Ind. Code ch. 26-4-4

Ind. Code ch. 26-4-4
in effect

Ind. Code § 26-4-4-1 Establishment of fund; fiscal year

Sec. 1. (a) The Indiana grain indemnity fund is established for the purpose of providing money to pay producers for losses incurred due to the revocation of a license of a grain buyer or warehouse operator licensed under IC 26-3-7. The fund shall be administered by the board of the corporation. (b) The fund consists of money collected under this chapter. (c) The fund shall operate on a fiscal year of July 1 to June 30. As added by P.L.250-1995, SEC.1. Amended by P.L.173-1999, SEC.18; P.L.75-2010, SEC.24; P.L.60-2015, SEC.14; P.L.114-2025, SEC.64.

Ind. Code § 26-4-4-2 Fund administration expenses

Sec. 2. (a) The administrative expense account is created within the fund. (b) The expenses of administering the fund and paying administrative expenses must be paid from money in the administrative expense account. (c) The board may transfer annually not more than three hundred fifty thousand dollars ($350,000) from the fund to the administrative expense account. (d) Administrative expenses under this section may include: (1) processing refunds; (2) enforcement of the fund; (3) record keeping in relation to the fund; (4) the ordinary management and investment fees connected with the operation of the fund; (5) a study of fund solvency, practices, and procedures; (6) a performance review of the agency's auditing practices and procedures; (7) professional development and training programs for agency staff that are closely relevant to the auditing, licensing, and other regulatory functions of the agency; (8) technology software updates and technology support services that are closely relevant to the auditing, licensing, and other regulatory functions of the agency; (9) professional training for board members on the board members' duties and responsibilities; (10) the use of supplemental consulting services; (11) hiring a manager or a management firm; (12) hiring legal counsel or seeking legal consultation; and (13) paying legal fees and legal expenses in an action brought against, or by, the corporation or board and that have been approved by the board. (e) The agency may not use money in the administrative expense account for expenses other than the expenses described in subsection (d). As added by P.L.250-1995, SEC.1. Amended by P.L.5-2009, SEC.2; P.L.60-2015, SEC.15; P.L.145-2017, SEC.16; P.L.208-2021, SEC.15; P.L.114-2025, SEC.65.

Ind. Code § 26-4-4-3 Premiums held in trust; investment of fund; interest; reversion

Sec. 3. (a) All producer premiums submitted to the board by a grain buyer under section 6(b) of this chapter shall be held by the corporation in trust in the fund for carrying out the purposes of this article. The treasurer of state shall invest the money in the fund not currently needed to meet the obligations of the fund in the same manner as other public funds may be invested. Interest earned from these investments shall be credited to the fund. (b) Money in the fund at the end of a state fiscal year does not revert to the state general fund. As added by P.L.250-1995, SEC.1.

Ind. Code § 26-4-4-4 Producer premiums

Sec. 4. (a) Except as provided in section 8 of this chapter, beginning on July 1, 2015, the producers of grain shall be charged a producer premium equal to two-tenths percent (0.2%) of the price on all marketed grain that is sold to a first purchaser licensee. (b) The producer premiums required under this section are in addition to any other fees or assessments required by law. (c) The amount of the producer premium must be calculated using the gross sales price of the grain, including all premiums and discounts for moisture, quality, variety, or any other characteristic of the grain. The producer premium must be calculated before the deduction of marketing assessments, storage, drying, cleaning, or any other service charge. As added by P.L.250-1995, SEC.1. Amended by P.L.60-2015, SEC.16; P.L.145-2017, SEC.17; P.L.114-2025, SEC.66.

Ind. Code § 26-4-4-5 Notice of producer premium deductions

Sec. 5. The agency shall notify each grain buyer licensed under IC 26-3-7 that producer premiums described in section 4 of this chapter shall be deducted from the purchase price of the grain on and after the date specified in the notice. The notice must be sent by first class mail. As added by P.L.250-1995, SEC.1. Amended by P.L.75-2010, SEC.25.

Ind. Code § 26-4-4-6 Submission of producer premiums to finance fund

Sec. 6. (a) When purchasing grain, a grain buyer, a grain buyer's agent, or a grain buyer's representative shall: (1) deduct the producer premium described in section 4 of this chapter from the producer's payment; and (2) document the producer premium paid by the producer. (b) A grain buyer shall submit producer premiums collected under subsection (a) to the board for the purpose of financing or contributing to the financing of the fund by: (1) October 31 for producer premiums collected during the months of July, August, and September; (2) January 31 for producer premiums collected during the months of October, November, and December; (3) April 30 for producer premiums collected during the months of January, February, and March; and (4) July 31 for producer premiums collected during the months of April, May, and June. Each grain buyer shall, in accordance with the time frame set forth in this subsection, remit to the corporation the producer premium along with the remittance form provided by the corporation and completed by the grain buyer. As added by P.L.250-1995, SEC.1. Amended by P.L.114-2025, SEC.67.

Ind. Code § 26-4-4-7 Inspection of books and records; verification; confidentiality

Sec. 7. (a) The: (1) books and records of each grain buyer must clearly indicate the producer premiums collected by the grain buyer; and (2) portion of the books and records reflecting the premiums collected must be open for inspection by the corporation, board, board's authorized agents, director, or the director's designated representative during regular business hours. (b) Each grain buyer shall keep accurate and correct records of grain purchased from producers documenting the producer premiums paid by producers. The records must be maintained by the grain buyer for a period of five (5) years from the date of remittance of the producer premiums to the corporation. The records must be available to authorized agents of the corporation during normal business hours. (c) The corporation, board, board's authorized agent, director, or the director's designated representative may take steps reasonably necessary to verify the accuracy of the portion of a grain buyer's books and records that reflect the premiums collected. The information obtained under this section is confidential for purposes of IC 5-14-3-4(a)(1). Unless otherwise required by judicial order, the information obtained under this section may be disclosed only to parties empowered to see or review the information. The corporation, board, or director may respond to inquiries or disclose information obtained under this section only in accordance with guidelines set forth in IC 26-3-7-6.5. (d) Notwithstanding subsections (a) and (c), the verification permitted under subsection (c) must be completed by the agency unless two-thirds (2/3) of the board vote to have the verification completed by an independent auditor. As added by P.L.250-1995, SEC.1. Amended by P.L.114-2025, SEC.68.

Ind. Code § 26-4-4-8 Amount of fund; basis for suspension and reinstatement of producer premium collection; collection time frame

Sec. 8. (a) The producer premiums required under section 4 of this chapter must be collected until the fund contains more than twenty-five million dollars ($25,000,000), as of June 30 of any given year. (b) Except as provided in subsection (c), after the fund reaches twenty-five million dollars ($25,000,000), the board may not require the collection of additional producer premiums until the amount in the fund drops below twenty million dollars ($20,000,000), as determined under section 9 of this chapter. In a year when the board determines that the fund is at or below twenty million dollars ($20,000,000), the board shall reinstate the collection described in this chapter. (c) The board shall reinstate the collection described in this chapter if as of May 1: (1) the fund contains at least twenty million dollars ($20,000,000); (2) the board is aware of the revocation of a license of a licensee; and (3) the amount of compensation from the fund to cover producers' claims, as determined by the board, is equal to or greater than the amount of money in the fund. (d) Collections must occur from September 1 through August 30 any year collections are made. As added by P.L.250-1995, SEC.1. Amended by P.L.5-2009, SEC.3; P.L.60-2015, SEC.17; P.L.114-2025, SEC.69.

Ind. Code § 26-4-4-9 Certification of fund balance; discretion of board to suspend collection

Sec. 9. (a) At the July meeting required under IC 26-4-3-5, the board shall certify the amount of money in the fund on June 30. (b) Except as provided in section 8(c) of this chapter, the board may not require the collection of a producer premium during a fiscal year when the board certifies under subsection (a) that the fund has money in excess of twenty million dollars ($20,000,000). If the fund is at or below twenty million dollars ($20,000,000), the board shall reinstate the collection. As added by P.L.250-1995, SEC.1. Amended by P.L.5-2009, SEC.4; P.L.75-2010, SEC.26; P.L.60-2015, SEC.18.
Source: Open US Law by Vaquill AI (CC BY 4.0)URL: https://iga.in.gov/laws/2026/ic/titles/26Fetched: 10/17/2026