Maryland Register
Issue Date:  June 9, 2017
Volume 44 • Issue 12 • Page 595
Title 10
10.29.15 Family Security Trust Fund
Authority: Health Occupations Article, §§7–4A–01, 7-4A-03(h), 7–4A–04,
7–4A–05, 7–4A–11, 7–4A–12, and 7-4A-13, Annotated Code of Maryland
Notice of Proposed Action
The Secretary of Health and Mental Hygiene proposes to amend Regulations .02—.05, .07, and .08 under COMAR 10.29.15 Family Security Trust Fund. This action was considered for reproposal at a public meeting held on February 8, 2017, notice of which was given by publication on the Board’s website at pursuant to General Provisions Article, §3–302(c), Annotated Code of Maryland. Because substantive changes have been made to the original proposal as published in 43:26 Md. R. 1494—1495 (December 23, 2016), this action is being reproposed at this time.
Statement of Purpose
The purpose of this action is to:
(1) Clarify that representatives from two of the State’s trade associations sit on the Family Security Trust Fund Advisory Committee;
(2) Provide that a preneed contract may be entered into by a licensed mortician, a licensed funeral director, or by a surviving spouse along with their supervising mortician or supervising funeral director;
(3) Provide that the holder of a surviving spouse license cannot enter into a contractual agreement for mortuary sciences services or merchandise between a buyer and a funeral establishment;
(4) Require that fee notices be sent out by first class mail or by electronic means;
(5) Clarify that failure to pay the required fee and late fee by the required date may result in possible suspension of the supervising mortician’s license;
(6) Prohibit the Board from issuing a license to an establishment until payment of the required fees, including the late fee, is received;
(7) Provide that required contributions to the Fund may not be prorated;
(8) Clarify certain procedures for filing a claim to the Fund, for receiving compensation from the Fund, and for recovering funds from those deemed responsible for a claim to the Fund; and
(9) Provide that, if the Fund falls below $1 million, the Board shall assess a mandatory contribution to the Fund which the Board may deem to be less than the yearly $375 payment.
The reproposed text is in response to a comment received from the Funeral Consumers Alliance and Environs (FCAE) during the original comment period. FCAE recommended requiring the Board to order full payment of a claim made to the Family Security Trust Fund, instead of a full or partial payment. Additionally, FCAE recommended deleting a provision authorizing the Board to prorate or defer payment of a claim if sufficient funds do not exist in the Fund to make full repayment of a claim.
Comparison to Federal Standards
There is no corresponding federal standard to this proposed action.
Estimate of Economic Impact
The proposed action has no economic impact.
Economic Impact on Small Businesses
The proposed action has minimal or no economic impact on small businesses.
Impact on Individuals with Disabilities
The proposed action has no impact on individuals with disabilities.
Opportunity for Public Comment
Comments may be sent to Michele Phinney, Director, Office of Regulation and Policy Coordination, Department of Health and Mental Hygiene, 201 West Preston Street, Room 512, Baltimore, MD 21201, or call 410-767-6499 (TTY 800-735-2258), or email to, or fax to 410-767-6483. Comments will be accepted through July 10, 2017. A public hearing has not been scheduled.
                Ed. Note:  Pursuant to State Government Article, §10-113, Annotated Code of Maryland, if a promulgating agency substantively alters the text of regulations that have been previously proposed in the Maryland Register, the altered text must be published in the Maryland Register as though it were initially proposed.  The text of regulations appearing immediately below has been altered substantively from the initially proposed text.
                Symbols:  Roman type indicates existing text of regulations. Italic type indicates initially proposed new text. Arial Bold Italic type indicates new text that substantively alters the text as initially proposed. [Single brackets] indicate existing text proposed for repeal. [[[Triple brackets]]] indicate text proposed for deletion which substantively alters the originally proposed text.
.02—.05 (originally proposed text unchanged)
.07 Restitution.
A.—D. (originally proposed text unchanged)
E. The Board shall order full [[[or partial]]] payment of a claim.
[[[F. If at any time there are not sufficient funds on hand to pay all claims in full, the Board may, in its discretion, pay the approved claims pro rata or defer payment until such time as adequate funds are available.]]]
[[[G.]]] F. (originally proposed text unchanged)
.08 (originally proposed text unchanged)
Secretary of Health and Mental Hygiene