203.22 - PRIORITIZATION OF INSPECTIONS OF GRAIN DEALERS.
203.22 PRIORITIZATION OF INSPECTIONS OF GRAIN
DEALERS.
The department shall develop a system to prioritize the
inspections of grain dealers provided in section 203.9. The system
of prioritization shall be computed each year based on the risk of
loss to the grain depositors and sellers indemnity fund caused by the
possible insolvency of the grain dealer. The department shall
compute the risk by utilizing an available statistical model to
measure the financial condition of grain dealers, and especially
grain dealers who execute credit-sale contracts. Procedures for
utilizing the statistical model shall be adopted by department rules.
The statistical model shall be used to provide risk ratings. A risk
rating shall be used as a factor by the department to prioritize its
inspection schedule. The department may use a risk rating produced
by the statistical model as justification to inspect the grain dealer
at any time. A substantial risk of loss to the grain depositors and
sellers indemnity fund caused by the possible insolvency of the grain
dealer based on the statistical model shall be good cause. Section History: Recent Form
92 Acts, ch 1239, §65
Referred to in § 203.1, 203.9