BND opens second application period for BND Infrastructure Loan Fund
Bank of North Dakota (BND) has opened the second application period for the BND Infrastructure Loan Fund. During the first round, BND committed to $34.5 million in low interest loans through the program established by the 2015 Legislature. Funds were approved for road and water infrastructure construction in Wahpeton, West Fargo, Grand Forks and Beach.
The program made $50 million in funds available to communities with a population of less than 2,000 and $100 million to communities with a population greater than 2,000. The proceeds can be used for the new construction of water and treatment plants, sewer and water lines, transportation infrastructure and other infrastructure needs to support new growth in a community.
Communities which did not receive surge funding under SB 2103 are eligible to apply. The loan has a 2.00% fixed interest rate. Cumulative loan amounts may not exceed $15 million per applicant in the biennium. The term of construction and permanent financing period may not exceed 30 years.
The second application round is open and applications will be accepted until April 29, 2016. If a community did not receive the full $15 million in the first round, it is eligible to apply for the balance in subsequent rounds.
Communities apply for funds directly through BND. A short pre-application form is available for communities uncertain of project eligibility; a response regarding eligibility will be provided within two business days. The applications are reviewed by BND, the North Dakota Public Finance Agency and the North Dakota Department of Transportation.