ND SB2187

Bank of North Dakota administers a loan program for medical facilities to finance construction projects of at least $1 million that improve health care infrastructure or access to nonprofit health care providers, with priority given to applicants in oil-producing counties.

Loans cannot exceed the lesser of $15 million or 75% of project costs, carry a 1% interest rate, and have repayment schedules of no longer than 25 years; borrowers must complete projects within 24 months or forfeit the loan.

Governor establishes a task force including medical providers from oil-producing counties to review applications and establish eligibility criteria for the loan program.

Legislature appropriates $50 million from the strategic investment and improvements fund to the medical facility infrastructure fund for loans during the biennium beginning July 1, 2013, plus any uncommitted school construction loan funds authorized after December 31, 2014.

Program becomes operational through July 31, 2017 for new loans, then transitions to servicing existing loans through July 31, 2043; Bank reports to legislative assemblies on program status and transfers any remaining balance to the strategic investment and improvements fund by July 31, 2017.