1. ND Grain Dealers Association January 20, 2014

2. License Types State Grain Warehouse - 176 firms with 285 locations Federal Warehouse (facility based grain buyer) - 20 firms with 113 locations Roving Grain Buyer - 77 licensees

3. Grain Warehouse Exam Procedure Grain Inventory - Must cover storage obligations Licensed Space - Has capacity changed? - Does bond need to be changed?

4. Grain Warehouse Exam Procedure ◦Warehouse Documents ◦ - contracts ◦ - payables ◦ - storage lists ◦ - document check

5. FAIL FAIL Grain Warehouse Exam Procedures ◦General Observations  Required Items to Post  Warehouse Condition

6. Memorandum of Adjustment ◦Conditions to correct  Most common are: Unsigned credit-sale contracts Failure to convert scale tickets

7. Out of Compliance ◦What’s the Big Deal?

8. Duties and Powers of Commission ◦Exercise general supervision ◦Investigate all complaints ◦Examine & inspect licensed warehouses ◦Requires filing of reports pertaining to warehouse operations ◦Make all proper rules for carrying out & enforcing all public warehouse laws

9. In Summary The purpose of the Licensing Division of the PSC is to ensure licensees obey the rules, treat everyone fairly, & disperse equity in case of insolvency A PSC exam does not guarantee that a warehouse is solvent

10. No one can or should protect your $$$ like you can