The proposed bill aims to establish a long-term care facility infrastructure loan fund within the North Dakota Century Code, specifically under chapter 6-09. The Bank of North Dakota will administer this loan program, which will provide financial assistance to nursing and basic care facilities for renovation projects or the construction of new facilities. The fund will be maintained in the state treasury and will consist of revenues transferred under legislative authorization, interest on moneys in the fund, and collections from loans. The bill outlines the application process for facilities seeking loans, including requirements for detailing the project, demonstrating need and viability, and providing financial information. Loans will be capped at 50% of project costs, with a maximum of $10 million per project, an interest rate not exceeding 2%, and a repayment schedule of no longer than 30 years.

Additionally, the bill amends subsection 3 of section 6-09-47, adjusting the maximum loan amount to the lesser of $15 million or 75% of the project cost, and modifies the interest rate to a maximum of 2%. It also changes the repayment schedule to a maximum of 30 years. Furthermore, the bill mandates a transfer of $35 million from the strategic investment and improvements fund to the long-term care facility infrastructure loan fund during the biennium from July 1, 2025, to June 30, 2027. This legislation aims to enhance the infrastructure of long-term care facilities in North Dakota, ensuring they can meet the needs of their communities effectively.

Statutes affected:
Prepared by the Legislative Council staff for Senate Appropriations Committee: 6-09-47