House Agriculture Committee hears bill to offer up-to-$10 million incentive for large milk processing plant

Senate Bill 2,342, which would create a state incentive for a value‑added milk processing facility, drew bipartisan discussion Wednesday in the House Agriculture Committee as members weighed how to define eligible projects and whether the program would favor large operations.

Supporters said the bill would put North Dakota on the market for milk processors after recent closures reduced in‑state processing capacity. "This money is yours," Senator Paul Thomas said of the proposed $10 million maximum benefit, adding the proposal is structured so the plant must be built and operating before grant funds are paid.

Committee members heard that the bill would authorize a grant equal to 5% of project costs or up to $10,000,000, and that the sponsor intends the program to be housed in the AD (Agriculture Development) Fund rather than as a separate appropriation. Thomas told the panel the bill language currently links the plant size to a capacity threshold and that he will ask for an amendment to change the text from "year" to "day" when describing required processing capacity.…