127.01(19)(c)
(c) A broker acting solely as an agent bringing buyers and sellers together without taking title to or possession of any grain or the proceeds.
127.01(19)(d)
(d) A person engaged solely in buying or selling commodity futures on a board of trade or commodity exchange.
127.01(21)
(21) "Income statement" means a report of the financial results of business operations for the accounting period covered by the report.
127.01(22)
(22) "Interim statement" means a financial statement prepared for a period shorter than a fiscal year.
127.01(23)
(23) "Liability" means an obligation to pay money or other assets or to render a service to another person either currently or in the future.
127.01(24)
(24) "Other assets" means noncurrent assets other than fixed assets.
127.01(25)
(25) "Producer" means a person who is not a Class A grain dealer, a Class B grain dealer, a Class B2 grain dealer or an exempt grain dealer and who is one of the following:
127.01(25)(a)
(a) An owner, tenant or operator of land who is engaged in growing and producing grain on land in this state.
127.01(25)(b)
(b) An owner, tenant or operator of land who is engaged in growing and producing grain on land outside of this state and who sells that grain to a grain dealer in this state or deposits that grain with a warehouse keeper in this state.
127.01(25m)
(25m) "Reviewed financial statement" means a financial statement, other than an audited financial statement, that meets all of the following requirements:
127.01(25m)(a)
(a) The grain dealer or warehouse keeper attests in writing, under oath, that the financial statement is accurate.
127.01(25m)(b)
(b) The financial statement is reviewed according to generally accepted accounting principles by an independent certified public accountant or an independent public accountant who holds a certificate of authority under
ch. 442.
127.01(26)
(26) "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.
127.01(28)
(28) "Warehouse" means any building, bin or storage facility used for receiving, storing, conditioning, shipping or handling grain. "Warehouse" does not include transport vehicles or facilities used for on-farm drying of grain.
127.01(29)
(29) "Warehouse keeper" means a person, including a cooperative association, engaged in operating one or more warehouses in this state for the receiving, conditioning, storing or shipping of grain for others. "Warehouse keeper" does not include a person licensed under the federal act.
127.02
127.02
Warehouse keepers' licenses and fees. 127.02(1)(1)
Requirement; exception. No person may act as a warehouse keeper unless the person holds an annual warehouse keeper's license issued by the department, except that an exempt warehouse keeper is not required to hold a license.
127.02(2)
(2) Application. An application for an annual warehouse keeper's license shall be filed on a form prescribed by the department. The application shall include information reasonably required by the department for licensing purposes. An application shall be accompanied by all applicable fees and surcharges under
sub. (3).
127.02(3)(a)(a)
License fees. The fee for an annual warehouse keeper's license is $50. A warehouse keeper maintaining more than one business location in this state shall pay an additional license fee of $25 for each additional location.
127.02(3)(am)
(am)
License fee surcharge. An applicant for an annual warehouse keeper's license shall pay a license fee surcharge of $500 if the department determines that, within 365 days prior to submitting an application for a warehouse keeper's license, the applicant acted as a warehouse keeper without a license in violation of
sub. (1). Payment of the license fee surcharge does not relieve the applicant of other civil or criminal liability that may result from acting as a warehouse keeper without a license, but does not constitute evidence of a violation of law.
127.02(3)(b)
(b)
Basic inspection fee. A warehouse keeper shall pay an annual inspection fee to the department based on the combined storage capacity of all of the warehouse keeper's warehouses in this state. The inspection fee is, if the combined storage capacity is:
127.02(3)(b)2.
2. At least 150,000 bushels but less than 250,000 bushels, $325.
127.02(3)(b)3.
3. At least 250,000 bushels but less than 500,000 bushels, $375.
127.02(3)(b)4.
4. At least 500,000 bushels but less than 750,000 bushels, $425.
127.02(3)(b)5.
5. At least 750,000 bushels but less than 1,000,000 bushels, $475.
127.02(3)(bm)
(bm) Supplementary inspection fee. In addition to the inspection fee specified under
par. (b), a warehouse keeper shall annually pay to the department an inspection fee of $100 for each warehouse location other than the warehouse keeper's principal warehouse location.
127.02(3)(c)
(c)
Deposit of fees. All fees and surcharges received under this subsection shall be credited to the appropriation under
s. 20.115 (1) (jm).
127.02(3)(d)
(d)
Rules. The department may promulgate rules modifying the amount of the fees and surcharges established under this subsection.
127.02(3m)
(3m) Licensing contingent on payment of fees and surcharge. The department may not issue or renew a license under
sub. (1) unless the applicant pays all fees and any applicable surcharge required under
sub. (3), as set forth in a statement from the department. The department shall refund a fee or surcharge paid under protest if the department determines that the fee or surcharge was not required to be paid.
127.02(4)
(4) Expiration; nontransferable. An annual warehouse keeper's license expires on August 31 of each year and is not transferable.
127.02(5)
(5) Display. A warehouse keeper shall display prominently a copy of the annual warehouse keeper's license in each warehouse in this state operated by the warehouse keeper.
127.03
127.03
Grain dealers licenses and fees. 127.03(1)(a)(a) Except as provided in
par. (d), no person may do any of the following:
127.03(1)(a)1.
1. Operate as a Class A grain dealer unless the person holds an annual license from the department as a Class A grain dealer.
127.03(1)(a)2.
2. Operate as a Class B grain dealer unless the person holds an annual license from the department as a Class A grain dealer or a Class B grain dealer.
127.03(1)(a)3.
3. Operate as a Class B2 grain dealer unless the person holds an annual license from the department as a Class A grain dealer, a Class B grain dealer or a Class B2 grain dealer.
127.03(1)(b)
(b) No grain dealer may claim to be bonded or claim to have filed security with the department for the benefit of producers unless that grain dealer holds an annual license from the department as a Class A grain dealer, a Class B grain dealer or a Class B2 grain dealer.
127.03(1)(c)
(c) A Class C grain dealer is not required to be licensed but may voluntarily apply for and receive an annual license from the department as a Class C grain dealer.
127.03(2)
(2) Application. An application for an annual grain dealer's license shall be filed on a form prescribed by the department. The application shall include information reasonably required by the department for licensing purposes. An application shall be accompanied by all applicable fees and surcharges under
sub. (3).
127.03(3)(a)(a) The fee for an annual grain dealer's license is as follows:
127.03(3)(a)1.
1. For a Class A grain dealer, $400, plus a surcharge of $250 if the grain dealer's financial statement is not audited.
127.03(3)(a)2.
2. For a Class B grain dealer, $175 plus a surcharge of $250 if the grain dealer's financial statement under
s. 127.06 (2) is not audited.
127.03(3)(b)
(b) In addition to the fee specified under
par. (a), if a grain dealer operates more than one truck, the grain dealer shall pay an additional license fee of $10 for each additional truck that the grain dealer uses for dealing in grain.
127.03(3)(bg)
(bg) Except as provided in
par. (bk), an applicant for an annual grain dealer's license shall pay a license fee surcharge of $500 if the department determines that, within 365 days prior to submitting an application for a grain dealer's license, the applicant acted as a grain dealer without a license required in
sub. (1). Payment of the license fee surcharge does not relieve the applicant of other civil or criminal liability that may result from acting as a grain dealer without a license required in
sub. (1), but does not constitute evidence of a violation of law.
127.03(3)(bk)
(bk) If a grain dealer held a license as a Class B2 grain dealer but operated as a Class A grain dealer or a Class B grain dealer, the surcharge under
par. (bg) is $250 rather than $500.
127.03(3)(br)
(br) The department may promulgate rules modifying the amount of the fees and surcharges established under this subsection.
127.03(3)(c)
(c) All fees and surcharges received under this subsection shall be credited to the appropriation under
s. 20.115 (1) (jm).
127.03(3m)
(3m) Licensing contingent on payment of fees and surcharge. The department may not issue or renew a license under
sub. (1) unless the applicant pays all fees and any applicable surcharge under
sub. (3), as set forth in a statement from the department. The department shall refund a fee or surcharge paid under protest if the department determines that the fee or surcharge was not required to be paid.
127.03(4)
(4) Expiration; nontransferable. An annual grain dealer's license expires on August 31 of each year and is not transferable.
127.03(5)
(5) Display. A grain dealer shall display prominently a copy of the grain dealer's annual license on each truck that the grain dealer uses for dealing in grain. A grain dealer shall also display a copy of the grain dealer's annual license at the grain dealer's permanent business address, if the grain dealer is required to maintain a permanent business address under
s. 127.10 (6).
127.04
127.04
Applicability to nonresident grain dealers. A nonresident grain dealer who buys grain from or sells grain for producers who produced the grain in this state, is subject to this chapter without regard to whether those purchases or sales take place wholly or in part in this state and without regard to whether the grain dealer maintains an office or place of business in this state.
127.05
127.05
Warehouse keeper's insurance. 127.05(1)
(1)
Requirement; exception. A warehouse keeper shall file and maintain with the department a certificate or other satisfactory evidence of fire and extended coverage insurance issued by an insurance company authorized to do business in this state that insures all grain in the custody of the warehouse keeper, whether held for others or owned by the warehouse keeper, at the full local market value of the grain. The requirements of this section do not apply to an exempt warehouse keeper.
127.05(2)
(2) Cancellation and replacement. An insurance policy required under
sub. (1) shall provide that the policy may not be canceled by the warehouse keeper or insurance company except on 30 days' prior written notice served on the department in person or by certified mail. The warehouse keeper shall obtain satisfactory replacement insurance and shall file satisfactory evidence of that replacement insurance with the department within 20 days after the cancellation notice is served on the department and at least 10 days before the cancellation takes effect. The department shall suspend the license of a warehouse keeper without prior notice or hearing if the warehouse keeper does not secure and file satisfactory evidence of replacement insurance as required under this section.
127.05(3)
(3) Insurance disclosure. Before storing grain for any depositor, a warehouse keeper, including an exempt warehouse keeper, shall clearly disclose in writing and post in a conspicuous location, observable by the public, all of the following information:
127.05(3)(a)
(a) Whether the grain is insured against fire and other natural perils, including a listing of the types of perils covered.
127.05(3)(b)
(b) Whether the warehouse keeper has liability insurance covering the warehouse keeper's grain storage operations and whether the insurance covers liability resulting from fraud or malfeasance by the warehouse keeper.
127.05(4)
(4) Deductibles. Neither an insurance policy under
sub. (1) nor a warehouse keeper's liability insurance policy may contain any deductible clause that limits the insurer's liability to depositors for the full value of the depositor's covered losses under the policy. This subsection does not prohibit a clause under which the warehouse keeper agrees to indemnify the insurer for a portion of each claim by a depositor that is paid by the insurer under the policy, as long as the clause does not limit the insurer's obligation to pay each depositor.
127.05 History
History: 1979 c. 335;
1995 a. 42.
127.06
127.06
Financial statements; warehouse keepers and grain dealers. 127.06(1)(1)
Warehouse keepers; financial statements required. 127.06(1)(a)1.
1. File a financial statement with the warehouse keeper's initial application for a license.
127.06(1)(a)2.
2. Except as provided in
par. (e), file an annual financial statement with the department on or before the 15th day of the 4th month beginning after the close of the warehouse keeper's fiscal year.
127.06(1)(b)
(b) A financial statement filed under
par. (a) shall be either a reviewed financial statement or an audited financial statement, except that the financial statement shall be an audited financial statement if any of the following apply:
127.06(1)(b)1.
1. The warehouse keeper's warehouses have a combined storage capacity of at least 500,000 bushels.
127.06(1)(b)2.
2. The warehouse keeper is a sole proprietor and the financial statement is not prepared according to the historical cost basis method of accounting.
127.06(1)(c)
(c) The department may require an exempt warehouse keeper to file an annual audited financial statement or reviewed financial statement if the department determines that such filing is necessary to protect depositors.
127.06(1)(d)
(d) The department may require a warehouse keeper, including an exempt warehouse keeper, to file a supplementary financial statement or an interim statement whenever the department determines that such filing is necessary to protect depositors. The department may require a financial statement filed under this paragraph to be an audited financial statement or a reviewed financial statement.
127.06(1)(e)
(e) The department may extend the filing deadline under
par. (a) 2. by up to 30 days in response to a written request from a warehouse keeper or an independent certified public accountant, or an independent public accountant holding a certificate of authority under
ch. 442, that is auditing or reviewing the financial statement for a warehouse keeper if the department receives the request on or before the 5th day of the 4th month beginning after the close of the warehouse keeper's fiscal year and if the request states the reason for the extension.
127.06(1m)
(1m) Grain dealers; financial statements required. 127.06(1m)(a)(a) The following grain dealers shall file financial statements under
par. (b):
127.06(1m)(a)2.
2. A Class B grain dealer that uses any deferred price contract or deferred payment contract.
127.06(1m)(a)3.
3. A grain dealer that claims to be bonded or claims to have filed security with the department for the benefit of producers.
127.06(1m)(b)
(b) A grain dealer specified in
par. (a) shall do all of the following:
