[Code of Federal Regulations]
[Title 7, Volume 7]
[Revised as of January 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 7CFR735.3a]

[Page 217]
 
                          TITLE 7--AGRICULTURE
 
                            CHAPTER VII--FARM
                SERVICE AGENCY, DEPARTMENT OF AGRICULTURE
 
PART 735--COTTON WAREHOUSES--Table of Contents
 
Sec. 735.3a  All facilities to be licensed or exempted.

    All facilities within the same city or town used for the storage of 
cotton by an applicant for a warehouse license must qualify for a 
license and be licensed under the act if the applicant is to be licensed 
to operate as a cotton warehouseman in such city or town, unless the 
facilities which are not to be covered by a license are exempted by the 
Secretary or his designated representative upon a finding that, due to 
the exercise of adequate controls by some independent agency over the 
operation of nonfederally licensed facilities, there would be no 
likelihood of interchange or substitution of cotton stored in such 
facilities with cotton stored in the federally licensed facilities. If 
all such facilities do not qualify for a license or for an exemption 
under this section, the applicant shall not be licensed under the act as 
a cotton warehouseman in the city or town in which the facilities in 
question are located. Each applicant for a warehouse license must apply 
for a license covering all facilities operated by him for the storage of 
cotton within the same city or town or for exemption as provided in this 
section. If a licensed cotton warehouseman acquires any additional 
cotton storage facilities within the same city or town in which his 
licensed warehouse is located, he shall file promptly an application for 
a license or an exemption of the additional facilities. No cotton 
storage facility acquired by a licensed cotton warehouseman, subsequent 
to the issuance of his license, in the same city or town as his licensed 
facilities, shall be used for the storage of cotton until it qualifies 
for license and is licensed or is exempted as provided in this section. 
If any one of the licensed cotton storage facilities operated by a 
warehouseman in the same city or town becomes ineligible for a license 
at any time for any reason, it shall not thereafter be used for the 
storage of cotton until the condition making it ineligible is removed or 
an exemption is granted as provided in this section. The use for the 
storage of cotton by a licensed warehouseman of a facility which is in 
the same city or town as his licensed facilities and is neither licensed 
nor exempted, or other violation of the provisions of this section, 
shall be cause for suspension or revocation of any license issued to the 
warehouseman for the storage of cotton.