Fiscal Note & Local Impact Statement

123 rd General Assembly of Ohio

Ohio Legislative Budget Office: a nonpartisan agency providing fiscal research for the Ohio General Assembly

77 South High Street, 8th Floor, Columbus, OH 43266-0347 ² Phone: (614) 466-8734

E-mail: BudgetOffice@LBO.STATE.OH.US ² Internet Web Site:


Sub. H.B. 531


May 9, 2000


As Enacted – Effective September 22, 2000


Rep. Hollister


No —

No local cost



Exempts certain political subdivisions from paying cemetery registration fees and raises the burial permit fee; changes regulations concerning cemetery endowment care trusts; and alters current law governing the sale of pre-need cemetery merchandise


State Fiscal Highlights



FY 2001

FY 2002


Fund 4H9—Cemetery Registration


$10,000 - $15,000 net gain

$10,000 - $15,000 net gain

$10,000 - $15,000 net gain


- 0 -

- 0 -

- 0 -

Note: The state fiscal year is July 1 through June 30. For example, FY 2001 is July 1, 2000 - June 30, 2001.


·        The Division of Real Estate and Professional Licensing funds its Cemetery Dispute Resolution Commission via registration and burial permit fees collected from cemetery and funeral home operators statewide.

·        The bill exempts political subdivisions from paying registration fees for cemeteries, resulting in a potential $33,000-$38,000 annual loss in state revenue.  In FY 1999, the Real Estate and professional Licensing Division of the Department of Commerce (COM), which regulates cemeteries, collected a total of $236,000.

·        To offset the loss in registration revenue, the bill increases burial permit fees from $2.50 to $3.00, generating about $48,000 in additional burial permit revenue for state use.  Registrars, public or private authorities that the Department of Health authorizes to issue death certificates, retain fifty cents of this fee.

·        The bill requires registrars to submit the state’s portion of burial fees on at least a quarterly basis so that the Division collects revenue on a regular basis.

Local Fiscal Highlights



FY 2000

FY 2001


Municipalities, Townships and Other Political Subdivisions


- 0 -

- 0 -

- 0 -


- 0 -

Decrease between  $33,000-38,000 in cemetery registration fees

Decrease between  $33,000-38,000 in cemetery registration fees

Note: For most local governments, the fiscal year is the calendar year. The school district fiscal year is July 1 through June 30.


·        The bill exempts political subdivisions from paying cemetery registration fees.  The decrease may amount to a savings of  $33,000 to $38,000 per year.  There are about 1,100 cemeteries statewide owned by political subdivisions. 



Detailed Fiscal Analysis


The Cemetery Dispute Resolution Commission is a unit of the Department of Commerce’s (COM) Division of Real Estate and Professional Licensing.  The Division funds its cemetery oversight through two sources, both affected by this bill.  First, the lion’s share of revenue comes from a portion of burial permit fees collected by the Division.  The bill increases the total burial permit fee to $3.00, $2.50 of which is collected by the Division.  The second, smaller source of revenue is cemetery registration fees; about 1,100 political subdivisions pay these fees annually.  The bill exempts political subdivisions from these fees altogether.  


The changes in fee structure contained in the bill will most likely result in a net gain in revenue, which is deposited in the Division’s Cemetery Registration, Fund 4H9.  This revenue—which has ranged from $221,504 to $273,930 over the past five fiscal years—pays for the operating costs of the Cemetery Dispute Resolution Committee.  These expenses have been in the $143,000-200,000 range over the same period, but have increased recently because of an additional staff person assigned to the Cemetery Dispute Resolution Committee.  The increased net revenue, projected to be $48,000 in FY 2001, would pay for this new staff person and make up for the revenue lost from cemetery registrations.


The table below shows how the revenue projections were calculated.  These are data supplied by the Division of Real Estate and Professional Licensing:


Projected State Revenue Gain, Fund 4H9 FY 2000

Loss in cemetery registration income from political subdivisions (about 1,100 cemeteries)

($33,000 to $38,000)

Gain in burial permit revenue (state share increases from $2 to $2.50 (96,000 permits)


Net Total

$10,000 to $15,000 gain


Another provision in the bill requires registrars, who typically include funeral directors, police departments, and health department employees, to send the state’s share of burial permit fees on a quarterly basis or more frequent intervals if possible.  This accounting change would allow the Division to more accurately project annual revenues from this source.


Finally, the bill contains other miscellaneous provisions affecting the death care industry and cemetery operations.  The bill specifies that dividend and interest income earned by cemetery endowment trusts may only be used to administer the trust and maintain the cemetery grounds.  Another provision in the bill revises current standards for the sale of preneed funeral merchandise.  These provisions appear to have no fiscal effect on the state or its political subdivisions.



q LBO staff:  Nelson D. Fox, Budget/Policy Analyst