I have a 200 amp feed through panel (panel 1) mounted on a pole about 80 feet from my house. I used the feed through lugs to power another 200 amp house disconnect (panel 2) (it's mounted outside the house) When I installed the undergtround line from the pole mounted panel (panel 1) I used 3 4/0 aluminum conductors in 3 inch pvc, 2 hot and a comon a long with a bare copper ground. The inspector looked at it and said I must disconnect the bare ground and run two ground wires from panel 2 on the house to a ground rod and the water line. (I think that's what he said). After I did what I thought he said I called him he was sick and his assistant approved it over the phone (this was about 4 years ago). Well I am now getting a permit for my barn wiring and want to make sure I have the house wiring done right in case he looks at it also. Any help with this would be appreciated.

Thanks

NO! You ran the bare equipment ground so it MUST be used. In fact, as of the 2008 NEC you MUST run a 4-wire feeder in this situation.

You must also have a grounding electrode system along with a water pipe bond as the <previously incorrect> inspector said.

The equipment ground run with the feeder serves a completely different purpose than the grounding electrode conductor and water bond.

So do I need to run a stranded insulated ground from panel 1? Or can I hook up the bare copper ground wire that runs in the conduit from panel 1 to panel 2 on the house? If I have to run another conductor I don't know how I will do it, I don't think I could pull it through with the bare copper ground wire. Any suggestions?

The bare ground you have is fine.
What size is it?

I measured it with a tape and it's 1/8 inch, it compares to a #6 stranded. I also notice the panel has the ground bonded with the neutral, is this right? This panel feeds the house subpanel. In the huse subpanel the ground is not bonded with the neutral. Thanks for all your advise.

#6 is not right for a 200A equipment ground. It must be #4 or larger copper.

If you are saying that the main panel has the ground and neutrals bonded then that is correct.
The house panel should have the grounds and neutrals isolated.

I must respectfully disagree with stanfortyman on one point.

#6 copper is the right size for the equipment grounding conductor per table 250.122

You are certainly correct. Even after all these years I still mess up on the simplest things.
I was thinking water bond, not EGC.

You and me both stan. My mind is thinking one thing while I say something else pretty regularly. Of course I am obligated to complain when someone does what I said instead of reading my mind and doing it right. Hehe

Thanks guys, I really appreciate your help. I am glad I can use the #6 that's already there