1. Bank of North Dakota: 2015 and Beyond
Presented by
Bob Humann, Senior VP of Lending
Bank of North Dakota June 25, 2015

2. 2015-17 Legislative Activity
Economic Development
Infrastructure
Education
Summary

3. Economic Development HB 1014: BND Appropriation for Current Programs
Transfers $40 Million to interest buydown programs from BND capital
Affordable Housing: $12 Million
Flex PACE: $10 Million
PACE: $6 Million
Ag PACE: $3 Million
BioFuels PACE: $2 Million
Beginning Farmer Loan: $7 Million
Extended Affordable Housing Flex PACE to June 30, 2019
Carryover of $5-7 Million from current funding period

4. Economic Development HB 1014: Created Medical PACE Program
Eligibility: Infrastructure projects for critical access medical facilities in communities where the population is less than 20,000
$15 Million in interest buydown will be available to reduce the rate from 5% to 1% for the first 10 years of a 25-year loan
No community buydown funds required
Maximum loan amount per project of $15 Million

5. Economic Development New Loan Policy Change to PACE Loan Program
Expand eligibility to include intermodal service facilities
Allow communities to accrue interest on their share of the interest buydown

6. Infrastructure
HB 1443: $150 Million Infrastructure Revolving Loan Fund
Eligible Needs: new water/waste water treatment plants, new sewer and water lines, new storm water and transportation infrastructure, curb and gutter construction
Maximum Loan Term: 30 years
Maximum Loan Amount: $15 Million
Interest Rate: Not to exceed 2% per year
BND to Administer and Establish Priorities
Political subdivisions that received surge funding from the 64th Legislative Assembly will be ineligible to receive a loan under this Fund until July 1, 2017

7. Infrastructure HB 1176: Critical Access Hospitals
$10 Million in grants to critical access hospitals
Addressing effects of oil and gas-related economic development activities
HB 1194: Political Subdivision Borrowing
Allows political subdivisions to borrow up to $500,000 from a bank or credit union

8. Infrastructure SB 2020: State Water Commission Appropriation
$56 Million loan from BND to pay off or decrease outstanding bond issues: Emergency Funding
Established $200 Million Line of Credit for projects

9. Education SB 2178: School Construction Loans
Eligible Needs: new school construction or remodeling with a cost of at least $1 Million and utilization of at least 30 years
Term: 20 years unless shorter term requested
Maximum Loan Amount: $20 Million
Interest Rate: Not to exceed 2% until July 2025
Total Available: $250 Million
BND to fund $7.9 Million of interest buydown for the Biennium

10. Summary
New Loan Programs $250 Million School Construction $150 Million Infrastructure $200 Million Water Commission Projects $ 35 Million Medical PACE – Critical Access $635 Million TOTAL

11. Summary
BND Capital Transfer $100 Million Infrastructure $ 40 Million Buydown Programs $ 10 Million Housing Incentive Funds $ 7.8 Million School Construction Buydown $157.8 Million TOTAL

12. Questions?
Lori Gabriel Chad Johnson Joel Erickson Kim Kautzman Kaylen Hausauer