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SB 715

Cemeteries - As enacted, changes the way that the fair market value of an improvement care trust fund is calculated for certain purposes; clarifies that the fee that a cemetery company charges for the memorial care of a commodity installed in the cemetery cannot exceed the fee charged by the company for installation of the commodity; makes other changes related to cemeteries. - Amends TCA Title 46.

114th Regular Session (2025-2026) Introduced by Brent Taylor

The bill standardizes cemetery fees, updates how the improvement care fund is valued, and creates a process to reclaim abandoned interment rights while boosting consumer protection

Pub. Ch. 119
#cemeteries
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WeVote Research Nonpartisan
Bill Summary · SB 715

Summary of SB 715 (Session 114, Tennessee) – Cemeteries

This summary explains the main purpose, key provisions, affected parties, and timeline implications of SB 715 as enacted.

Purpose and Intent

  • Modernize and regulate cemetery company practices in Tennessee.
  • Clarify and standardize fees for memorial care and installation of commodities.
  • Recalculate the fair market value of the cemetery’s improvement care trust fund.
  • Establish a process for reclaiming abandoned interment rights and expanding protections for owners.
  • Rename and reorganize cemetery-related accounts and governance provisions.

Key Provisions

1) Improvement Care Trust Fund Valuation (46-1-204)

  • Replaces the current method with: An amount not exceeding 5% of the fair market value of the trust, averaged over the balance as of the last day of the trust fiscal year immediately preceding the distribution year and the two preceding years. If fewer than two years exist, it uses the average balance over all years in existence.
  • Effect: Changes how much money can be drawn or distributed from the improvement care trust fund for maintenance and related duties.

2) Installation Fees for Commodities (46-2-101)

  • The cemetery owner’s charge for installing a commodity must be the same for all customers, regardless of commodity source.
  • Cemetery owners may prohibit installation by non-cemetery personnel.
  • The cemetery must install commodities furnished from sources other than the cemetery within 30 days of receipt (weather permitting).
  • The initial sentence limiting some prior provision is removed, aligning with the above.

3) Administrative/Documentation Fee (46-2-101(c))

  • The cemetery owner may charge an administrative, processing, or documentation fee, but it must be the same amount for all persons.
  • The fee must be posted on the schedule of charges.

4) New Definitions and Chapter 46-3 (Definitions)

  • Creates a new chapter (46-3) with definitions for key terms:
    • Cemetery, Cemetery company, Community columbarium, Community mausoleum, Crypt, Grave space, Interment, Interment right, Niche.

5) Abandonment of Interment Rights (46-2-101 and 46-3-102)

  • Establishes a process for a cemetery company to gain ownership of an abandoned grave space after meeting criteria:
    • 75 years with no contact from the owner or heirs.
    • Cemetery must conduct a reasonable search and publish a description of the interment right on the cemetery’s website for at least 12 months.
    • If ownership proof is not provided within 1 year after publication, the right may revert.
  • A cemetery may not reclaim an interment right if a memorial is installed on the space.
  • If ownership is reclaimed and later proven, a person can receive an interment right from the company’s inventory of equal value to the resale price or original purchase price (whichever is greater) for up to 25 years after reclamation.
  • Reclamation records must be kept and supplied to the Commissioner of Commerce and Insurance upon request.

6) Cemetery Administrative Account (46-1-105)

  • Renames the “Cemetery Consumer Protection Account” to the “Cemetery State Administrative Account” within the General Fund.

7) State Administrative Fees (46-1-105)

  • Repeals existing subsection and adds:
    • Renewal of registration requires a state administrative fee of $20 for every pre-need contract in the preceding renewal period.
    • If a contract covers both cemetery and funeral merchandise, only one administrative fee is charged for the contract, credited to the cemetery state administrative account.
    • A cemetery company may not charge more than one state administrative fee for executing one or more cemetery contracts at any one time.

8) Pre-Need and Fees (46-1-204(b)(3))

  • Revises fee structure for interment rights:
    • Land interment rights (excluding lawn crypt or government-donated land for minors): either $1 per square foot or 20% of the land transaction amount, whichever is greater.
    • Lawn crypt interment rights: 20% of the land transaction amount (excluding the lawn crypt) or $50, whichever is greater.
    • Mausoleum/crypt/niche or other memorials (not commodities): not less than 10% of the total transaction amount.

9) Abolition of Confusing Language (46-1-108)

  • Updated terminology to refer to “interment rights” rather than “the lots.”

10) Effective Date

  • The act takes effect January 1, 2026.

Who Is Affected

  • Cemetery companies operating in Tennessee (owners, operators, and managers of cemeteries, community columbaria, and community mausoleums).
  • Consumers and individuals purchasing interment rights, pre-need contracts, or commodities within cemetery properties.
  • The Department of Commerce and Insurance (DCI), specifically its Division of Burial Services/Cemetery, for regulatory oversight and record-keeping.
  • Potential beneficiaries or heirs of abandoned interment rights and their legal successors.

Procedural and Timeline Aspects

  • Effective date: January 1, 2026.
  • If ownership claims are made for abandoned interment rights, processes involve 75-year lookback, documented searches, and a 12-month public posting with a one-year window for proof of ownership.
  • Annual and renewal fees for pre-need contracts apply; one-time contract fee limits and post-approval reporting requirements are established.

Fiscal and Commerce Impact

  • Fiscal notes indicate a not-significant impact on state revenues and commerce.
  • The act creates administrative funds but aims to keep regulatory costs minimal and self-sustaining over time.

Overall, SB 715 (HB 713) consolidates fee structures, clarifies abandoned interment rights procedures, updates valuation methods for care funds, and strengthens consumer protections and transparency in cemetery operations.

Compiled from official sources — confirm details with the bill’s official record.

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