2023 Tennessee Code › Title 46 - CEMETERIES (§§ 46-1-101 — 46-8-103) › Chapter 1 - REGULATION OF CEMETERIES (§§ 46-1-101 — 46-1-313) › Part 2 - FINANCIAL MANAGEMENT (§§ 46-1-201 — 46-1-218) › Section 46-1-215 - Financial reports

(a)
Within seventy-five (75) days after the end of the calendar year or its fiscal year and within seventy-five (75) days on an annual basis thereafter, each cemetery company shall file with the commissioner a report of its condition, on forms provided by the commissioner, which report shall contain the following information:
(1)
The name of the cemetery company, the date of incorporation, if incorporated, and the location of the cemetery or cemeteries owned by the company;
(2)
The amounts of sales of cemetery lots, grave spaces, mausoleum crypts or niches for which payment has been made in full or certificates or deeds of conveyance issued on cemetery lots, grave spaces, crypt or niches during the preceding calendar or fiscal year;
(3)
The amounts received for the special care of any lots, graves, crypts, niches, family mausoleums, memorials, markers or monuments;
(4)
The amounts received for the memorial care of commodities;
(5)
The amounts paid into the permanent improvement care fund, and the income earned from the fund during the preceding fiscal year;
(6)
The number of acres embraced within each cemetery and held by the cemetery company for cemetery purposes;
(7)
The names and addresses of the owners of the cemetery company or the officers and directors of the corporation, and any change of control that has occurred during the past calendar or fiscal year; and
(8)
The total of all expenditures of income from the improvement care trust fund.
(b)
(1)
Within forty-five (45) days after the end of the calendar or fiscal year of the cemetery company, the trustee of the improvement care fund of the cemetery company shall file with the commissioner a financial report with respect to the trust fund on forms that are obtained from the commissioner. The report shall include, but not be limited to, specific disclosure of the following:
(A)
The current value of the assets, on both a book value and market value basis, and liabilities of the trust as of the beginning and end of the fiscal year of the trust;
(B)
All sales, exchanges, or leases of any property between the trust and the cemetery company, any owner of an interest in the cemetery company, any officers or directors or managers of the cemetery company, or immediate family of any such person;
(C)
Any loans by the trust or fixed income obligations due the trust that are classified as uncollectible or in default as of the close of the fiscal year of the trust;
(D)
Whether the trust at any time held twenty percent (20%) or more of its assets in any single security, debt, mortgage, parcel of real estate, or partnership/joint venture interests;
(E)
Whether the trust at any time engaged in any transaction or series of related transactions involving twenty percent (20%) or more of the current value of the trust; and
(F)
Whether there were any purchases of nonpublicly traded securities by the trust, the value of which was set without an appraisal by an independent third party.
(2)
The commissioner may require the trustee to make additional financial reports that the commissioner deems necessary.
(c)
For late filing of a report required under this section, a cemetery company shall pay a late penalty not to exceed one hundred dollars ($100) for each month or fraction thereof that the report is late. The commissioner is authorized to establish the amount of the late penalty by promulgating rules in accordance with the Uniform Administrative Procedures Act, compiled in title 4, chapter 5.
(d)
The commissioner may promulgate rules and regulations that are reasonably necessary to require cemeteries to submit audited financial statements or other financial reports prepared by independent certified public accountants.
Acts 1927, ch. 75, § 3; mod. Code 1932, § 3924; Acts 1961, ch. 44, § 2; 1968, ch. 557, § 2; T.C.A. (orig. ed.), § 46-106; Acts 1973, ch. 272, § 7; 1976, ch. 773, § 5; T.C.A., §§ 46-206, 46-2-106; Acts 1980, ch. 780, § 4; 1995, ch. 203, § 2; 1995, ch. 485, §§ 1, 6; 1997, ch. 374, § 1; T.C.A., §
46-2-202
; Acts 2006, ch. 1012, § 3; 2009, ch. 356, § 5.