S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   4610
 
                        2017-2018 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             February 3, 2017
                                ___________
 
 Introduced  by  M.  of  A.  CYMBROWITZ  -- read once and referred to the
   Committee on Corporations, Authorities and Commissions
 
 AN ACT to amend the not-for-profit corporation law, in relation  to  the
   reacquisition of a lot, plot, or part thereof owned by a burial socie-
   ty  or by a cemetery corporation; and in relation to the definition of
   a burial society
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Section  1502  of  the  not-for-profit corporation law is
 amended by adding a new paragraph (r) to read as follows:
   (R) THE TERM "BURIAL SOCIETY" MEANS A  CORPORATION  OR  UNINCORPORATED
 ASSOCIATION  OR SOCIETY HAVING AMONG ITS ACTIVITIES OR ITS FORMER ACTIV-
 ITIES THE PROVISION OF BURIAL BENEFITS FOR ITS MEMBERS.
   § 2. Paragraphs (d) and (f) of section 1513-a  of  the  not-for-profit
 corporation  law,  as  added  by  chapter  478  of the laws of 2003, are
 amended and four new paragraphs (i), (j), (k) and (l) are added to  read
 as follows:
   (d)  Upon  the  sale  of a lot, plot or part thereof reacquired by the
 corporation under the provisions of paragraph (a), (b), or (c)  of  this
 section,  thirty-five percent of the net proceeds shall be placed in the
 permanent maintenance fund and sixty-five percent shall be placed in the
 current maintenance fund.  PROVIDED, HOWEVER, THAT IF THEIR PROPERTY WAS
 REACQUIRED UNDER PARAGRAPH (I) OF THIS SECTION, TEN PERCENT OF  THE  NET
 PROCEEDS  SHALL BE PLACED IN THE PERMANENT MAINTENANCE FUND, FIFTY-SEVEN
 PERCENT SHALL BE PLACED IN THE CURRENT MAINTENANCE FUND AND THIRTY-THREE
 PERCENT SHALL BE PLACED IN A PERPETUAL  CARE  FUND  WHICH  THE  CEMETERY
 SHALL  ESTABLISH  IN  THE  NAME OF THE DEFUNCT SOCIETY FOR THE EXCLUSIVE
 PURPOSE OF MAINTENANCE OF THE GROUNDS ON WHICH  THE  GRAVES  WERE  REAC-
 QUIRED.    IF, HOWEVER THE NUMBER OF GRAVES RECLAIMED BY THE CEMETERY IS
 LESS THAN ONE HUNDRED, FROM ANY  ONE  BURIAL  SOCIETY  THEN  THIRTY-FIVE
 PERCENT OF THE NET PROCEEDS SHALL BE PLACED IN THE PERMANENT MAINTENANCE
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD06462-01-7

 A. 4610                             2
 
 FUND  AND  SIXTY-FIVE PERCENT SHALL BE PLACED IN THE CURRENT MAINTENANCE
 FUND.
   (f)  The provisions of this section shall not apply to [a lot, plot or
 part thereof whose record owner is a corporation or unincorporated asso-
 ciation or society having among its activities or its former  activities
 the  provision of burial benefits for its members] INCORPORATED OR UNIN-
 CORPORATED RELIGIOUS ASSOCIATIONS OR SOCIETIES.
   (I) A CEMETERY CORPORATION MAY, UPON APPLICATION AND APPROVAL  BY  THE
 CEMETERY  BOARD,  REACQUIRE, RESUBDIVIDE, AND RESELL A LOT, PLOT OR PART
 THEREOF FORMERLY OWNED BY A BURIAL SOCIETY UNDER THE  FOLLOWING  CIRCUM-
 STANCES:
   (1) IF THE CEMETERY CORPORATION HAS RECEIVED A REQUEST TO MAKE A BURI-
 AL  ON  THE  GROUNDS OF A BURIAL SOCIETY AND THE PROVISIONS OF PARAGRAPH
 (H) OF SECTION FIFTEEN HUNDRED TWELVE OF THIS ARTICLE HAD TO BE  INVOKED
 TO MAKE THE BURIAL THEN THE CEMETERY CORPORATION MAY, AT ITS DISCRETION,
 COMMENCE  THE PROCESS OF REACQUIRING THE UNUSED GRAVES ON THE GROUNDS OF
 THE BURIAL SOCIETY, EXCEPT THAT ANY GRAVES THAT HAVE BEEN  RESERVED  FOR
 INDIVIDUALS  WHERE SUCH RESERVATIONS HAVE BEEN RECORDED ON THE BOOKS AND
 RECORDS OF THE CEMETERY CORPORATION SHALL BE EXEMPT FROM RECLAMATION; OR
   (2) IF ROUTINE MAILINGS OR PROXY MAILINGS ARE SENT TO THE OFFICERS  OF
 RECORD  OF  A  BURIAL SOCIETY AND SUCH MAILINGS ARE RETURNED BY THE POST
 OFFICE, THE CEMETERY CORPORATION MAY, AT ITS DISCRETION, MAKE  A  SECOND
 MAILING  BY  CERTIFIED  MAIL RETURN RECEIPT REQUESTED TO EACH OFFICER OF
 RECORD OF THE BURIAL SOCIETY AS RECORDED ON  THE  CEMETERY'S  BOOKS  AND
 RECORDS  AND,  IF EACH OF THESE MAILINGS IS RETURNED BY THE POST OFFICE,
 THE CEMETERY CORPORATION MAY, AT ITS DISCRETION, COMMENCE THE PROCESS OF
 REACQUIRING THE UNUSED GRAVES ON THE  GROUNDS  OF  THE  BURIAL  SOCIETY,
 EXCEPT  THAT  ANY  GRAVES  THAT HAVE BEEN RESERVED FOR INDIVIDUALS WHERE
 SUCH RESERVATIONS HAVE BEEN RECORDED ON THE BOOKS  AND  RECORDS  OF  THE
 CEMETERY CORPORATION SHALL BE EXEMPT FROM REACQUISITION.
   (J)  IF  A CEMETERY CORPORATION HAS DECIDED TO COMMENCE THE PROCESS OF
 REACQUIRING GRAVES OWNED BY A BURIAL SOCIETY IT SHALL:
   (1) SEND BY CERTIFIED MAIL RETURN RECEIPT REQUESTED TO EACH INDIVIDUAL
 WHO HAS ENGAGED IN PROPRIETARY ACTIVITIES IN CONNECTION WITH  GRAVES  ON
 THE  GROUNDS OF A BURIAL SOCIETY, SEEKING THE NAMES AND ADDRESSES OF ANY
 CURRENT OFFICERS OF THE BURIAL SOCIETY AND INFORMING  THOSE  INDIVIDUALS
 OF  THE  CEMETERY  CORPORATION'S  INTENTIONS  OF  REACQUIRING THE UNUSED
 GRAVES ON THE GROUNDS OF THE BURIAL SOCIETY;
   (2) SEND BY CERTIFIED MAIL RETURN RECEIPT REQUESTED TO EACH INDIVIDUAL
 WHO HAS A GRAVE RESERVED OR DEEDED TO THEM A LETTER  SEEKING  THE  NAMES
 AND  ADDRESSES OF ANY CURRENT OFFICERS OF THE BURIAL SOCIETY AND INFORM-
 ING SUCH INDIVIDUALS OF THE CEMETERY CORPORATION'S INTENTIONS  OR  REAC-
 QUIRING THE UNUSED GRAVES ON THE GROUNDS OF THE BURIAL SOCIETY;
   (3) POST A NOTICE AS PROVIDED IN CLAUSE THREE OF SUBPARAGRAPH (III) OF
 PARAGRAPH (A) OF THIS SECTION;
   (4) PUBLISH A NOTICE AS PROVIDED IN CLAUSE FIVE OF SUBPARAGRAPH (III)
  OF PARAGRAPH (A) OF THIS SECTION;
   (5)  PREPARE  AND  SUBMIT  AN  AFFIDAVIT  AS PROVIDED IN CLAUSE SIX OF
 SUBPARAGRAPH (III) OF PARAGRAPH (A) OF THIS SECTION; AND
   (6) UPON THE SALE OF ANY GRAVE OR GRAVES ON THE GROUNDS OF THE  BURIAL
 SOCIETY  WHICH  HAVE  BEEN  REACQUIRED  BY THE CEMETERY CORPORATION, THE
 CEMETERY CORPORATION SHALL DISTRIBUTE THE NET PROCEEDS OF  THE  SALE  AS
 PROVIDED IN PARAGRAPH (D) OF THIS SECTION.
   (K) THE CEMETERY CORPORATION SHALL HOLD OFF THE SALE OF TEN PERCENT OF
 THE  GRAVES  IT REACQUIRES FROM THE BURIAL SOCIETY FOR TWENTY-FIVE YEARS

 A. 4610                             3
 
 AS A RESERVE IN THE EVENT AN INDIVIDUAL OR  INDIVIDUALS  ARE  IDENTIFIED
 WHO HAVE A VALID CLAIM FOR BURIAL ON THE GROUNDS OF THE BURIAL SOCIETY.
   (L)  AT  THE  TIME  THE GRAVES THAT HAVE BEEN REACQUIRED BY A CEMETERY
 CORPORATION FROM A BURIAL SOCIETY ARE SOLD, THE CONTRACT OF  SALE  SHALL
 CONTAIN  A CLAUSE IN BOLD TYPE WHICH SPECIFIES THE SIZE, STYLE, AND TYPE
 OF MONUMENTS PERMITTED IN THE SECTION IN WHICH SUCH GRAVES ARE LOCATED.
   § 3. This act shall take effect immediately.