203D.4 - INDEMNITY FUND BOARD.
203D.4 INDEMNITY FUND BOARD.
1. The Iowa grain indemnity fund board is established to advise
the department on matters relating to the fund and to perform the
duties provided it in this chapter. The board is composed of the
secretary of agriculture or a designee who shall serve as president;
the commissioner of insurance or a designee who shall serve as
secretary; the state treasurer or a designee who shall serve as
treasurer; and four representatives of the grain industry appointed
by the governor, subject to confirmation by the senate, two of whom
shall be representatives of producers and who shall be actively
participating producers, and two of whom shall be representatives of
licensed grain dealers and licensed warehouse operators and who shall
be actively participating licensed grain dealers and licensed
warehouse operators, each of whom shall be selected from a list of
three nominations made by the secretary of agriculture. The term of
membership of the grain industry representatives is three years, and
the representatives are eligible for reappointment. However, only
actively participating producers, and grain dealers and warehouse
operators are eligible for reappointment. The grain industry
representatives are entitled to a per diem as specified in section
7E.6 for each day spent in the performance of the duties of the
board, plus actual expenses incurred in the performance of those
duties. Four members of the board constitute a quorum, and the
affirmative vote of four members is necessary for any action taken by
the board, except that a lesser number may adjourn a meeting. A
vacancy in the membership of the board does not impair the rights of
a quorum to exercise all the rights and perform all the duties of the
board.
2. The duties of the board include the review and determination
of claims, and the review and approval of administrative costs of the
fund. To carry out these duties, the board has the power to adopt
rules regarding its organization and procedures for determining
claims. Further, the board shall approve rules proposed by the
department for the administration of the per-bushel fee prior to
their adoption by the department. The board may provide comment and
advice to the department in regard to the department's administration
of chapters 203 and 203C where the department's policies and rules
may affect the exposure of the fund to liability. However, the board
shall not become actively involved in a determination by the
department as to whether disciplinary action is to be taken against a
particular licensee. The board is not a forum for review or appeal
in regard to any particular action taken by the department against a
licensee.
3. The department through the grain warehouse bureau shall
perform the administrative functions necessary for the operation of
the board and the fund. Administrative costs approved by the board
shall be paid from the fund. The rules of the department shall
contain the rules of the board adopted for its organization and its
procedures. The department shall adopt rules for the administration
of the per-bushel fee upon the board's approval of the rules proposed
by the department. The secretary of agriculture, as president of the
board as well as head of the department of agriculture and land
stewardship, shall administer the department so as to minimize the
risk of loss to the fund while protecting interests of depositors and
sellers of grain. Policies and rules for the administration of
chapters 203 and 203C which, as determined by the secretary of
agriculture, may affect the exposure of the fund, shall be presented
to the board for comment prior to their adoption by the department.
The department shall make reports to the board in regard to licensee
investigations which may result in disciplinary action against a
licensee and exposure of the fund. The reports may be discussed by
the board in closed session pursuant to section 21.5, and are
confidential. In making the report, the department shall make
available to the board records of licensees which are otherwise
confidential under section 22.7, 203.16, or 203C.24. However, a
determination to take disciplinary action against a particular
licensee shall be made exclusively by the department. A report to
the board is not a prerequisite to disciplinary action against a
licensee. Review of any action against a licensee, whether or not
relating to the fund, shall be made exclusively through the
department. Section History: Recent Form
86 Acts, ch 1152, § 34
C87, § 543A.4
87 Acts, ch 147, §16; 89 Acts, ch 143, §906; 90 Acts, ch 1256, §
49
C93, § 203D.4
2008 Acts, ch 1083, §16
Referred to in § 203D.1
Confirmation, see § 2.32