§ 248. Dealers to be licensed and to provide security and to deposit
fee. 1. (a) No person shall act as a dealer unless licensed as provided
in this article. Application shall be made upon such forms and at such
times as prescribed by the commissioner. Renewal applications shall be
submitted to the commissioner at least thirty days prior to the
expiration of the existing license. No action will be taken on
applications deemed incomplete by the commissioner. The applicant shall
furnish evidence of his or her good character, financial statements,
prepared and certified by a certified public accountant when required by
the commissioner, and evidence that he or she has adequate physical
facilities for receiving and handling farm products or processing farm
products if he or she is to act as a dealer. The commissioner, if so
satisfied, shall issue to such applicant, upon the filing of a bond or
letter of credit and upon payment of a fee to be deposited into the
agricultural producers security fund as hereinafter provided, a license
entitling the applicant to conduct the business of a dealer in farm
products for a period of one year. Notwithstanding any other provision
of this section, an applicant who intends to pay and a licensee who pays
upon delivery for purchases of farm products from producers, in cash, or
cash equivalent, including only certified or bank check, money order,
electronic funds transfer, or by debit card, shall be exempt from filing
a bond or letter of credit. In the event that a licensee who has been so
exempted from filing a bond or letter of credit fails to pay cash or a
cash equivalent upon delivery for any purchase of farm products from a
producer, such licensee shall file a bond or letter of credit as
otherwise required by this section with the commissioner no later than
ten business days from the date the commissioner notifies the licensee
that such bond or letter of credit is required.

(b) The commissioner is authorized to stagger the commencement of the
license year among licensees, and shall prorate the license application
fee and agricultural producers security fund fee accordingly.
Notwithstanding any other provision of law to the contrary, the
commissioner is hereby authorized and directed to deposit all license
fees received pursuant to this section in the agricultural producers
security fund.

2. Before commencing or doing any business for the time for which a
license has been issued, said license shall be enclosed in a suitable
wood or metal frame having a clear glass space and a substantial wood or
metal back so that the whole of said license may be seen therein, and
shall be posted and at all times displayed in a conspicuous place in the
room where such business is carried on, so that all persons visiting
such place may readily see the same.