HCS HB 915 & 923 -- GRAIN DEALERS

SPONSOR:  Munzlinger (Hobbs)

COMMITTEE ACTION:  Voted "do pass" by the Committee on
Agri-Business by a vote of 10 to 0.

This substitute increases the amount of the surety bond that the
Department of Agriculture must require of a licensed grain dealer
with one or multiple licenses from between $20,000 and $300,000
to between $50,000 and $600,000.  The formula for determining the
amount of the surety bond is changed from between 1% and 5% to
not less than 1.5% of the aggregate dollar amount paid by the
grain dealer during the previous fiscal year for grain purchased
in Missouri and from states which Missouri has entered into
contracts or agreements.

Any licensed grain dealer who acts outside the scope of his or
her license or classification of licensure as established in the
Missouri Grain Dealer Law or any other related regulation will be
guilty of a class A misdemeanor.

FISCAL NOTE:  No impact on state funds in FY 2010, FY 2011, and
FY 2012.

PROPONENTS:  Supporters say that the bonding requirements
implemented in 1981 are inadequate due to the increased value of
grain.  Increased bonding requirements, while necessary, would
not have alleviated the current grain buyers crisis.

Testifying for the bills were Representative Hobbs; Missouri
Soybean Association; Missouri Agribusiness Association;
Department of Agriculture; Missouri Corn Growers Association; and
Missouri Farm Bureau.

OPPONENTS:  There was no opposition voiced to the committee.

Missouri House of Representatives
95th General Assembly, 1st Regular Session
Last Updated November 17, 2009 at 9:25 am