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New Regulations Put to the Test

CFDA Issues Statement regarding Pipkin Mortuary incident

CFSB Certifications lapse after January 31

 

Fall Issue of CFDA News Now Available Online

DORA Sunset Review Issues Recommendation for Preneed Regulations

TSA Known Shipper Compliance


New Regulations Already Put to the Test


The Department of Regulatory Agencies' Office of Funeral Establishment and Crematory Registration has begun an investigation into the complaints lodged over the weekend against Pipkin Mortuary in Denver.

On February 1, DORA issued cease and desist orders for the establishment and Pipkin Mortuary must close its doors at the end of business on Tuesday, February 9. The mortuary failed to register with DORA as required by law on January 1, 2010.

State laws require registration for all funeral establishments and crematories by January 1.  Those not registered are operating unlawfully and can expect disciplinary action, including cease and desist orders.

The Colorado Funeral Directors Association is a voluntary, non-profit association established in 1898 to advance the economic and professional interests of Colorado's funeral directors and the funeral service industry they represent. CFDA is disappointed to hear about situations when recommended standards and business practices are not followed and stands by its Code of Ethics to which its members subscribe.*

CFDA was a strong advocate for new regulations (HB 09-1202) passed by the Colorado Legislature in 2009 that provide more standards and oversight for funeral establishments and crematories, and offer a greater measure of protection for funeral service consumers. These same regulations work to preserve the dignity, respect and integrity of the hundreds of honorable funeral professionals who practice in this state.

As of January 1, 2010, all funeral establishments and crematories must be registered with the Department of Regulatory Agencies' Office of Funeral Establishment and Crematory Registration.  DORA will also accept and investigate complaints from consumers and enforce disciplinary measures in accordance with the Mortuary Science Code (C.R.S. 12-54-101 - 410).

The Colorado Funeral Directors Association regrets that this situation has occurred in the State of Colorado and extends sympathies to the families involved.

*Pipkin Mortuary has not been a member of the Colorado Funeral Directors Association since 1997.

CFSB Certifications due by January 31

 

Your 2009 Colorado Funeral Service Board certification will be considered lapsed if your renewal is received after January 31.  After this date, renewals are subject to an additional $25 late fee.

  • If your certification lapsed at the end of 2008, you may reinstate certification for 2010 upon payment of 2010 certification fees plus a $75 reinstatement fee.

  • Certifications that lapsed prior to 2008 will be required to re-apply for certification in a manner identical to those applying for certification for the first time and are subject to CFSB's current criteria. This will include submission of new application forms, education transcripts, affidavit to report funeral directing and/or embalming cases, etc., as may be required of new applicants.

 

Six Contact Hours of CE Credit Required to Maintain Active Status

 

Continuing education credit may be earned each year through active participation in a variety of programs, such as (A) Professional Training & Activity; (B) Public Education & Public Service; and (C) Academic Activity. Credits earned after October 1, 2008 may be applied toward 2010 renewal if those credits were not applied to your last renewal. Documentation such as a certificate of attendance, statement or transcript from academic institution, etc., must be provided as evidence for the corresponding credit.

  • Active Status: Evidence for a minimum of six (6) contact hours of continuing education credit must be provided to maintain Active Status.

  • Retired Status: Certified funeral service professionals over the age of 65 are eligible for Retired Status and will be required to provide evidence of three (3) contact hours of continuing education earned each year.

  • Emeritus Status: Certified funeral service professionals over the age of 70 are eligible for Emeritus Status and will not be required to prove continuing education credit.

  • Inactive Status: Inactive Status individuals are not required to provide evidence of continuing education credit. Return to Active status will require evidence of six (6) contact hours per year of Inactive certification, up to maximum of twelve (12) contact hours.

  • If no evidence or insufficient documentation of continuing education is provided with annual renewal, your certification may be renewed at Inactive status along with payment of current year certification fees.

 

The CFSB will honor continuing education credit for programs approved by the Academy of Professional Funeral Service Practice. For a list of AFFSP approved programs, go to http://www.apfsp.com/apfsp/home.nsf.

 

2010  Continuing Education Activity Report

 

Mortuary Science Regulations

As of January 13, more than 160 funeral establishments and 50 crematories have applied and registered with the Colorado Department of Regulatory Agencies.

Beginning January 1, 2010, all funeral homes and crematories must be registered with the Colorado Department of Regulatory Agencies (DORA) Division of Registrations to comply with state laws. New laws resulting from HB 1202 passed during the 2009 Legislative Session also go into effect as of January 1, including additional standards of practice for embalming, transport and cremation.

Search for a registered funeral establishment or crematory online at https://www.doradls.state.co.us/alison.php


DORA's Office of Funeral Establishment and Crematory Registration will also accept consumer complaints against registered Funeral Establishments and Crematories: http://www.dora.state.co.us/funeralhome-crematory/complaints.htm

Information about the Office of Funeral Establishment and Crematory Registration can be found online at the DORA web site:
http://www.dora.state.co.us/funeralhome-crematory/licensure.htm

For questions about requirements and applications, contact:

Office of Funeral Home and Crematory Registration
Division of Registrations, Department of Regulatory Agencies
1560 Broadway, Suite 1350
Denver, Colorado 80202
Telephone: 303.894.7800
Fax: 303.894.7790
Email: Funeral@dora.state.co.us

A PDF version of mortuary science and cremation laws can be found online at http://www.dora.state.co.us/funeralhome-crematory/Statutes.pdf

The Fall Issue of the CFDA News is now available online at
 
http://www.cofda.org/news/CFDANews-Fall2009-web.pdf

DORA Issues Sunset Review of Insurance Regulations

The Colorado Department of Regulatory Agencies Office of Policy, Research and Regulatory Reform has issued its Sunset Review of functions related to regulation of property and casualty, automobile, and any other entity or function that does not offer health, life, property, casualty, or automobile insurance by the Division. This includes regulation of Preneed Funeral Contracts in Colorado.

The report discusses the question of whether there is a need for the regulation provided under Articles 3 through 6, 10 through 13, and 15 of Title 10, C.R.S., and Articles 44 and 45 of Title 8, C.R.S. The report also discusses the effectiveness of the DOI staff in carrying out the intent of the statutes and makes recommendations for statutory changes in the event this regulatory program is continued by the General Assembly.

Pertaining to preneed funeral contracts, page 54 of the Sunset report states: Recommendation 9  – Require the Commissioner to perform an examination of books, records and accounts of each licensed preneed funeral contract seller at least once every five years, and authorize the Commissioner to perform such examinations as necessary to ensure compliance with the law.

The reports cites recent instances where preneed contract sellers have misappropriated funds.

These recommendations are consistent with suggestions made by CFDA representatives to DORA policy analysts when conducting the review earlier this year. It is not yet known how these recommendations will be applied or the impact to funeral establishments.

DORA's report and recommendations can viewed online at http://www.dora.state.co.us/opr/archive/2009Insurance.pdf

  • Page 28 of the report explains about the current preneed contract seller requirements.
  • Page 54 issues recommendations for additional administration for preneed funeral contracts.

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Colorado Division of Insurance Reaches Settlement in Neptune Society Case

On July 15, 2009, the Colorado Division of Insurance settled its legal case against Neptune Management Corporation, d/b/a The Neptune Society.

After a complaint lodged by a consumer in 2008 and subsequent investigation by the Colorado Division of Insurance, Neptune Management Corporation faced several charges including:

·        -plan and practice to avoid compliance with preneed trusting requirements,

·        -violations of the general provider agreements,

·       - conditioning the sale of a preneed contract upon the purchase of a second contract, and,

·        -violation of several tenets of the Colorado Consumer Protection Act.

The terms of the settlement include:

  • Neptune admits to several violations of Colorado insurance laws;
  • Immediately trusting $1.5 million for outstanding and unperformed preneed contracts;
  • Payment of a civil penalty up to $1.2 million;
  • Agreement to comply with Colorado laws for future contracts, including having general provider agreements in place; trusting 75% of contract value, etc;
  • Implementing a change in business practices, including allowing customers the option for at-need provision of merchandise vs. advance delivery.

Read the Stipulation issued by the Colorado Division of Insurance at http://www.dora.state.co.us/insurance/enforcement/enforcement.htm
 
TSA Known Shipper Compliance

The Transportation Security Administration (TSA) is responsible for ensuring the security of all modes of transportation, including cargo placed aboard airplanes and particularly focuses on passenger-carrying planes.

Effective August 1, 2009, all human remains shipments originating in the U.S. or its territories must be tendered by a “known shipper.” This policy will apply to all airlines accepting human remains for transport, and requires funeral homes to register as a “known shipper” for each airline they use to ship bodies. The process will require an inspection and payment of an inspection fee, and can create an administrative burden on funeral homes to register with multiple airlines.

Airlines have been inundated with requests and are experiencing delays in fulfilling inspection and registration requirements. Consider CFDA's member partner, SR International Logistics, to avoid hassles of multiple airline registration and get your establishment registered in the TSA's Known Shipper system right away!

Click here to learn more about TSA's Known Shipper requirements and CFDA's discount program with SR International Logistics

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Colorado Funeral Directors Association, P. O. Box 631664, Highlands Ranch, CO 80163-1664
Phone 303-791-2336   Fax 303-395-2609   Email to CFDA

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