REGULAR BOARD MEETING

MINUTES

December 10, 2003

The North Carolina Board of Funeral Service met for a duly scheduled Board Meeting on December 10, 2003, in the Board’s office located at 2321 Crabtree Boulevard, Raleigh, North Carolina.

Present: Harvey Leavitt, President; Alex Lee, Vice President; Jack Briggs, Secretary; Windell Daniels, George Parrott, Jamie Boles, Nancy Rorie, Rudy Lea and Jerry W. Hawks.

Also Present: Mark E. Henderson, Executive Director; Stephen N. Dirksen, General Counsel; Patricia Hayes, Bill Joyner; Steve Bryan, and Nelson Hayes.

President Harvey Leavitt called the meeting to order at 9:07 a.m.

Mr. Lea gave the invocation.

At this time Mr. Leavitt read the Board of Ethics statement, Governor Easley’s Executive Order #1. No one recused themselves at this time.

Ms. Rorie made the motion to go into closed session to consider the qualifications, competence, performance, character, fitness or conditions of initial employment of an employee or prospective employee, or to hear or investigate a complaint or grievance by or against an employee. Mr. Hawks seconded and the motion carried.

Upon proper motion the Board returned to open session. At this time the Board’s staff was invited into the Board Room. Ms. Rorie made the motion to hire Paul Harris as the Executive Director and Mr. Daniels seconded. Mr. Briggs asked Mr. Boles to explain the application process and how the Executive Director was hired. Mr. Leavitt called for the vote and the motion carried. Mr. Hawks voted no.

Mr. Leavitt asked Mr. Henderson to introduce the staff and inspectors to the Board. Mr. Leavitt thanked Mr. Henderson for his excellent work while Executive Director. The staff departed at this time.

Mr. Leavitt opened the floor to receive public comment and there was none.

Mr. Briggs submitted the November 5, 2003 minutes and made the motion to accept them. Mr. Daniels seconded and the motion carried.

Disciplinary: Mr. Lee presented the Disciplinary Committee report and asked that Item V98-036 be removed from the report. Mr. Boles and Mr. Hawks recused themselves from the vote. Mr. Briggs made the motion to accept the Disciplinary Report as amended. Mr. Lee seconded and the motion carried.

Finance/Personnel: Mr. Boles referred the financial report to Mr. Henderson. Mr. Henderson reviewed the November financials. Mr. Daniels made the motion to accept the report and Mr. Lee seconded. The motion carried. Mr. Boles thanked Ms. Rorie, Mr. Daniels and Mr. Briggs for their help on the Personnel Committee and Mr. Henderson for his help during the year.

Preneed: Mr. Lea submitted the Preneed Report. Mr. Hawks made the motion to accept the report. Ms. Rorie seconded and the motion carried.

Attorney’s Report: Mr. Dirksen reported that the status of cases pending was provided to the Board for their review.

Executive Director’s Report: Mr. Henderson stated the Board will receive public comment on the fee increases until January 2, 2004 and at the January 7, 2004 meeting, the Board will vote. Mr. Henderson then reviewed the other rules and gave a status report. Pathology testing will be added to the funeral director exam and should be included in the July exam. The contract with the current Board auditor expires December 31. Discussion ensued regarding the contracting of another auditor.

New Business: The floor was open for public comment on the rule to increase the Board Fees. No one was present to make comment. Mr. Henderson stated he had not received any e-mail, facsimile or telephone calls regarding the increase. Mr. Henderson stated it had been published in the North Carolina Register, in the Board’s newsletter and also on the Board’s website.

Mr. Lee stated he had not completed his Committee Assignments for 2004 but would have them ready for the January meeting. The schedule of Board Meetings for 2004 was submitted.

Mr. Henderson stated the contractor for the Wade Avenue property would be ready for the new Executive Director and him to walk through the property for finalizing the wall phone and data port outlets in approximately ten days. Mr. Daniels suggested that Mr. Lee also be available to go with them and Mr. Lee will. The lease on the present office will expire February 28, 2004. Mr. Henderson stated he had spoken with Tri-Properties and they were will to extend the lease on a month-by-month basis and had already sent him one through April 2004. Discussion ensued. Mr. Henderson will call Tri-Property and attempt to extend the lease for 30 days through March 31, 2004.

Mr. Henderson presented information regarding a request that had been made to pay interest on Recovery Fund payments. Discussion ensued. Mr. Henderson stated the North Carolina Funeral Directors Association had submitted comments regarding the interest and the Governor’s office had called requesting information. No decision was made at this time regarding payment of this interest but it will be discussed at the next Board meeting.

Mr. Henderson submitted a letter from a licensee regarding the form for registering to do funeral directing or service without being registered as an establishment. The licensee had questions regarding the response to item 3 on the application. Discussion ensued. Mr. Briggs made the motion to change the wording and to amend the form to read as follows: Location of funeral establishment or embalming facility where embalming will occur and location where sheltering of remains will occur prior to moving remains to location where services will be held. Mr. Hawks seconded and the motion carried.

Mr. Henderson submitted the new form, Record of Cremation, from the Crematory Authority for approval. Mr. Boles stated that after review by his crematorium employees and those of another crematorium, he had concerns regarding the wording of two items. Discussion ensued. Mr. Hawks made the motion to amend and approve the form by omitting the “Name of crematory representative that checked the human remains for jewelry, pacemaker implants, or other potentially hazardous materials” and to change the wording on the bottom line to read “Printed Name and Signature instead of “Name.” Mr. Lee seconded and the motion carried.

Upon proper motion the Board returned to open session.

Mr. Daniels made the motion to accept as amended the 2004 Budget. Ms. Rorie seconded and the motion carried.

Mr. Henderson administered the Oath of Constitution and the Oath of Office to Mr. Hawks, Jr. Lee and Mr. Parrott. Mr. Leavitt offered his congratulations to them.

Mr. Lee presented Mr. Leavitt with a gift of appreciation for his leadership during the 2003 year. Mr. Briggs also offered his appreciation to Mr. Leavitt for his long hours and hard work.

Informational Items: Mr. Henderson reviewed the items submitted. Discussion ensued. Mr. Henderson was directed to write a letter to the Sanford newspaper to assure consumers of preneed contracts that their funeral funds were safer than the cemetery funds mentioned in one of the newspaper’s recent articles.

There being no further business, Ms. Rorie made the motion to adjourn the meeting. Mr. Parrott seconded and the meeting was adjourned at 12:30 p.m.

Harvey H. Leavitt III, President

Jack Briggs, Secretary