SRC-SLL H.B. 1672 75(R)   BILL ANALYSIS


Senate Research Center   H.B. 1672
By: Janek (Ellis)
Jurisprudence
5-14-97
Engrossed


DIGEST 

Since 1984, federal regulation of the funeral industry has been vested
with the Federal Trade Commission (FTC).  The FTC proposed changes
designed to better inform consumers of their various rights and options
when arranging a funeral.  Currently, both Texas and federal law require
that nearly identical disclosures be printed verbatim on the same
documents.  This duplication has proven to be very confusing to families
making funeral arrangements.  This bill will provide new regulations
regarding the requirements of a price list and a memorandum for funeral
merchandise and services.   

PURPOSE

As proposed, H.B. 1672 provides new regulations regarding the requirements
of a price list and a memorandum for funeral merchandise and services.   

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Sections 1(S) and (T), Article 4582b, V.T.C.S., to
redefine "retail price list" and "general price list."  Requires the list
to contain the following printed notice: "The goods and services shown
below are those we can provide to our customers.  You may choose only the
items you desire.  However, any funeral arrangements you select will
include a charge for our basic services and overhead.  If legal or other
requirements mean you must buy any items you did not specifically ask for,
we will explain the reason in writing on the statement we provide
describing the funeral goods and services you selected."  Deletes existing
text regarding a statement in the list on goods and services charged.
Redefines "written memorandum" and "funeral purchase agreement." Requires
the memorandum to include the following printed notice: "Charges are only
for those items that you selected or that are required.  If we are
required by law or by a cemetery or crematory to use any items, we will
explain the reasons in writing below."  Deletes existing text regarding a
statement in the memorandum regarding charges for items used. 

SECTION 2. Effective date: September 1, 1997.

SECTION 3. Emergency clause.