HB 1845 Summary

• Repeals and replaces 28 sections of Missouri law governing endowed care and nonendowed cemeteries, establishing comprehensive regulatory framework for cemetery operators under the Division of Professional Registration.

• Requires all cemetery prearranged contracts to be in writing, executed by licensed operators, identifying the purchaser, services/items provided, trustee/escrow agent information, and cancellation grounds; contracts not substantially complying allow purchasers to recover all payments plus 10% annual interest and collection costs.

• Establishes that endowed care trust funds must be administered as irrevocable charitable trusts under Missouri law with the Attorney General as the only qualified beneficiary; trust records must be maintained in Missouri or accessible within 15 business days, and no principal may be distributed except through a unitrust election.

• Allows cemetery operators to establish escrow accounts instead of trusts for prearranged burial merchandise and services, with funds held by approved escrow agents and subject to division inspection; purchasers may cancel contracts within 30 days for full refund or anytime before delivery for 80% refund.

• Authorizes the division to direct suspension of distributions from endowed care trusts or escrow accounts for operators without active licenses, unpaid annual reports, or documented deficiencies, and establishes criminal penalties (misdemeanor or class D felony) and administrative penalties (up to $5,000 per violation) for violations.