Oct 30, 2025Bill would repeal licensing requirement for Michigan wholesale potato dealers
A Michigan bill that would repeal a 1964 rule that requires wholesale potato dealers to purchase licensing is scheduled to be discussed Oct. 30 during a House Agriculture Committee hearing.
House Bill 4882, introduced by House Ag Committee Chair Jerry Neyer, would repeal Act 158 of 1964, which requires wholesale potato dealers to register with the Michigan Department of Agriculture & Rural Development and carry a $100,000 bond to cover debts to suppliers in the case of the wholesaler filing bankruptcy. HB 4882 has five cosponsors.
Act 158, in essence, serves the same purpose as the federal Perishable Agricultural Commodities Act (PACA), which establishes a statutory trust. PACA gives produce sellers a super-priority claim on a buyer’s assets, which includes fresh fruits and vegetables, and any products or proceeds derived from them.
Potato growers must take specific steps to preserve trust benefits, typically by including specific language on invoices, to receive this protection.
