CO HB1096

Fiduciaries cannot distribute principal from endowment care funds, except when a unitrust election is in effect under the new provisions in the bill.

Cemetery authorities may choose to receive distributions as either all net income including net realized capital gains, or an amount set under a unitrust election per Section 15-1-404.5.

Cemetery authorities may request that fiduciaries convert an endowment care fund to a unitrust by delivering written instructions to the fiduciary by November 2 of the year before conversion, with terms remaining in effect until both parties agree to change them.

Disbursements from unitrust distributions shall be made on a monthly, quarterly, semi-annual, or annual basis as agreed by the cemetery authority and fiduciary, with no requirement for court approval or notification.

If a cemetery authority provides no written instructions to the fiduciary, the fiduciary shall calculate and disburse earned net income on a monthly basis.