IN HB1425

Establishes the food desert grant and loan program within the state department of health's division of nutrition and physical activity to assist new businesses, existing businesses, and legal entities in offering fresh and unprocessed foods in food deserts.

Defines "food desert" as an underserved geographic area where affordable fresh and healthy foods are difficult to obtain, including areas where 25% of households are below federal poverty level, median family income is not more than 80% of state median, or 500+ residents or 33% of population resides more than 1 mile from a supermarket in urban/rural areas or 10 miles in nonmetropolitan areas.

Grant and loan recipients may use proceeds only to acquire, repair, or renovate property and equipment for offering fresh and unprocessed foods; recipients are prohibited from using funds to purchase food for resale and must allow annual audits for compliance.

Establishes the food deserts fund administered by the state department to award grants and make loans under the program, with fund money not reverting to the general fund at fiscal year end.

Requires the division to establish criteria for evaluating the program's health impact and submit annual reports to the general assembly documenting the program's effectiveness.