REGULAR BOARD MEETING

MINUTES

April 28, 2005

The North Carolina Board of Funeral Service met for a duly scheduled Board Meeting on April 28, 2005, at the Board’s office located at 1033 Wade Avenue, Raleigh, North Carolina.

Present: Jack Briggs, President; Rudy Lea, Vice President; Jody Tyson, Secretary; Larry Andrews, Mark Blake, Windell Daniels, William Manson, T. E. White, Sr. and George Parrott.

Also Present: Paul Harris, Executive Director; Stephen N. Dirksen, General Counsel; Kent Dorsey, Justin Boone, Patricia Hayes, and Lyn Cochrane.

President Jack Briggs called the meeting to order at 9:05.

Mr. Briggs read Governor Easley’s Executive Order #1. No one recused themselves at this time.

Mr. Briggs gave the invocation.

At this time the floor was opened to public comment. There was none at this time.

Mr. Tyson stated the minutes for the March meeting had been previously mailed to the members. There was one addition to the minutes and that was Mr. T. E. White, Jr.’s name had been omitted from the attendance. Mr. Tyson made the motion to approve the minutes as amended. Mr. Daniels and the motion carried.

CE Committee: Mr. Tyson stated the CE committee had met Wednesday and had discussed the following. How to better identify and clarify what is considered permissible topics for courses to approve. Mr. Harris will contact the American Board of Funeral Service Education for information. The Wilbert Vault letter was accepted with no action.

Mr. Tyson made comments addressing his concerns regarding the adoption of a Board policy on the continuing education approval process and associated discussion during the March meeting.

Disciplinary Committee: Mr. Parrott stated the disciplinary cases had been previously mailed. Mr. Dirksen stated there was one addendum on Page 4 regarding the 2004 Annual Reports. Discussion ensued. Mr. White made the motion to approve the report. Mr. Andrews seconded and the motion carried.

Finance Committee: Mr. Daniels presented the March 2005 financials and then deferred the meeting to Mr. Harris. Mr. Harris discussed the auditor’s comments regarding the litigation funds. Discussion ensued. Mr. White made a motion to reduce those funds to $30,000. Mr. Daniels seconded and the motion carried. Mr. Daniels made the motion to accept the report for information only. Mr. Lea seconded. Discussion ensued. Mr. Briggs called for the vote and the motion carried.

Mr. Daniels stated the Personnel report would be discussed at the close of the meeting in Executive Session.

Preneed Report: Mr. Andrews presented the Preneed Report and then deferred the meeting to Mr. Harris to make comments regarding a letter from Homesteaders Insurance Company. During an examination of a funeral home, Inspector Susan Cox had discovered a miscalculation of values on some annuities. Homesteaders will get this corrected. Ms. Culbreth’s report reflects three examinations in the east of vast improvement since their last audit.

Traineeship: Mr. Lea stated the committee had met prior to the Board meeting and deferred the report to Mr. Harris. Mr. Harris referenced part-time traineeship and requested the Board to adopt the policy to allow one conversion during this traineeship from part time to full time or full time to part time. Discussion ensued. Mr. Parrott made the motion to allow this conversion and Mr. Lea seconded. The motion carried.

Attorney’s Report: Mr. Dirksen reported that the status of cases pending was provided to the Board for their review. The Board has received several complaints regarding the aggressive and misleading advertising of a casket store. The staff requested permission to run an ad in a local newspaper stating facts and citing statutes to correct this misrepresentation. Mr. Lea made the motion to allow this statement and Mr. Manson seconded. The motion carried.

Executive Director’s Report: Mr. Harris reviewed the International Conference of Funeral Service Examining Board Conference he attended in Fayetteville, Arkansas. Mr. Harris presented the Inspection/Establishment report since the March meeting. There were 147 inspections with reports as of April 27. Four new establishments are open and two new facilities. The Mutual Burial Association financial reports were discussed. It was noted the more than half of the MBA’s are operating at a deficit.

Mr. Harris apologized for not sending separate updates to the Laws and Rules committee.

Mr. Harris presented an update on HB967, Health Care Power of Attorney. Mr. Harris had met with the attorney for the Hospital Association and a staff attorney with Legislative Research. The Crematory List for cremation of oversized remains is almost complete. The building sign will be installed mid May.

Mr. Harris presented a letter from the North Carolina Funeral Directors Association questioning an article that had appeared in the publication Funeral Monitor. The Association was requesting a response to concerns they had with the article. Discussion ensued. Mr. Briggs asked for a motion to have Mr. Harris respond to the letter. Mr. Parrott made the motion to give Mr. Harris authority to respond to the Association’s letter. Mr. Blake seconded. Mr. Andrews, Mr. Parrott, Mr. Lea, Mr. Manson, Mr. Blake and Mr. Daniels voted aye. Mr. Tyson and Mr. White voted No. The motion carried.

July 1 is the target date for the first exam from the new law book.

Mr. Harris requested permission to approve an additional expenditure for the Board’s database. Mr. Daniels made the motion to approve the additional funds and Mr. White seconded. The motion carried.

A ten-minute recess was taken at 10:50 a.m.

New Business: Mr. Harris submitted a copy of the report that would be sent to the General Assembly as required by law regarding the 2004 preneed activities. This report will be mailed to Lt. Governor Perdue and House Speaker Black. Mr. White commended the Board for their preneed regulation. Mr. Daniels made the motion to approve the report and Mr. Manson seconded. The motion carried. Mr. Harris will prepare a cover letter dated May 1 for Mr. Briggs signature and the report will be mailed at that time.

Mr. Harris recommended the MBA assessment remain the same as last year. Each MBA will be charged $100 per association and $.35 for each member. Mr. Parrott made the motion to accept this recommendation and Mr. Daniels seconded. Discussion ensued. Mr. Briggs called for the vote and the motion carried.

Mr. Harris stated there are ten licensed under the unaffiliated license. The question had been presented of what is considered their place of conducting business. Mr. Harris suggested that the Board adopt a policy that restricts where business arrangements can occur. Mr. White made the motion for the staff to research and draft a policy to be presented to the Laws and Rules Committee. Mr. Lea seconded and the motion carried.

Mr. Tyson suggested the Board consider the purchase of a new recorder. Discussion ensued with Mr. Harris also updating the Board on the preneed forms and a folding machine. Mr. Tyson made the motion to purchase new recording equipment for the Board Room. Mr. Daniels seconded and the motion carried.

Mr. Blake asked if one inspector per quarter could be present at a Board meeting to give a report on what they were seeing during inspections/examinations. Mr. Harris will take care of this. Mr. Harris cautioned the Board members not to have any interaction with the inspectors unless it was regarding their funeral home.

Old Business: There was none.

Information items were presented for review.

Mr. Briggs opened the floor for public comment. There was none.

Mr. Daniels made the motion to go into executive session to discuss the character and fitness of an employee or to hear or investigate the complaint of a grievance against an employee. Mr. Lea seconded and the motion carried.

Upon proper motion, the Board returned to open session.

No action was taken by the Board on the personnel matter.

The meeting adjourned at 12:20 p.m.

Jack D. Briggs, President

Jody C. Tyson, Secretary