Wyo. Code R. 044-0002-28
Chapter 28: Regulation Governing Perpetual Care Trust Funds for Privately Owned Cemeteries
Effective Date: 05/16/2023 to Current
Rule Type: Current Rules & Regulations
Reference Number: 044.0002.28.05162023
Section 1. Authority. These regulations govern perpetual care trust funds for any cemetery organized by any individual, group of individuals, corporation or association and are promulgated pursuant to W.S. §§16-3-101 et seq., 26-2-109, 26-2-110, 35-8-101, et seq., 35-8-404, and 35-8-407. These regulations do not apply to cemeteries formed by municipal corporations and duly organized cemetery districts.
Section 2. Definitions. Unless otherwise stated, the definitions found in W.S. §§ 26-1-102, 33-16-502, and 35-8-401 shall apply.
(a) 'Buyer' means any person, including individuals who are employees or officers of a corporation owning the disposition site, who purchases or receives a disposition site.
(b) 'Disposition site' means any structure, lot, or other physical location used for the final disposition of a deceased human body.
(c) 'Lot' or 'grave' means a space of ground in a cemetery intended to be used for the permanent disposition of a deceased human body.
(d) 'Perpetual care' refers to the general maintenance of the cemetery including: the cutting and trimming of lawn, shrubs, and trees at reasonable intervals; keeping all places where interments have been made in proper order; keeping in repair the drains, waterlines, roads, buildings, fences, and other structures consistent with a well-maintained cemetery. It shall also include overhead expenses necessary for such purposes, including maintenance of machinery, tools and equipment for such care, compensation of employees, payment of reasonable and necessary insurance premiums, reasonable payments for employees' pension and other benefit plans, and the maintenance of necessary records of lot ownership, transfers and burials. It also includes the administration of endowed care funds in those instances wherein those administering such funds fail or refuse to act.
(e) 'Privately owned cemetery' means any cemetery organized by any person except municipal corporations and duly organized cemetery districts.
(f) 'Seller' means an individual, group of individuals, corporation, or association who represent(s) themself(ves) as a privately owned cemetery to convey privately owned disposition site ownership.
(a) Each seller shall establish a perpetual care trust fund before the advertisement or sale of disposition sites. All income and interest from the fund shall be used exclusively for perpetual care. The trust fund shall be irrevocable and deposited in Wyoming at a licensed bank, trust company, or federal savings and loan association and shall be invested as required herein.
(b) The deposit into the perpetual care trust fund shall be made by the seller not later than thirty (30) days after the close of the month in which any payment was received for the purchase of any disposition site. If payments are received in installments, the applicable pro rata share of each payment shall be deposited.
(c) A seller must deposit with the trustee an initial sum of ten thousand dollars ($10,000) or more in cash. When deposits in the trust fund have reached $20,000, the seller may withdraw deposits at the rate of one thousand dollars ($1,000) for each additional two thousand dollars ($2,000) added to the fund. No funds may be withdrawn from the Perpetual Care Trust Fund without the written authorization of the Commissioner or his designee.
Section 4. Bond. Every seller shall post with the Commissioner a surety bond in an amount of not less than five percent (5%) of all amounts received from all buyers or their representatives, whether deposited or invested. The bond amount shall be determined as of December 31st of the preceding year, or such greater amount which the seller may wish to post, but in no event less than $10,000. The bond amount of may not be reduced without the prior written approval of the Commissioner. The State of Wyoming shall be named as the obligee in the bond for the benefit of the buyers, their heirs, legatees, or assigns who are damaged by the loss of any monies paid to the seller after their receipt by the seller. This bond may consist of cash, demand deposits, savings accounts, certificates of deposit, corporate surety bond, or other such security as the Commissioner shall require.
Section 5. Investment of Perpetual Care Trust Fund. The seller shall limit his deposits to obligations of the United States or of any states thereof; obligations and stock of federal government agencies; demand deposits, savings accounts, certificates of deposit, or shares of savings and loan associations, provided that the seller may invest, notwithstanding the limitations of this section, funds in an amount not to exceed in the aggregate the amount of the seller's bond posted in accordance with Section 4, in such types of investments that prudent investors would acquire or retain for their own account. The seller shall be strictly accountable for the corpus of the funds to the buyer and the Commissioner.
(a) No privately owned cemetery shall limit disposition site sales based on sex, race, religion, or other protected classes.
(b) Whenever a seller conveys ownership in a disposition site, the seller shall execute and deliver to the buyer a written statement that specifically states:
(i) The nature and the extent of the perpetual care to be provided;
(ii) That such care shall be provided from the income and interest of the perpetual care trust fund;
(iii) That the perpetual care trust fund has been established in conformity with these regulations and the laws of Wyoming; and
(iv) That not less than the amounts required by statute have been set aside and deposited in trust.
(c) A master copy of all written documents provided by sellers to buyers or potential buyers, including installment contracts, sales promotions, coupons or certificates, warranty deeds, advertising, descriptions of solicitation practices, and any other materials used in the sale of disposition sites shall be delivered to the Commissioner. All materials shall be approved by the Commissioner before use.
Section 7. Inspection of Cemetery. The Commissioner may inspect privately owned cemeteries to determine if proper perpetual care is being taken. If proper perpetual care is not being taken, the Commissioner may require deposit of additional corpus into the perpetual care trust fund, and/or implement procedures for more efficient use of perpetual care income.
Section 8. Cemetery Records. All records of a privately owned cemetery must be maintained in the county in which the cemetery is located. These records shall include a detailed map of the cemetery, accurate records of each disposition site sold, and detailed records of deposits and investments of the perpetual care trust fund. These records shall be kept in perpetuity.
Section 9. Annual Report. On or before March 1st of each year, each seller shall file an annual report containing the information required by the Commissioner on the Privately Owned Cemetery Annual Report Form available on the Wyoming Department of Insurance website.
Section 10. Examination. The seller shall make available to the Commissioner for examination all books, records, and accounts pertaining to the sale of disposition sites and deposits into the perpetual care trust fund. The Commissioner, or his designee, may require the attendance and examination under oath of any person whose testimony may be required. The cost of any examination may be charged to the cemetery.
Section 11. Exceptions.
(a) The provisions of Sections 3 through 10 of this regulation do not apply to any privately owned cemetery being maintained or managed pursuant to a valid contract with a municipal corporation or duly organized cemetery district so long as the contract remains in effect.
(b) Any privately owned cemetery seeking an exemption pursuant to the provisions of this section shall provide to the commissioner a copy of the current cemetery maintenance contract with the municipal corporation or cemetery district at the time the exemption is requested, and within thirty (30) days of any renewal or amendment of the cemetery maintenance contract. Any exemption granted pursuant to this section shall be at the sole discretion of the commissioner.
(c) Any privately owned cemetery who is granted an exemption pursuant to the provisions of this section shall make all records pertaining to the maintenance of the cemetery available to the commissioner for review upon reasonable advance notice during the cemetery's regular working hours, including but not limited to perpetual care fund records, plot sale information, and any other records required generally of privately owned cemeteries pursuant to this regulation.
(d) Any exemption granted pursuant to the provisions of this section may be revoked by the commissioner after notice and the opportunity for a hearing pursuant to the provisions of the Wyoming Administrative Procedures Act, W.S. § 16-3-101 et seq., and any applicable rules and regulations of the Department of Insurance.
Section 12. Effective Date. This regulation shall become effective upon filing with the Secretary of State.