27-408. INSTRUMENT IN WRITING. The trust fund so created shall be evidenced by an instrument in writing, and shall contain in addition to the requirements of section 27-407, Idaho Code, the following provisions:
(a) That there shall be designated a trustee under this act, which shall be any federally insured financial institution located within the state of Idaho, duly authorized to transact a trust business, or the board of directors of the cemetery authority. When the trust fund is in the care of such board of directors as a board of trustees, the secretary of the cemetery authority shall act as its secretary and keep a true record of all of its proceedings.
(b) Where the trust is vested in such board of directors as a board of trustees, each of said trustees shall file with the administrator a surety bond in the amount of five thousand dollars ($5,000), conditioned upon his full and faithful performance of his trust obligations.
(c) As compensation, the trustee, whether it be a financial institution acting in such capacity or the board of directors of a cemetery authority acting as the trustee, shall be entitled to compensation in an amount not exceeding twenty-five dollars ($25.00) quarterly, or a sum equal to one and one-half percent (1 1/2%) per annum of the principal of the trust fund, whichever is the greater.
(d) In connection with its investment of the trust fund, the trustee shall be governed by the terms of the uniform prudent investor act, chapter 5, title 68, Idaho Code, as presently enacted or as may be from time to time amended.
(e) The principal of the trust fund shall remain permanently intact and only the income therefrom shall be expended. The income shall be used exclusively for the care of those portions of the cemetery in which lots have been sold with the provision for perpetual or endowed care. It is the intent of this section that the income of said fund shall be used solely for the care of lots or other burial spaces sold to third persons with the provision for perpetual or endowed care, and the care and embellishment of such other portions of the cemetery as may be desirable to preserve the beauty and dignity of the lots sold.
(f) The initial endowment care fund established for any cemetery shall remain in an irrevocable trust fund until such time as this fund has reached the sum of one hundred thousand dollars ($100,000), when it may be withdrawn at the rate of two thousand dollars ($2,000) from the original fifty thousand dollars ($50,000) for each additional six thousand dollars ($6,000) added to the fund, this to continue until the entire original fifty thousand dollars ($50,000) has been withdrawn by the cemetery authority.
History:
[(27-408) 1963, ch. 179, sec. 8, p. 527; I.C., sec. 28-408 (1963 Supp.); am. 1972, ch. 84, sec. 2, p. 168; am. 1973, ch. 199, sec. 2, p. 450; am. 1978, ch. 163, sec. 2, p. 353; am. 1997, ch. 14, sec. 3, p. 17; am. 2004, ch. 298, sec. 1, p. 832.]