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Public Utilities Commission's Grain Warehouse Program

Monitoring the grain industry in South Dakota is a significant responsibility of the Public Utilities Commission. The PUC licenses and regulates the following entities:

  • State-licensed grain storage warehouses
  • Federally-licensed grain storage warehouses holding state grain-buyer licenses
  • Grain Buyer: Any person who purchases grain for the purpose of reselling the unprocessed grain or who purchases $300,000 worth or more of grain directly from producers in a license year (July 1 – June 30).
    • Class A + Voluntary Credit Sale (VCS) Grain Buyer: Buyer may exceed $5,000,000 in annual grain purchases, may utilize voluntary credit sale contracts, and must have $500,000 in financial equity. Buyer is required to carry insurance on their grain stock and submit a financial balance sheet quarterly. Fiscal year-end financial statement needs to be prepared at an audited or reviewed level.
    • Class A – No Voluntary Credit Sale (VCS) Grain Buyer: Buyer may exceed $5,000,000 in annual grain purchases, may NOT utilize voluntary credit sale contracts, and must have $250,000 in financial equity. Buyer is required to carry insurance on their grain stock and submit a financial balance sheet quarterly. Fiscal year-end financial statement needs to be prepared at an audited or reviewed level.
    • Class B Grain Buyer: Buyer may NOT exceed $5,000,000 in annual grain purchases, may NOT utilize voluntary credit sale contracts, and must have $100,000 in financial equity. Fiscal year-end financial statement can be prepared at a compiled level.

The PUC grain warehouse staff consists of a manager, an administrator/inspector and two full-time inspectors. The Grain Warehouse staff also receives services and support from the PUC executive director; deputy executive director; legal, administrative and communications staff.

Grain FAQs
The PUC has put together two faqs to answer some common questions about the South Dakota Grain Warehouse program.

  • Our Grain Producer FAQ focuses on the important role producers play in maintaining a healthy grain industry in South Dakota. Some of the questions answered in this FAQ explain things like what producers can do to make sure they are working with a company in good standing and what steps a producer should take if concerned about the financial stability or payment practices of a company.

  • The Grain FAQ provides more general information about South Dakota's grain industry, explains grain industry terms as defined by South Dakota law, and details what regulatory authority the PUC does and does not have.

Grain Warehouse and Grain Buyer annual license renewals are due by July 1, 2024.
Application Form
Form 7 (a)
Form 12 (a)
Form 13 (a)


List of currently licensed Grain Warehouses/Grain Buyers* 
This list is for informational purposes only and should not be used for solicitation.

*This list may change. The PUC attempts to keep this list current. If you have a question about an entity that is not listed, please call the warehouse Staff at (605) 773-3201 or e-mail the PUC.

Each state-licensed grain warehouse is required to post a warehouse bond equal to one-half the local market value of the customer-owned grain stored at all their locations. However, a warehouse shall provide a minimum bond of $25,000 at any one municipality or location.

Each state-licensed grain buyer is required to post a minimum $50,000 bond. The bond requirement is determined by a company's average purchases over a three-year period.

State-licensed grain warehouses are required to file monthly grain storage reports for each licensed facility. The dollar amount of the warehouse bond requirement is determined by the value of the customer-owned stored grain. The PUC warehouse staff reviews the monthly grain reports to determine the market value of the stored grain. This is compared with the current warehouse bond level and a bond increase rider may be required to ensure requirements of state law are being met.

The warehouse staff works to reduce producer risk by reviewing the grain buyer and grain warehouse financial statements each year and by performing regular on-site inspections. Problems are identified and addressed. Depending on the nature and severity of problems identified, the commission may: 1.) issue a memorandum of adjustments; 2.) suspend, revoke or deny a license; 3.) require additional bond coverage to compensate for increased risk; 4.) impose limitations on management decisions when risks become excessive.

The commission regularly assists producers with problems they encounter with licensed and unlicensed grain buyers. Feedback from producers is one of the best resources the PUC uses for identifying problems with a grain buyer or grain warehouse. Producers who are not being paid in a timely manner are encouraged to report problems to the PUC by calling 1-800-332-1782 or sending an Email.

Grain Warehouse Informational Filings
The PUC posts non-docketed information regarding grain warehouse issues.

Laws and Rules: Grain Buyer/Warehouse Application Forms and Instructions: Publications: