REGULAR BOARD MEETING

 

MINUTES

 

August 13, 2008

 

 

 

 

The North Carolina Board of Funeral Service met for a duly scheduled Board Meeting at 9:00 a.m. on August 13, 2008 at the Board’s office, 1033 Wade Avenue, Suite 108, Raleigh, North Carolina.

 

Present: Mark Blake, President; Larry Andrews, Vice President; J. T. Willoughby III, Secretary; Rudy Lea, Jack Briggs, T. E. White, Sr., Frank McCree and George Parrott.

 

Also Present:  Paul Harris, Executive Director; Stephen N. Dirksen, General Counsel; Herb Reichlin with the Funeral Consumers Alliance, Larry Stegall and Pat Hayes with the North Carolina Funeral Directors Association, Fred Jordan with the N. C. Eye Bank, Dorman Caudle with Carolina Donor Services, Betty Lynn Snelling with Cremation Association of North Carolina, Funeral Service licensee Dan Funchess and Lyn Cochrane.

 

Mr. Blake called the meeting to order and led the Pledge of Allegiance.  Mr. Willoughby had the invocation.

 

Mr. Blake read the Ethics Awareness & Conflict of Interest Reminder and Mr. Briggs recused himself from discussion and voting with regards to the mortgage rate discussion under Finance and Personnel.  Mr. White stated he had attended the Funeral Directors & Mortician Associations Annual Meeting.

 

Mr. Blake asked for public comment and there was none.  Visitors introduced themselves.

 

Mr. Willoughby presented the minutes for the July 16, 2008.  Mr. Andrews made the motion to accept the minutes and Mr. White seconded.  The motion carried.

 

Clinics:  Mr. Lea stated there were 24 licensees/funeral home staff in attendance at the August 5, 2008 clinic.  Discussion ensued regarding the limited number of seats available for the remote broadcast from Fayetteville Technical Community College to Catawba and Edgecombe Community Colleges.  Staff will research alternatives and present them to the Committee.

 

Exam Committee:  Mr. White reported nine applicants took the exam on June 24—eight first time, one retake.  Two failed (first time) and seven passed. Nine applicants took the exam on July 22—seven first time, 2 retakes.  Seven passed (five first time and both retakes) and two failed—both first time.

 

Pathology Exam results since January 1, 2008.  Seventeen exams have been scheduled through August 11.  Nine passed, seven failed, one person did not show up for first scheduled exam and failed the second attempt.  Three who failed initially have retaken the exam and passed.

 

The committee is reviewing the items that have been answered incorrectly 30% or greater in the laws and rules exam.  A report and any recommendations on specific questions will be presented at the September meeting.

 

Quotes are being reviewed for the computer based Laws and Rules exam and will be presented at the September meeting.

 

Finance/Personnel:  Mr. Briggs presented the July financials and stated Finance/Personnel had met by teleconference on August 12, 2008 and reviewed proposals for refinancing the Board’s mortgage.  The Committee recommended acceptance of the proposal from the current lender and to negotiate the early payoff fee.  Discussion ensued.  Mr. Willoughby made the motion to accept the Committee recommendation.  Mr. Lee seconded and the motion carried.  Mr. Briggs had previously recused himself from discussion and vote and only acted as Committee Chair.

 

At this time Mr. Briggs yielded the floor to Mr. Harris to discuss several accounts on the P&L vs. Actual.

 

Mr. Briggs stated that in addition to the mortgage, staff had looked at other banking facilities with the mortgage.

 

The staff recently learned the State of North Carolina increased the meal per diem effective July 1, 2007.  The committee recommends the meal per diem be paid retroactively to the effective date and Mr. Briggs made the motion to accept the committee’s recommendation.  Mr. Parrott seconded and the motion carried. 

 

Laws, Rules & Legislation:  Mr. Briggs yielded to Mr. Harris who presented the Committee’s three recommendations:  (1) Notify all transport and removal services that the permit only allows the transportation and removal of a deceased and does not convey any ability to arrange for embalming or other services unless they also hold an appropriate license from the Board.  In addition, the Board has not enforced the statute to require all individuals to be permitted but, with previous notice, include advisory that beginning immediately all individuals who are working for another permit hold are to submit fingerprint cards and the appropriate fee.  Beginning with the 2009 renewal cycle all individuals working as transporters shall apply for the permit.  Mr. Briggs made the motion to accept the Committee recommendation and Mr. Lea seconded.  The motion carried.  (2) A proposal by Richard Andrews with Andrews Mortuary in Wilmington with regards to the creation of a discount crematory owned by Andrews but in a separate and off-site facility.  The Committee feels this facility would require a funeral service establishment license.  Mr. Andrews recused himself from discussion and vote since this facility would be in his service area.  Mr. Briggs made the motion to accept the recommendation.  Mr. Parrott seconded and the motion carried.  Mr. Andrews did not participate in the vote.  (3) Crematory licensees not otherwise licensed by the Board can only perform the following other activities in addition to cremating the body—remove and transport the deceased from the place of death to the crematory, file vital records information in compliance with NC G.S. 130A- 115, and return the ashes to the authorizing agent.  Staff is further directed to request an opinion from the Federal Trade Commission to clarify under what circumstances a crematory must comply with the Funeral Rule.  Mr. Briggs made the motion to accept the recommendation and Mr. White seconded.  The motion carried.

 

At this time Mr. Blake requested attention be directed back to the Finance & Personnel report, Item 3 that had been omitted from the original report.  Mr. Briggs yielded the floor to Mr. Harris.  At the July meeting staff had been directed to research the best investment opportunities for the Wachovia Securities money market account.  Mr. Harris explained his recent conversation with the Wachovia Securities representative and the reserves currently held there are in bank deposit security with the money market.  Mr. Briggs stated this was for information only.

 

Mr. Harris continued with Laws and Rules and discussion of the current status of Bills in the 2008 short session.

 

Preneed Committee:  Mr. Andrews presented the preneed report and the list of 2008 Change of Ownership/New funeral homes that have obtained the bonding requirement.  Mr. Andrews yielded the floor to Mr. Harris for discussion of a Department of Insurance matter.  Staff was contacted by the DOI who were reviewing a filing for Unity Financial Life Insurance Company, which writes some preneed.  Concerns were related to their request to approve a “trust” that would own the policy of the purchasers and would not attach that policy to a preneed contract or a specific funeral home.  Staff is reviewing the matter along with two other websites that appear to offer the same “Irrevocable Funeral Trust.” 

 

Disciplinary Committee:  Mr. Parrott stated he would bring the report in three separate sections.  The first was recommendations.  The committee was recommending that on late filing or unfiled death certificates, if investigation determines the licensee is a fault, a Letter of Caution will be issued in the first instance.  If repeat or multiple instances, a strongly worded letter of caution, with a copy to the deputy registrar in the location and inform State Vital Records.  A copy of the policy will be forwarded to State Vital Records for distribution to deputy registrars.

 

The staff and committee have reviewed the status of pending cases (4 from 2005 and 4 from 2006 pending resolution).  At the September meeting a recommendation will be brought for most if not all of the cases.  In addition a recommendation for cases to be referred to OAH, which may include some cases from 2005 and 2006 but more recent cases.

 

The staff is investigating allegations of violations by a licensee that may require immediate Board consideration.  The committee may request a special meeting prior to the September meeting for this matter.

 

Discussion ensued.  Mr. Briggs made the motion to accept the three recommendations from the Disciplinary Committee.  Mr. Lea seconded and the motion carried.

 

Mr. Parrott then presented the Addendum to the Disciplinary Committee Report for consideration.  Mr. Briggs recused himself from M07-002 because he had prior knowledge of the case.  Mr. White made the motion to accept M07-002 and Mr. Andrews seconded.  Discussion ensued.  Mr. Blake called for the vote and the motion carried.  Mr. Briggs did not participate in the discussion or vote.  Mr. Willoughby made the motion to accept the recommendations for M08-008 and M08-012.  Mr. White seconded and the motion carried.

 

Mr. Parrott then presented the Disciplinary Committee Report.  Discussion ensued.  Mr. Briggs made the motion to accept the report and to send the strong Letter of Caution regarding V08-021 and V08-035.  Mr. Andrews seconded.  Discussion continued.  Mr. Blake called for the vote and the motion carried.  Mr. Harris will have the inspector for the firms involved in V08-021 and V08-035 examine their records.

 

At this time there was a ten-minute recess.

 

Traineeship Committee:  Mr. Blake stated the committee had met with three of four trainees whose traineeships were suspended due to either consistently late reports, missing reports or failure to respond to staff requests for the reports.  The three that were in attendance were allowed to continue their respective traineeships with the understanding that failure to comply with discussed terms would result in recommendation to the Board that the traineeships would be terminated.

 

Mr. Blake deferred to Mr. Harris on the fourth trainee.  Mr. Harris stated this trainee had completed the traineeship requirements prior to the late reports but was continuing as a trainee.  She wants to proceed with certification of the traineeship.  Discussion ensued.

 

Attorney Report:  Mr. Dirksen stated the 11:00 hearing request had been withdrawn and was included with the Disciplinary Committee report and accepted and the 1:00 hearing originally scheduled had requested a first continuance and met all the guidelines.  Mr. Parrott made the motion to grant the continuance and Mr. Lea seconded.  The motion carried.  Mr. Dirksen stated another 1:00 hearing had been scheduled for the afternoon.  Mr. Dirksen then presented his report.

 

Executive Director’s Report:  Mr. Harris submitted the Inspectors Monthly Status Reports for June and July for review.

 

Since the June 18 Board Meeting thirty-nine reports have been filed.  Establishment Changes:  New funeral homes—New Beginnings Funeral Service in Rich Square and A. L. Jinwright, Charlotte.  Ownership Changes—Powell Funeral Home, Southern Pines.  Crematories—Wilders Funeral Home in Rich Square, Triad Cremation Society, Inc., in Greensboro (both new) and Pines Cremation Service in Southern Pines (change of ownership).  Discussion ensued.

 

New funeral service licensees:  Randy Barker, Charles McNeill, Kelly Osborne, Richard Toker, and Kim Marshall.

 

New trainees:  James Wilkinson IV, Joshua Edwards, Charles Thompson Jr., Matthew Jernigan, Dustin Byers, Melissa Perkins, Gladys Cooper, Harry Smith Jr., Vondia Smith, Jonathan Ball, David Moore, Stephen Plummer, Bethanie Skeens, James Haire, Duane Thomas, George Johnson, Richard McDaris and Ethienne Rodriguez.

 

Staff Ethics Report:  Meetings and discussion with North Carolina Funeral Directors Association, Funeral Directors and Morticians Association of North Carolina, Inc., and the Funeral Consumers Alliance.  A Board Member is also on the Legislative Committee for one of the Associations and staff is seeking an opinion on that.

 

The letter to the NC Medical Board and NC Hospital Association is ready to be mailed.  The Medical Board asked not to be signatory.  There were twelve attendees at the Preneed Review on July 29.  The Crematory Authority met on July 23 and discussion included  requirement of permanent numbers on the 56 series forms, request for staff to draft a combination form for 56A, B and C forms that will be allowed but not required of crematories., air quality rule making, and draft of a cremation manual similar to the preneed manual.

 

The Board’s audit report has been mailed to required agencies and others that have requested copies.  The printer of the Board’s newsletter had submitted a letter of apology for the error in computing the cost of the last newsletter that had been mailed.  The older computer server that was used for emergency backup only failed yesterday.  Staff will research repair or replacement.  A price quote for Security/Safety training for inspectors will be submitted by Blackmon Detective Agency.  Five valid crematory nominations have been received.  Mr. Dirksen mentioned that the Rule requires approval at the first Board meeting after August 1.  Staff will provide the Crematory Authority ballot for consideration after the hearing today.

 

New Business:  None from the staff.  Mr. Blake entertained discussion of an October 2008 Board meeting at Fayetteville Technical Community College.  November 19 would be an alternative date in conjunction with the scheduled clinic.  Staff will research this for the September Board meeting.

 

Old Business:  Mr. Blake recognized Mr. Harris who deferred to Mr. Dirksen for a trainee application matter.  Mr. Blake requested completion of the Board agenda then to discuss the trainee matter.

 

Informational items:  Mr. Harris submitted letters from the Office of the Speaker, House of Representatives, appointing Elizabeth Webber to serve on the Board effective January 1, 2009 to continue until December 31, 2011, and from the President Pro Tempore of the NC Senate, appointing George Parrott to serve on the Board with the same effective dates.

 

Public Comment:  There was none.

 

Mr. Blake then deferred back to Mr. Dirksen for the trainee application matter.  Mr. Briggs made the motion to approve the traineeship application for Ms. Brown.  Mr. Parrott seconded.  Discussion ensued.  Mr. Blake called for the vote and the motion carried.

 

The Board recessed at 11:25 to reconvene for the 1:00 hearing.

 

Following the hearing while the Board was still in session, Mr. Harris presented the ballots for the Crematory Authority elections which contained the names of the following individuals:  Jason L. Benton, Cecil M. Burton, Joseph Andrew Thompson, James D. Weatherspoon, Philip Douglas Young.

 

Discussion ensued.  Mr. White made the motion to accept the ballot and set the deadline for submitting the ballots on November 3rd.  Canvassing of the ballots will occur on November 12th.  Mr. Andrews seconded and the motion carried.

 

Mr. Harris offered some corrective information regarding the new A. L. Jinwright Funeral Home.  The establishment is located in Pineville and not Charlotte as originally reported.

 

 

                                                                                                                                               

                                                                                    Mark Blake, President

 

 

                                                                                                                                               

                                                                                    J.T. Willoughby III, Secretary