Nebraska
State Statutes (as of
4/18/07)
Grain Warehouse Act
Contact: Nebraska Public Service Commission
Grain
Warehouses Department
(402)
471-0235
____________________________________________________________________
Section 88-525
Act, how cited.
Sections
88-525 to 88-552 shall be known and may be cited as the Grain Warehouse Act.
Source:
Laws 1987, LB 164, ? 1
Laws 1996, LB 1123, ? 4
Laws 2003, LB 735, ? 7
Laws 2005, LB 492, ? 2
~Revised Statutes Cumulative
Supplement, 2006
Section 88-526
Terms, defined.
As used in
the Grain Warehouse Act, unless the context otherwise requires:
(1)
Commission means the Public Service Commission;
(2) Direct
delivery grain means all grain that is bought, sold, or transported in the name
of a warehouse licensee, other than grain that is received at the licensed
warehouse facilities;
(3) Direct
delivery obligation means the obligation of a warehouse licensee or grain
dealer to transfer title to warehouse-owned grain to a producer by an in-store
transfer upon the delivery of direct delivery grain. A direct delivery obligation is treated as a grain dealer obligation
until such time as it is satisfied by an in-store transfer;
(4) Grain
means wheat, corn, oats, soybeans, barley, rye, flax, or sorghum which has not
been processed or packaged for the purpose of distribution as seed, including,
but not limited to, edible beans, whole corn plant pellets, alfalfa pellets,
millet, sunflower seed, safflower seed, and any other bulk pelleted
agricultural storable commodity;
(5) Grain
dealer has the same meaning as in section 75-902;
(6) Grain
in storage means any grain which has been received at any warehouse and to
which title has not been transferred to the warehouseman by signed contract or
priced scale ticket;
(7)
In-store transfer means a method by which a warehouse licensee transfers title
to warehouse-owned grain to any person in satisfaction of a direct delivery
obligation between the warehouse licensee or grain dealer and the producer, and
the grain remains in the warehouse;
(8)
Post-direct delivery storage position means a storage position acquired through
an in-store transfer in satisfaction of a direct delivery obligation;
(9)
Warehouse means any grain elevator, mill, grist mill, building, or receptacle
in which grain is held in storage for more than ten consecutive days;
(10)
Warehouse licensee means any warehouseman who is licensed pursuant to the Grain
Warehouse Act; and
(11)
Warehouseman means any person, partnership, limited liability company,
corporation, or association who (a) receives grain for storage or stores or
offers to store grain for legal consideration for another person, partnership,
limited liability company, corporation, or association in a warehouse where
delivered or (b) receives grain for shipment to other points for storage,
consignment, or resale either in or out of this state.
Source:
Laws 1987, LB 164, ? 2
Laws 1993, LB 121, ? 563
Laws 2003, LB 735, ? 8
Laws 2005, LB 439, ? 4
~Revised Statutes Cumulative
Supplement, 2006
Section 88-527
Warehouses; warehouseman; license required; inspection; commission; powers
and duties; fees; agreements with bordering states.
(1) No
person shall operate a warehouse nor act as a warehouseman without a license
issued pursuant to the Grain Warehouse Act. Warehouses, except warehouses which
are licensed under the United States Warehouse Act, shall be licensed and
regulated by the commission. If the applicant is an individual, the application
shall include the applicant's social security number. Such warehouses shall be
inspected by the commission at least once every twelve months.
(2) If the
commission determines that additional examinations are necessary after a
regular examination is completed at a warehouse, the commission may charge such
warehouse for the cost of the additional examinations according to the
commission's fee schedule. Warehouses shall only be charged if such
examinations are for reasons of irregularities from the previous examination or
if financial conditions warrant additional examinations.
(3) The
commission may make available to the United States Government or any of its
agencies, including the Commodity Credit Corporation, the results of
inspections made and inspection reports submitted by employees of the
commission upon payment of such fees as may be determined by the commission.
The fees shall cover the actual cost of the services rendered in regard to
providing the information.
(4) The
commission may charge for inspections conducted at the request of a warehouse
licensee.
(5) The
commission may assess a surveillance fee against the assets of a warehouse
licensee for actual expenses incurred by the commission in suspending a license
or terminating the operations of a warehouse licensee. The commission may enter
into contracts for such purpose and shall keep a record of all surveillance
fees collected. All surveillance fees collected by the commission shall be
remitted to the State Treasurer for credit to the Nebraska Grain Warehouse
Surveillance Cash Fund.
(6) The
commission may enter into agreements and contracts with regulators in states
which border Nebraska for the purpose of licensing or examining any public
grain warehouseman which operates facilities in such states. The commission
shall assume all jurisdiction over any warehouseman
headquartered in Nebraska regarding his or her warehouse activity. A
warehouseman headquartered and licensed in another state which acquires
facilities in Nebraska is under the jurisdiction of the headquarter state under
the terms of such agreement or contract.
Source:
Laws 1987, LB 164, ? 3
Laws 1988, LB 872, ? 1
Laws 1996, LB 1123, ? 5
Laws 1997, LB 752, ? 232
Laws 1999, LB 172, ? 1
Laws 2003, LB 735, ? 9
Laws 2005, LB 492, ? 5
~Revised Statutes Cumulative
Supplement, 2006
Section 88-528
License; application; criminal background
check; financial statement.
Each
applicant for a license and each warehouse licensee shall annually file an
application with the commission and shall submit to a criminal background check
as set forth in section 88-528.01. The application shall be in the form
prescribed by the commission to do business under the Grain Warehouse Act and
shall include an audited or reviewed fiscal year-end financial statement prepared
in accordance with accounting principles generally accepted by a person or firm
which holds a permit granted by the Nebraska State Board of Public Accountancy.
If the applicant files a reviewed fiscal year-end financial statement, the
applicant shall also provide additional security pursuant to section 88-530 in
such amount as the commission requires. If licensing as an individual, the
financial statement shall be prepared in accordance with Other Comprehensive
Basis of Accountancy, as filed with the board, for a personal financial
statement, using historical cost and accrual basis of accounting. The financial
statement shall include: (1) A balance sheet; (2) a statement of income showing
profit or loss; (3) a statement of retained earnings; (4) a statement of
changes in the financial position; and (5) the accountant's certifications,
assurances, opinions, comments, and notes with regard to such financial
statement. An applicant may also submit a valuation of assets by competent
appraisal acceptable to the commission for inclusion in computing net worth for
the purpose of meeting any net worth requirements imposed by the act or rules
and regulations of the commission. If a valuation of assets is submitted, no
more than seventy percent of appraised value shall be used in determining
compliance with net worth requirements. Such application shall set forth the
location of the warehouse to be used by the applicant, its relation to railroad
trackage, its capacity, its general plan and
equipment, and its ownership.
If an
applicant for a license is a wholly owned subsidiary of a parent company and
such a financial statement is not prepared for the subsidiary, the parent
company shall submit its audited or reviewed fiscal
year-end financial statement and shall execute an unconditional guarantee
agreement as prescribed by the commission. A parent company may also submit a
valuation of assets on behalf of an applicant that is a wholly owned subsidiary
of the parent company.
Source:
Laws 1987, LB 164, ? 4
Laws 2003, LB 735, ? 10
Laws 2005, LB 52, ? 4
Laws 2005, LB 439, ? 5
Cross References:
Public accountant permit,see section 1-136.
~Revised Statutes Cumulative
Supplement, 2006
Section 88-528.01
Criminal history record information check; fingerprinting; when.
For each
application filed under section 88-528 after January 1, 2004, one of the
following primary parties shall be subject to fingerprinting and a check of his
or her criminal history record information maintained by the Federal Bureau of
Investigation through the Nebraska State Patrol: (1) If the applicant is not an
individual, the chief executive officer, president, or general manager; or (2)
if the applicant is an individual, the individual. If the primary party has
been subject to a check of his or her criminal history record information
pursuant to this section on a prior application, he or she is not subject to
another such check upon a subsequent application. If a primary party has been
subject to a check of his or her criminal history record information pursuant
to another law, the commission may waive such requirement under this section. A
primary party shall furnish to the Nebraska State Patrol a full set of
fingerprints to enable a criminal background investigation to be conducted. The
primary party shall request that the Nebraska State Patrol submit the
fingerprints to the Federal Bureau of Investigation for a national criminal
history record check. The primary party shall pay the actual cost, if any, of
the fingerprinting and check of his or her criminal history record information.
The primary party shall authorize release of the national criminal history
record check to the commission. The criminal history record information check
shall be completed within ninety days after the date the application for a
license is received in the commission's office, and if not, the application
shall be returned to the applicant. The commission shall deny a warehouse
license to any applicant whose primary party has been convicted of a felony
financial crime.
Source:
Laws 2003, LB 735, ? 11
Laws 2005, LB 52, ? 5
~Revised Statutes Cumulative
Supplement, 2006
Section 88-529
License fees.
The
commission shall charge an annual license fee for each warehouse to be
operated, except as provided in section 88-531. The fee for any license issued
for less than twelve months shall be prorated based on its duration. The annual
license fee shall be as provided in this section.
|
Capacity in Bushels |
Fee |
||
|
0 |
— |
10,000 |
$ 45 |
|
10,001 |
— |
25,000 |
57 |
|
25,001 |
— |
50,000 |
68 |
|
50,001 |
— |
75,000 |
78 |
|
75,001 |
— |
100,000 |
90 |
|
100,001 |
— |
150,000 |
102 |
|
150,001 |
— |
200,000 |
113 |
|
200,001 |
— |
250,000 |
125 |
|
250,001 |
— |
300,000 |
135 |
|
300,001 |
— |
350,000 |
147 |
|
350,001 |
— |
400,000 |
156 |
|
400,001 |
— |
450,000 |
170 |
|
450,001 |
— |
500,000 |
180 |
|
500,001 |
— |
600,000 |
192 |
|
600,001 |
— |
700,000 |
203 |
|
700,001 |
— |
800,000 |
215 |
|
800,001 |
— |
900,000 |
225 |
|
900,001 |
— |
1,000,000 |
237 |
|
1,000,001 |
— |
2,000,000 |
338 |
|
2,000,001 |
— |
3,000,000 |
395 |
|
3,000,001 |
— |
4,000,000 |
450 |
|
4,000,001 |
— |
5,000,000 |
507 |
|
5,000,001 |
— |
6,000,000 |
563 |
|
6,000,001 |
— |
7,000,000 |
620 |
|
7,000,001 |
— |
8,000,000 |
675 |
|
8,000,001 |
— |
9,000,000 |
732 |
|
9,000,001 |
— |
10,000,000 |
788 |
|
10,000,001 |
— |
11,000,000 |
845 |
|
11,000,001 |
— |
15,000,000 |
1,070 |
|
15,000,001 |
— |
20,000,000 |
1,350 |
|
20,000,001 |
— |
25,000,000 |
1,632 |
|
25,000,001 |
— |
30,000,000 |
1,913 |
|
30,000,001 |
— |
40,000,000 |
2,475 |
|
40,000,001 |
or more |
3,375 |
Source:
Laws 1987, LB 164, ? 5
Laws 2003, LB 187, ? 33
~Revised Statutes Cumulative
Supplement, 2006
Section 88-530
Financial requirements; security;
requirements; liability of surety.
Each
applicant shall show sufficient net worth or stockholders' equity to conform with the financial requirements which the commission shall
establish by the adoption and promulgation of rules and regulations. Applicants
shall file with the commission security in the form of a bond, a certificate of
deposit, an irrevocable letter of credit, United States bonds or treasury
notes, or other public debt obligations of the United States which are
unconditionally guaranteed as to both principal and interest by the United
States in such sum as the commission may require and in the form and of the
kind prescribed by the commission. The security shall be in an amount set by
the commission pursuant to rules and regulations, but shall not be less than
twenty-five thousand dollars. The security shall run to the State of Nebraska
for the benefit of each person who stores grain in such warehouse and of each
person who holds a check for purchase of grain stored in such warehouse which
was issued by the warehouse licensee not more than five business days prior to
the cutoff date of operation of the warehouse, which shall be the date the
commission officially closes the warehouse. The security shall be conditioned
upon (1) the warehouse licensee carrying combustion, fire, lightning, and
tornado insurance sufficient to cover loss upon all stored grain in such
warehouse, (2) the delivery of the grain upon surrender of the warehouse
receipt, and (3) the faithful performance by the warehouse licensee of all
provisions of law relating to the storage of grain by such warehouse licensee
and rules and regulations adopted and promulgated by the commission. The commission
may require increases in the amount of the security from time to time as it may
deem necessary for the protection of the storers. For
an applicant who has filed a reviewed fiscal year-end financial statement
pursuant to section 88-528, the commission shall require additional security in
an amount set by the commission pursuant to rules and regulations, which shall
not be less than twenty-five thousand dollars and not more than five hundred
thousand dollars. The surety on a bond shall be a surety company licensed by
the Department of Insurance. An irrevocable letter of credit or certificate of
deposit shall be issued by a federally insured depository institution.
The
security shall particularly describe the warehouse intended to be covered by
the security. The liability of the surety on a bond shall not accumulate for
each successive license period which the bond covers. The liability of the
surety shall be limited to the amount stated on the bond or on an appropriate
rider or endorsement to the bond.
Source:
Laws 1987, LB 164, ? 6
Laws 1989, LB 78, ? 29
Laws 2003, LB 735, ? 12
~Revised Statutes Cumulative
Supplement, 2006
Section 88-530.01
Commission; additional financial documents required; when.
In
addition to the reviewed fiscal year-end financial statement required by
section 88-528 and to detect noncompliance with financial requirements
established by the commission pursuant to section 88-530, the commission shall,
for good cause shown as determined by criteria set forth in commission rules
and regulations, require (1) a verified report of the total grain inventory or
(2) an audited financial statement. A verified report of grain inventory or
audited financial statement shall be prepared in accordance with accounting
principles generally accepted by a person or firm which holds a permit granted
by the Nebraska State Board of Public Accountancy.
Source:
Laws 2003, LB 735, ? 13
Laws 2005, LB 52, ? 6
~Revised Statutes Cumulative
Supplement, 2006
Section 88-531
License; multiple warehouses; license fee; how computed.
Only one
license may be required for the operation of all warehouses operated by one
warehouse licensee if:
(1) Only
one set of books is kept for the warehouses;
(2) Cost
slips, scale tickets, warehouse receipts, and checks are issued in one series
for grain received or stored in such warehouses; and
(3) The
warehouses are operated in conjunction with each other.
If the
commission finds that enforcement of the Grain Warehouse Act or the interests
of the storers requires that warehouses operated by
the same licensee at separate locations be licensed separately, it may require
separate licenses for such facilities pursuant to rules and regulations adopted
and promulgated by the commission.
The
license fee and security required of such warehouse licensee shall be computed
on the basis of the separate capacities of each warehouse.
Source:
Laws 1987, LB 164, ? 7
Laws 1989, LB 78, ? 30
~Reissue Revised Statutes of Nebraska
Section 88-532
License; issuance; expiration; renewal; posting requirements.
Upon
payment of the license fee and approval by the commission of the application
and the bond, certificate of deposit, irrevocable letter of credit, or other
security described in section 88-530, the license shall be issued. A new or
renewed license shall expire twelve calendar months after the effective date of
the issuance or renewal of such license. A license may be kept in continuous force
and effect if the warehouse licensee files a proper application for renewal and
security which the commission can approve prior to the date of termination.
Notice of
the security in the form prescribed by the commission shall be posted in a
conspicuous place in each warehouse showing the amount of security on the
stored grain. Each warehouse licensee shall also post in a conspicuous place in
each warehouse office the storage fees and receiving and load-out fees charged
for each type of grain stored.
Source:
Laws 1987, LB 164, ? 8
Laws 1989, LB 78, ? 31
~Reissue Revised Statutes of
Nebraska
Section 88-533
Increase in storage capacity; requirements; fees.
No
warehouse licensee shall increase storage capacity without first obtaining the
approval of the commission and effecting such revisions in its security as may
be required by the commission. Additional fees may be imposed for increases in
storage capacity or for any other changes in the license in such reasonable
amounts as may be prescribed by the commission.
Source:
Laws 1987, LB 164, ? 9
~Reissue Revised Statutes of
Nebraska
Section 88-534
Payment for grain; when.
Payment
to the seller for grain purchased by a warehouse licensee shall be made upon
demand by the seller except as otherwise provided by written or oral contract
between the parties.
Source:
Laws 1987, LB 164, ? 10
~Reissue Revised Statutes of Nebraska
Section 88-535
Scale ticket; issuance; prima facie evidence.
Each
warehouse licensee shall, at the time of the delivery of grain to or the
shipment of grain from a warehouse, issue a lawful scale ticket to the owner or
consignee of such grain, except when the delivery or shipment is by rail or
water. The scale tickets shall contain all information prescribed by the
commission. A scale ticket issued by a warehouse licensee shall be prima facie
evidence of the holder's claim of title to the goods described in such ticket.
Source:
Laws 1987, LB 164, ? 11
~Reissue Revised Statutes of
Nebraska
Section 88-536
Receipts; issuance; requirements; commission; powers and duties; registration.
(1) Within
fifteen days after demand by the owner or deliverer of any grain to a warehouse
for storage, the warehouse licensee shall issue a lawful negotiable or
nonnegotiable receipt to such owner or deliverer of such grain. The receipt
shall state the date of delivery, the name of the owner, and the grade, gross
weight, dockage, and net weight of the grain represented in the receipt.
(2)(a) The
commission shall prepare forms for such receipts and may adopt procedures for
the electronic issuance of such receipts. All warehouse licensees shall either
use forms prepared by the commission for such receipts or follow procedures
adopted by the commission for electronic issuance of such receipts. Warehouse
licensees that use forms prepared by the commission shall register such
receipts with the commission.
(b) The
commission shall fix charges to be assessed and collected for such warehouse
receipt forms not to exceed the cost of printing, delivering, and handling.
Payment of such charges shall be made in advance of delivery of such receipt
forms and shall entitle each such receipt to registration without any further
charge or fee. The commission may make refunds of such charges for such unused
receipt forms as may be returned to the commission.
(c) All
procedures for electronic filing of receipts adopted by the commission shall
comply with section 86-611. The commission may adopt authentication procedures
to verify receipts issued electronically. Compliance with the authentication
procedures adopted by the commission shall have the same validity as a
signature on any receipt.
(3) Any
warehouse licensee may issue a receipt to himself or herself as the owner of
grain stored in his or her own warehouse, which receipt shall be registered
with the commission. Upon receiving any such grain warehouse receipt for
registration and being satisfied that the provisions of the Grain Warehouse Act
and any rules and regulations adopted and promulgated pursuant to the act have
been complied with, the commission shall cause such receipt to be registered.
Source:
Laws 1987, LB 164, ? 12
Laws 2003, LB 735, ? 14
~Revised Statutes Cumulative
Supplement, 2006
Section 88-537
Duplicate receipt; issuance; requirements; liability.
When a
negotiable warehouse receipt has been lost or destroyed, the commission may
approve the delivery of the grain or the issuance of a duplicate receipt upon
satisfactory proof of such loss or destruction if the party who requests it
furnishes a bond with corporate or personal surety, to be approved by the
commission, conditioned to indemnify the warehouse licensee or any holder or
other person entitled to the grain against all loss, liability, or expense
which may be sustained by reason of such delivery. The delivery of the grain or
the issuance of a duplicate receipt pursuant to the approval of the commission
shall not relieve the warehouse licensee from liability to a person to whom the
negotiable receipt has been or will be negotiated for value without notice of
the proceedings before the commission or of the delivery of the grain or the
issuance of the duplicate receipt pursuant to such proceedings.
Source:
Laws 1987, LB 164, ? 13
~Reissue Revised Statutes of
Nebraska
Section 88-538
Duplicate receipt; issuance; effect.
A
duplicate receipt shall not be issued by any warehouse licensee without prior
approval by the commission. A receipt so issued, upon the face of which the
word duplicate is plainly placed, shall be a representation and warranty by the
warehouse licensee that such receipt is an accurate copy of an original receipt
properly issued and uncanceled at the date of the
issuance of the duplicate.
Source:
Laws 1987, LB 164, ? 14
~Reissue Revised Statutes of
Nebraska
Section 88-539
Supervisor of warehouses; appointment; powers and duties.
For the
proper enforcement of the Grain Warehouse Act, the commission shall designate
and appoint a person experienced in the handling of grain as supervisor of
warehouses. The supervisor may perform all duties required of the commission
pursuant to the Grain Warehouse Act subject to the approval of the commission.
Source:
Laws 1987, LB 164, ? 15
~Reissue Revised Statutes of
Nebraska
Section 88-540
Delivery of grain; damages; surrender receipt.
Upon
demand, presentation of receipts, and payment of lawful charges, the grain
represented by such receipts or any part of such grain shall be immediately
delivered to the owner or his or her order, and the part delivered shall not be
subject to any further charge for storage after such demand for delivery has
been made and facilities for receiving and shipping the grain have been
provided. If demand is made for only a part of the grain represented by any
receipt, the amount delivered shall be entered in a proper blank upon the face
of such receipt and delivery of such grain acknowledged on the receipt by the
person holding such receipt. For any grain not delivered within twenty-four
hours after such demand, the warehouse licensee shall be liable, upon his, her,
or its security, to the owner in damages not exceeding one cent per bushel for
each day's delay unless he, she, or it delivers to different owners in the
order demanded as rapidly as can be done by ordinary diligence. If terminal
delivery of grain is demanded, the warehouse licensee shall issue and deliver
to the owner or his or her order a surrender receipt, which shall conform to
the receipt issued for the grain under section 88-536, making such grain
deliverable in its net amount at any terminal market or transit point
designated by the owner of such receipt. Such grain shall be subject to the
usual freight, weighing, and switching charges when it arrives at the terminal
so designated, and the freight shall be computed on the basis of the gross
weight of the grain represented by such surrender receipt. The owner of the
receipt may, at his, her, or its option, order the car in which the grain
covered by the surrender receipt is to be transported, in which case the grain
shall be delivered when the car so ordered is placed at the warehouse.
Source:
Laws 1987, LB 164, ? 16
~Reissue Revised Statutes of
Nebraska
Section 88-541
Storage rates.
Not less
than once each year, the commission shall by order fix reasonable storage
rates, and no warehouse licensee shall charge a lesser or greater rate, except
upon application to and a hearing before the commission. If, after a hearing,
the commission finds that a lesser or greater rate should be ordered, it shall
enter a supplemental order fixing a different rate for such applicant. Such
charges shall be full compensation for the receiving, handling, storing,
delivering, and insuring of grain. No discrimination shall be made between
different customers by any state-licensed grain warehouse either in facilities,
charges, or handling of any grain, except that members of a cooperative may be
given preference in storage facilities in warehouses of the cooperative. The
rates charged to any governmental agency shall be exempt from commission
regulation.
Source:
Laws 1987, LB 164, ? 17
~Reissue Revised Statutes of
Nebraska
Section 88-542
Inspections authorized.
The
property, books, records, accounts, papers, and proceedings of every warehouse
shall, at all times during business hours, be subject to inspection by the
commission.
Source:
Laws 1987, LB 164, ? 18
~Reissue Revised Statutes of
Nebraska
Section 88-543
Prohibited acts; penalty.
(1) No
warehouse licensee or partner, limited liability company member, officer, or
agent thereof shall:
(a) Issue
a receipt for grain not actually received. If at any time there is less grain
in a warehouse than outstanding receipts issued for grain, there shall be a
presumption that the warehouse licensee or partner, limited liability company
member, officer, or agent thereof has wrongfully removed grain, has wrongfully
caused grain to be removed, or has issued receipts for grain not actually
received, and has violated this section;
(b) Create
a post-direct delivery storage position without issuing proper documentation
consistent with rules and regulations adopted and promulgated by the
commission;
(c) Create
a post-direct delivery storage position at any time the warehouse licensee does
not have sufficient warehouse-owned grain or grain in open storage to cover the
storage position created for the benefit of the producer; or
(d) Record
grain as being received or loaded out that has not been physically deposited in
or physically removed from the warehouse.
(2) Any
warehouse licensee or partner, limited liability company member, officer, or
agent thereof who knowingly and willingly violates this section shall be guilty
of a Class IV felony.
Source:
Laws 1987, LB 164, ? 19
Laws 1989, LB 78, ? 32
Laws 1993, LB 121, ? 564
Laws 1994, LB 884, ? 94
Laws 2005, LB 439, ? 6
~Revised Statutes Cumulative
Supplement, 2006
Section 88-543.01
Civil penalty.
The
commission may assess a civil penalty, pursuant to section 75-156, against any
person who violates the Grain Warehouse Act.
Source:
Laws 2003, LB 735, ? 15
~Revised Statutes Cumulative
Supplement, 2006
Section 88-544
Storage; termination.
At the
election of the warehouse licensee and under rules and regulations adopted and
promulgated by the commission, storage in a warehouse operated by such licensee
may be terminated on application to the commission and upon good cause shown
according to the rules and regulations of the commission. Subject to such rules
and regulations as the commission may adopt and promulgate, any storage
contract on any or all such grain may be terminated by the owner at any time by
the payment or tender of all legal charges and the surrender of the warehouse
receipt, together with a demand for delivery of such grain or notice to sell
the same.
Source:
Laws 1987, LB 164, ? 20
Laws 1992, LB 366, ? 63
~Reissue Revised Statutes of
Nebraska
Section 88-545
Commission; enforce act; rules and regulations; violation; penalty; damages;
prosecution.
The
commission shall enforce the Grain Warehouse Act and shall adopt and promulgate
rules and regulations to aid in the administration of the act. Any person or
partner, limited liability company member, officer, or agent of any person who
violates the Grain Warehouse Act shall be guilty of a Class IV felony, unless
otherwise specifically provided, and shall be liable for any damages suffered
by any person from such violation. Upon request of the commission, the Attorney
General or any county attorney shall assist in the prosecution of any
violations of the act.
Source:
Laws 1987, LB 164, ? 21
Laws 1989, LB 78, ? 33
Laws 1993, LB 121, ? 565
Laws 1994, LB 884, ? 95
~Reissue Revised Statutes of
Nebraska
Section 88-545.01
Commission; contracts for audit or examination work authorized; Grain
Warehouse Auditing Fund; created; use; investment.
(1) The
commission may enter into contracts with public or private entities which
provide a benefit for both parties for purposes of performing audit or
examination work. The commission shall conduct the work as time permits and
shall not allow the work to conflict with the commission's primary
responsibility of performing grain warehouse examinations within the prescribed
statutory time.
(2) Fees
from audit or examination contracts shall be remitted by the commission to the
State Treasurer for credit to the Grain Warehouse Auditing Fund which is
created. The fund shall be available to the commission to buy material and
equipment for performing audits and examinations or to offset the cost of
performing audits and examinations. Any money in the fund available for
investment shall be invested by the state investment officer pursuant to the
Nebraska Capital Expansion Act and the Nebraska State Funds Investment Act.
Source:
Laws 1996, LB 1123, ? 7
Cross References:
Nebraska Capital Expansion Act,see section 72-1269.
Nebraska State Funds Investment Act,see
section 72-1260.
~Reissue Revised Statutes of
Nebraska
Section 88-546
License; suspension or revocation; procedure.
The
commission may, upon complaint filed by it or any person and after a hearing,
suspend or revoke the license of any warehouse licensee for failure to comply
with the requirements of the Grain Warehouse Act or any rule or regulation
adopted and promulgated pursuant to such act. The complaint shall state the
grounds for suspension or revocation and shall be filed with the commission
pursuant to the commission's rules of procedure. The commission shall serve the
warehouse licensee with a copy of the complaint and a copy of the order of the
commission stating the time for hearing, which time shall be at least twenty
days from the date of service. If the commission determines that the public
good requires it, the commission may, upon the filing of a complaint and
without hearing, temporarily suspend a license pending the determination of the
complaint.
Source:
Laws 1987, LB 164, ? 22
~Reissue Revised Statutes of
Nebraska
Section 88-547
Warehouse; closure; when; commission;
powers.
If the
commission determines that a shortage of grain exists or that the quality of
grain in storage is insufficient to meet the obligations at a warehouse, if a
license expires and is not renewed, if a license is surrendered to or canceled
or revoked by the commission for violation of any statute or rule or regulation
adopted and promulgated by the commission, or if a warehouse is operated
without a license, the commission may close the warehouse and do one or more of
the following:
(1) Take
title to all grain stored in the warehouse at that time in trust for
distribution on a pro rata basis to all valid owners, depositors, or storers of grain who are holders of evidence of ownership
of grain. No claim of the licensee for grain stored shall be honored until the
claims of all other owners, depositors, and storers
have been paid in full. Such distribution may be made in grain or in proceeds
from the sale of grain. If the commission closes the warehouse and takes title
to the grain, such action shall operate as a stay of the commencement or
continuation, including the issuance or employment of process, of any judicial,
administrative, or other action or proceeding to take title to the grain that
was or could have been commenced before such action by the commission;
(2) After
notice and hearing (a) determine the value of the shortage and the pro rata
loss to each owner, depositor, or storer of grain,
(b) require all or part of the warehouse security to be forfeited to the
commission, and (c) distribute the security proceeds on such pro rata basis; or
(3)
Commence a suit in district court for the benefit of owners, depositors, or storers of grain.
The
commission may deposit the proceeds from the security forfeiture under
subdivision (2) of this section or the sale of grain under subdivision (1) of
this section in an interest-bearing trust account for the benefit of the valid
owners, depositors, or storers of grain pending final
determination of the valid owners, depositors, or storers
and distribution of such proceeds.
Source:
Laws 1987, LB 164, ? 23
Laws 1989, LB 78, ? 34
Laws 1992, LB 366, ? 64
Laws 2005, LB 492, ? 6
~Revised Statutes Cumulative
Supplement, 2006
Section 88-547.01
Deposit of grain; how treated; priority of liens; effect.
(1) For
purposes of the Grain Warehouse Act, whenever any grain is physically deposited
into any public warehouse and a scale ticket or warehouse receipt is issued therefor,
such deposit shall be grain in storage. Such deposit does not constitute a sale
of the grain, except grain deposited by priced scale ticket or signed contract
passing title to the warehouse licensee.
(2) Upon
the commission's closure of a warehouse and taking title to grain within the
warehouse pursuant to section 88-547, grain contained in a warehouse, including
grain owned by the warehouse licensee, is subject to a first priority lien in
favor of valid owners, depositors, or storers of
grain who are holders of evidence of ownership of grain. The lien created under
this section shall be preferred to any lien or security interest in favor of
any creditor of the warehouse licensee regardless of the time when the
creditor's lien or security interest attached to the grain. Notice of the lien
created under this section need not be filed in order to perfect the lien. All
the grain in the warehouse, whether stored or not, first shall be applied at
all times to the satisfaction of all valid owners, depositors, or storers of grain who hold evidence of ownership of grain.
(3) In the
event no distribution is made pursuant to subdivision (1) of section 88-547 and
the commission transfers title to the grain back to the warehouse or to another
person, then the first priority lien created under this section shall
terminate. Nothing in this section shall affect any other rights, including
rights of ownership in grain stored at the warehouse, of valid owners,
depositors, or storers of grain who are holders of
evidence of ownership of grain. Nothing in this section shall prevent the
commission from subsequently closing the warehouse and taking other action
pursuant to section 88-547.
Source:
Laws 2005, LB 492, ? 3
~Revised Statutes Cumulative
Supplement, 2006
Section 88-547.02
Judicial proceeding; notice required.
Prior to
or within ten days after any creditor of the warehouse licensee commences a
judicial proceeding to reduce to judgment, foreclose, or otherwise enforce any
claim on a creditor's lien or security interest attached to grain contained in
the warehouse, the creditor shall serve written notice on the executive
director of the commission.
Source:
Laws 2005, LB 492, ? 4
~Revised Statutes Cumulative
Supplement, 2006
Section 88-548
Federal licensee; exemption from act; duties; commission; grain probe;
duties; violation; penalty.
(1) Any
grain dealer, person, firm, corporation, or association in this state licensed
under the United States Warehouse Act shall be exempt from the Grain Warehouse
Act, except that each licensee under the United States Warehouse Act shall (a)
annually notify the commission in writing of such license and shall notify the
commission at once in writing if the license is terminated, canceled, or
suspended and (b) post notification of such licensee's bond under the United
States Warehouse Act in a conspicuous place of business listing the total
amount of bond on the stored grain.
(2) No
warehouse licensee, licensee under the United States Warehouse Act, or grain
dealer licensed pursuant to section 75-903 shall use end-intake air probes
which use a vacuum to collect a sample from a load of grain to determine
foreign material content. The commission shall adopt and promulgate rules and
regulations regarding approval of grain probes. Any person who violates this
subsection shall be guilty of a Class I misdemeanor.
Source:
Laws 1987, LB 164, ? 24
Cross References:
Grain Dealer Act,see
section 75-901 et seq.
~Reissue Revised Statutes of
Nebraska
Section 88-549
Warehouse; notice to person storing grain; violation; penalty.
At least
once each calendar year and not later than one year from the date of receipt of
the previous written notice, each warehouse licensee shall send written notice
to each person who stores grain in such warehouse at such person's last-known
address specifying the type and amount of grain in storage, the location at
which the grain is being stored, and the current rate of storage. Any warehouse
licensee who violates this section shall be guilty of a Class V misdemeanor.
Source:
Laws 1987, LB 164, ? 25
Laws 1992, LB 366, ? 65
~Reissue Revised Statutes of
Nebraska
Section 88-550
Grain dust inspections; Department of Environmental Quality; commission;
duties.
The
Department of Environmental Quality and the commission shall, during the course
of their regular inspections required by law, inspect warehouses for conditions
which are or may be conducive to grain dust explosions. Such conditions shall
include, but not be limited to, the presence at the warehouse of excessive grain
dust, faulty equipment, or any other condition which could reasonably lead to
an explosion if not corrected. The department and commission shall report any
such condition to the State Fire Marshal as soon as practicable after each
inspection.
Source:
Laws 1987, LB 164, ? 26
Laws 1993, LB 3, ? 73
~Reissue Revised Statutes of
Nebraska
Section 88-551
Fees; where credited.
Except as
provided in sections 88-527, 88-545.01, and 88-552, all fees collected pursuant
to the Grain Warehouse Act shall be paid to the State Treasurer and credited to
the General Fund.
Source:
Laws 1987, LB 164, ? 27
Laws 1996, LB 1123, ? 6
~Reissue Revised Statutes of
Nebraska
Section 88-552
Nebraska Grain Warehouse Surveillance Cash Fund; created; use; investment.
There is
hereby created in the state treasury a fund to be known as the Nebraska Grain
Warehouse Surveillance Cash Fund. Such fund shall be used solely for disbursing
funds and receiving reimbursement for services performed by the commission in
the suspension or termination of a warehouse operation. All money received by
the commission for such services shall be remitted to the State Treasurer for
credit to such fund. Any money in the fund available for investment shall be
invested by the state investment officer pursuant to the Nebraska Capital
Expansion Act and the Nebraska State Funds Investment Act.
Source:
Laws 1986, LB 137, ? 1
R.S.1943, (1981), ? 88-502.02
Laws 1987, LB 164, ? 28
Laws 1995, LB 7, ? 154
Cross References:
Nebraska Capital Expansion Act,see section 72-1269.
Nebraska State Funds Investment Act,see
section 72-1260.
~Reissue Revised Statutes of
Nebraska