STATEHOUSE (March 3, 2010) - State Sen. Ron Alting said a proposal to update the way Indiana farmers and grain buyers conduct business with one another gained final approval from House lawmakers by a vote of 92-0.

House Bill 1230 will now be sent to the governor’s desk, where it could be signed into law, said Alting (R-Lafayette), sponsor of the measure.

“This measure provides better coordination between Indiana’s Grain Buyers and Warehouse Licensing Agency (GBWLA) and Indiana Grain Indemnity Corp. (IGIC),” Alting said. “These two groups work hand-in-hand to support Hoosier farms and Indiana’s agriculture industry, and today’s vote will help them provide the best results to their clients - grain producers and buyers.”

Alting said the GBWLA provides licensing and audits of grain buyers and warehouses to ensure they are fiscally sound and able to do business. IGIC, a producer-funded program, reimburses grain producers for losses when the fault lies with the grain buyer or warehouse.

Together, these organizations create a safety net for farmers against unforeseeable losses.

 ”Over the years, little tweaks and changes have been made to one organization’s rules without consideration for the other organization,” Alting said. “Because these two groups work in tandem, it was important to Indiana’s farming community that we clarify these issues and place organizational rules on the books.”

Volatility in grain, livestock and ethanol markets recently lead some to question whether or not unforeseeable losses could be covered by the IGIC, Alting said.

“After close examination, it was determined these losses would be covered, but this review also found a need to update and clarify statutes and rules to help avoid confusion in procedures and responsibilities,” Alting said. “As chair of the Senate Committee on Commerce, I wanted to take an active role in safeguarding our Hoosier grain industry.”

Sen. Alting represents Senate District 22, which includes a portion of Tippecanoe County.