§ 203D.3A — Indemnity fees — collection of remitted participation fees and per-bushel fees

Iowa § 203D.3A

• Jurisdiction: Iowa
• Title V: AGRICULTURE
• Ch. 203D: GRAIN DEPOSITORS AND SELLERS INDEMNIFICATION

Text

The department shall collect indemnity fees, including participation fees and per-bushel
fees as provided in this section, if imposed by the board pursuant to section 203D.5, at rates
determined by the board as provided in that section. A licensee shall remit indemnity fees
and forms to the department as required by the department.
1. a. A person who applies for the issuance of a new license as a grain dealer pursuant to
section 203.5 or a warehouse operator pursuant to sections 203C.7 and 203C.33 shall pay the
department an initial participation fee as part of the application.
(1) In calculating the amount of the initial participation fee, an applicant for a new license
shall be deemed a licensee paying the full annual amount of the participation fee owing on
the licensee’s first anniversary date. The department must be satisfied that the applicant is
calculating the amount due in good faith and using the best information available.
(a) Foralicensedgraindealer, theanniversarydateisthelastdatetoapplyfortherenewal
of the grain dealer’s license before the license expires as provided in section 203.5.
(b) Foralicensedwarehouseoperator, theanniversarydateisthelastdatetoapplyforthe
renewal of the warehouse operator’s license before the license expires as provided in section
203C.37.
(2) If the department issues the license, the licensee shall recalculate the participation fee
when making a payment on the licensee’s first installment date as provided in paragraph “b”.
The licensee may notify the department of any overpayment and shall notify the department
of any underpayment by the licensee’s first installment date in a manner and according to
proceduresrequiredbythedepartment. Thedepartmentshallrefundanyoverpaymenttothe
licensee and the licensee shall pay any additional amount resulting from an underpayment.
b. A licensee shall remit a participation fee in one installment as part of a license renewal
application in the same manner provided in paragraph “a”. However, the licensee may elect
to remit the participation fee on four successive installment dates, with each installment date
occurring in the month succeeding the last assessment quarter as provided in section 203D.3,
onadatedeterminedbyrulesadoptedbythedepartment. Thelicenseeshallremittwenty-five
percent of the total participation fee assessed on each installment date.
§203D.3A, GRAIN DEPOSITORS AND SELLERS INDEMNIFICATION 4
c. A licensee is delinquent if the licensee fails to submit the payment when due or if, upon
examination, an underpayment of the fee is found by the department.
d. A licensee shall not pass on the cost of a participation fee to sellers. The department
may suspend or revoke the license of a grain dealer for passing on the cost, as provided in
chapter 203.
2. a. A licensed grain dealer shall remit a per-bushel fee on all purchased grain.
b. Thelicensedgraindealershallremittheper-bushelfeetothedepartmentonaquarterly
basis in the manner and using a form prescribed by the department. The licensed grain
dealer shall remit the per-bushel fee and form on four successive installment dates, with each
installment date occurring in the month succeeding the last assessment quarter as provided
in section 203D.3, on December 15, March 15, June 15, and September 15.
c. A licensed grain dealer is delinquent if the grain dealer fails to remit the full quarterly
per-bushel fee and form when due or if, upon examination, an underpayment of the fee is
found by the department. The licensed grain dealer is subject to a penalty of ten dollars for
each day the licensed grain dealer is delinquent or an amount equal to the amount of the
deficiency, whichever is less. However, a licensed grain dealer who fails to remit the full
quarterly per-bushel fee or form when due is subject to a minimum payment of ten dollars.
The department may establish and apply a margin of error in determining whether a licensed
grain dealer is delinquent.
d. The per-bushel fee shall not be collected more than once on each bushel of grain. A
licensed grain dealer may pass on the cost of a per-bushel fee to the sellers by an itemized
discount noted on the settlement sheet. However, if the per-bushel fee is not in effect, a
licensed grain dealer shall not make such a discount on the purchase of grain. A discount
made nominally for the per-bushel fee while the per-bushel fee is not in effect is grounds for
a license suspension or revocation under chapter 203.