Tie vote leaves grain indemnity reform unresolved; bill laid over

Chair Anderson presented House File 3549 and the A1 amendment, which would restrict uses of the Grain Indemnity Fund and seek to preserve fund interest until a $15 million threshold is met.

Chair Anderson argued the amendment would put "guardrails" around fund use and protect farmers who depend on the indemnity account after a recent bankruptcy in Nebraska produced claims against the fund. "We can't take any money out of that fund for purposes other than is in the statute," the chair said, noting current fund balances and recent claims.

Opponents cautioned that the legislature cannot bind future legislatures. Representative Frederick asked whether a future session could override the provision; house research confirmed the legislature cannot bind successors. Representative Hansen recommended a no vote because locking $15 million could limit fiscal flexibility for other needs. Representative Burkel described prior local bankruptcies that left farmers waiting and receiving a small fraction of claims, reinforcing support for protective language.

Representative Gander and others questioned whether the amendment actually prevents future transfers and said the provision may be largely symbolic rather than legally binding. Representative Gander and Representative Gottfried both indicated they would vote no.

A roll call was requested. The clerk recorded seven ayes and seven nays. The chair announced: "there being 7 ayes and 7 nays, the motion lacks an affirmative vote of the majority of the committee membership and the motion does not prevail," and the bill was laid over for future consideration.

The transcript records the tie and the chair's ruling; committee members differed on whether a tie should be recorded as a bill failure or laid over, but the chair laid the bill over for future consideration.