Arizona Laws 3-589. Pledge or mortgage of grain; deduction of fee
A. If a pledge or mortgage of grain is given as security for a loan under the federal price support program, the fee is deductible from the proceeds of the loan at the time the loan is made or is deductible thereafter by agencies of the federal government. Producer‘s note and loan agreements pertaining to farm storage, warehouse storage and delivery instructions issued by a federal agency to the grower are deemed to constitute proof of payment of the research and promotional fee on the grain listed.
Terms Used In Arizona Laws 3-589
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Council: means the Arizona grain research and promotion council. See Arizona Laws 3-581
- Grain: means the seed of barley and wheat of all classes produced for use as food, feed or seed or produced for any industrial or commercial use. See Arizona Laws 3-581
- Mortgage: The written agreement pledging property to a creditor as collateral for a loan.
- Producer: means a person, partnership, corporation or cooperative in this state that produces and sells grain in commercial channels. See Arizona Laws 3-581
B. Supplemental or alternate forms which may be proposed by the commodity credit corporation and which contain the necessary information as required by this article may be used.
C. If the grain described in subsection A remains in farm storage for the duration of the pledge or mortgage, the promotional fee paid at the time the loan was made is deemed a complete satisfaction of the promotional fee liability.
D. In connection with the collection of the grain council fee on commodity credit corporation grain loans disbursed and purchase agreement settlements made, undercollections or overcollections of the grain promotional fee amounting to fewer than three dollars as a result of errors do not require collection of the underpayment or refunds of the overpayment by the commodity credit corporation, and their responsibility in such cases is waived.