Bill Status of HB 229   97th General Assembly


Short Description:  FUNERAL TRUST FUNDS-TRUSTEES

House Sponsors
Rep. Dan Brady

Last Action  View All Actions

DateChamber Action
  1/8/2013HouseSession Sine Die

Statutes Amended In Order of Appearance
225 ILCS 45/1from Ch. 111 1/2, par. 73.101
225 ILCS 45/1a-1
225 ILCS 45/1bfrom Ch. 111 1/2, par. 73.101b
225 ILCS 45/2from Ch. 111 1/2, par. 73.102
225 ILCS 45/4a
815 ILCS 390/14from Ch. 21, par. 214
815 ILCS 390/15from Ch. 21, par. 215

Synopsis As Introduced
Amends the Illinois Funeral or Burial Funds Act. Restores a provision that allows persons holding less than $500,000 in trust funds to continue to act as the trustee after the funds are deposited. Provides that a pre-need contract must, if funded by a trust, clearly identify the trustee's name and address and the primary state or federal regulator of the trustee. Provides that a trustee may be the seller or provider of funeral services or merchandise if the seller holds sales of less than $500,000 in trust and deposits funds for which the seller is acting as trustee according in a certain manner. Provides that if a purchaser selects a trust arrangement to fund the pre-need contract, the trust must be maintained: (1) in a deposit account maintained by the seller as trustee in a bank, savings and loan association, savings bank, or credit union authorized to do business in Illinois in which accounts are insured by an agency of the federal government, (2) in a trust company authorized to do business in Illinois, or (3) with a corporate fiduciary as defined in the Corporate Fiduciary Act. Restores a provision that allows trust funds to be maintained in a financial institution located in a state adjoining Illinois if certain conditions are met. Provides that a trustee has a duty to manage the trust and, with respect to the investment of trust funds, shall exercise certain judgment and care. Provides that the trustee has a duty to manage and invest the assets pursuant to the Prudent Investor Rule under the Trusts and Trustees Act if the amount of funds to be entrusted exceeds $1,000,000. Amends the Illinois Pre-Need Cemetery Sales Act. Removes language that provides that the seller must retain a corporate fiduciary as an independent trustee for any amount of trust funds. Provides that a trust established under the Act must be maintained: (1) in a deposit account maintained by the seller as trustee in a bank, savings and loan association, or credit union authorized to do business in Illinois in which accounts are insured by an agency of the federal government, (2) in a trust company authorized to do business in Illinois, or (3) in an investment company authorized to do business in Illinois insured by the Securities Brokers Insurance Corporation. Effective immediately.

Actions 
DateChamber Action
  1/21/2011HouseFiled with the Clerk by Rep. Dan Brady
  1/21/2011HouseFirst Reading
  1/21/2011HouseReferred to Rules Committee
  2/8/2011HouseAssigned to Executive Committee
  3/1/2011HouseHouse Committee Amendment No. 1 Filed with Clerk by Rep. Dan Brady
  3/1/2011HouseHouse Committee Amendment No. 1 Referred to Rules Committee
  3/17/2011HouseHouse Committee Amendment No. 1 Tabled Pursuant to Rule 40
  3/17/2011HouseRule 19(a) / Re-referred to Rules Committee
  1/8/2013HouseSession Sine Die

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