Wyo. Code R. 010-0005-17
General Agency, Board or Commission Rules
Chapter 17: Handling, Buying, Selling & Storing Grain
Effective Date: 12/29/2006 to 10/17/2007
Rule Type: Superceded Rules & Regulations
Reference Number: 010.0005.17.12292006
Section 1. Authority. Pursuant to the authority vested in the Commissioner of Agriculture by virtue of W.S. 11-11-101 through 11-11-117 (1978 and Cum. Supp. 1983) (Wyoming Grain Buying, Selling and Storing Law) and W.S. 16-3-101 through 16-3115 (1982 and Cum. Supp. 1983) (Wyoming Administrative Procedure Act), the following regulations pertaining to the form of, and issuance of grain warehouse receipts, scale tickets, grain storage facilities and condition of grain are hereby promulgated and adopted.
Section 2. Statement of Purpose. The 1983 Legislature passed some additions to the Wyoming Grain Buying, Selling and Storing Law. The Commissioner may require financial statements and may fix, assess and collect fees for the inspection of facilities. The scale tickets, as well as warehouse receipts, are proof of ownership documents. One hundred twenty (120) days are allowed for establishing ownership and disposition in case of warehouse insolvency or failure. The grain stored and on hand shall be applied first to the redemption and satisfaction of scale tickets and warehouse receipts issued by the warehouse-man.
Material contained in these regulations will assist with the required audits and help to ensure the integrity of the grain storage business.
Section 3. Warehouse Receipts. All warehouse receipts issued in accordance with Section 11-11-108 ('Warehouse Receipts Generally') shall be those obtained from the Commissioner of Agriculture and referred to as follows:
DM-12 - Grain Warehouse Receipts DM-13 - Seed Warehouse Receipts DM-14 - Bean Warehouse Receipts providing that approved pre-numbered scale tickets will be honored in lieu of the approved grain storage warehouse receipts. In order for a scale ticket to be honored as an approved receipt, it must contain the name, address and zip code of the warehouse, the name of the depositor or person to whom the scale ticket is issued, the kind of grain or beans, the grade, gross weight, tare weight, net weight, and must plainly show the amount of cash or merchandise the warehouseman has advanced on the grain represented on the scale ticket and must be signed by the warehouseman or a person authorized to sign for the warehouseman.
Uniform warehouse receipts will be furnished by the Department at cost. Orders for receipts should be submitted at least fifteen (15) days prior to the time they are needed. Information as to number and whether they are to be negotiable or nonnegotiable must be submitted with the order.
Section 4. Grain Storage Facilities. All grain storage facilities shall be subject to inspection by the state warehouse examiner or consumer and compliance Inspector, acting as agents for the Commissioner of Agriculture. The inspections and examinations shall be conducted at least once each year or oftener as the Commissioner deems necessary. The inspection reports are to be filed in the Department of Agriculture office and a copy furnished to the United States Department of Agriculture Commodity Stabilization Service. If the facility is operated under an agreement with that agency.
a. Warehouse must be of sound construction and in good repair.
b. Warehouse must not be subject to undue fire or other hazards, such as floods.
c. Warehouse must have adequate firefighting equipment for fighting flash fires. Products which are inflammable must not be stored in the warehouse.
d. Warehouse must be constructed to prevent free access of rodents, birds, etc.
e. Warehouse must be kept in a sanitary manner and be provided with an adequate insect and rodent control program.
f. Warehouse must be of adequate size for storing the grain received, or proper authorization must be received to move grain to approved warehouses. The practice of storing grain outside on the ground or in unapproved facilities will constitute reasons for rescinding a license.
g. The warehouse must be equipped with the necessary equipment for handling, weighing, caring for and storing of the grain.
h. The portion of the warehouse designated and approved for storing grain shall not be used for other purposes which may cause safety hazards that are not incidental to grain storage and handling. All grain or beans must be stored at all times in the warehouse at the location noted on the scale ticket or warehouse receipt.
i. A copy of the blueprint or a scale drawing of the warehouse giving correct dimensions of bins, rooms, etc., must be available to the examiner.
Section 5. Sanitary Condition of Grain Stored. The warehouseman shall be responsible for keeping all facilities and grain stored by him in a condition which will not violate either the state or Federal Food & Drug Laws.
Section 6. Records.
a. Warehouse receipts. All warehouse receipts, cancelled or outstanding shall be filed in numerical order. Cancelled warehouse receipts shall be retained for five (5) years. Original receipt must accompany all cancelled receipts.
b. Scale tickets. All scale tickets dealing with the movement of grain are to be filed in numerical or alphabetical order and maintained for a period of five (5) years from date of issuance.
c. Daily position sheet. The movement of all grain in and out of the warehouse shall be shown on a daily basis. Total balance of all grain in the warehouse shall be indicated each day. Grains shall be listed separately by type such as: beans, wheat, corn, rye, barley, etc.
d. Ledgers.
(1) Shipping ledger. Ledger shall show movement of grain via truck, railroad car or similar means. Ledger shall show date of movement, name of transportation company, rail car or trailer number and amount of grain (pounds, hundredweight, bushels, etc.) and destination.
(2) Customer ledger and/or settlement sheet. Each sheet shall show customer name and mailing address. Separate sheets shall be maintained for each individual account and grain involved. Settlement sheet shall show each individual transaction, whether in or out, by date, type of grain, volume, and price of grain. Last transaction on settlement sheet shall indicate actual position of account. Zeros to be used to indicate zero balance.
e. Financial statement. A licensed grain warehouseman shall have to have net assets equal to at least twenty cents ($.20) a bushel for the maximum number of bushels the warehouse can accommodate. A licensed dry bean warehouseman shall have to have net assets equal to forty cents ($.40) a hundredweight for the maximum number of hundredweight the warehouse can accommodate. Any net weight deficiency shall be supported by an increase to the original Surety or Cash Bond.
f. Cancellation of bond. Cancellation of the Surety Bond may be accomplished at any time by the Surety by giving written notice to the Commissioner of Agriculture of its intention to cancel this bond and all liability thereunder shall terminate ninety (90) days after the date of the receipt of such notice, except the rights of the Obligees shall not be affected by such notice as to any claims arising hereunder, whether presented or not, before the effective date of such cancellation notice.
Section 7. Capacity Changes. The Department of Agriculture shall be notified of any increase or decrease in the storage capacity of a warehouse. In the case of increased capacity, notification of completion of facility must reach the Department of Agriculture before usage.
a. The amount of bond for grain to be furnished for each warehouse under the regulations in this part shall be fixed at a rate based upon the simple average price per bushel on July 1 of the previous year and March 1 of the current year or the nearest open market day(s) at Kansas City, Missouri, less freight charges. Formula to be established at six percent (6%) of price per bushel times warehouse capacity for upright storage and twelve percent (12%) of price per bushel times warehouse capacity for flat storage to be determined by warehouse examiner.
(Example) Upright Storage
Capacity 100,000 bushels
Kansas City Price/Bu on July 1, 1983 = $2.34 Kansas City Price/Bu on March 1, 1984 = $2.69
Average = $2.52
6% x $2.52 = .15 x 100,000 bushels = $15,000.00 Bond for next year: $15,000.00
Flat Storage
Capacity 25,000 bushels
Kansas City Price/Bu on July 1, 1983 = $2.34 Kansas City Price/Bu on March 1, 1984 = $2.69 Average = $2.52 12% x $2.52 = .30 x 25,000 bushels = $7,500.00 Bond for next year: $7,500.00
Total Bond for next fiscal year: $22,500.00
b. The amount of bond for beans to be furnished for each warehouse under the regulations in this part shall be fixed at a rate based upon the price per hundredweight on January 15, at Denver, Colorado, less freight charges. Formula to be established at six percent (6%) of price per hundredweight times total warehouse capacity to be determined by warehouse examiner.
(Example) Capacity 100,000 hundredweight Denver, Co. price/hundredweight, January 15, 1983 = $50.00 6% x $50.00 = $3.00 x 100,000 hundredweight = $300,000.00 Bond for next year: $300,000 00
c. The principal commodity stored, to be used for computation of bond, shall be determined and agreed upon by warehouseman and warehouse examiner.