goods and Services Selected for at least one year from the date of the arrangements conference. You must make these documents available for inspection by FTC representatives upon request.(24)

Comprehension of Disclosures

You must make all the required disclosures to consumers in a clear and conspicuous manner. Your goal should be to present the information in a reasonably understandable form. In addition, the disclosures must be legible. The print or type must be large and prominent enough that consumers can easily notice and read the information. Finally, your price lists cannot include any information that alters or contradicts the information the Rule requires you to give in those price lists.(25) You can include other information on your price lists if you wish. But, this should not be done in such a way as to confuse or obscure the required
information.

State agencies may apply to the Commission for a statewide exemption from the Funeral Rule.(26) The Commission may grant an exemption if it finds that:

1. there is a state requirement in effect that applies to the same transactions that the Funeral Rule covers; and
2. the state requirement provides an overall level of protection that is as great as, or greater than, the protection provided by the Funeral Rule.
If granted, the exemption will be in effect, as specified by the Commission, for as long as the state administers and enforces effectively the state requirement. An application for state exemption can be filed only by a state government agency. Funeral providers and trade associations cannot file for statewide exemption.

If your state has obtained such an exemption, you only need to comply with your state regulations. If the Commission has not granted your state an exemption, you must comply with all state regulations, as well as the FTC Funeral Rule. You must comply with your state regulations, even if they are more stringent than the Funeral Rule.

Sample Price Lists

The FTC staff has attached these sample price lists to help you to understand the Funeral Rule's requirements. You do not have to adopt these sample price lists. They are only examples. In addition, the fact that the FTC staff has developed these price lists does not mean that this format is the only appropriate one. A variety of formats will satisfy the Rule's requirements.

Sample 1
ABC FUNERAL HOME
100 Main Street
Yourtown, USA 12345
(123) 456-7890

GENERAL PRICE LIST