Whereas, the cranberry industry is recognized as an important, emerging agricultural industry in the State of Maine; and

Whereas, new cranberry operations do not produce income for up to 4 years; and

Whereas, construction for the cranberry season is seasonal, ending in the fall; and

Whereas, conventional financing of cranberry operations is difficult to obtain; and

Whereas, in the judgment of the Legislature, these facts create an emergency within the meaning of the Constitution of Maine and require the following legislation as immediately necessary for the preservation of the public peace, health and safety; now, therefore,

Be it enacted by the People of the State of Maine as follows:

Sec. 1. 7 MRSA §435, sub-§2, ¶F is enacted to read:

F.__Notwithstanding paragraphs A and B, an agricultural marketing loan for any cranberry project under this subchapter may not exceed 90% of the project cost.__A loan from the fund may not be provided for such a project unless the applicant demonstrates a commitment of private funds of at least 10% of the total cost of the project; except that, in order to encourage the undertaking of cooperative projects by 2 or more agricultural enterprises, an agricultural marketing loan for any cranberry project may not be provided unless the cooperating agricultural enterprises as a group demonstrate a commitment of private funds of at least 5% of the total cost of the project.__Any loan granted under this paragraph may not exceed $100,000.

Loans made pursuant to this paragraph may be used only for the following purposes:__to provide assistance to enterprises in this State for the design, construction, implementation or improvement of facilities to grow, harvest, process or market cranberries; or for the construction, renovation or acquisition of land, buildings, equipment, vines, docks, wharves, piers or vessels used in connection with a commercial cranberry enterprise.__ Repayment of these loans and interest on these loans must be credited to the fund and must be available for making