(1) The department shall inspect each licensed grain warehouse at least two (2) times
each year. The department’s inspection shall include:

Terms Used In Kentucky Statutes 251.380

  • Department: means the Kentucky Department of Agriculture. See Kentucky Statutes 251.010
  • Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
  • Facility: means a single location with one (1) or more structures used for the storage or handling of grain. See Kentucky Statutes 251.010
  • Grain: means corn, wheat, soybeans, rye, barley, oats, grain sorghums, or popcorn. See Kentucky Statutes 251.010
  • Grain dealer: means any person engaged in the business of buying grain from
    producers for resale, milling, or processing. See Kentucky Statutes 251.010
  • Warehouse: means any building, structure, or other protected enclosure, permanent or temporary, used or useable for the storage or conditioning of grain. See Kentucky Statutes 251.010
  • Year: means calendar year. See Kentucky Statutes 446.010

(a) A determination whether the grain in storage is properly accounted for; (b) An assessment of the storage facilities for fitness; and
(c) An assessment of the condition of the grain in storage.
(2) The department shall permit a licensee to store grain at another facility that is licensed and located in the Commonwealth of Kentucky, if the requirements for a surety bond or other evidence of financial responsibility set forth in KRS § 251.365 are satisfied.
(3) A licensee that is short of grain may cover the shortage by:
(a) Acquiring additional bond on one hundred percent (100%) of the value of the grain; or
(b) Depositing the shortage value of the grain into a special account that is payable jointly to the licensee and the department.
(4) The department may allow a licensee that is short of grain to substitute one (1) type of grain for another type of grain on a dollar-for-dollar basis.
(5) The department shall inspect each licensed grain dealer at least one (1) time each
year. The department’s inspection shall include:
(a) An inspection of the licensee’s scale tickets, settlements, and canceled checks;
and
(b) Verification that payments are made by the dealer within thirty (30) days of the completion of delivery.
(6) A licensee that is short of grain shall correct any deficiencies identified by the department within the deadline mandated by the department.
Effective: August 1, 2019
History: Created 2019 Ky. Acts ch. 88, sec. 12, effective August 1, 2019.