SENATE BILL REPORT

                   SB 6019

               As Passed Senate, March 13, 1999

Title:  An act relating to crop credit associations.

Brief Description:  Eliminating authority for crop credit associations.

Sponsors:  Senator Rasmussen.

Brief History:

Committee Activity:  Agriculture & Rural Economic Development:  3/3/99 [DP].

Passed Senate, 3/13/99, 44-0.

SENATE COMMITTEE ON AGRICULTURE & RURAL ECONOMIC DEVELOPMENT

Majority Report:  Do pass.

  Signed by Senators Rasmussen, Chair; T. Sheldon, Vice Chair; Gardner, Honeyford, Morton, Prentice, Stevens and Swecker.

Staff:  Bob Lee (786-7404)

Background:  In 1921, legislation was enacted that created a process for growers to form crop credit associations.  Two classes of crop credit associations were established:

A.temporary crop credit associations which exist for one year; and

B.permanent crop credit associations that shall exist for a term not exceeding 50 years.

The Director of Agriculture has general charge and supervisory powers over crop credit associations.  The Director of Agriculture is to file with the Secretary of State a $5,000 bond conditioned on the faithful discharge of his duties.

Articles of association are required to be filed with the Department of Agriculture and the Secretary of State.  Additionally, an annual license fee is to be collected by the Secretary of State from crop credit associations.

Neither the Department of Agriculture nor the Secretary of State have any record of the existence of any crop credit associations having been formed under this chapter.

Summary of Bill:  Repealed is the chapter that provides for creation and supervision of crop credit associations.

Appropriation:  None.

Fiscal Note:  Not requested.

Effective Date:  Ninety days after adjournment of session in which bill is passed.

Testimony For:  There is no record that shows this statute has even been used.

Testimony Against:  None.

Testified:  PRO:  Mary Beth Lang, WA State Dept. of Agriculture; Dan Coyne, Council of Farmer Co-ops.