GRAIN WAREHOUSE INSPECTION PROGRAM
The Grain Warehouse Inspection program administers and enforces the Kansas Public Warehouse Law relating to grain storage. It requires that any entity that stores grain for the public be licensed. It ensures that Kansas grain producers have safe, solvent warehouses where they may store their commodities. To achieve this, the program examines state-licensed facilities at least once each year. More examinations are made on licensed facilities that meet only the minimum financial requirements.
Examinations help:
Eliminate fraud in the grain industry.
Ensure the quantity of stored commodities in Kansas licensed warehouses.
Maintain the percentage of loss to producers at zero.
The Grain Warehouse Inspection program has a new statute that allows grain companies to furnish an irrevocable letter of credit along with a bond to obtain a license. The licensed elevator, with the approval of the Grain Warehouse Inspection program, is allowed to move warehouse-receipted grain to another licensed, bonded terminal elevator. This allows smaller facilities to free up bin space for the next harvest. Also, with the program's approval, licensed facilities may use emergency or conditional storage space during harvest when storage space is in short supply. This allows the elevator to better serve Kansas crop producers.
Grain warehouse laws may be found at K.S.A. 34-101 through 34-2,113.