MI SB0900

Establishes a 10-member board of directors to govern the Farm Produce Insurance Authority, including the state agriculture director as nonvoting chair and nine appointed members representing grain dealers, general farmers, corn, soybean, dry bean, and wheat producers, and agricultural lenders.

Allows the board to borrow money for up to 40 years with interest and financing charges, procure insurance, employ personnel, and establish producer and administrative premiums from fund revenues.

Requires licensees to deduct producer premiums (not exceeding 0.2% of net proceeds) from producer payments and remit them to the authority within 30 days of each quarter; producer premiums are suspended when the fund exceeds $10,000,000 and reinstated if it falls below $3,000,000.

Establishes fund investment authority through bank trust departments or registered investment advisors, limiting investments to government bonds, deposit accounts, investment-grade corporate and municipal bonds (up to 45%), and publicly traded stocks (up to 11.25%).

Allows eligible producers to claim 100% reimbursement for storage losses or 90% for financial losses from the fund when a grain dealer fails, subject to a one-year filing deadline and various eligibility restrictions.