North Dakota Gov. John Hoeven presented a new $2.28 billion state budget that includes special funding for biofuel development and research.
"Agriculture is no longer just about food. We are now seeing dynamic relationships emerge between agriculture and energy," Gov. Hoeven said in his executive budget address.
His 2007-2009 budget proposal includes $5 million for a Biofuels PACE program. It will provide $500,000 of interest buy-down for each new biofuels facility in North Dakota. Combined with the regular PACE and local match, the program makes up to $900,000 available to finance each new ethanol or biodiesel project.
"This is enough leverage to develop 10 major new biofuels projects," Gov. Hoeven said.
The budget also provides $9 million and other funding for a new ag research greenhouse and extension centers not only to promote new advances in food production, but also to help drive the growing biofuels industry in North Dakota.
"The budget funds important priorities and invests in the future of our people and our state, especially education. It is essential that we make the kinds of investments that continue to produce quality jobs, enable us to take care of people, and continue to improve our quality of life," Hoeven said.
Source: North Dakota governor's office.