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May 2013

Dear Members,

NOTICE OF PFDA ANNUAL MEETING We invite you to attend the PFDA's 2013 Annual Meeting and House of Delegates Meeting, which will be held during the annual convention on Tuesday, June 11, 2013, beginning at 9:00 a.m. in the Winners Circle Room at the Holiday Inn Harrisburg/Hershey, Grantville, PA. The meeting is for PFDA members.

At the meeting members will vote upon the following matters: elections of officers for 2013-2014; election of a candidate nominated by their Local Association for position of District Governor. Your Board of Governors recommends a vote for the election of the nominees for officers and district governor.

We will also report at the annual meeting on the activities and financial status of PFDA. If you have any questions, please call the association office at 1-800-692-6068.

(1) Election of the following slate of officers for 2013-2014:

For the Position of President: F. Glenn Fleming, Koch Funeral Home (State College)
For the Position of President-Elect: Paul J. Urban, Savolskis-Wasik-Glenn Funeral Home (Munhall)
For the Position of Secretary/Treasurer: Norman Shropshire, Minshall-Shropshire-Bleyler Funeral Home Ltd. (Media)

(2) Election of a candidate nominated by their Local Association for position of District Governor:
District 1: Patricia S. Cool, White-Cool Funeral Home (Conneautville)

Update on Heffner, et al.v. Murphy, et al. Lawsuit The U. S. Third Circuit Court of Appeals will hear oral arguments June 11 in the State Board's appeal of a district court decision that declared 11 of 12 provisions of the Pennsylvania Funeral Director Law unconstitutional.

Each side will be allowed 15 minutes of oral arguments before the three-judge panel comprising Chief Judge Theodore A. McKee, Circuit Judge Thomas L. Ambro and Senior Judge Morton I. Greenberg.

PA Death Certificate Items 23a-6 and 39 We requested clarification from the Division of Vital Records regarding the contents of an Important Notice 2012-04 sent to Local Registrars in December. The following are the responses we received related to proper completion of Items 23a-23d and 39 on the Death Certificate form:

 If the physician is strictly certifying the death, he/she only needs to complete all of Items 24 and 39 and the respective medical information in the medical section.

 If the physician is pronouncing only, he completes Items 23a-23d and the respective medical information.

 If the physician is doing both pronouncing and certifying, he/she completes Items 231-23d, 24 and all of 39 plus the respective medical information. However, if the license number is not provided or signed, it would be ok because we capture it in Item 39.

 If the pronouncement section is started, then whoever starts that section should complete it. This may not be the same physician as the certifying physician or it may even be an RN.

Source: Debra Romberger, Director of Vital Records, PA Department of Health

Revised Death Certificate Registration Manual For your ready reference, the revised version (as of March 13, 2013) of the 2012 Death Certificate Registration Manual is available to read online or download on the PFDA website at http://www.pfda.org/death-certificate-registration/.

NEW -- UPDATED PFDA Family Service Evaluation Program PFDA has made extensive improvements to the Family Service Evaluation program. The questions on the redesigned Funeral Service Survey were updated to provide our members with more comprehensive feedback from the families they serve that will give them valuable insight into how they can improve the way they engage with families and how they compare with others. The surveys will be sent to families who have recently used the services of participating funeral firms so that they can give the funeral homes their honest feedback ---let them know what they did right and how they might be able to improve.

Participants in the program can send survey requests for their customers to PFDA via fax or online. Families have the option of filling out a mailed survey or completing it online. PFDA will provide funeral homes with a monthly report that compiles the service survey results. There is a one-time enrollment fee of $75 per funeral home. There are three monthly report option plans available for funeral homes to purchase. For more information or to enroll in the program, please contact Sam Zema at szema@pfda.org call 1-800-692-6068.

Member Survey Now Available -Register to Win an Apple iPad and Give Feedback to PFDA A survey to gather PFDA member information and feedback is now available online. The comprehensive member survey includes questions related to staff compensation, pre-need, call volume trends, Pennsylvania funeral law, service pricing and policies. It also includes questions about how PFDA can improve services to our members.


Let us hear from you! Your feedback is vital to helping PFDA understand the business challenges you face and determine how the Association can provide resources to you. Every funeral home that participates will be provided with a copy of the complete survey results that will help you gain insight into how your funeral home compares with others. Members who complete the survey by Friday, July 19th and provide their contact information will be entered to win an Apple iPad. Limit one survey entry per funeral home.

To participate in the survey go to the PFDA website (www.pfda.org) and login to the Members Resources section. You'll see a link to the survey on the Member Resources page. For more information or for details on how to members can submit written surveys, contact Sam Zema at szema@pfda.org or call 800-692-6068.

PFDA Member Arrested for Forgery The Attorney General's office has charged Stephen Oravitz, a Schuylkill County funeral director following allegations that he forged a life insurance change of ownership/beneficiary form by appointing his business as the owner and beneficiary of the policy. He is the owner of Oravitz Home for Funerals in Shenandoah, which is also charged.

According to the criminal complaint, the owner of the policy had dealt with the funeral home regarding her late husband's arrangements and allegedly provided Oravitz with a copy of the cover page of her own $10,000 life insurance policy for informational purposes while prearranging her own services. The charges state that the woman also provided Oravitz with the name and telephone number of the beneficiary of the policy to assure that funds existed to provide for her future burial.

Stephen Oravitz and the funeral home are both charged with two counts of forgery, one count of criminal attempt insurance fraud, and one count of criminal attempt theft by deception. Following a preliminary arraignment, Oravitz was released on $10,000 unsecured bail. The case will be prosecuted in Schuylkill County by the Attorney General's Insurance Fraud Section.

OSHA Funeral Home Inspections An OSHA statistics report shows that from January 1 through April 13, 2013, twenty-two safety and health inspections were conducted by state and federal OSHA inspectors with most of the inspections involving funeral homes. Seven of these inspections have resulted in the issuance of citations and penalties. Twelve of these inspections were planned, which means that inspectors specifically targeted the funeral home. The other inspections were the result of: complaints, usually filed by an employee; follow-up inspections to ensure that previous issues that resulted in citations have been corrected; referral inspections from another governmental agency; and an accident inspection.

This is a large number of funeral home inspections in a relatively short period of time. Clearly funeral service continues to be under scrutiny by federal and state OSHA authorities.

This is the event your COMPETITOR does NOT want you to attend!!!


Top speakers providing detailes stategies to target, reach & influence today's consumer to help you max revenues.

PFDA Convention & Expo

June 9 - 12, 2013

Holiday Inn Harrisburg/Hershey - Grantville, PA

"There's a way to do better ...Find it."
Thomas Edison

Download registration forms and convention schedule!
Go to http://www.pfda.org/pfda-convention_expo/index.php or Call 1-800-692-6068 to obtain Registration Brochure


SPECIAL THANKS TO OUR 2013 CONVENTION SPONSORS

Aurora Casket Company
Batesville Casket Company
Doric Products
Federated Insurance
Funeral Directors Life Insurance Company
Haven Line Industries
Matthews International
NSS Life Pre-Need
PNC
The Complete Financial Group, LLC
Wilbert Funeral Services


Join Us for a Day of Fun at the 10th Annual Benefit Golf Tournament The 10th annual benefit Golf Tournament will take place Monday, June 10, with a shot-gun start at 12:15 p.m. at the Manada Golf Course, which is located near the Holiday Inn Harrisburg/Hershey in Grantville. Anyone can play-—fun for the "hacker" or the pro! Complete and return the enclosed Golfer Registration form today.

Federated Funeral Directors of America: 2012 Statistical Averages of its Funeral Director Clients The figures for 2012 are based on an analysis of more than 200,000 services conducted by nearly 1,400 firms. They are located in 43 states and range in size from small rural firms to large urban operations conducting over 1,000 services annually.

Two key profitability indicators were at historic lows in 2012. The average selling price of a Regular Adult Funeral was just 1.2% higher (matching 1963 for the smallest annual increase in 70+ years of record keeping). Regular Adult funeral excludes welfare, partial, and similar services.

On the plus side, the average operation cost rose by only 0.9%, the first time Federated clients' operation ever increased by less than 1%. These factors resulted in a 6.1% profit (as a percent of sales), up slightly from 5.9% in 2011 and 5.5% two years ago.



2012 ADULT FUNERAL SELECTION AND TRENDS IN THE LAST TWENTY YEARS

Average Sale "Regular Adult Funeral" (Services & Casket)

1992 $3,663.49
2002 $5,211.21
2012 $6,631.94*

Average Operation Cost per Adult Funeral

1992 $2,717.20
2002 $3,957.61
2012 $5,141.68

Percentage of Operations Cost to Selling Price

1992 74.17%
2002 75.94%
2012 77.53%

Average Casket Cost

1992 $627.70
2002 $856.20
2012 $1,084.57

Percentage of Casket Cost to Selling Price

1992 17.13%
2002 16.43%
2012 16.35%

Average Profit Before Income Taxes

1992 $318.59
2002 $397.40
2012 $405.69

Percentage of Profit to Average Sale

1992 8.70%
2002 7.63%
2012 6.12%

*$9,001.86 Average Gross Sale to Family Adult Funeral LESS $1,63.99 Average of Cash Advanced Items for the Convenience of Client LESS $1,305.93 Average Sale of Vault, Clothing, and Additional Service Requirements LEAVES $6631.94.
Source: Federated Funeral Directors of America


In Remembrance

John Jacob Look, age 82, died on April 30, 2013. He had been a funeral director since 1978 with
the Young Funeral Home In Butler. John also had served as First Deputy Coroner of Butler County for many years.

Complete obituary is available on the PFDA website at www.pfda.org

PFDA Office Closing The association office will be closed on Monday, May 27, in observance of the Memorial Day holiday.

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