Was an interesting question for a first post

The inspector also called back and said he had no problem using the transformer as long as article 682 guidelines where followed. I am still concerned that the feeder grounding wire is bare and not insulated and by this wire being in uf cable does this make it insulated?
I believe the "insulated wire" requirement is for a grounded conductor, AKA neutral. In this case, it will not be used for a neutral, and will be used only to bond the two grounding systems together. I can see no reason why it would matter if this conductor is grounded or not.
I know I made a tongue-in-cheek comment about it, but I would not consider the bare copper wire in UF to be insulated.