Indiana Governor Mike Braun has signed the Grain Indemnity Bill (Senate Bill 461) into law on Wednesday.
Bruce Kettler, President and CEO of the AgriBusiness Council of Indiana (ACI), tells Hoosier Ag Today that the new law provides greater clarity for the Indiana Grain Buyers and Warehouse Licensing Agency (IGBWLA) in how to address a grain buyer’s financial deficiencies.
“What is the discretion for the agency—or what discretion does the agency not have when it comes to a notice of deficiency that is in place? That was spelled out very clear, not only in the case of notice of deficiency, but if there need to be meetings,” says Kettler.
He also says the new law will strengthen the financial commitments for Indiana’s grain buyers.
“Basically, with very few exceptions, licensees have to have audited or reviewed level financial statements that the agency use,” says Kettler. “Previously, there could be some exceptions made by the agency and it would just be financial information. However, we’ve strengthened that. Now the law says that there’s no exceptions that the agency has when it comes to financial information and statements that they are able to get from a licensee.”
Kettler says that the foreclosure of Salamonie Mills in Huntington County in 2020 is what motivated Indiana’s ag community to come together to help push this legislation across the finish line.
“Everybody realized that some changes did have to be made. After the [Salamonie Mills foreclosure] lawsuit in Huntington County, the judge’s language on the lawsuit was pretty clear about what had to be done, so we just decided that we’re going to pull in the same direction and get it done. That’s how Indiana agriculture works, and I’m proud to be able to say that that was the case with this as well,” says Kettler.
The new law will officially take effect on July 1, 2025.
CLICK HERE to read the full details of Indiana’s Grain Indemnity Law.
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