126.01(16)
(16) "Interim financial statement" means a statement of financial condition prepared for a period shorter than a fiscal year.
126.01(18)
(18) "Person," notwithstanding
s. 990.01 (26), means an individual, corporation, cooperative, partnership, limited liability company, trust, state agency, as defined in
s. 20.001 (1), local governmental unit, as defined in
s. 66.0131 (1) (a), or other legal entity.
126.01(20)
(20) "Reviewed financial statement" means a contractor's financial statement, other than an audited financial statement, if all of the following apply:
126.01(20)(a)
(a) The contractor attests in writing, under oath, that the financial statement is complete and accurate.
126.01(20)(b)
(b) The financial statement is reviewed by an independent certified public accountant licensed or certified under
ch. 442.
126.01(22)
(22) "Sole proprietor" means a contractor who is an individual.
126.01(23)
(23) "Statement of cash flows" means a report of cash receipts and cash disbursements from operating, investing, and financing activities, including an explanation of changes in cash and cash equivalents for the accounting period covered by the report.
126.01(24)
(24) "Vegetable" means any vegetable that is grown or sold for use in food processing, whether or not the vegetable is actually processed as food. "Vegetable" includes green beans, kidney beans, lima beans, romano beans, wax beans, beets, cabbage, carrots, celery, cucumbers, onions, peas, potatoes, spinach, squash, and sweet corn, but does not include grain.
126.01 History
History: 2001 a. 16.
AGRICULTURAL PRODUCER
SECURITY FUND
126.05
126.05
Agricultural producer security fund. 126.05(1)
(1) The fund is a public trust and shall be administered to secure payments to producers. Moneys deposited into the fund may be used only for the purposes of this chapter.
126.05(2)
(2) The department shall deposit into the fund all fees, surcharges, assessments, reimbursements, and proceeds of surety bonds that the department collects under this chapter. The department shall keep a record by contractor and industry, of all deposits.
126.05 History
History: 2001 a. 16.
126.06(1)(1)
Department to acquire bonds. Using moneys appropriated under
s. 20.115 (1) (v), the department shall acquire and maintain all of the following surety bonds:
126.06(1)(a)
(a) A surety bond that takes effect on May 1, 2002, to secure payment under
s. 126.72 (2) of claims against contributing milk contractors, as defined in
s. 126.40 (1).
126.06(1)(b)
(b) A surety bond that takes effect on September 1, 2002, to secure payment under
s. 126.72 (2) of claims against contributing grain dealers, as defined in
s. 126.10 (3), and contributing grain warehouse keepers, as defined in
s. 126.25 (2).
126.06(1)(c)
(c) A surety bond that takes effect on February 1, 2002, to secure payment under
s. 126.72 (2) of claims against contributing vegetable contractors, as defined in
s. 126.55 (4).
126.06(2)
(2) Bond terms. The department shall ensure all of the following:
126.06(2)(a)
(a) That the amount of each bond under
sub. (1) is at least $5,000,000 but not more than $20,000,000.
126.06(2)(b)
(b) That the amount of each bond under
sub. (1) renews annually.
126.06(2)(c)
(c) That each bond under
sub. (1) is payable to the department for the benefit of the appropriate claimants under
sub. (1).
126.06(2)(d)
(d) That each bond under
sub. (1) is issued by a person who is authorized to operate a surety business in this state.
126.06(2)(dm)
(dm) That no surety issues more than one of the 3 bonds under
sub. (1).
126.06(2)(e)
(e) That no bond issued under
sub. (1) may be canceled or modified unless one of the following applies:
126.06(2)(e)1.
1. The department agrees to the cancellation or modification.
126.06(2)(e)2.
2. The department receives written notice from the issuer in person or by certified mail at least one year before the proposed cancellation or modification.
126.06(2)(f)
(f) That the issuer of each bond under
sub. (1) issues the bond in a form, and subject to any terms and conditions, that the department considers appropriate.
126.06(3)
(3) Bond procurement. The department shall procure the surety bonds under
sub. (1) according to the procedures provided in
subch. IV of ch. 16.
126.06 History
History: 2001 a. 16.
126.07(1)(1)
Department to acquire bond. Using moneys appropriated under
s. 20.115 (1) (v), the department shall acquire and maintain a surety bond, that takes effect on February 1, 2002, to secure payment under
s. 126.72 (3) of claims against contributing contractors, as defined in
s. 126.68 (1).
126.07(2)
(2) Bond terms. The department shall ensure all of the following:
126.07(2)(a)
(a) That the amount of the bond under
sub. (1) is at least $20,000,000 but not more than $40,000,000.
126.07(2)(b)
(b) That the amount of the bond under
sub. (1) renews annually.
126.07(2)(c)
(c) That the bond under
sub. (1) is payable to the department for the benefit of claimants described in
sub. (1).
126.07(2)(d)
(d) That the bond under
sub. (1) is jointly issued by at least 3 persons acting as cosureties on the bond and that each of the persons is authorized to operate a surety business in this state.
126.07(2)(e)
(e) That no issuer of the bond under
sub. (1) may cancel or modify the bond, or withdraw as a cosurety, unless one of the following applies:
126.07(2)(e)1.
1. The department agrees to the cancellation, modification, or withdrawal.
126.07(2)(e)2.
2. The department receives written notice from the issuer that is delivered in person or by certified mail and is received at least one year before the proposed cancellation, modification, or withdrawal.
126.07(2)(f)
(f) That the issuers of the bond under
sub. (1) issue the bond in a form, and subject to any terms and conditions, that the department considers appropriate.
126.07(3)
(3) Bond procurement. The department shall procure the surety bond under
sub. (1) according to the procedures provided in
subch. IV of ch. 16.
126.07 History
History: 2001 a. 16.
126.08
126.08
Start-up loan to fund; repayment. On January 1, 2002, $2,000,000 is transferred as a loan from the agrichemical management fund, to the agricultural producer security fund. The department shall repay this loan principal, plus interest compounded at 5% annually, from the agricultural producer security fund by July 1, 2006. The department shall transfer at least $250,000 from the agricultural producer security fund to the agrichemical management fund on July 1 of each year, beginning on July 1, 2003. The department may accelerate the loan repayment, at its discretion.
126.08 History
History: 2001 a. 16.
GRAIN DEALERS
126.10
126.10
Definitions. In this subchapter:
126.10(1)
(1) "Cash on delivery" means full cash payment for grain when the grain dealer takes custody or control of the grain.
126.10(2)
(2) "Cash payment" means payment in any of the following forms:
126.10(2)(b)
(b) A cashier's check or a check that a bank issues and certifies.
126.10(3)
(3) "Contributing grain dealer" means a grain dealer who is licensed under
s. 126.11, who either has paid one or more quarterly installments under
s. 126.15 (7) or is required to contribute to the fund, but the first quarterly installment under
s. 126.15 (7) is not yet due, and who is not disqualified from the fund under
s. 126.14 (2).
126.10(4)
(4) "Current ratio" means the ratio of the value of current assets to the value of current liabilities, calculated according to
s. 126.13 (6) (c) 1.
126.10(5)
(5) "Debt to equity ratio" means the ratio of the value of liabilities to equity, calculated according to
s. 126.13 (6) (c) 2.
126.10(6)
(6) "Deferred payment contract" means a contract for the procurement of grain under which a grain dealer takes custody or control of producer grain more than 7 days before paying for the grain in full. "Deferred payment contract" includes a deferred price contract.
126.10(7)
(7) "Deferred price contract" means a contract for the procurement of grain under which a grain dealer takes custody or control of producer grain more than 7 days before the price of that grain must be determined under the contract.
126.10(8)
(8) "Disqualified grain dealer" means a grain dealer who is disqualified from the fund under
s. 126.14 (2).
126.10(9)
(9) "Grain dealer" means a person who buys producer grain or who markets producer grain as a producer agent. "Grain dealer" does not include any of the following:
126.10(9)(a)
(a) A person who merely brokers a contract between a grain producer and a grain dealer without becoming a party to the contract, taking control of grain, or accepting payment on behalf of the grain producer.
126.10(9)(b)
(b) A person who merely buys or sells grain on a board of trade or commodity exchange.
126.10(10)
(10) "Grain producer" means a person who grows grain.
126.10(10m)
(10m) "License year" means the period beginning on September 1 and ending on the following August 31.
126.10(11)
(11) "Procure grain" means to buy grain or acquire the right to market grain.
126.10(12)
(12) "Procure producer grain in this state" means any of the following:
126.10(12)(a)
(a) To buy producer grain for receipt in this state.
126.10(12)(b)
(b) To acquire the right to market producer grain grown in this state.
126.10(13)
(13) "Producer agent" means a person who acts on behalf of a grain producer to market or accept payment for the grain producer's grain without taking title to that grain, including a person who uses a producer trust fund to market or accept payment for producer grain. "Producer agent" does not include any of the following:
126.10(13)(a)
(a) A person who merely brokers a contract between a grain producer and a grain dealer, without becoming a party to the contract, taking control of grain, or accepting payment on behalf of the grain producer.
126.10(13)(b)
(b) A person who merely holds or transports grain for a grain producer without marketing the grain or accepting payment on behalf of the grain producer.
126.10(14)
(14) "Producer grain" means grain that is owned by or held in trust for one or more grain producers. "Producer grain" includes grain that a producer agent markets for a grain producer, without taking title to the grain.
126.10 History
History: 2001 a. 16.
126.11
126.11
Grain dealers; licensing. 126.11(1)
(1)
License required. Except as provided in
sub. (2), no grain dealer may procure producer grain in this state without a current annual license from the department.
126.11(2)
(2) Exempt grain dealers. The following grain dealers are not required to hold a license under this section, but may volunteer to be licensed:
126.11(2)(a)
(a) A grain dealer who pays cash on delivery for all producer grain.
126.11(2)(b)
(b) A grain dealer who buys producer grain solely for the grain dealer's own use as feed or seed and who spends less than $400,000 per license year for that grain.
126.11(2m)
(2m) License terms. A license under this section expires on the August 31 following its issuance. No person may transfer or assign a license issued under this section.
126.11(3)
(3) License application. A grain dealer shall apply for an annual license under this section in writing, on a form provided by the department. An applicant shall provide all of the following:
126.11(3)(a)
(a) The applicant's legal name and any trade name under which the applicant proposes to operate as a grain dealer.
126.11(3)(b)
(b) A statement of whether the applicant is an individual, corporation, partnership, cooperative, limited liability company, trust, or other legal entity. If the applicant is a corporation or cooperative, the applicant shall identify each officer of the corporation or cooperative. If the applicant is a partnership, the applicant shall identify each partner.
126.11(3)(c)
(c) The mailing address of the applicant's primary business location and the name of a responsible individual who may be contacted at that location.
