I have been retired for a while and am not up on the current codes but 6 or 7 years ago we could use a ground rod at a sub panel as long as there was no other conductor running between the building containing the main service and the outbuilding that could act as a ground fault path. In other words if there was a metal gas pipe, metal water pipe, metal conduit, or according to our local state inspector even a telephone line, you had to pull a 4th conductor for a ground fault conductor. In the 2002 code that was spelled out in the code section 250:32
Whether you use a ground rod or a 4th conductor as a grounding conductor (NEC calls this the Equipment Grounding Conductor) the ground and the neutral (NEC calls this the grounded conductor) have to be isolated in the subpanel.
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Today's Featured Article - An Old-Time Tractor Demonstration - by Kim Pratt. Sam was born in rural Kansas in 1926. His dad was a hard-working farmer and the children worked hard everyday to help ends meet. In the rural area he grew up in, the highlight of the week was Saturday when many people took a break from their work to go to town. It was on one such Saturday in the early 1940's when Sam was 16 years old that he ended up in Dennison, Kansas to watch a demonstration of a new tractor being put on by a local dealer. It was an Allis-Chalmers tractor dealership,
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