North Dakota House Bill HB1332

North Dakota 2025-2026 Regular Session

• Introduced: 1/13/25
• Refer: 1/13/25
• Report Pass: 1/27/25
• Refer: 1/28/25
• Report Pass: 2/24/25
• Engrossed: 2/25/25
• Refer: 3/7/25
• Report Pass: 3/24/25
• Refer: 3/26/25
• Report Pass: 4/15/25
• Enrolled: 4/22/25
• Passed: 4/29/25

Caption

A value-added agriculture facility incentive program; to provide for a transfer; to provide an expiration date; and to declare an emergency.

Impact

The legislation would affect how North Dakota supports agricultural businesses, providing structured financial support to entities that meet specific criteria, including significant capital investment and expected economic contributions. By targeting new construction projects on industrial-ready sites, this bill focuses on enabling substantial agricultural development. It emphasizes funding for improvements necessary for establishing or enhancing processing facilities which are key to the state's agricultural economy. Moreover, specific performance milestones, such as achieving a certain production capacity, are linked to the disbursement of grant funds.

Summary

House Bill 1332 aims to amend and reenact a section of the North Dakota Century Code, specifically concerning the value-added agriculture facility incentive program. The bill proposes the establishment of an agriculture diversification and development fund that will facilitate financial assistance in the form of loans and grants for new or expanding value-added agriculture businesses. This initiative is expected to enhance profitability for farmers and ranchers, create job opportunities, and contribute to the state's overall economic growth by incentivizing facilities that process agricultural products.

Sentiment

Discussion surrounding HB 1332 has revealed a generally positive sentiment from legislators who support agricultural growth and job creation through incentives. However, there may also be concerns regarding the effectiveness and equity of distributing state funds to large agricultural enterprises. Supporters view the bill as a necessary step for maintaining competitiveness in the agricultural sector, especially in light of offers from other Midwestern states. As such, the bill serves to cement North Dakota's role in the broader agricultural landscape.

Contention

While the bill appears to have strong support reflected in the voting history—76 votes in favor and only 17 against—debate may arise concerning the priorities for state economic development funding. Some lawmakers and advocacy groups may argue that the focus on large agricultural enterprises could detract from supporting diverse agricultural initiatives, small farmers, or alternative food systems. Thus, while primarily viewed as beneficial, HB 1332 also raises underlying questions about resource allocation and the broader implications for local agriculture.