Text: S05059 Text: S05061 Text: S05000 - S05099 Text: S Index Bills and Amendments: General Index Bill History: General Index
PAG LIN
1 1 Amend Senate File 2135 as follows:
1 2 #1. Page 1, by striking lines 32 through 34 and
1 3 inserting the following:
1 4 "i. A cooperative corporation organized under
1 5 chapter 501, if the cooperative buys grain from
1 6 producers who are members or a licensed grain dealer,
1 7 and the cooperative does not resell that grain."
1 8 #2. Page 10, by inserting after line 35 the
1 9 following:
1 10 "Sec. . NEW SECTION. 501.305 FINANCIAL
1 11 INFORMATION.
1 12 The cooperative shall make available financial
1 13 information to its membership by doing either of the
1 14 following:
1 15 1. Preparing and providing to its members a
1 16 financial statement for the cooperative's last fiscal
1 17 year.
1 18 a. The financial statement must be based upon an
1 19 unqualified opinion based upon an audit performed by a
1 20 certified public accountant licensed in this state.
1 21 However, a qualification in an opinion is valid, if it
1 22 is unavoidable by any audit procedure that is
1 23 permitted under generally accepted accounting
1 24 principles. An opinion that is qualified because of a
1 25 limited audit procedure or because the scope of an
1 26 audit is limited is invalid for purposes of this
1 27 section.
1 28 b. The financial statement must disclose the
1 29 assets, liabilities, and net worth of the cooperative.
1 30 The financial statement must be prepared according to
1 31 generally accepted accounting principles. Assets must
1 32 be shown at original cost less depreciation, or based
1 33 upon a valuation in accordance with a competent
1 34 appraisal. Unpriced contracts for agricultural
1 35 commodities or products must be shown as a liability
1 36 and valued at the applicable current market price of
1 37 the agricultural commodities or products as of the
1 38 date the financial statement is prepared.
1 39 2. Honoring a demand to provide access at all
1 40 reasonable hours at its offices the books, records,
1 41 accounts, papers, documents, and computer programs or
1 42 other recordings relating to the property, assets,
1 43 business, and financial affairs of the cooperative.
1 44 The demand shall be in writing and signed by at least
1 45 fifty percent of all the members of the cooperative.
1 46 The cooperative shall honor the demand within one day
1 47 from its receipt. Upon receipt of the demand, the
1 48 cooperative must provide access to one or more persons
1 49 selected by the fifty percent of the members to
1 50 conduct the examination."
2 1 #3. Page 16, line 23, by inserting after the word
2 2 "stock" the following: ", other than voting stock,".
2 3 #4. By striking page 16, line 30, through page 17,
2 4 line 9, and inserting the following:
2 5 "Sec. . NEW SECTION. 501.502 TERMINATION OF
2 6 MEMBERSHIP.
2 7 1. A membership shall terminate upon the death of
2 8 the member.
2 9 2. The articles or bylaws may authorize the board
2 10 to terminate a membership for any of the following
2 11 reasons:
2 12 a. The member has attempted to transfer stock to a
2 13 person who is not a member and has not been approved
2 14 for membership.
2 15 b. The member has failed to meet the member's
2 16 commitment to provide products to the cooperative or
2 17 to buy the cooperative's products.
2 18 c. The member is no longer an authorized person.
2 19 d. The member is no longer a farming entity.
2 20 3. A member's right to vote at member meetings
2 21 shall cease upon termination of the membership.
2 22 4. The cooperative shall redeem, without interest,
2 23 the voting stock of a terminated member within one
2 24 year after the termination of the membership for the
2 25 fair market value of the stock. If the amount
2 26 originally paid by the member for the voting stock was
2 27 less than ten percent of the total amount the member
2 28 paid for all classes of stock, the cooperative may
2 29 redeem the voting stock for its issue price if the
2 30 cooperative's articles of incorporation grant the
2 31 cooperative this authority.
2 32 5. The cooperative shall redeem, without interest,
2 33 all of the terminated member's allocated patronage
2 34 refunds and preferred stock originally issued as
2 35 allocated patronage refunds for the issue price. A
2 36 cooperative shall make this payment within one year
2 37 after the termination of the membership. However, if
2 38 a terminated member's current equity equals or exceeds
2 39 two percent of the cooperative's total members'
2 40 equity, the cooperative shall redeem the terminated
2 41 member's equity in annual amounts of not less than
2 42 fifteen percent of the total amount provided that the
2 43 entire amount must be redeemed within seven years."
2 44 #5. By renumbering as necessary.
2 45
2 46
2 47
2 48 BERL E. PRIEBE
2 49
2 50
3 1
3 2 DERRYL McLAREN
3 3 SF 2135.504 76
3 4 da/jw
Text: S05059 Text: S05061 Text: S05000 - S05099 Text: S Index Bills and Amendments: General Index Bill History: General Index
Iowa General Assembly
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