This bill amends section 4.1-01.1-07 of the North Dakota Century Code to establish a value-added milk processing facility incentive program within the agriculture diversification and development fund. The new legal language includes the creation of a program that provides grants for the construction or expansion of value-added milk processing facilities that can process at least three million pounds of milk annually. The grants are limited to the lesser of five million dollars or five percent of the total construction cost and can be used for infrastructure, site acquisition, or other necessary capital expenditures. The agriculture commissioner is responsible for distributing the grant funding upon the facility achieving full processing capacity.

Additionally, the bill authorizes the agriculture commissioner to borrow up to $5,000,000 through a line of credit from the Bank of North Dakota to support the grant program during the biennium from July 1, 2025, to June 30, 2027. The interest rate for this line of credit will be the prevailing rate charged to North Dakota governmental entities, and if accessed, the agriculture commissioner must request a deficiency appropriation from the next legislative assembly to repay the borrowed amount.

Statutes affected:
INTRODUCED: 4.1-01.1-07
Prepared by the Legislative Council staff for Senator Dwyer: 4.1-01.1-07
FIRST ENGROSSMENT: 4.1-01.1-07
Prepared by the Legislative Council staff for Representative Vigesaa: 4.1-01.1-07
Enrollment: 4.1-01.1-07