Iowa 2023-2024 Regular Session

Iowa Senate Bill SF556

Introduced
3/23/23  
Refer
6/5/23  
Introduced
3/23/23  

Caption

A bill for an act providing for financing of certain agricultural commodity programs, by reducing and eliminating fees imposed on licensed grain dealers and warehouse operators, replacing those moneys with moneys collected from a percentage of state assessments imposed on the sale of corn, increasing moneys deposited into the grain depositors and sellers indemnity fund, increasing indemnification amounts, and making appropriations.(Formerly SSB 1205.)

Impact

This bill will amend several existing regulations governing grain dealers and warehouse operations. Notably, SF556 adjusts how the state assessments on corn are calculated and managed, creating a more direct link between corn sales and funding for agricultural programs. By increasing the ceiling for the indemnity fund to $20 million and adjusting payment limits for claims, the legislation is aimed at enhancing financial security for those involved in the corn market. With these changes, the legislative framework will shift towards ensuring efficient market development and competitive practices in the agricultural sector.

Summary

Senate File 556 (SF556) aims to reform financing for agricultural commodity programs, primarily focusing on corn in Iowa. The bill proposes to eliminate certain fees imposed on licensed grain dealers and warehouse operators, replacing these revenues with funds collected from a percentage of state assessments on corn sales. It further increases funding directed towards the grain depositors and sellers indemnity fund, which provides financial protection for sellers of grain against losses incurred due to a dealer's unfulfilled obligations.

Contention

While the bill has broad support among agricultural stakeholders who argue that it streamlines funding and enhances security for grain sellers, some concerns have been raised regarding the dependency on state assessments. Critics argue that if corn sales do not meet expected levels, the effectiveness of the indemnity fund and market development initiatives may be compromised. Moreover, the shift from fixed fees to variable assessments could create unpredictability for grain dealers as they navigate the new financial landscape introduced by SF556.

Companion Bills

IA SSB1205

Related A bill for an act providing for financing of certain agricultural commodity programs, by reducing and eliminating fees imposed on licensed grain dealers and warehouse operators, replacing those moneys with moneys collected from a percentage of state assessments imposed on the sale of corn and soybeans, increasing moneys deposited into the grain depositors and sellers indemnity fund, increasing indemnification amounts, and making appropriations.(See SF 556.)

Previously Filed As

IA HF508

A bill for an act providing for the marketing of grain by licensed warehouse operators and grain dealers, including by providing for indemnity fees and the indemnification of grain depositors and sellers for losses following the cessation of a license or bankruptcy.(Formerly HSB 131; See HF 999.)

IA HSB131

A bill for an act providing for the marketing of grain by licensed warehouse operators and grain dealers, including by providing for indemnity fees and the indemnification of grain depositors and sellers for losses following the cessation of a license or bankruptcy.(See HF 508, HF 999.)

IA HF999

A bill for an act providing for the marketing of grain by licensed warehouse operators and grain dealers, including by providing for indemnity fees and the indemnification of grain depositors and sellers for losses following the cessation of a license or bankruptcy, and including effective date provisions.(Formerly HF 508, HSB 131.)

IA SSB1131

A bill for an act regulating the marketing of grain, by providing for fees paid by grain dealers and warehouse operators into the grain depositors and sellers indemnity fund, and the payment of claims to reimburse sellers and depositors for losses covered by the fund, and including effective date provisions.(See SF 608.)

IA SF608

A bill for an act regulating the marketing of grain, by providing for fees paid by grain dealers and warehouse operators into the grain depositors and sellers indemnity fund, and the payment of claims to reimburse sellers and depositors for losses covered by the fund, and including effective date and applicability provisions. (Formerly SSB 1131.) Effective date: 05/27/2025, 07/01/2025. Applicability date: 10/24/2022.

IA HF800

A bill for an act relating to the powers and duties of the Iowa sheep and wool promotion board, by changing its name to the Iowa sheep promotion board, eliminating the assessment on wool, changing the assessment rate on sheep, and providing for the collection and expenditure of moneys imposed by the assessment.(Formerly HSB 132.)

IA SB115

Enacting the Kansas bullion depository act to authorize the state treasurer to establish, administer or contract for the administration of bullion depositories and allowing for state moneys to be deposited in such bullion depositories and invested in specie legal tender.

IA SSB1133

A bill for an act relating to the powers and duties of the Iowa sheep and wool promotion board, by changing its name to the Iowa sheep promotion board, eliminating the assessment on wool, changing the assessment rate on sheep, and providing for the collection and expenditure of moneys imposed by the assessment.

IA HSB132

A bill for an act relating to the powers and duties of the Iowa sheep and wool promotion board, by changing its name to the Iowa sheep promotion board, eliminating the assessment on wool, changing the assessment rate on sheep, and providing for the collection and expenditure of moneys imposed by the assessment.(See HF 800.)

IA SB524

Requiring banks to enter into a written agreement with the state treasurer to be a depository of public moneys, increasing the market value of securities necessary to secure the deposit of public moneys, providing procedures for when a depository fails to follow the requirements of the state treasurer, modifying certain definitions, authorizing the state treasurer to assess a fee to operate the public moneys pooled method, creating the public moneys fee fund and providing exceptions to the public moneys pooled method if accounts are subject to conflicting federal law.

Similar Bills

No similar bills found.