Utah Code 8-4-2. Endowment care cemetery trust funds — Deposits in endowment fund — Reports — Penalties for failure to file — Investment of trust fund money — Attestation
Current as of: 2024 | Check for updates
|
Other versions
(1) An endowment care cemetery shall establish an endowment care trust fund pursuant to Title 75, Chapter 7, Utah Uniform Trust Code.
For details, see Utah Code § 76-3-204
Attorney's Note
Under the Utah Code, punishments for crimes depend on the classification. In the case of this section:| Class | Prison | Fine |
|---|---|---|
| class A misdemeanor | up to 364 days | up to $2,500 |
Terms Used In Utah Code 8-4-2
- Contract: A legal written agreement that becomes binding when signed.
- endowment care cemetery: means a cemetery or mausoleum for crypt or vault interments, columbarium for permanent cinerary interments, or any other place providing lots or other interment space for the remains of human bodies that:(2)(a) represents to the public that it will care for, maintain, and embellish its property to preserve it from becoming unkempt and a place of reproach and desolation in the community in which it is located; and(2)(b) collects funds for the purpose stated in Subsection (2)(a). See Utah Code 8-4-1
- Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
- Month: means a calendar month, unless otherwise expressed. See Utah Code 68-3-12.5
- Person: means :
(24)(a) an individual;(24)(b) an association;(24)(c) an institution;(24)(d) a corporation;(24)(e) a company;(24)(f) a trust;(24)(g) a limited liability company;(24)(h) a partnership;(24)(i) a political subdivision;(24)(j) a government office, department, division, bureau, or other body of government; and(24)(k) any other organization or entity. See Utah Code 68-3-12.5- State: when applied to the different parts of the United States, includes a state, district, or territory of the United States. See Utah Code 68-3-12.5
- Trustee: A person or institution holding and administering property in trust.
- Trustor: The person who makes or creates a trust. Also known as the grantor or settlor.
(1)(a) Any newly established endowment care cemetery or existing cemetery converting to an endowment care cemetery shall deposit a minimum of $25,000 in the endowment care trust fund.(1)(b) Each endowment care cemetery shall deposit in the endowment care trust fund for each plot space sold or disposed of a minimum of:(1)(b)(i) $1.50 a square foot for each grave;(1)(b)(ii) $15 for each niche; and(1)(b)(iii) $60 for each crypt.(2)(2)(a) An endowment care cemetery shall collect endowment care funds only pursuant to a written contract of sale signed by the endowment care cemetery and the purchaser.(2)(b) The contract of sale shall specify the terms of the endowment care trust consistent with this section and the terms of payment.(2)(c) If requested by the purchaser, a copy of the endowment care trust shall be provided to the purchaser.(3)(3)(a) Each endowment care cemetery shall prepare an annual written report for the benefit of its trustor lot holders.(3)(b) The report shall contain:(3)(b)(i) information determined to be reasonable and necessary to show compliance with the provisions of this chapter;(3)(b)(ii) the number and square feet of grave space;(3)(b)(iii) the number of crypts and niches sold or disposed of under endowment care during a specific period; and(3)(b)(iv) the dollar amount of sales, amounts paid, amounts receivable, and amounts deposited in endowment care funds for crypts, niches, and grave space during a specific period, set forth on the accrual basis as determined by the cemetery authority.(3)(c) An officer of the endowment care cemetery authority shall verify the report.(3)(d) The report shall be on file in the principal office of the endowment care cemetery and shall be made available upon request.(3)(e) The report shall be completed by the 15th day of the third month following the end of the endowment care cemetery’s fiscal year.(4) An officer, director, partner, proprietor, or other person having control of the records of an endowment care cemetery shall provide the reports and records necessary to comply with the provisions of this chapter.(5) A person is guilty of a class A misdemeanor who willfully and intentionally fails to:(5)(a) deposit funds collected as endowment care funds into the endowment care trust within 30 days of receipt of the funds; or(5)(b) prepare the report required by Subsection (3).(6) Endowment care funds may be invested separately or together. The investment income shall be divided between the funds in the proportion that each contributed to the invested amount.(7) Endowment care funds shall be invested in accordance with Section 31A-18-105 and Title 75, Chapter 7, Utah Uniform Trust Code.(8)(8)(a) An endowment care cemetery shall place endowment care funds with an independent trustee appointed by the endowment care cemetery.(8)(b) A trustee may be independent even if it has common ownership with the cemetery.(9)(9)(a) The trustee shall submit to the endowment care cemetery an annual independent attestation of the endowment care trust funds.(9)(b) The attestation shall state:(9)(b)(i) the total amount of the general and special endowment care funds invested by law;(9)(b)(ii) the amount of cash on hand not invested;(9)(b)(iii) the location, description, and character of the investments in which the special endowment care funds are invested;(9)(b)(iv) the value of any securities held in the endowment care fund; and(9)(b)(v) the actual financial condition of the funds.(10)(10)(a) A trustee may not receive compensation for services and expenses, including audits, in excess of 5% of the income derived from an endowment care fund in any year.(10)(b) If there are insufficient funds from the income derived from the endowment care trust fund to pay for the attestation of the endowment care funds, the endowment care cemetery shall pay amounts due from funds other than the endowment care trust fund or income derived from that fund.(11) The income from an endowment care fund shall be used for the care, maintenance, and embellishment of the cemetery as determined by the endowment care cemetery, and to pay for administering the fund.