§ 65-64. Deposits to perpetual care fund.
§ 65‑64. Deposits toperpetual care fund.
(a) Deposits to thecare and maintenance trust fund must be made by the cemetery company holdingtitle to the subject cemetery lands on or before the last day of the calendarmonth following the calendar month in which final payment is received asprovided herein; however the entire amount required to be deposited into thefund shall be paid within four years from the date of any contract requiringsuch payment regardless of whether all amounts have been received by thecemetery company. If the cemetery company fails to make timely deposit, theCommission may levy and collect a late filing fee of one dollar ($1.00) per dayfor each day the deposit is delinquent on each grave space, niche or mausoleumcrypt sold. The care and maintenance trust fund shall be invested andreinvested by the trustee in the same manner as provided by law for theinvestment of other trust funds by the clerk of the superior court except thatsuch investments may be made through means of a common trust fund as describedin G.S. 36A‑90; provided, further, that cemetery trust funds held in afund designated as Trust Fund "A" pursuant to G.S. 65‑64(e) maybe invested and reinvested in accordance with G.S. 36A‑2. The fees andother expenses of the trust fund shall be paid by the trustee from the netincome thereof and may not be paid from the corpus. To the extent that the saidnet income is not sufficient to pay such fees and other expenses, the sameshall be paid by the cemetery company.
(b) When a municipal,church‑owned or fraternal cemetery converts to a private cemetery asdefined in G.S. 65‑48, then said cemetery shall establish and maintain acare and maintenance trust fund pursuant to this section; provided, however,the initial deposit for establishment of this trust fund shall be an amountequal to fifty dollars ($50.00) per space for all spaces either previously soldor contracted for sale in said cemetery at the time of conversion or fiftythousand dollars ($50,000), whichever sum is greater.
(c) Repealed by 1991(Regular Session, 1992), c. 1007, s. 35.
(d) In each salescontract, reservation or agreement wherein burial rights are priced separately,the purchase price of said burial rights shall be the only item subject to careand maintenance trust fund deposits; but if the burial rights are not pricedseparately therein, the full amount of the contract, reservations or agreementshall be subject to care and maintenance trust fund deposits as providedherein, unless the purchase price of said burial rights can be determined fromthe accounting records of the cemetery company.
(e) When the amountdeposited in the perpetual care fund required by this Article of any cemeterycompany shall amount to one hundred fifty thousand dollars ($150,000), anythingin this Article to the contrary notwithstanding, the cemetery company may makeall deposits thereafter either into the original perpetual care trust fund orinto a separate fund established as an irrevocable trust, designated asPerpetual Care Trust Fund "A," and invested by the trustee, inaccordance with G.S. 36A‑2, as directed by the cemetery company. Funds ina trust fund designated as Trust Fund "A" may not be invested inanother cemetery company.
(f) For specialendowments for a specific lot, grave, or a family mausoleum, memorial, marker,or monument, the cemetery may set aside the full amounts received for thisindividual special care in a separate trust or by a deposit to a savingsaccount in a bank or savings and loan association located within and authorizedto do business in the State; provided, however, if the licensee does not set upa separate trust or savings account for the special endowment the full amountthereof shall be deposited in Perpetual Care Trust Fund "A." (1943, c. 644, s. 10; 1957,c. 529, s. 4; 1967, c. 1009, s. 10; 1971, c. 1149, s. 5; 1975, c. 768, s. 1;1977, c. 686, s. 14; 1979, c. 888, ss. 5, 6; 1987, c. 488, ss. 3, 6; 1991, c.653, s. 6; 1991 (Reg. Sess., 1992), c. 1007, s. 35; 1995, c. 509, s. 135.3(b),(c); 2004‑202, ss. 7, 8.)