Checkoff FAQs

What is the corn checkoff?
KRS.247.6001 - It is declared to be in the interest of the public welfare that Kentucky farmers who are producers of corn shall be permitted and encouraged to act jointly and in cooperation with all producers, handlers, dealers, and processors of corn in promoting and stimulating, by utilization research, market maintenance and expansion, and education, the increased use and sale, domestic and foreign, of corn and corn products; and for the prevention, modification, or elimination of trade barriers which obstruct the free flow of corn and corn products to market.

What is the amount of the assessment?
The assessment is one-fourth of one percent (.0025) of the gross marketed price of the corn due to a producer for the sale of corn.

What is gross marketed price?
The gross marketed price is the payment due to a producer after normal price discounts such as deductions for moisture, test weight, and foreign matter have been calculated. Otherwise, it is based on the actual value of the corn itself at the time of sale.

Does the assessment apply to corn produced outside of Kentucky but marketed in Kentucky?
Yes. The assessment applies to any sale or transaction when corn is purchased as the first point of sale from the producer in Kentucky. The assessment does not apply to a non-producer transaction such as a sale from dealer to dealer.

When corn is delivered for sale and payment to the producer is made at a later date, when is the assessment deducted?
The assessment is deducted from the purchaser payment at the time of payment to the producer. Therefore, if corn is received and full payment is delayed or partial payment is made, the assessment based on the partial payments is made at the time of the actual payments.

Can a producer that has an assessment deducted obtain a refund?
Yes. This assessment is not a tax but a voluntary investment to promote their product. A corn producer can apply for a complete refund within thirty (30) days of the sale.

How and where can a producer obtain a refund form?
Refunds must be requested in writing and sent to:
Kentucky Corn Growers Association
PO Box 90
Eastwood, KY 40018

The full Kentucky Revised Statute regarding Assessment for Corn Promotion can be found online at http://www.lrc.ky.gov/KRS/247-00/CHAPTER.HTM.

For more information, please contact Laura Knoth at 1-800-326-0906 or laura@kycorn.org.