FUNERAL LICENSE:  PREPAID CONTRACTS                                               H.B. 4574 (S-2):

                                                                                                      FLOOR SUMMARY

House Bill 4574 (Substitute S-2 as reported by the Committee of the Whole)

Sponsor:  Representative Kenneth Kurtz

House Committee:  Regulatory Reform

Senate Committee:  Regulatory Reform

CONTENT

The bill would amend Article 18 (Mortuary Science) of the Occupational Code to do the following:

-- Prohibit the Department of Licensing and Regulatory Affairs (LARA) from issuing or renewing a funeral establishment license unless the applicant were registered under the Prepaid Funeral and Cemetery Sales Act or had a contract with a registrant under that Act to provide prepaid services and merchandise.

-- Prohibit LARA from granting a new funeral establishment license, if a license were canceled because of a change of ownership, unless the applicant assumed the former owner's prepaid contract obligations or certified that those contracts had been assigned to either another funeral establishment or a person that had a contract with a funeral establishment that agreed to act as the provider.

The bill would take effect 90 days after its enactment.

MCL 339.1806                                                         Legislative Analyst:  Patrick Affholter

FISCAL IMPACT

The bill would have no fiscal impact on State or local government.

Date Completed:  6-18-13                                                     Fiscal Analyst:  Josh Sefton

This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.