House Amendment 8355


PAG LIN




     1  1    Amend Senate File 2349, as amended, passed, and
     1  2 reprinted by the Senate, as follows:
     1  3 #1.  Page 1, by inserting after line 22 the
     1  4 following:
     1  5    <Sec.    .  Section 523A.201, subsections 2 and 3,
     1  6 Code Supplement 2007, are amended to read as follows:
     1  7    2.  If a seller agrees to furnish cemetery
     1  8 merchandise, funeral merchandise, funeral services, or
     1  9 a combination thereof and performance or delivery may
     1 10 be more than one hundred twenty days following the
     1 11 initial payment on the account, a minimum of eighty
     1 12 percent of all payments made under the purchase
     1 13 agreement shall be placed and remain in trust until
     1 14 the person for whose benefit the funds were paid dies.
     1 15    3.  If a purchase agreement for cemetery
     1 16 merchandise, funeral merchandise, funeral services, or
     1 17 a combination thereof provides that payments are to be
     1 18 made in installments, the seller shall deposit eighty
     1 19 percent of each payment all payments made under the
     1 20 purchase agreement in the trust fund until the full
     1 21 amount required to be placed in trust has been
     1 22 deposited.  If the purchase agreement is financed with
     1 23 or sold to a financial institution, the purchase
     1 24 agreement shall be considered paid in full and the
     1 25 trust requirements shall be satisfied within fifteen
     1 26 days after the seller receives funds from the
     1 27 financial institution.
     1 28    Sec.    .  Section 523A.201, subsection 5, Code
     1 29 Supplement 2007, is stricken.>
     1 30 #2.  Page 2, by striking lines 1 through 14 and
     1 31 inserting the following:
     1 32    <Sec.    .  Section 523A.405, subsection 8, Code
     1 33 Supplement 2007, is amended to read as follows:
     1 34    8.  The amount of the surety bond shall equal
     1 35 eighty percent the amount of the payments received
     1 36 pursuant to purchase agreements, or the applicable
     1 37 portion thereof, for cemetery merchandise, funeral
     1 38 merchandise, funeral services, or a combination
     1 39 thereof and the amount needed to adjust the amount of
     1 40 the surety bond for inflation as set by the
     1 41 commissioner based on the consumer price index.  The
     1 42 seller shall review the amount of the surety bond no
     1 43 less than annually and shall increase the bond as
     1 44 necessary to reflect additional payments.  The amount
     1 45 needed to adjust for inflation shall be added annually
     1 46 to the surety bond during the first quarter of the
     1 47 establishment's seller's fiscal year.>
     1 48 #3.  Page 4, line 4, by striking the words <not
     1 49 less than eighty percent> and inserting the following:
     1 50 <not less than eighty percent all>.
     2  1
     2  2
     2  3                               
     2  4 PETTENGILL of Benton
     2  5 SF 2349.302 82
     2  6 av/sc/21021

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