March 22, 2010
For Immediate Release
Laura Sinnwell, Communications Director
Email: [email protected]
GOVERNOR CULVER SIGNS BILL TO MODERNIZE IOWA’S GRAIN INDEMNITY FUND
Des Moines, IA – Iowa’s Grain Indemnity Fund (GIF) Assessment is over 20 years old and was in desperate need of modernization. Today Governor Culver signed into law Senate File 2299, a bill that updates the GIF and holds all participants accountable.
The Agribusiness Association of Iowa (AAI) has researched and discussed the GIF for nearly three years. Modernizing the GIF as it relates to the grain industry became AAI’s top legislative priority heading into the 83rd Iowa General Assembly. The bill Governor Culver signed into law today creates a more relevant and equitable assessment formula, if the GIF is subjected to significant liability or default. Every bushel that could pose a liability for the Iowa GIF will now be counted if an assessment were necessary, as opposed to the old system that failed to include more than 60% of the grain produced in Iowa.
Representative Andrew Wenthe (D-House District 18), a key advocate in passing this legislation said, “This is taking care of an inequity that had resulted for the past 23 years. It was time to modernize this fund.”
“AAI’s intent was to create a legislative remedy that would modernize the assessment and hold all Grain Indemnity Fund participants accountable if there is a future need to replenish the fund,” stated Agribusiness Association of Iowa CEO Mark Reisinger, “The bill signed into law by Governor Culver finally creates equality so that everyone who benefits from the Grain Indemnity Fund is also responsible for replenishing the fund if there is a future need.”
The Agribusiness Association of Iowa exists to advocate, communicate and educate on behalf of the agribusiness industry. AAI represents over 1,000 ag retail and wholesale locations in Iowa that supply feed, seed, crop protection chemicals, grain, fertilizer, equipment and other agriculture products. For more information, please go to www.agribiz.org.