§ 50-30-04 — Long-term care facility loans

1. The department may approve loans from the long-term care facility loan fund
established under chapter 6-09.16 for renovation projects involving a nursing facility,
basic care facility, or assisted living facility.
2. An approved loan for any project may not exceed one million dollars or ninety percent
of the project cost, whichever is less.
3. The department shall give preference for loan approval to an applicant that is
converting nursing facility bed capacity to basic care bed capacity.
4. No loan may be approved unless the applicant agrees to repay to the long-term care
facility loan fund the outstanding balance of the loan and any accrued interest if the
applicant or its successor in interest ceases to operate the project or facility financed
by the loan proceeds during the ten-year period after the date the applicant began
operation of the project or facility or fails to commence operations within a reasonable
time.

5. In addition to other remedies provided by law or contract, the department may deduct
the amount of any refund due from a recipient of a loan from any money owed by the
department to such recipient or the recipient's successor in interest.