Section 247.28 - [Effective until 12/30/2024] Storage and inventory of commodities(a)What are the requirements for storage of commodities? State and local agencies must provide for storage of commodities that protects them from theft, spoilage, damage or destruction, or other loss. State and local agencies may contract with commercial facilities to store and distribute commodities. The required standards for warehousing and distribution systems, and for contracts with storage facilities, are included in § 250.12 and § 250.14 of this chapter.(b)What are the requirements for the inventory of commodities? A physical inventory of all USDA commodities must be conducted annually at each storage and distribution site where these commodities are stored. Results of the physical inventory must be reconciled with inventory records and maintained on file by the State or local agency. 70 FR 47063 , Aug. 11, 2005, as amended at 85 FR 68722 , Oct. 30, 2020 Approved by the Office of Management and Budget under control number 0584-0293