MI SB0899

Requires grain dealers to maintain allowable net assets of at least $100,000 or post a negotiable bond/restricted account to cover shortfalls in net asset requirements.

Mandates grain dealers submit reviewed or audited financial statements prepared by certified public accountants with applications for license or renewal, including allowable net assets calculations and acknowledgment that the department relies on the statement.

Establishes statutory liens on all farm produce assets of failed grain dealers for claimants holding warehouse receipts, acknowledgments of ownership, or evidence of unpaid farm produce sales.

Creates a priority allocation system for distributing proceeds from liquidated farm produce assets in the following order: warehouse receipt and bailment claimants (first priority), secured and unsecured price later agreement holders (second priority), recent delivery claimants within 30 days prior to failure (third priority), and remaining claimants on pro rata basis (fourth priority).

Takes effect 90 days after enactment, with effective date of September 26, 2016; repeals prior Section 26 of the Grain Dealers Act.