TITLE 18. PROFESSIONAL AND OCCUPATIONAL LICENSING

CEMETERY BOARD

Proposed Regulation

Title of Regulation: 18VAC47-20. Cemetery Board Rules and Regulations (amending 18VAC47-20-10, 18VAC47-20-30 through 18VAC47-20-60, 18VAC47-20-80, 18VAC47-20-100 through 18VAC47-20-140, 18VAC47-20-160, 18VAC47-20-180, 18VAC47-20-200 through 18VAC47-20-230, 18VAC47-20-250, 18VAC47-20-270, 18VAC47-20-280).

Statutory Authority: §§ 54.1-201 and 54.1-2313 of the Code of Virginia.

Public Hearing Information:

June 10, 2025 - 10:30 a.m. - Department of Professional and Occupational Regulation, 9960 Mayland Drive, Board Room Two, Richmond, VA 23233.

Public Comment Deadline: August 1, 2025.

Agency Contact: Anika Coleman, Executive Director, Cemetery Board, 9960 Mayland Drive, Suite 400, Richmond, VA 23233, telephone (804) 367-8552, FAX (866) 826-8863, email cemetery@dpor.virginia.gov.

Basis: Section 54.1-201 of the Code of Virginia authorizes the Cemetery Board to promulgate regulations necessary to ensure continued competency, to prevent deceptive or misleading practices by practitioners, and to effectively administer the board's regulatory system. Specifically, § 54.1-2313 of the Code of Virginia authorizes the board to regulate preneed burial contracts and perpetual care trust fund accounts, regulate and register sales personnel employed by a cemetery company, and regulate and establish qualifications and standards of conduct for compliance agents employed by a cemetery company.

Purpose: The General Assembly has charged the board with the responsibility for regulating those who engage in the business of a cemetery company by (i) requiring that such companies obtain a license, (ii) regulating preneed burial contracts and perpetual care trust fund accounts, (iii) registering sales personnel employed by a cemetery company, and (iv) establishing qualifications and standards of conduct for compliance agents employed by a cemetery company.

The board protects the public welfare by establishing through regulation (i) the minimum qualifications of applicants for licensure and registration, provided that all qualifications are necessary to ensure either competence or integrity to engage in the profession or occupation; (ii) minimum standards to ensure continued competency and to prevent deceptive or misleading practices by practitioners; and (iii) requirements to effectively administer the regulatory system administered by the board.

Substance: The proposed amendments:

1. Revise and add definitions;

2. Revise provisions related to the disclosure of prior criminal history for (i) cemetery company licenses; (ii) cemetery compliance agents; (iii) sales personnel registrations; and (iv) trustees to establish uniform disclosure requirements to state that applicants must disclose any felony conviction and any misdemeanor convictions involving moral turpitude within five years of the date of application;

3. Remove provisions stating that (i) a compliance agent must be a full-time employee or principal of the cemetery company; (ii) an applicant must meet the requirements of § 54.1-2314 of the Code of Virginia; (iii) an applicant must provide the board with the address of each cemetery for which the applicant will act as sales personnel; (iv) the board may deny renewal or reinstatement of a license or registration if the regulant has not fully paid monetary penalties, satisfied sanctions, and paid costs imposed by the board; (v) registered sales personnel must report a change in home address to the board; (vi) all other provisions of the regulation apply to a licensed cemetery company that allows for the interment of pets or interment of human remains and the pets of such deceased humans; (vii) guidance on solicitation must be provided in written procedures and policies from standards for conduct of compliance agents and compliance agent designees; and (viii) a plea of nolo contendere is considered a conviction and a record of conviction is prima facie evidence of conviction or guilt;

4. Allow the transfer of a sales personnel registration from one company to another and provide that a registration is void if the registrant is no longer affiliated with a cemetery company;

5. Revise qualifications of trustees for perpetual care trust funds or preneed trust funds to (i) reduce to two years the minimum experience required for an individual to qualify as a trustee; (ii) reduce to seven years prior to application the period for reporting any outstanding judgments, outstanding tax obligations, or defaults on any bonds directly related to the management of the trust; and (iii) reduce to seven years prior to application the period for reporting bankruptcies or any proceedings for the relief of debtors by the trustee firm or its parent or predecessor organization;

6. Revise procedures for renewal of licenses and registrations to (i) streamline the adoption of a paperless licensing system; (ii) increase to five years the reinstatement period for licenses and registrations; (iii) provide that a license or registration that is reinstated will next expire two years from the last day of the month in which it was reinstated; and (iv) extend to 30 days the period of time that cemetery company compliance agent must return the registration of a salesperson who has been discharged or terminated from employment by the cemetery company;

7. Require cemetery companies to maintain a written general price list and a written itemized statement of goods and services and update citations related to the general price list and itemized statement of goods and services;

8. Replace the provision regarding execution of the preneed burial contract in duplicate with a requirement that signed copy of the contract be given to the buyer; and

9. Revise the standards for approval of cemetery training programs for compliance agents to (i) reduce the minimum training program length two hours and (ii) remove solicitation and funeral rule from the subjects for which training must be provided.

Issues: The primary advantages to the public, the Commonwealth, and the regulated community are that the proposed amendments (i) provide necessary updates and clarification; (ii) reduce regulatory burdens while still protecting the public health, safety, and welfare, to include allowing for more individuals to potentially qualify as cemetery company compliance agents and trustees; (iii) remove requirements in the regulation that are not necessary to protect the public welfare; and (iv) enhance standards of conduct and practice that will better serve to protect members of the public. There are no identifiable disadvantages to the public. It is not anticipated that the proposed amendments will create any substantial disadvantages to the regulated community.

Department of Planning and Budget Economic Impact Analysis:

The Department of Planning and Budget (DPB) has analyzed the economic impact of this proposed regulation in accordance with § 2.2-4007.04 of the Code of Virginia and Executive Order 19. The analysis presented represents DPB's best estimate of the potential economic impacts as of the date of this analysis.¹

Summary of the Proposed Amendments to Regulation. The Cemetery Board (board) proposes several amendments to the regulation concerning compliance agents and their designees, sales personnel registration, trustees, and cemetery company licensure.

Background: Compliance Agents and Designees. Section 54.1-2313 of the Code of Virginia states that the board shall have the power and duty to regulate and establish qualifications and standards of conduct for compliance agents employed by a cemetery company to assure compliance of the cemetery with the provisions of the Code of Virginia. The Cemetery Board Rules and Regulations define compliance agent designee as an individual who shall be designated by the cemetery company to ensure the compliance of the cemetery company with the provisions of the Code of Virginia and regulation when the compliance agent is not available to supervise the activities of any of its affiliated cemeteries. One of the current requirements in the regulation for compliance agents and their designees is that they be a full-time employee of the cemetery company or is a principal. The board proposes to eliminate this requirement. The current regulation also requires that applicants for compliance agent or designee disclose any conviction or finding of guilt, regardless of adjudication, in any jurisdiction of the United States of any misdemeanor involving moral turpitude. The board proposes to limit this disclosure requirement to such convictions or findings of guilt in the preceding five years. Another requirement for compliance agents and their designees in both the current and proposed regulations is that they have successfully completed a board approved training course. The current regulation states that the training course must be at least four hours and include appropriate testing procedures to demonstrate an understanding of specified topics. The board proposes to reduce the minimum number of hours to two and eliminate solicitation and funeral rule² from the list of specified topics. When any registrant is discharged or in any way terminates his employment or affiliation with a licensed cemetery company, or when the cemetery company's license is suspended or revoked, it will be the duty of the compliance agent to return the registration to the board within 10 calendar days of the date of such discharge or termination. The board proposes to allow the compliance agent up to 30 days to return the registration.

Sales Personnel. Section 54.1-2313 of the Code of Virginia also states that the board shall have the power and duty to regulate and register sales personnel employed by a cemetery company. Among other requirements, the current regulation requires that sales personnel registration applicants provide the address of each cemetery for which they will act as sales personnel. The board proposes to eliminate this requirement. The current regulation prohibits sales personnel from transferring their registration from one licensed cemetery company to another. The board proposes to eliminate this prohibition.

Trustees. The current and proposed regulations both require that the trustee of a perpetual care trust fund or a preneed trust fund, other than a Virginia trust company or trust subsidiary or a federally insured bank or savings institution doing business in the Commonwealth, must meet various specified requirements. The board proposes to partially reduce the burdens of three of these requirements as follows: (i) reduce from five years to two years the minimum experience required for an individual to qualify as a trustee of a perpetual care trust fund or preneed trust fund; (ii) require that a trustee or trust firm disclose any outstanding judgments, outstanding tax obligations, or defaults on bonds related to the management of the trust during the previous seven years prior to application, rather the previous 10 years in the current regulation; and (iii) require that the applicant disclose whether the trustee firm, or its parent or predecessor organization, has been adjudicated as bankrupt or has had any proceeding for relief of debtors during the previous seven years prior to application, rather the previous ten years in the current regulation.

Reinstatement. Under the current regulation, a cemetery company license or salesperson registration may be reinstated for up to one year following the expiration date with payment of the renewal and reinstatement fee. After one year, the license or registration may not be reinstated under any circumstances and the applicant must meet all current requirements and apply as a new applicant; moreover, any activity requiring a license or registration conducted subsequent to the expiration may constitute unlicensed or unregistered activity and be subject to prosecution. The board proposes to amend the regulation so that reinstatement can occur up to five years following the expiration date with payment of the renewal and reinstatement fee.

Estimated Benefits and Costs: Compliance Agents and Designees. The proposal to eliminate the requirement that compliance agents and their designees be a full-time employee of the cemetery company or a principal would increase a company's flexibility in who to hire for the position. The responsibilities that apply to the position and the company would not change. Restricting the required disclosure of convictions or findings of guilt of any misdemeanor involving moral turpitude to just occurrences within five years of application may encourage some additional individuals to apply to be a compliance agent or designee. According to the Department of Professional and Occupational Regulation (DPOR), the one current board-approved training program is only two hours. Thus, the proposal to reduce the minimum number of hours to two (from four) merely conforms the regulation to current practice. DPOR states that solicitation is proposed for removal from the list of specified topics for training because it is duplicative of advertising, which would remain on the list. The agency states that funeral rule is proposed for removal from the list since it is relevant to funeral homes rather than cemeteries.

Sales Personnel. Eliminating the requirement that sales personnel registration applicants provide the address of each cemetery for which they will act as sales personnel removes a small burden for such applicants. Applicants would still need to provide the license number of their employing cemetery company. DPOR believes that the license number of the cemetery company the applicant would be employed by or affiliated with would be sufficient for identifying sales personnel for whom the public have complaints. Eliminating the prohibition on sales personnel from transferring their registration from one licensed cemetery company to another would save administrative time for both salespersons interested in such transfers as well as DPOR staff. Net fees paid and collected would not change.

Trustees. Reducing the required years of experience to qualify as a trustee may benefit cemetery companies by increasing the supply of people whom they hire for such positions. Reducing the number of previous years for which disclosures must be made may encourage some additional individuals to apply to be trustees.

Reinstatement. For a cemetery company or a salesperson who operates or works more than a year (but not more than five years) after the expiration of their license or registration, the proposal to allow reinstatement up to five years following the expiration date of a license or registration rather than just one year could be very beneficial. Upon reinstatement, activities conducted during the period in which the license was expired would be retroactively considered licensed activity regulated by the board. According to DPOR, without reinstatement, any operational activities conducted during the lapse in licensure would constitute unlicensed activity, necessitating referral to the Commonwealth Attorney in the relevant locality for potential legal action. DPOR finds this change to be positive in that reinstatement allows DPOR to maintain regulatory oversight and adjudicate any disciplinary matters arising during that period. The cost of cemetery company licensure reinstatement consists of both the renewal and reinstatement fees for each of company cemeteries (i.e., $1,160 for each of the company's cemeteries).³ In contrast, the application fee for a cemetery company license is $580 per cemetery. Thus, the fees for reinstatement are double the fees for new licensure.⁴ According to DPOR, those that are eligible for reinstatement cannot apply as a new applicant. Thus, for those whose license has been expired for more than a year but not more than five years, and wish to again be licensed, the fees would double under the proposed regulation.⁵ For those companies that operated with an expired license, the higher fees may be worthwhile to eliminate legal exposure. For those firms that did not operate when their license was expired, the higher fees may not be worthwhile. The cost of salesperson registration reinstatement is both the renewal and reinstatement fees for each of salesperson cemeteries (i.e., $120 for each of their cemeteries).⁶ In contrast, the application fee for a salesperson registration is $60 per cemetery.⁷ Thus, the fees for reinstatement are double the fees for new licensure.⁸ Analogous to the cemetery company licensees, the salesperson registrants who worked with an expired registration for more than a year may find that the higher fees may be worthwhile to eliminate legal exposure, while those that did not work while their registration was expired for more than a year may not.

Businesses and Other Entities Affected. The proposed amendments potentially affect the 60 licensed cemetery companies, 130 cemeteries, 858 registered cemetery sales personnel, 181 compliance agents or compliance agent designees, 100 board-approved trustees in the Commonwealth, and one board-approved training provider, as well as future applicants, DPOR, and the public. The Code of Virginia requires DPB to assess whether an adverse impact may result from the proposed regulation.⁹ An adverse impact is indicated if there is any increase in net cost or reduction in net benefit for any entity, even if the benefits exceed the costs for all entities combined.¹⁰ While most affected entities would be better off, licensees and registrants whose licenses and registrations were expired for more than one year but not more than five years, and who did not operate or work while their license or registration was expired but wish to resume operation or work, would face higher costs without compensating benefits. Consequently, these companies and salespersons would be adversely affected.

Small Businesses¹¹ Affected.¹² Types and Estimated Number of Small Businesses Affected. DPOR reports that many of the 60 cemetery companies are likely business entities that meet the definition of small business.¹³ Costs and Other Effects All of the costs and benefits described above to affect cemetery companies, affect small cemetery companies. Alternative Method that Minimizes Adverse Impact. There are no clear alternative methods that both reduce adverse impact and meet the intended policy goals.

Localities¹⁴ Affected.¹⁵ The proposed amendments neither disproportionally affect particular localities nor affect costs for local governments.

Projected Impact on Employment. The proposed amendments are unlikely to substantively affect total employment.

Effects on the Use and Value of Private Property. Proposed amendments make it easier for cemetery companies to find qualified compliance agents and trustees. This may moderately reduce their costs, thereby moderately increasing their value. The proposed amendments do not affect real estate development costs.

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¹ Section 2.2-4007.04 of the Code of Virginia requires that such economic impact analyses determine the public benefits and costs of the proposed amendments. Further the analysis should include but not be limited to: (1) the projected number of businesses or other entities to whom the proposed regulatory action would apply, (2) the identity of any localities and types of businesses or other entities particularly affected, (3) the projected number of persons and employment positions to be affected, (4) the projected costs to affected businesses or entities to implement or comply with the regulation, and (5) the impact on the use and value of private property.

² According to the Department of Professional and Occupational Regulation, funeral rule refers to a U.S. Federal Trade Commission regulation that aims to protect consumers by ensuring transparency and fairness in the funeral industry.

³ Until July 31, 2026, it is $655 for each of the company's cemeteries.

⁴ Until July 31, 2026, the comparison would be $655 for each of the company's cemeteries for reinstatement, and $580 for each of the company's cemeteries for new licensure.

⁵ Until July 31, 2026, the fees are higher in the proposed regulation, but less than double.

⁶ Until July 31, 2026, it is $75 for each of their cemeteries.

⁷ Until July 31, 2026, it is $40 for each of their cemeteries.

⁸ Until July 31, 2026, the fees are higher in the proposed regulation, but less than double.

⁹ Pursuant to § 2.2-4007.04 D: In the event this economic impact analysis reveals that the proposed regulation would have an adverse economic impact on businesses or would impose a significant adverse economic impact on a locality, business, or entity particularly affected, the Department of Planning and Budget shall advise the Joint Commission on Administrative Rules, the House Committee on Appropriations, and the Senate Committee on Finance. Statute does not define "adverse impact," state whether only Virginia entities should be considered, nor indicate whether an adverse impact results from regulatory requirements mandated by legislation.

¹⁰ Statute does not define "adverse impact," state whether only Virginia entities should be considered, nor indicate whether an adverse impact results from regulatory requirements mandated by legislation. As a result, DPB has adopted a definition of adverse impact that assesses changes in net costs and benefits for each affected Virginia entity that directly results from discretionary changes to the regulation.

¹¹ Pursuant to § 2.2-4007.04, small business is defined as "a business entity, including its affiliates, that (i) is independently owned and operated and (ii) employs fewer than 500 full-time employees or has gross annual sales of less than $6 million."

¹² If the proposed regulatory action may have an adverse effect on small businesses, § 2.2-4007.04 requires that such economic impact analyses include: (1) an identification and estimate of the number of small businesses subject to the proposed regulation, (2) the projected reporting, recordkeeping, and other administrative costs required for small businesses to comply with the proposed regulation, including the type of professional skills necessary for preparing required reports and other documents, (3) a statement of the probable effect of the proposed regulation on affected small businesses, and (4) a description of any less intrusive or less costly alternative methods of achieving the purpose of the proposed regulation. Additionally, pursuant to § 2.2-4007.1 of the Code of Virginia, if there is a finding that a proposed regulation may have an adverse impact on small business, the Joint Commission on Administrative Rules shall be notified.

¹³ Data source: Virginia Employment Commission.

¹⁴ "Locality" can refer to either local governments or the locations in the Commonwealth where the activities relevant to the regulatory change are most likely to occur.

¹⁵ Section 2.2-4007.04 defines "particularly affected" as bearing disproportionate material impact.

Response to Economic Impact Analysis: The Cemetery Board concurs with the economic impact analysis prepared by the Department of Planning and Budget.

Summary:

The proposed amendments revise (i) definitions; (ii) entry qualifications for cemetery company licenses, compliance agents and compliance agent designees, sales personnel registrations, and trustees; (iii) renewal and reinstatement procedures; (iv) standards of practice and conduct for regulants; and (v) standards for approval for training courses.

18VAC47-20-10. Definitions.

The following words and terms when used in this chapter shall have the definitions ascribed to them in § 54.1-2310 of the Code of Virginia or shall have the following meanings, unless the context clearly indicates otherwise:

"Administration" means the cost to administer and maintain records required by Chapter 23.1 (§ 54.1-2310 et seq.) of Title 54.1 of the Code of Virginia or any regulation of the board, including a percentage of compensation of employees, payment of insurance premiums, reasonable payments for employees' pension and other benefit plans, and costs of maintaining cemetery company and sales personnel compliance with the board's licensure and registration requirements.

"Approved training program" means a training program that has been approved by the board to provide training for individuals to act as a compliance agent or compliance agent designee.

"Change in ownership" means a change in 50% or more of the stockholders or partnership interest, or both, of a cemetery company.

"Compliance agent designee" means an individual who shall be designated by the cemetery company to assure ensure the compliance of the cemetery company with the provisions of Chapter 23.1 (§ 54.1-2310 et seq.) of Title 54.1 of the Code of Virginia and this chapter when the compliance agent is not available to supervise the activities of any of its affiliated cemeteries.

"Experience" means supervisory experience with a cemetery company as defined in § 54.1-2310 of the Code of Virginia.

"Licensee" means any person licensed by the board as a cemetery company.

"Moral turpitude" means, but is not limited to, lying, cheating or stealing.

"Outer burial container" means any container which that is designed for placement in the grave around the casket including, but not limited to, containers commonly known as burial vaults or grave boxes and grave liners.

"Perpetual care" means continuing care, maintenance, administration, and embellishment of the cemetery.

"Preneed trust fund" means those moneys held in accordance with § 54.1-2325 of the Code of Virginia.

"Principal" means the following individuals:

1. The sole proprietor of a sole proprietorship.

2. The partners of a general partnership.

3. The managing partners of a limited partnership.

4. The officers of a corporation as registered with the State Corporation Commission.

5. The managers of a limited liability company.

6. The officers or directors of an association.

"Reasonably maintain" means the building, grounds, and facilities are safe for use by the public, in good repair, and in compliance with local ordinances.

"Registrant" means any natural person registered with the board as sales personnel.

"Sales personnel" means any natural person employed by or affiliated as an independent contractor with a licensed cemetery company who deals with the public in the sale or offering for sale of any property or services enumerated in the definition of "cemetery company" contained in § 54.1-2310 of the Code of Virginia.

"Services" means any act or activity by the cemetery company in relation to arranging, supervising, interring, or disposing of the remains or commemorating the memory of deceased human beings.

18VAC47-20-30. Qualifications for cemetery company license.

A. Every person applying for a cemetery company license shall must meet all of the requirements outlined in §§ 54.1-2311 and 54.1-2314 of the Code of Virginia as well as the additional qualifications of this section.

B. Each person applying for a cemetery company license and the principals of that firm shall must disclose, at the time the application is submitted, any current or previous cemeteries managed in Virginia or in any other jurisdictions and any disciplinary actions taken against those cemeteries or the individuals managing them. This includes any monetary penalties, fines, or disciplinary actions taken by any federal, state, or local regulatory agencies.

C. In accordance with § 54.1-2314 of the Code of Virginia, each applicant shall must disclose the following information about the cemetery company and any of the principals of the company:

1. A conviction in any jurisdiction of any felony or any crime of moral turpitude, there being no appeal pending therefrom or the time for appeal having elapsed.

2. All misdemeanor convictions involving moral turpitude within five years of the date the application is submitted.

Any plea of nolo contendere shall be considered a conviction for purposes of this subsection. The record of a conviction received from a court shall be accepted as prima facie evidence of a conviction or finding of guilt. The board, in its discretion, may deny approval of a cemetery application in accordance with § 54.1-204 of the Code of Virginia.

18VAC47-20-35. Qualifications for compliance agents and designees.

A. Every applicant for compliance agent or designee shall must have the following qualifications:

1. Be at least 18 years old of age; and

2. Have two years of experience in the cemetery business and have successfully completed a board approved training course; and

3. Be a full time employee of the cemetery company or is a principal.

B. The applicant shall must disclose any current or previous licenses/registrations licenses or registrations from Virginia or in any other jurisdictions, and any disciplinary actions taken against those licenses/registrations licenses or registrations. This includes, but is not limited to, any monetary penalties, fines, or disciplinary actions taken by any federal, state, or local regulatory agencies. The board, at its discretion, may deny approval of the compliance agent or designee based upon disciplinary actions by any jurisdiction.

C. The applicant shall must disclose any conviction or finding of guilt, regardless of adjudication, in any jurisdiction of the United States of any misdemeanor involving moral turpitude in the preceding five years or any felony, there being no appeal pending therefrom or the time for appeal having elapsed. Any plea of nolo contendere shall be considered a conviction for purposes of this subsection. The record of conviction, finding or case decision shall be considered prima facie evidence of a conviction or finding of guilt. The board, at its discretion, may deny approval of the compliance agent or designee in accordance with § 54.1-204 of the Code of Virginia.

D. The applicant shall must certify that he the applicant understands and will comply with all the laws of Virginia related to cemetery company licensure under the provisions of Chapter 23.1 (§ 54.1-2310 et seq.) of Title 54.1 of the Code of Virginia and this chapter.

18VAC47-20-40. Qualifications for registration of sales personnel.

A. Cemetery company sales personnel shall must submit an application on a form prescribed by the board and shall must meet the requirements set forth in § 54.1-2314 of the Code of Virginia, as well as the additional qualifications of this section.

B. Every applicant to the board for registration as sales personnel shall must provide his the applicant's name, address, and the license number of the cemetery company he the applicant will be employed by or affiliated with, and the address of each cemetery for which he will act as sales personnel.

C. Each applicant for registration as sales personnel shall must disclose, at the time the application is submitted, any current or previous cemetery sales licenses or registrations from Virginia or in any other jurisdictions, and any disciplinary actions taken against those licenses or registrations. This includes any monetary penalties, fines, or disciplinary actions taken by any federal, state, or local regulatory agencies.

D. Each applicant for registration as sales personnel shall must disclose, at the time the application is submitted, the following information:

1. A conviction in any jurisdiction of any felony or any crime of moral turpitude, there being no appeal pending therefrom or the time for appeal having elapsed.

2. All misdemeanor convictions involving moral turpitude within five years of the date the application is submitted.

Any plea of nolo contendere shall be considered a conviction for purposes of this subsection. The record of a conviction received from a court shall be accepted as prima facie evidence of a conviction or finding of guilt. The board, in its discretion, may refuse registration of a sales personnel application in accordance with § 54.1-2314 of the Code of Virginia.

18VAC47-20-50. Concurrent registration permitted; transfer of sales personnel registration prohibited.

A. Sales personnel may be employed by or affiliated with more than one cemetery company, provided that a separate registration is obtained for each such employment or affiliation.

B. A sales personnel registration may not be transferred from one licensed cemetery company to another. The registration is void if the registrant is no longer affiliated with the a cemetery company indicated on the original application for registration.

18VAC47-20-60. Qualifications of trustees.

A. The trustee of a perpetual care trust fund or a preneed trust fund, other than a Virginia trust company or trust subsidiary or a federally insured bank or savings institution doing business in the Commonwealth, must meet the requirements of this section and shall will be governed by § 54.1-2318 of the Code of Virginia.

B. The trustee applicant shall must be at least 18 years old of age and have a minimum of five two years of experience either as an individual trustee or as an agent for a firm responsible for the management of a trust.

C. Each trustee or trust firm, or both, shall must provide information for the 10 seven years prior to the submission of the application on any outstanding judgments, outstanding tax obligations, or defaults on any bonds directly related to the management of the trust. If the trustee firm or its parent or predecessor organization has, during the previous 10 seven years, been adjudicated a bankrupt or has any proceeding for the relief of debtors, such fact or facts shall must be stated.

D. Each trust firm and principals of the firm shall must disclose, at the time the application is submitted, any current or previous trusts managed in Virginia or in other jurisdictions, and any disciplinary actions taken against these trusts, the trust company, or the individuals managing the trusts. This includes any monetary penalties, fines, or disciplinary actions taken by any federal, state, or local regulatory agencies.

E. The trustee must meet the bonding requirements set forth in §§ 54.1-2317 and 54.1-2326 of the Code of Virginia as applicable.

F. In accordance with §§ 54.1-2317 and 54.1-2326 of the Code of Virginia, each trustee shall must disclose the following information about the trust firm or principals of the firm:

1. A conviction in any jurisdiction of any felony;.

2. All misdemeanor convictions involving moral turpitude within five years of the date the application is submitted.

Any plea of nolo contendere shall be considered a conviction for the purposes of this chapter. The record of a conviction received from a court shall be accepted as prima facie evidence of a conviction or finding of guilt. The board, in its discretion, may deny approval of a trustee application in accordance with § 54.1-2317 or § 54.1-2326 of the Code of Virginia.

18VAC47-20-80. Renewal required.

Licenses and registrations issued under this chapter shall will expire two years from the last day of the month in which they were issued, as indicated on the license or registration.

18VAC47-20-100. Procedures for renewal.

Renewal of licenses and registrations shall must be on forms prescribed by the board. The Department of Professional and Occupational Regulation will mail a renewal application to notify the licensee or registrant of impending license expiration. The renewal application will be sent to the last known address of record.

Failure to receive this application shall notification does not relieve the licensee or regulant of the obligation to renew. The renewal application shall be completed in full prior to renewal of the license or registration.

18VAC47-20-110. Reinstatement required.

A. If the requirements for renewal of a license or registration, including receipt of the fee by the board, are not complete within 30 days of the license or registration expiration date, the licensee or registrant shall will be required to reinstate the license or registration by meeting all renewal requirements and paying the reinstatement fee specified in 18VAC47-20-140.

B. A license or registration may be reinstated for up to one year five years following the expiration date with payment of the renewal and reinstatement fee. After one year five years, the license or registration may not be reinstated under any circumstances and the applicant must meet all current requirements and apply as a new applicant.

C. Any activity requiring a license or registration conducted subsequent to the expiration may constitute unlicensed or unregistered activity and be subject to prosecution under Chapter 1 (§ 54.1-100 et seq.) of Title 54.1 of the Code of Virginia.

18VAC47-20-120. Status of licensee or registrant during the period prior to reinstatement.

A. When a license or registration is reinstated, the license or registration shall will continue to have the same number and shall will be assigned an expiration date two years from the previous expiration date of last day of the month in which the license or registration was reinstated.

B. A licensee or registrant who reinstates his the applicable license or registration shall will be regarded as having been continuously licensed or registered without interruption. Therefore, the licensee or registrant shall will remain under the disciplinary authority of the board during this entire period and may be held accountable for his the person's activities during this period.

C. A licensee or registrant who fails to reinstate his the applicable license or registration shall will be regarded as unlicensed from the expiration date of the license or registration forward.

18VAC47-20-130. Board discretion to deny renewal or reinstatement.

A. The board may deny renewal or reinstatement of a license or registration for the same reasons as it the board may refuse initial licensure or registration or discipline a licensee or registrant.

B. The board may deny renewal or reinstatement of a license or registration if the applicant has not fully paid monetary penalties, satisfied sanctions and paid costs imposed by the board, plus any accrued interest.

18VAC47-20-140. Renewal and reinstatement fees.

A. All fees required by the board are nonrefundable. The date on which the fee is received by the department or its agent shall will determine whether the licensee or registrant is eligible for renewal or reinstatement or must reapply as a new applicant.

Renewal of cemetery company license	$580 per cemetery
Renewal of sales personnel registration	$60 per cemetery
Reinstatement of cemetery company license	$580 per cemetery
Reinstatement of sales personnel registration	$60 per cemetery

B. For renewal and reinstatement fees received between August 1, 2024, and July 31, 2026, the fees are as follows:

Renewal of cemetery company license	$285 per cemetery
Renewal of sales personnel registration	$30 per cemetery
Reinstatement of cemetery company license	$370 per cemetery
Reinstatement of sales personnel registration	$45 per cemetery

18VAC47-20-160. Maintenance of license and registration.

A. Any change in the name and address of each cemetery in Virginia in which the cemetery company has a business interest, the name and address of all any officers and or directors of the cemetery company, the registered agent for the cemetery company, or the compliance agent must be reported to the board in writing within 30 days after the change as required by § 54.1-2311 of the Code of Virginia. A new license shall will be required if there is a change in ownership of the cemetery company or whenever the legal business entity holding a cemetery company license is dissolved or altered to form a new business entity.

B. A cemetery company wishing to add a cemetery to its license shall must complete a form provided by the board and submit the fee as prescribed in 18VAC47-20-70. Both the cemetery company and the cemetery being added to the registration must meet the requirements found in Chapter 23.1 (§ 54.1-2301 et seq.) of Title 54.1 of the Code of Virginia and 18VAC47-20-30. Sales personnel of the new cemetery will be required to register in accordance with 18VAC47-20-40.

C. Any change in the name and home address of any registrant must be reported to the board in writing within 30 days after the change.

D. The board shall will not be responsible for the licensee's or registrant's failure to receive notices, communications and, or correspondence caused by the licensee's or registrant's failure to promptly notify the board of any change of address.

E. Sales personnel shall will be issued a registration to the compliance agent at the place of business of the licensed cemetery company with which the registrant is affiliated or at which the registrant is employed. When any registrant is discharged or in any way terminates his the registrant's employment or affiliation with a licensed cemetery company, or when the cemetery company's license is suspended or revoked, it shall will be the duty of the compliance agent to return the registration to the board within 10 30 calendar days of the date of such discharge or termination.

18VAC47-20-180. Records of interments.

A permanent record shall must be kept of every interment in the cemetery, showing the date of the interment, and the name of the person interred, together with information identifying the specific location in which the interment was made. For interments made pursuant to § 54.1-2312.01 of the Code of Virginia, the permanent records shall must also include the type and name of the pet interred and the name of the owner with information identifying the specific location in which the pet interment was made.

18VAC47-20-200. Perpetual care trust fund and bonding requirement.

A. Each licensed cemetery company shall must establish a perpetual care trust fund in accordance with § 54.1-2316 of the Code of Virginia.

B. If the trustee for the perpetual care trust fund is other than not a Virginia trust company or trust subsidiary or a federally insured bank or savings institution doing business in the Commonwealth, the trustee shall must be approved by the board and shall must deposit a fidelity bond in accordance with § 54.1-2317 of the Code of Virginia.

C. Deposits into the fund shall must be made in accordance with §§ 54.1-2319 through 54.1-2321 of the Code of Virginia.

D. The income from the perpetual care trust fund shall must be used in accordance with § 54.1-2322 of the Code of Virginia.

E. Each licensed cemetery company shall must submit written financial reports regarding perpetual care trust funds to the board as prescribed by §§ 54.1-2323 and 54.1-2324 of the Code of Virginia.

F. Transfer of funds to another trustee shall must be done in accordance with § 54.1-2337 of the Code of Virginia.

18VAC47-20-210. Preneed trust fund and bonding requirements.

A. Each licensed cemetery company shall must establish a preneed trust fund and make deposits in accordance with § 54.1-2315 § 54.1-2325 of the Code of Virginia.

B. If the trustee for the preneed trust fund is other than not a Virginia trust company or trust subsidiary or a federally insured bank or savings institution doing business in the Commonwealth, the trustee shall must be approved by the board and shall must deposit a fidelity bond with the board in accordance with § 54.1-2326 of the Code of Virginia.

C. Deposits into the fund shall must be made in accordance with § 54.1-2325 of the Code of Virginia.

D. All funds shall must be handled in accordance with §§ 54.1-2329 through 54.1-2331 of the Code of Virginia.

E. Each licensed cemetery company shall must submit a written financial report regarding preneed trust accounts to the board as prescribed by § 54.1-2333 of the Code of Virginia.

F. Transfer of funds to another trustee shall must be done in accordance with § 54.1-2337 of the Code of Virginia.

18VAC47-20-220. Itemized statement and general price list of burial fees to be furnished.

Cemetery companies shall furnish A. Each cemetery company must maintain a written general price list and a written itemized statement of goods and services they provide that the cemetery company provides. This itemized statement shall must include, but is not limited to, burial vaults and other burial receptacles, other merchandise, facilities used, and other professional services. Prices for merchandise may be stated as a range of values. Prices for services must be specific for each type of service, including any difference in prices based on the day or time the service is provided. This list shall must be set forth in a clear and conspicuous manner.

The B. In accordance with § 54.1-2327 A of the Code of Virginia, the general price list shall must be available in writing to individuals inquiring in person about burial arrangements or the prices of property or services. In addition, upon beginning a discussion of burial arrangements or the selection of any property or services, the general price list shall be offered by the cemetery property.

C. Prior to execution of any contract, cemetery companies shall must provide the general price list and itemized statement of goods and services to the individual or individuals entering the contract. The contract shall must include an acknowledgment signed by the individual or individuals and the cemetery sales personnel stating the cemetery company provided the general price list and itemized statement of goods and services to the individual or individuals prior to the execution of the contract.

18VAC47-20-230. Preneed burial contracts.

A. All preneed burial contracts must be made on forms prescribed by the board in accordance with § 54.1-2328 of the Code of Virginia and must contain the following disclosures:

1. Identifies the seller, seller's license number, contract buyer, and person for whom the contract is purchased if other than the contract buyer;

2. Contains a complete description of the property or services purchased;

3. Clearly discloses whether the price of the property and services purchased are guaranteed;

4. States, for funds required to be trusted pursuant to § 54.1-2325 of the Code of Virginia, the amount to be trusted and the name of the trustee;

5. Contains the name, address, and telephone number of the board and lists the board as the regulatory agency which that handles consumer complaints;

6. Provides that any purchaser who makes payment under the contract may terminate the agreement within three days of execution and that such purchaser shall be refunded all consideration paid or delivered, less amounts paid for any property or supplies that have been delivered;

7. Provides that if the particular property or services specified in the contract are unavailable at the time of delivery, the seller shall be required to furnish property or services similar in size and style and at least equal in quality of material and workmanship and that the representative of the deceased shall have the right to choose the property or services to be substituted, which shall must be at least equal or reasonably equivalent in quality of material, workmanship, and cost;

8. Discloses any additional costs that the purchaser may be required to pay at-need, including the disclosure of the cost of opening and closing the grave;

9. Complies with all disclosure requirements imposed by the board;

10. Is executed in duplicate and Provides a signed copy given to the buyer; and

11. Provides that the contract buyer shall have has the right to change the contract provider at any time prior to the furnishing of the property or services, excluding any mausoleum crypt or garden crypt, contracted for under the preneed burial contract. If the contract seller will not be furnishing the property and services to the purchaser, the contract seller shall must attach to the preneed burial contract a copy of the seller's agreement with the provider.

B. Any preneed burial contract sold or offered by any cemetery company or agent with a trust fund deposit of less than 100% shall be required to must include the following printed statement in capitalized letters, in 10-point, bold-faced type:

THIS PRENEED BURIAL CONTRACT REQUIRES THE PLACEMENT IN TRUST OF A MINIMUM OF 40% OF THE FUNDS INCLUDED IN THIS CONTRACT. THE BALANCE OF FUNDS MAY BE USED FOR CARE AND MAINTENANCE OF THE CEMETERY AND ARE NOT REQUIRED TO BE PLACED IN TRUST.

C. Each seller of a preneed burial contract shall must file with the board, upon request, a detailed account of all contracts and transactions regarding preneed burial contracts in accordance with § 54.1-2332 of the Code of Virginia.

18VAC47-20-250. Compliance agent or designee conduct.

Each cemetery company and cemetery affiliated with a cemetery company shall must be supervised by a compliance agent or designee. The compliance agent or designee shall must exercise reasonable and adequate supervision of the provision of services by employees of the cemetery company. Factors to be considered in determining whether the supervision is reasonable and adequate include, but are not limited to, the following:

1. The availability of the compliance agent or designee to all cemetery company employees and to the public to answer questions within a reasonable time pertaining to the operation of the cemetery company.

2. The availability of training and written procedures and policies that provide, without limitation, clear guidance in the following areas:

a. Required deposits for the perpetual care trust fund;

b. Required deposits for the preneed trust fund;

c. Proper handling of preneed burial contracts;

d. Proper handling of deposits to the perpetual care trust fund;

e. Proper handling of deposits to the preneed trust fund;

f. Interment records;

g. Itemized statement of goods and services provided;

h. General price list;

i. Advertising;

j. Solicitation;

k. j. Proper care, maintenance, administration, and embellishment of the cemetery; and

l. k. Such other matters as necessary to assure ensure the competence of licensees and registrants to comply with this chapter and Chapter 23.1 (§ 54.1-2310 et seq.) of Title 54.1 of the Code of Virginia.

18VAC47-20-270. Standards of approval of training course.

All training courses shall must be approved by the board. The training course shall must be at least four two hours and include appropriate testing procedures to demonstrate an understanding of the topics. The training program shall must include, but is not limited, to the following topics:

1. Cemetery Board statute and regulations;

2. Perpetual care trust fund requirements;

3. Preneed trust fund requirements;

4. Preneed burial contracts;

5. Interment records;

6. General price list;

7. Itemized statement of goods and services provided;

8. Advertising;

9. Solicitation;

10. Funeral rule; and

11. 9. Proper care, maintenance, administration, and embellishment of the cemetery.

18VAC47-20-280. Special interment requirement.

A licensed cemetery company may establish a section in its cemetery devoted to the interment of pets or the interment of human remains and the pets of such deceased humans in accordance with § 54.1-2312.01 of the Code of Virginia. All other provisions of this chapter shall apply.