Kentucky Grain Warehouse and Grain Dealer Bonds

Category: Uncategorized
Published: Sep 6, 2011
HB 221: Grain Warehouse and Grain Dealer Bonds

This bill will revise the bond requirements for grain warehousemen and grain dealers. Under current law a surety bond is required in the amount that is no less than twenty-five cents per bushel of the total maximum bushel capacity of the warehouse or $10,000, whichever may be greater. Under the new bill the alternative minimum amount will be increased from $10,000 to $25,000. The bond amount will be capped at no more than $1 million. The new law will also cap the bond amount that the dealer paid to producers for grain purchased from them during the dealer’s last completed fiscal year. This bill will cap the amount at no more than $1 million.

The following two tabs change content below.
Victor Lance is the founder and president of Lance Surety Bond Associates, Inc. He began his career as an officer in the U.S. Marine Corps, serving two combat tours. As president of Lance Surety, he now focuses on educating and assisting small businesses throughout the country with various license and bond requirements. Victor graduated from Villanova University with a degree in Business Administration and holds a Masters in Business Administration (MBA) from the University of Michigan's Ross School of Business.