BILL ANALYSIS                                                                                                                                                                                                    �



                                                                            



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                                    THIRD READING


          Bill No:  SB 159
          Author:   Fuller (R), et al.
          Amended:  As introduced
          Vote:     21

           
           SENATE GOVERNANCE & FINANCE COMMITTEE  :  6-0, 3/13/13
          AYES:  Wolk, Knight, Beall, DeSaulnier, Emmerson, Liu
          NO VOTE RECORDED:  Hernandez


           SUBJECT  :    Public cemetery districts:  Kern River Valley  
          Cemetery District

           SOURCE  :     Kern River Valley Cemetery District


           DIGEST  :    This bill allows the Kern River Valley Cemetery  
          District to inter nonresidents under specified conditions.

           ANALYSIS  :    Existing law limits who may be buried in a district  
          cemetery.  Generally, cemetery districts can bury only  
          residents, former residents, property taxpayers, former  
          taxpayers, certain eligible nonresidents, and their family  
          members. 

          Responding to an Attorney General's opinion, the Legislature  
          allowed the Oroville Cemetery District (Butte County) to inter  
          up to 100 nonresidents in a former Jewish cemetery which the  
          District had acquired (SB 1906 (Johnson), Chapter 1039, Statutes  
          of 1982).  When it revised the Public Cemetery District Law, the  
          Legislature retained Oroville's special provision (SB 341  
          (Senate Local Government Committee), Chapter 57, Statutes of  
                                                                CONTINUED





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          2003).  The Legislature allowed the Elsinore Valley Cemetery  
          District (Riverside County) to inter up to 536 nonresidents in a  
          former Jewish cemetery, under specified conditions (AB 1969  
          (Jeffries), Chapter 40, Statutes of 2010).  In 2011, to  
          facilitate a group purchase of cemetery plots by members of the  
          Congregation Bet Haverim Synagogue, the Legislature allowed the  
          Davis Cemetery District to inter up to 500 nonresidents under  
          specified conditions (AB 966 (Yamada), Chapter 111, Statutes of  
          2011).  Last year, to help the Anderson, Cottonwood, and  
          Silveyville cemetery districts overcome the ongoing loss of  
          business to nearby veteran's cemeteries, the Legislature allowed  
          them an exemption from the state law restricting non-resident  
          burials (SB 1131 (La Malfa), Chapter 65, Statutes of 2012).

          This bill allows the Kern River Valley Cemetery District  
          (District) to inter in the ground or a columbarium, a vault with  
          niches for urns containing ashes of the dead, up to 40 people  
          per calendar year who are neither residents nor property  
          taxpayers in any cemetery district and who do not otherwise  
          qualify for interment under the state law governing public  
          cemetery districts' interment of eligible nonresidents, if: 

           The board of trustees determines that the District's cemetery  
            has adequate space for the foreseeable future; 

           The District has an endowment care fund that requires a  
            contribution for every interment of at least a minimum payment  
            as prescribed by law; and 

           The District requires the payment of a non-resident fee, as  
            set by law. 

           Comments
           
          California's 253 public cemetery districts are separate local  
          governments that operate cemeteries and provide interment  
          services, mostly in rural areas and suburbs that were formerly  
          rural communities.  County boards of supervisors appoint the  
          cemetery district's board of trustees, composed of three to five  
          registered voters from within the districts' boundaries.   
          Cemetery districts finance their operations with small shares of  
          local property tax revenues, by selling interment rights, and by  
          charging for services. 








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          The Kern Valley Cemetery District (Kern County) was established  
          in 1950 to provide cemetery services to residents within its  
          boundaries.  In July 2009, the Federal Veterans Administration  
          opened the Bakersfield National Cemetery some 40 miles from the  
          District's cemetery that will accommodate burials for roughly  
          200,000 veterans and their families.  During the most recent  
          fiscal year, the Bakersfield National Cemetery performed 642  
          burials, up from the 588 burials performed in the prior year and  
          the 221 burials performed in the cemetery's first year.  After  
          the veterans' cemetery opened, annual interments in the  
          Districts' cemeteries decreased, creating significant fiscal  
          challenges.

          To help the District overcome the ongoing loss of business to  
          the nearby veteran's cemetery, a district official wants the  
          Legislature to grant the Kern River Valley cemetery an exemption  
          from the state law restricting non-resident burials.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  No   Local:  
           No

           SUPPORT  :   (Verified  3/13/13)

          Kern River Valley Cemetery District (source) 

           OPPOSITION  :    (Verified  3/13/13)

          Cemetery and Mortuary Association of California

           ARGUMENTS IN SUPPORT  :    The District states many times they  
          find that when the elderly get too old to take care of  
          themselves their families move them out of the area to live with  
          them.  Many of these individuals lived here all their lives,  
          owned property and raised a family but did not make cemetery  
          arrangements before they moved away.  When the individual passes  
          away the families contact the District to inter their loved one.  
           The district has to refuse them service because their loved one  
          would be considered a non-resident. 

          The Kern River Valley Cemetery District has enough land for  
          interments to meet the needs of the communities it serves for  
          many years to come.  Of the 23 district acres only seven acres  
          are developed at this time.








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           ARGUMENTS IN OPPOSITION  :    The Cemetery and Mortuary  
          Association of California states:  

               Cemetery districts, as entities of municipal government are  
               intended to serve their residents.  The law therefore sets  
               forth specific connections where interments are  
               appropriate.

               The expansion of the law to include non-residents, as  
               proposed by SB 159, creates an opportunity and incentive  
               for municipalities to engage in business practices that  
               compete with the private sector.

               ?  There is no clear demonstration that our state's  
               citizens suffer from the lack of available services that  
               warrants the further expansion of authorization for  
               cemetery districts to inter non-residents.


          AGB:nk  3/14/13   Senate Floor Analyses 

                           SUPPORT/OPPOSITION:  SEE ABOVE

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