S T A T E   O F   N E W   Y O R K
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                                   6396
 
                        2017-2018 Regular Sessions
 
                             I N  S E N A T E
 
                               May 16, 2017
                                ___________
 
 Introduced  by  Sen.  RANZENHOFER -- read twice and ordered printed, and
   when printed to be committed to the Committee on Corporations, Author-
   ities 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 nonsectarian
   burial society or by a cemetery corporation; and in  relation  to  the
   definition of certain types of burial societies
 
   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 two new paragraphs (r) and (s) to read as follows:
   (R)  THE  TERM  "NONSECTARIAN  BURIAL  SOCIETY" MEANS A CORPORATION OR
 UNINCORPORATED ASSOCIATION OR SOCIETY HAVING AMONG ITS ACTIVITIES OR ITS
 FORMER ACTIVITIES THE PROVISION OF BURIAL BENEFITS FOR ITS  MEMBERS  AND
 NOT SUPERVISED OR CONTROLLED BY A RELIGIOUS CORPORATION.
   (S)  THE  TERM "RELIGIOUS BURIAL SOCIETY" MEANS A CORPORATION OR UNIN-
 CORPORATED ASSOCIATION OR SOCIETY HAVING AMONG  ITS  ACTIVITIES  OR  ITS
 FORMER  ACTIVITIES  THE PROVISION OF BURIAL BENEFITS FOR ITS MEMBERS AND
 SUPERVISED OR CONTROLLED BY A RELIGIOUS CORPORATION.
   § 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, THIRTY-FIVE  PERCENT  OF
 THE  NET  PROCEEDS  SHALL  BE  PLACED IN THE PERMANENT MAINTENANCE FUND,
 FIFTY PERCENT SHALL BE  PLACED  IN  THE  CURRENT  MAINTENANCE  FUND  AND
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD11769-01-7

 S. 6396                             2
 
 FIFTEEN PERCENT SHALL BE PLACED IN A PERPETUAL CARE FUND WHICH THE CEME-
 TERY  SHALL  ESTABLISH IN THE NAME OF THE DEFUNCT SOCIETY FOR THE EXCLU-
 SIVE PURPOSE OF MAINTENANCE OF THE GROUNDS  ON  WHICH  THE  GRAVES  WERE
 REACQUIRED.
   (f)  The  provisions of this section shall not apply to a lot, plot or
 part thereof whose record owner  is  a  [corporation  or  unincorporated
 association  or society having among its activities or its former activ-
 ities the provision of burial benefits for its members] RELIGIOUS BURIAL
 SOCIETY.
   (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  NONSECTARIAN  BURIAL  SOCIETY  UNDER  THE
 FOLLOWING CIRCUMSTANCES:
   (1) IF THE CEMETERY CORPORATION HAS RECEIVED A REQUEST TO MAKE A BURI-
 AL ON THE GROUNDS OF A NONSECTARIAN 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 NONSECTARIAN 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 NONSECTARIAN 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 NONSECTARIAN 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  NONSECTARIAN  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 NONSECTARIAN 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 NONSECTARIAN BURIAL  SOCIETY,  SEEKING  THE  NAMES  AND
 ADDRESSES OF ANY CURRENT OFFICERS OF THE NONSECTARIAN BURIAL SOCIETY AND
 INFORMING  THOSE INDIVIDUALS OF THE CEMETERY CORPORATION'S INTENTIONS OF
 REACQUIRING THE UNUSED GRAVES ON THE GROUNDS OF THE NONSECTARIAN  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 NONSECTARIAN BURIAL SOCIETY
 AND INFORMING SUCH INDIVIDUALS OF THE CEMETERY CORPORATION'S  INTENTIONS
 OR  REACQUIRING  THE  UNUSED  GRAVES  ON THE GROUNDS OF THE NONSECTARIAN
 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

 S. 6396                             3
 
   (6) UPON THE SALE OF ANY GRAVE OR GRAVES ON THE GROUNDS OF THE NONSEC-
 TARIAN  BURIAL SOCIETY WHICH HAVE BEEN REACQUIRED BY THE CEMETERY CORPO-
 RATION, THE CEMETERY CORPORATION SHALL DISTRIBUTE THE  NET  PROCEEDS  OF
 THE SALE AS PROVIDED IN PARAGRAPH (D) OF THIS SECTION.
   (K)  THE  CEMETERY  CORPORATION SHALL DELAY THE SALE OF TEN PERCENT OF
 THE GRAVES IT REACQUIRES FROM THE NONSECTARIAN BURIAL SOCIETY FOR TWENTY
 YEARS AS A RESERVE IN THE EVENT AN INDIVIDUAL OR INDIVIDUALS ARE IDENTI-
 FIED WHO HAVE A VALID CLAIM FOR BURIAL ON THE GROUNDS OF THE NONSECTARI-
 AN BURIAL SOCIETY.
   (L) AT THE TIME THE GRAVES THAT HAVE BEEN  REACQUIRED  BY  A  CEMETERY
 CORPORATION FROM A NONSECTARIAN BURIAL SOCIETY ARE SOLD, THE CONTRACT OF
 SALE  SHALL CONTAIN A CLAUSE IN BOLD TYPE WHICH SPECIFIES THAT THE MONU-
 MENTS TO BE ERECTED ON SUCH LOT, PLOT OR PART THEREOF, SHALL CONFORM  TO
 THE  SIZE,  STYLE  AND  TYPE OF MONUMENTS IN THE SECTION OF THE CEMETERY
 WHERE SUCH GRAVES ARE LOCATED.
   § 3. This act shall take effect immediately.