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92_HB0954
LRB9205385TAtm
1 AN ACT concerning agriculture.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 5. The Grain Code is amended by changing Section
5 30-10 as follows:
6 (240 ILCS 40/30-10)
7 Sec. 30-10. Participants in the Fund.
8 (a) A licensee under this Code is subject to this
9 Article and must shall pay assessments into the Fund as
10 provided in Section 5-30.
11 (b) Except as provided in subsection (c) of this
12 Section, a person engaged in the business of a grain dealer
13 or warehouseman but not licensed under this Code shall not
14 participate in or benefit from the Fund and its claimants
15 shall not receive proceeds from the Fund.
16 (c) Participation of federal warehousemen.
17 (1) A federal warehouseman may participate in the
18 Fund. If a federal warehouseman chooses to participate
19 in the Fund, it shall to the extent permitted by federal
20 law:
21 (A) pay assessments into the Fund;
22 (B) be deemed a licensee and a warehouseman
23 under this Code;
24 (C) be subject to this Code; and
25 (D) execute a cooperative agreement between
26 itself and the Department.
27 (2) The cooperative agreement shall, at a minimum,
28 provide each of the following to the extent permitted by
29 federal law:
30 (A) Authorization for the Department to obtain
31 information about the federal warehouseman
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1 including, but not limited to, bushel capacity of
2 storage space, financial stability, and examinations
3 performed by employees of the United States
4 Department of Agriculture.
5 (B) That the federal warehouseman submits
6 itself to the jurisdiction of the Department and
7 that it agrees to be subject to and bound by this
8 Code and deemed a licensee under this Code.
9 (C) That in the event of a failure of the
10 federal warehouseman, the Department shall have
11 authority to seize, liquidate, and collect upon all
12 grain assets, collateral, and guarantees relating to
13 the federal warehouseman as in the case of any other
14 licensee.
15 (D) Such other requirements as established by
16 rule.
17 (3) A federal warehouseman that participates in the
18 Fund shall at a minimum meet the licensing requirements
19 of this Code and shall comply with all requirements of a
20 licensee and a warehouseman under this Code to the extent
21 permitted by federal law.
22 (d) A federal warehouseman that participates in the Fund
23 or a warehouseman that desires to or has become a federal
24 warehouseman cannot withdraw from participation in the Fund
25 for the benefit of existing depositors until the occurrence
26 of all of the following:
27 (1) Payment in full by the federal warehouseman or
28 withdrawing warehouseman of all assessments under
29 subsection (a) of Section 5-30.
30 (2) Payment in full by the federal warehouseman or
31 withdrawing warehouseman of all assessments under
32 subsection (d) of Section 5-30 if the Fund is under
33 $3,000,000 at any time after the federal warehouseman or
34 withdrawing warehouseman notifies the Department that it
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1 desires to withdraw from participation in the Fund and
2 before the issuance by the Department of a certificate of
3 withdrawal from the Fund.
4 (3) The expiration of 30 days following the later
5 of:
6 (A) the date the federal warehouseman or
7 withdrawing warehouseman has ceased providing its
8 depositors with coverage under the Fund;
9 (B) the date the federal warehouseman or
10 withdrawing warehouseman has posted at each of its
11 locations a notice stating when it will cease
12 providing its depositors with coverage under the
13 Fund;
14 (C) notification of all potential claimants by
15 the federal warehouseman or withdrawing warehouseman
16 of the date on which it will cease providing its
17 depositors with coverage under the Fund; and
18 (D) Completion of an audit and examination
19 satisfactory to the Department as provided for in
20 this Code and by rule, which is to be the
21 Department's final examination.
22 (4) Obtaining releases of liability from all
23 existing depositors or posting collateral with the
24 Department for 270 days after withdrawing from the Fund
25 in an amount equal to the liability to existing
26 depositors who have not executed releases before the
27 completion of the Department's final examination.
28 (5) Compliance with all notification requirements
29 as provided for in this Code and by rule.
30 (6) Issuance by the Department of a certificate of
31 withdrawal from the Fund when the federal warehouseman or
32 withdrawing warehouseman has met all requirements for
33 withdrawal from participation in the Fund.
34 (e) Before a federal warehouseman or a warehouseman that
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1 desires to or has become a federal warehouseman may withdraw
2 from participation in the Fund, it must pay for an audit and
3 examination and must provide to the Department all names and
4 addresses of potential claimants for the purposes of
5 notification of withdrawal of participation in the Fund.
6 (Source: P.A. 89-287, eff. 1-1-96.)