TITLE 18. PROFESSIONAL AND OCCUPATIONAL LICENSING

CEMETERY BOARD

Fast-Track Regulation

Title of Regulation: 18VAC47-20. Cemetery Board Rules and Regulations (amending 18VAC47-20-100).

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

Public Hearing Information: No public hearing is currently scheduled.

Public Comment Deadline: July 30, 2025.

Effective Date: August 14, 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, or 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. Section 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 requiring that such companies obtain a license. As mandated by the General Assembly, the board protects the public health, safety, and welfare, in part, by establishing through regulation (i) the minimum qualifications of applicants for licensure, 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.

Rationale for Using Fast-Track Rulemaking Process: This action is expected to be noncontroversial and therefore appropriate for the fast-track rulemaking process because it will be beneficial to the regulated community, the Commonwealth, and the public.

Substance: The amendments (i) replace a provision that the Department of Professional and Occupational Regulation (DPOR) will mail a renewal application to a regulant with a provision that DPOR will notify the regulant of impending license expiration; (ii) remove a provision that a renewal application must be completed prior to renewal of a license or registration; and (iii) replace the term "renewal application" with "notification."

Issues: The primary advantage of this action to the regulated community, the Commonwealth, and the public is that it will allow DPOR and the board to adopt a paperless process for renewal of licenses as part of implementation of its new licensing system. This new paperless process will benefit the regulated community and the public by creating a more efficient license renewal process, which will save members of the regulated community time when renewing licenses. The Commonwealth will benefit with the cost savings associated with a paperless license renewal process. No disadvantages to the public, the Commonwealth, or the regulated community have been identified.

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 to remove rules that mandate the physical mailing of renewal application to the licensees or registrants as it plans to transition to an online paperless licensing system.

Background. These regulations set out license renewal requirements for licensed cemetery companies and licensed cemetery sales personnel. According to the Department of Professional Occupational Regulation (DPOR), a new licensing system is being developed to provide a paperless process for regulants to renew licenses as well as to perform other maintenance functions electronically. The development of the new system is expected to virtually eliminate the need for licensing transactions to involve the physical mailing of documents.

Estimated Benefits and Costs. The proposal would no longer require DPOR to physically mail renewal applications to the regulants by allowing paperless renewal transactions. Thus, the main impact of this regulatory action would be to facilitate the transition from the current paper-based renewal process to a paperless system for renewal transactions that DPOR is planning to implement.

Businesses and Other Entities Affected. These proposed amendments apply to license renewal transactions for cemetery companies and licensed cemetery sales personnel. There were 240 renewals in 2024. No regulant appears to be disproportionately affected. The Code of Virginia requires DPB to assess whether an adverse impact may result from the proposed regulation.² 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.³ The proposal does not increase costs or reduce benefits for any entity. Thus, an adverse impact is not indicated.

Small Businesses⁴ Affected.⁵ The board issues licenses to cemetery companies. DPOR reports that many of these entities may fall within the meaning of "small business" as that term is defined in as defined in § 2.2-4007.1 of the Code of Virginia. However, the proposed amendments do not appear to adversely affect small businesses.

Localities⁶ Affected.⁷ The proposed amendments neither introduce costs for localities nor disproportionately affect any locality more than others.

Projected Impact on Employment. No impact on employment is expected.

Effects on the Use and Value of Private Property. No impact on the use and value of private property nor on real estate development costs is expected.

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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 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.

³ 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.

⁴ 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."

⁵ 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.

⁶ "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.

⁷ Section 2.2-4007.04 defines "particularly affected" as bearing disproportionate material impact.

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

Summary:

The amendments remove rules that mandate the mailing of documents for license and registration renewal to facilitate the adoption of a paperless renewal process.

18VAC47-20-100. Procedures for renewal.

Renewal of licenses and registrations shall 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 will 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.