Bill No.: SF0018                  Drafter:  MRW

 

LSO No.:  05LSO-0122              Effective Date: 3/15/2005

 

Enrolled Act No.:  SEA0107

 

Chapter No.:       232

 

Prime Sponsor:       Joint Agriculture, Public Lands and Water Resources Interim Committee

 

Catch Title:         Grain laws.

 

Subject:   Amending the grain laws related to buying, selling and storing grain.

 

Summary/Major Elements:

 

·         Provides for cease and desist orders for warehouseman found violating any statute or rule relating to warehousing.  Provides procedures for issuing notices of intent to issue an order and temporary cease and desist orders similar to that used for financial institutions under Title 13.  Further provides for a hearing on proposed orders and provides that the attorney general may apply to the district court to enforce an order issued by the department of agriculture.

 

·         Clarifies that the grain laws apply to commercial grain handling and moves the duties of overseeing warehousemen from the director to the department of agriculture.

 

·         Requires warehousemen to exercise due care at all times, including times when the warehouseman's license is suspended and sets license fees at $125.00.

 

·         Provides for an audit of warehousemen's books prior to release of any bond and requires posting of notice by the department when a warehouseman suspends business.

 

·         Provides for an inspection of a warehouse when the warehouseman is delinquent in renewing his license and increases the penalties for violating grain laws.

 

·         Requires documentation of the location of a stored commodity and proof of bonding if the commodity is stored in a different facility.

 

·        Requires warehousemen to comply with the terms of their insurance policies.