North Dakota’s agriculture commissioner may provide capped grants for qualifying milk plants, with payment after full processing capacity is reached.
North Dakota provides grants for qualifying milk plant construction or expansion, capped at the lesser of $5 million or 5% of construction costs. The state pays after the plant reaches full processing capacity.
After the committee approves a grant, the agriculture commissioner may borrow up to $5 million for the grant fund. If borrowed, the commissioner must ask the next Legislature for repayment funds.
The agriculture committee develops grants for qualifying milk processing facility costs. The facility must be in North Dakota and able to process at least three million pounds of milk each year. Grants reimburse necessary infrastructure, site purchases, or other capital costs, such as roads, power, and water lines. A grant is limited to the lesser of $5 million or 5% of total construction costs. The agriculture commissioner distributes the grant after the facility reaches 100% of its processing capacity.
The agriculture commissioner may borrow money through a Bank of North Dakota credit line for the grant fund. The borrowed money would go into the agriculture diversification and development fund for the milk facility grant program. The agriculture committee must approve a grant under the Act first. The credit line is capped at $5 million and carries the rate charged to North Dakota government entities. If the commissioner borrows, the commissioner must request repayment funds from the next Legislature. The commissioner may borrow during the two-year period from July 1, 2025, through June 30, 2027.
No hearings or votes scheduled.