This bill proposes the creation of a new section in the North Dakota Century Code to establish a "legacy fund school construction assistance loan fund," which will be administered by the Bank of North Dakota. The fund will provide loans for school construction projects with a minimum cost of one million dollars and an expected utilization of at least thirty years. The bill outlines the eligibility criteria for school districts to apply for loans, including obtaining approval from the superintendent of public instruction and publishing relevant information regarding the proposed projects. The loans will have a maximum term of twenty years and an interest rate not exceeding one percent per year. Additionally, the bill mandates that all payments of principal and interest on these loans be transferred back to the legacy fund.

Furthermore, the bill amends section 21-10-11 of the North Dakota Century Code, which pertains to the legacy and budget stabilization fund advisory board. It increases the target allocation for fixed income investments from seven hundred million to one billion seven hundred million dollars, including a new allocation of up to one billion dollars for loans from the newly established school construction assistance loan fund. The advisory board is tasked with developing recommendations for the investment of funds in the legacy fund and ensuring that a portion of the principal is invested within the state, with a focus on maximizing returns while preserving principal.

Statutes affected:
INTRODUCED: 21-10-11