BillCam

SENATE BILL No. 1221

November 27, 2018, Introduced by Senator STAMAS and referred to the Committee on Regulatory Reform.

A bill to amend 1980 PA 299, entitled

"Occupational code,"

by amending sections 210, 1801, 1804, 1806, and 1809 (MCL 339.210,

339.1801, 339.1804, 339.1806, and 339.1809), section 210 as amended

by 2016 PA 30, section 1801 as amended by 2006 PA 300, and section

1806 as amended by 2013 PA 80, and by adding section 1806b.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

Sec. 210. (1) The department, on its own behalf and or on

behalf of a board created under this act, may contract with persons

or agencies who that are not employees or agencies of the

department to implement this act and to fulfill the

responsibilities of the department or a board.

(2) Under subsection (1), the department may enter into an

agreement with any of the following to provide an electronic

continuing education tracking system that provides an electronic

record of the continuing education courses, classes, or programs

completed by individuals who are licensed or registered under this

act:

(a) For individuals who are licensed under article 7, a

statewide accountancy trade organization.

(b) For individuals who are licensed under article 18, a

statewide funeral service trade organization.

statewide real estate trade organization.

(d) (c) For the individuals who are licensed or registered

under all of the other specific articles of this act, except the

individuals described in subdivision (a), or (b), or (c), an entity

that is not an agency of a state or the federal government.

(3) All of the following apply to an electronic system

provided by an agreement under subsection (2):

(a) All continuing education tracking provided by the system

must accurately reflect the continuing education requirements under

this act and rules promulgated under this act.

(b) A confirmation of completion of continuing education

requirements generated by the system is considered verification of

completion of those requirements for renewal of a license or

registration and for purposes of any audit of licensees or

registrants conducted by the department.

information about an individual who is licensed or registered under

this act to the individual, to the appropriate board for the

individual's occupation, and to the department.

(4) The department shall promulgate any rules it considers

appropriate to implement and administer subsections (2) and (3).

Sec. 1801. As used in this article:

(a) "Business entity" means a person described in section

105(5)(b) or (c), except a sole proprietorship or general

partnership.

(b) (a) "Funeral establishment" means a place of business used

in the care and preparation for burial or transportation of a dead

human body or a place where a person represents that the person he

or she is engaged in the profession of undertaking or the practice

of mortuary science.

science" means a person an individual who satisfactorily completes

a course in mortuary science, who passes an examination prescribed

in this article, serves the required resident training, and is

issued a license for the practice of mortuary science.

(d) (c) "Practice of embalming" means the disinfecting or

preserving of a dead human body, entirely or in part, by the use of

a chemical substance, fluid, or gas in the body or by the

introduction of the chemical substance, fluid, or gas into the body

by a vascular or hypodermic injection, or by direct application

into an organ or cavity.

(e) (d) "Practice of funeral directing" means engaging in or

representing oneself as engaging in the supervising of the burial

and disposal of a dead human body; maintaining a funeral

establishment for the preparation, disposition, and care of a dead

human body; or using, in connection with the user's name or funeral

establishment, the word "funeral director", "funeral service

professional", "undertaker", or "mortician", or any other title

embodying the words "mortuary science" or otherwise implying that

one a person is engaged as a funeral director.

(f) (e) "Practice of mortuary science" means the practice of

embalming or the practice of funeral directing, or both.

(g) (f) "Resident trainee" means a person an individual who is

engaged in learning the practice of embalming or funeral directing

or the practice of mortuary science under the instruction and

personal supervision of a holder of a license for the practice of

mortuary science in this state.

Sec. 1804. (1) An individual whose name appears in connection

with that the name of a funeral establishment shall be is

considered as actively engaged in the practice of funeral directing

or the practice of mortuary science and shall be the holder of a

license for the practice of mortuary science. If a funeral

establishment is a corporation or partnership, each active member

of the corporation or partnership, together with each individual

whose name appears or is used in connection with the name of the

corporation or partnership, shall be the holder of a license for

the practice of mortuary science.

(2) This article shall not prevent a funeral establishment

from using or continuing to use an otherwise lawful corporate or

partnership name after the death or retirement of a member if each

active member or employee is properly licensed under this article.

(2) A lawfully formed business entity that is licensed as a

funeral establishment may use or continue to use the licensed

establishment name after the death or retirement of a member,

officer, or director if the death or retirement is reported to the

department within 30 days and if the licensed establishment name

has been formerly used.

Sec. 1806. (1) The department shall issue a license to engage

in the practice of mortuary science to an individual who meets all

of the following:

(a) Subject to subsection (2), served as a resident trainee

for 1 year under the personal supervision and instruction of the

holder of a license for the practice of mortuary science.for 1 of

the following time periods:

(i) If the individual files his or her initial license

application before January 1, 2023, 1 year.

(ii) If the individual files his or her initial license

application on or after January 1, 2023, 180 days.

(b) Completed a mortuary science program that is accredited by

an agency recognized by the United States Secretary of Education as

a specialized accrediting agency in funeral service or mortuary

science and meets 1 of the following:

(i) (b) Graduated from If the individual files his or her

initial license application before January 1, 2023, graduated from

a 3-year course in mortuary science in an accredited higher

education program in mortuary science at a school, college, or

university that is accredited by an accrediting agency that is

recognized by the United States Secretary of Education as a

specialized accrediting agency in funeral service or mortuary

science.

(ii) If the individual files his or her initial license

application on or after January 1, 2023, graduated with a

baccalaureate degree or higher degree from an educational

institution that is accredited by an agency recognized by the

United States Secretary of Education as a regional accrediting

agency for postsecondary education or whose baccalaureate degree

program is accredited by a specialized accrediting agency in

funeral service or mortuary science.

passes an examination all of the required parts of an examination

administered and developed by a national or international

association of funeral service licensing boards and approved by the

department and the board.

(d) Satisfactorily passes a Michigan examination developed and

administered by or under the authority of the department.

(e) (d) Is of good moral character.

(2) An applicant may take the examination described in

subsection (1)(c) in 2 parts, 1 part after the completion of the

prescribed education and 1 part after the completion of the

prescribed education and the service of resident training. The

department may waive a portion of the requirement under subsection

(1)(a) of 1 year of resident training if the applicant has a

baccalaureate degree from an accredited school, college, or

university, and the department determines that the degree is a

satisfactory substitute for the resident training. This subsection

does not apply after December 31, 2022.

(3) A person may only engage in the practice of mortuary

science at a fixed location. A person shall not open or maintain a

place for practice, or hold itself out as engaging in the practice

of mortuary science, without an establishment license issued by the

department. An establishment license under this subsection is

issued for a specific location only. The holder of a license for

the practice of mortuary science may conduct a funeral in another

licensed funeral establishment; at a church, home, public hall,

lodge room, or other fixed place; or at another establishment that

is owned by the person and that meets the requirements of section

1809.

(4) The department shall not issue or renew an establishment

license under subsection (3) unless the applicant certifies that 1

of the following is met at the time of application:

(a) The applicant, or a person that has a controlling interest

in, or that is under common ownership with, the applicant, is

registered with the department under section 6 of the prepaid

funeral and cemetery sales act, 1986 PA 255, MCL 328.216.

(b) The applicant has a contract with a registrant under which

the registrant sells, provides, or agrees to sell or provide

merchandise, funeral services, or cemetery services under a prepaid

contract on behalf of the funeral establishment. As used in this

subdivision and subsection (5), "cemetery services", "funeral

services", "merchandise", "prepaid contract", "provider", and

"registrant" mean those terms as defined in the prepaid funeral and

cemetery sales act, 1986 PA 255, MCL 328.211 to 328.235.

(5) If an establishment license is canceled under subsection

(7) because of a change of ownership of the funeral establishment,

the department shall not grant a new license for that establishment

unless the applicant assumes the obligations of any unperformed

prepaid contracts in which the former establishment was designated

as the provider under section 11(1) of the prepaid funeral and

cemetery sales act, 1986 PA 255, MCL 328.221, or certifies that the

unperformed prepaid contracts have been assigned to another funeral

establishment or to a person that has a contract with a funeral

establishment that has agreed to act as the provider.

(6) The department may inspect a funeral establishment or a

branch of a funeral establishment, and the funeral establishment or

branch must meet the requirements of section 1809 and any other

standards and requirements established by rule of the department

under this act. The department may revoke a license for a failure

to meet any of these requirements under the procedure set forth in

this article.

(7) A change in the ownership or change in location of the

funeral establishment, or a change in ownership of a business

entity that owns a funeral establishment, automatically cancels its

license. A licensee shall immediately report a change in ownership

or location to the department within 30 days of the change. As used

in this subsection, "change in ownership" means a change of a

majority of a business entity's members, shareholders, officers, or

directors or a change in a sole proprietorship's or general

partnership's owners.

(8) The Subject to subsection (9), the department shall issue

a mortuary science license to an individual who holds a valid

license in another state that has substantially equal requirements

to the requirements under this article or previously held a valid

mortuary science license, or dual licenses as a funeral director

and embalmer, in another state if he or she meets all of the

following:

(a) Applies for a license to practice in this state.

(b) Held the license or licenses in the other state for a

period of at least 5 years.

accredited by an agency recognized by the United States

Secretary of Education as a specialized accrediting agency

in funeral service or mortuary science.

(d) Satisfactorily passed all of the required parts of an

examination administered and developed by a national or

international association of funeral service licensing

board and approved by the department and the board.

(e) (b) Files with the department a certified statement from

the examining board of the state in which the applicant holds a

license that shows the basis on which the license was granted, and

whether that board has suspended, revoked, or limited that license.

(f) (c) Passes an examination approved by the department and

the board that tests the individual's knowledge of law relating to

the practice of mortuary science in Michigan.this state.

(9) The department may refuse to issue a mortuary science

license to an individual described in subsection (8) based on

evidence that his or her license in the other state was suspended,

revoked, or limited at any time.

Sec. 1806b. (1) Beginning the first complete license cycle

after October 31, 2023, the holder of a license for the practice of

mortuary science must successfully complete at least 4 hours of

eligible continuing education courses in each year of a license

cycle.

(2) All of the following apply to the continuing education

requirement described in subsection (1):

(a) The continuing education requirement does not apply to an

individual who is the holder of a license for the practice of

mortuary science and has held a valid license for the practice of

mortuary science for at least 40 years.

(b) At least 2 of the 4 hours of eligible continuing education

courses required in each year of a license cycle must involve 1 or

more of the following subjects:

(i) Technical skills required for embalming and restorative

art.

(ii) Funeral ethics and best practices.

(iii) Grief counseling.

(iv) Occupational health and safety for funeral home workers.

(v) Communicable diseases including transmission and

sterilization techniques.

(vi) Funeral service best practices.

(vii) Statutes and rules of this state relating to the

practice of funeral directing.

(viii) Prepaid funeral sales.

(ix) Consumer protection, Federal Trade Commission funeral

rule, and fair labor standards requirements.

organization under subsection (3) if applicable, shall determine

whether a continuing education course is an eligible continuing

education course.

(d) If an individual receives his or her initial license to

engage in the practice of mortuary science after the beginning of

the current license cycle for that license, the department may

prorate the number of hours of eligible continuing education that

licensee is required to complete under subsection (1) for the year

of the license cycle in which the license is issued.

(e) Compliance with the continuing education requirement is a

condition to further renewal of a license for the practice of

mortuary science.

(3) For purposes of subsection (1), the department may

contract under section 210(1) with a statewide funeral service

trade organization to administer a continuing education program and

to offer or approve continuing education courses. If authorized in

the contract, a statewide funeral service trade organization may

contract with other persons to provide coursework and other

services in connection with the continuing education program.

Sec. 1809. (1) All of the following apply to the ownership and

management of a funeral establishment:

(a) A funeral establishment shall be operated by a person who

is the holder of must appoint a manager to manage the funeral

establishment. A manager must hold a license for the practice of

mortuary science. The establishment shall have conspicuously

displayed at its entrance the name of the person licensed to

conduct the establishment. The name of the person owning the

funeral establishment shall be registered with the department.

Failure to make full and complete disclosure of the owners shall be

grounds for the revocation of the establishment license.

(b) A funeral establishment shall notify the department in

writing of the name of the individual appointed as the manager of

the funeral establishment and shall conspicuously display at its

entrance the name of the manager.

the board may promulgate rules under section 308, to establish

requirements for the licensing, operation, and management of a

funeral establishment, including, but not limited to, a limit on

the number of establishments for which a licensee may be appointed

as the manager.

(d) A funeral establishment shall register the name of the

person that owns the funeral establishment with the department.

(e) The names of all of a funeral establishment's owners,

officers, directors, or members must be disclosed to the

department. A violation of this subdivision is grounds for

disciplinary action against the license of the funeral

establishment.

(2) A person An individual whose license has been revoked

under this article shall not operate own or manage, either directly

or indirectly, or hold an interest in a funeral establishment. This

subsection shall not prohibit a person whose license has been

revoked from leasing property owned by the person for use as a

funeral establishment if the person does not participate in the

control or profit of the funeral establishment otherwise than as a

lessor of the premises for a fixed rental not dependent upon

earnings.

(3) A branch establishment shall be operated by a person who

is the holder of a license for the practice of mortuary science.

(3) (4) The department and the board may inspect the a

premises in which funeral directing is conducted, or where

embalming is practiced, or where an applicant proposes to practice.

(4) (5) A funeral establishment shall contain a preparation

room equipped with tile, cement, or composition floor and necessary

drainage and ventilation, and contain each necessary instrument or

supply for the preparation and embalming of a dead human body for

burial, transportation, or other disposition.

(5) (6) A branch establishment shall comply with each

requirement or rule relating to a funeral establishment.

(6) An applicant for a funeral establishment license shall

submit an application for a license, on a form developed by the

department, that meets all of the following, as applicable:

(a) The application must indicate whether the

applicant is an individual, sole proprietorship, partnership,

corporation, or limited liability company or another type of

business entity.

(b) If an applicant is a sole proprietorship or a general

partnership, the application must confirm that the applicant is

registered at the county level, and the applicant must provide a

copy of its certificate of conducting business under an assumed

name or certificate of copartnership to the department.

confirm that the applicant is a business entity organized under the

laws of this state and is in good standing, or is a foreign entity

that has a certificate of authority and is authorized to do

business in this state, and the applicant must provide to the

department its full legal name, a copy of its articles of

incorporation, articles of organization, or certificate of

authority, and its federal employer identification number.

Enacting section 1. This amendatory act takes effect 90 days

after the date it is enacted into law.