North Dakota 2025 2025-2026 Regular Session

North Dakota Senate Bill SB2003 Engrossed / Bill

Filed 02/24/2025

                    25.0170.02000
Sixty-ninth
Legislative Assembly
of North Dakota
Introduced by
Appropriations Committee
A BILL for an Act to provide an appropriation for defraying the expenses of the North Dakota 
university system; to provide an appropriation to the Bank of North Dakota; to amend and 
reenact subsection 2 of section 6-09-53, subdivision c of subsection 1 of section 15-10-48, 
subdivision c of subsection 1 of section 15-10-48.2, subdivision c of subsection 1 of section 
15-10-49, subsection 1 of section 15-10-75, paragraph 3 of subdivision h of subsection 1 of 
section 15-18.2-02, subsection 2 of section 15-18.2-03, subsection 1 of section 15-18.2-05, 
sections 15-54.1-02 and 15-54.1-04, subsection 1 of section 15-62.4-01, and section 54-44.1-11 
of the North Dakota Century Code, relating to the economic diversification research fund, 
matching grants for the advancement of academics, the workforce education innovation 
program, state aid for institutions of higher education, university system capital building funds, 
student financial assistance grants, and the cancellation of unexpended appropriations; to 
amend and reenact sections 6 and 7 of chapter 126 of the 2021 Session Laws, relating to 
transfers from the Bank of North Dakota to the skilled workforce loan repayment program fund 
and the skilled workforce scholarship fund; to amend and reenact subsection 17 of section 1 of 
chapter 550 of the 2021 Special Session Session Laws, relating to funding for hyperbaric 
oxygen therapy; to amend and reenact sections 7, 8, and 9 of chapter 3 of the 2023 Session 
Laws, relating to transfers from the Bank of North Dakota to the skilled workforce loan 
repayment program fund, the skilled workforce scholarship fund, and to the state board of 
higher education for dual-credit tuition scholarships; to authorize the state board of higher 
education to issue and sell bonds for capital projects; to provide for a transfer; to provide for the 
conveyance of real property; to provide for a legislative management higher education funding 
review committee; to provide for a report; to provide legislative intent; and to provide an 
exemption.
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ENGROSSED SENATE BILL NO. 2003
FIRST ENGROSSMENT
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BE IT ENACTED BY THE LEGISLATIVE ASSEMBLY OF NORTH DAKOTA:
SECTION 1. APPROPRIATION. The funds provided in this section, or so much of the funds 
as may be necessary, are appropriated out of any moneys in the general fund in the state 
treasury, not otherwise appropriated, and from other funds derived from special funds and 
federal funds, to the state board of higher education and to the entities and institutions under 
the supervision of the board for the purpose of defraying the expenses of the state board of 
higher education and the entities and institutions under the supervision of the board, for the 
biennium beginning July 1, 2025, and ending June 30, 2027, as follows:
Subdivision 1.
NORTH DAKOTA UNIVERSITY SYSTEM
Adjustments or
Base Level Enhancements Appropriation
Capital assets - bond payments $11,197,896 ($936,521) $10,261,375
Competitive research programs 5,685,750	0 5,685,750
System governance	10,569,162 2,274,325 12,843,487
Core technology services	71,988,917 5,144,536 77,133,453
Student financial assistance grants29,917,306 2,000,000 31,917,306
Professional student exchange program3,699,342 1,500,000 5,199,342
Academic and CTE scholarships 17,216,749	0 17,216,749
Scholars program	1,807,115	0 1,807,115
Native American scholarship 1,000,000	0 1,000,000
Tribally controlled community 1,400,000 200,000 1,600,000
   college grants
Education incentive programs 260,000	0 260,000
Student mental health	284,400	0 284,400
Veterans' assistance grants	454,875	0 454,875
Shared campus services	800,000	0 800,000
Nursing education consortium 1,356,000 1,100,000 2,456,000
NASA EPSCoR	342,000	0 342,000
Education challenge fund	0 25,000,000 25,000,000
Dakota digital academy	0 450,000 450,000
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Workforce education innovation grants 0 12,000,000 12,000,000
Dual-credit tuition scholarship 1,500,000	0 1,500,000
Total all funds	$159,479,512 $48,732,340 $208,211,852
Less other funds	26,260,897 39,125,852 65,386,749
Total general fund	$133,218,615 $9,606,488 $142,825,103
Full-time equivalent positions 162.83	6.00 168.83
Subdivision 2.
BISMARCK STATE COLLEGE
Adjustments or
Base Level Enhancements Appropriation
Operations	$110,026,302 $5,165,031 $115,191,333
Capital assets	1,922,561 1,400,000 3,322,561
Total all funds	$111,948,863 $6,565,031 $118,513,894
Less other funds	74,566,953 4,451,570 79,018,523
Total general fund	$37,381,910 $2,113,461 $39,495,371
Full-time equivalent positions 335.33	2.92 338.25
Subdivision 3.
LAKE REGION STATE COLLEGE
Adjustments or
Base Level Enhancements Appropriation
Operations	$41,913,733 $1,472,757 $43,386,490
Capital assets	362,667	0 362,667
Total all funds	$42,276,400 $1,472,757 $43,749,157
Less other funds	26,601,597 931,171 27,532,768
Total general fund	$15,674,803 $541,586 $16,216,389
Full-time equivalent positions 120.59	(5.44) 115.15
Subdivision 4.
WILLISTON STATE COLLEGE
Adjustments or
Base Level Enhancements Appropriation
Operations	$37,378,349 $933,802 $38,312,151
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Capital assets	1,261,968	0 1,261,968
Total all funds	$38,640,317 $933,802 $39,574,119
Less other funds	25,154,992 796,812 25,951,804
Total general fund	$13,485,325 $136,990 $13,622,315
Full-time equivalent positions 102.83	(3.09) 99.74
Subdivision 5.
UNIVERSITY OF NORTH DAKOTA
Adjustments or
Base Level Enhancements Appropriation
Operations	$967,725,670 $51,533,197$1,019,258,867
Capital assets	4,411,566 79,500,000 83,911,566
Research network	2,500,000 1,000,000 3,500,000
Total all funds	$974,637,236 $132,033,197$1,106,670,433
Less other funds	790,481,856 120,626,346 911,108,202
Total general fund	$184,155,380 $11,406,851 $195,562,231
Full-time equivalent positions 2,060.56 131.39 2,191.95
Subdivision 6.
UNIVERSITY OF NORTH DAKOTA SCHOOL OF MEDICINE AND HEALTH SCIENCES
Adjustments or
Base Level Enhancements Appropriation
Operations	$240,396,968 $18,590,513 $258,987,481
Healthcare workforce initiative 10,676,150	0 10,676,150
Total all funds	$251,073,118 $18,590,513 $269,663,631
Less other funds	168,241,842 5,776,474 174,018,316
Total general fund	$82,831,276 $12,814,039 $95,645,315
Full-time equivalent positions 488.83	40.23 529.06
Subdivision 7.
NORTH DAKOTA STATE UNIVERSITY
Adjustments or
Base Level Enhancements Appropriation
Operations	$807,365,091 $44,700,943 $852,066,034
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Capital assets	7,799,104 125,000,000 132,799,104
Research network	2,500,000 1,000,000 3,500,000
Total all funds	$817,664,195 $170,700,943 $988,365,138
Less other funds	653,917,430 159,772,791 813,690,221
Total general fund	$163,746,765 $10,928,152 $174,674,917
Full-time equivalent positions 1,867.50 (61.54) 1,805.96
Subdivision 8.
NORTH DAKOTA STATE COLLEGE OF SCIENCE
Adjustments or
Base Level Enhancements Appropriation
Operations	$102,490,255 $6,921,477 $109,411,732
Capital assets	1,012,379	0 1,012,379
Total all funds	$103,502,634 $6,921,477 $110,424,111
Less other funds	63,645,097 2,273,578 65,918,675
Total general fund	$39,857,537 $4,647,899 $44,505,436
Full-time equivalent positions 313.95	12.59 326.54
Subdivision 9.
DICKINSON STATE UNIVERSITY
Adjustments or
Base Level Enhancements Appropriation
Operations	$56,728,746 $3,370,815 $60,099,561
Capital assets	409,078 12,500,000 12,909,078
Total all funds	$57,137,824 $15,870,815 $73,008,639
Less other funds	32,697,829 13,758,716 46,456,545
Total general fund	$24,439,995 $2,112,099 $26,552,094
Full-time equivalent positions 178.00	(7.20) 170.80
Subdivision 10.
MAYVILLE STATE UNIVERSITY
Adjustments or
Base Level Enhancements Appropriation
Operations	$56,295,375 $2,299,716 $58,595,091
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Capital assets	358,992 34,924,814 35,283,806
Total all funds	$56,654,367 $37,224,530 $93,878,897
Less other funds	34,375,971 36,760,335 71,136,306
Total general fund	$22,278,396 $464,195 $22,742,591
Full-time equivalent positions 226.92	0.00 226.92
Subdivision 11.
MINOT STATE UNIVERSITY
Adjustments or
Base Level Enhancements Appropriation
Operations	$116,510,048 $4,701,181 $121,211,229
Capital assets	1,099,620 11,232,000 12,331,620
Total all funds	$117,609,668 $15,933,181 $133,542,849
Less other funds	68,644,425 14,839,213 83,483,638
Total general fund	$48,965,243 $1,093,968 $50,059,211
Full-time equivalent positions 423.63	(2.47) 421.16
Subdivision 12.
VALLEY CITY STATE UNIVERSITY
Adjustments or
Base Level Enhancements Appropriation
Operations	$56,008,906 $1,499,518 $57,508,424
Capital assets	455,823	0 455,823
Total all funds	$56,464,729 $1,499,518 $57,964,247
Less other funds	28,111,916 1,421,115 29,533,031
Total general fund	$28,352,813 $78,403 $28,431,216
Full-time equivalent positions 211.94	5.50 217.44
Subdivision 13.
DAKOTA COLLEGE AT BOTTINEAU
Adjustments or
Base Level Enhancements Appropriation
Operations	$26,229,141 $1,249,697 $27,478,838
Capital assets	114,007	0 114,007
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Total all funds	$26,343,148 $1,249,697 $27,592,845
Less other funds	14,900,270 555,764 15,456,034
Total general fund	$11,442,878 $693,933 $12,136,811
Full-time equivalent positions	84.00	3.85 87.85
Subdivision 14.
NORTH DAKOTA FOREST SERVICE
Adjustments or
Base Level Enhancements Appropriation
Operations	$24,874,803 $1,592,413 $26,467,216
Capital assets	118,728	0 118,728
Total all funds	$24,993,531 $1,592,413 $26,585,944
Less other funds	19,141,941 1,049,079 20,191,020
Total general fund	$5,851,590 $543,334 $6,394,924
Full-time equivalent positions	29.00	5.00 34.00
Subdivision 15.
TOTAL - SECTION 1
Adjustments or
Base Level Enhancements Appropriation
Grand total all funds $2,838,425,542 $459,320,214$3,297,745,756
Grand total other funds 2,026,743,016 402,138,816 2,428,881,832
Grand total general fund $811,682,526 $57,181,398 $868,863,924
SECTION 2. ONE-TIME FUNDING - EFFECT ON BASE BUDGET - REPORT TO THE 
SEVENTIETH LEGISLATIVE ASSEMBLY. The following amounts reflect the one-time funding 
items included in the appropriation in section 1 of this Act which are not included in the entity's 
base budget for the 2027-29 biennium and which the entity shall report to the appropriations 
committees of the seventieth legislative assembly regarding the use of this funding:
One - Time Funding Description 	General Fund Other Funds Total Funds
Capital projects - general fund	$0 $63,772,000 $63,772,000
Capital projects - strategic investment 0 34,924,814 34,924,814
   and improvements fund
Capital projects - other funds	0 165,860,000 165,860,000
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University of North Dakota national 0 12,000,000 12,000,000
   security crossroads
High performance computing 2,000,000	0 2,000,000
North Dakota state university new	0 12,000,000 12,000,000
   horizon programming
Minot state university advancing students500,000	0 500,000
   toward education and employment
Dual-credit scholarships	0 1,500,000 1,500,000
Professional student exchange program1,500,000	0 1,500,000
Challenge grants	0 25,000,000 25,000,000
Dakota digital academy	450,000	0 450,000
Nursing education consortium	0 1,100,000 1,100,000
Financial aid system enhancements 25,000	0 25,000
Workforce education innovation grants 0 12,000,000 12,000,000
Forest service emerald ash borer mitigation 0 950,000 950,000
Total	$4,475,000 $329,106,814 $333,581,814
SECTION 3. ADDITIONAL FEDERAL, PRIVATE, AND OTHER FUNDS - 
APPROPRIATION. All funds, in addition to those appropriated in section 1 of this Act, from 
federal, private, and other sources for competitive grants or other funds that the legislative 
assembly has not indicated the intent to reject, including tuition revenue, received by the state 
board of higher education and the institutions and entities under the control of the state board of 
higher education, are appropriated to the board and those institutions and entities, for the 
biennium beginning July 1, 2025, and ending June 30, 2027. All additional funds received under 
the North Dakota-Minnesota reciprocity agreement during the biennium beginning July 1, 2025, 
and ending June 30, 2027, are appropriated to the state board of higher education for 
reimbursement to institutions under the control of the board.
SECTION 4. USE OF EXTRAORDINARY REPAIRS FUNDING - MATCHING FUNDS. The 
capital assets line items in subdivisions 2 through 12 of section 1 of this Act include funding 
from the general fund for institution extraordinary repairs. An institution, excluding the university 
of North Dakota and North Dakota state university, shall provide one dollar of matching funds 
from operations or other sources for each one dollar of extraordinary repairs funding used for a 
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project. The university of North Dakota and North Dakota state university shall provide two 
dollars of matching funds from operations or other sources for each one dollar of extraordinary 
repairs funding used for a project.
SECTION 5. OTHER FUNDS - STRATEGIC INVESTMENT AND IMPROVEMENTS FUND. 
The grand total other funds line item in subdivision 15 of section 1 of this Act includes 
$161,746,814 from the strategic investment and improvements fund as follows:
Challenge grants	$25,000,000
Nursing education consortium	1,100,000
Workforce education innovation grants	12,000,000
Forest service emerald ash borer mitigation	950,000
University of North Dakota science, technology, engineering, and 55,640,000
   mathematics building
University of North Dakota national security crossroads	12,000,000
North Dakota state university new horizon programming	12,000,000
Mayville state university old main renovation	34,924,814
Minot state university academic facilities projects	8,132,000
Total strategic investment and improvements fund	$161,746,814
SECTION 6. TRANSFER - NORTH DAKOTA UNIVERSITY SYSTEM OFFICE - 
BISMARCK STATE COLLEGE Of the funding appropriated in the system governance and core 
technology services line items in subdivision 1 of section 1 of this Act, the state board of higher 
education shall transfer $500,000 to the operations line item in subdivision 2 of section 1 of this 
Act by August 1, 2025. The North Dakota university system office may not assess institutions 
under the control of the state board of higher education to recover the cost of this transfer.
SECTION 7. TRANSFER - BANK OF NORTH DAKOTA PROFITS - STATE BOARD OF 
HIGHER EDUCATION SCHOLARSHIPS. The industrial commission shall transfer to the North 
Dakota university system office a total of $1,500,000 from the current earnings and 
accumulated undivided profits of the Bank of North Dakota during the biennium beginning 
July 1, 2025, and ending June 30, 2027, as requested by the commissioner of higher education. 
The other funds line item in subdivision 1 of section 1 includes $1,500,000 for the North Dakota 
university system office for dual-credit tuition scholarships.
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SECTION 8. APPROPRIATION - BANK OF NORTH DAKOTA - TRANSFER - 
STRATEGIC INVESTMENT AND IMPROVEMENTS FUND - ECONOMIC DIVERSIFICATION 
RESEARCH FUND. The office of management and budget shall transfer $8,000,000 from the 
strategic investment and improvements fund to the economic diversification research fund, the 
sum of which is appropriated to the Bank of North Dakota for the purpose of providing grants to 
institutions under the control of the state board of higher eduction, for the biennium beginning 
July 1, 2025, and ending June 30, 2027, as requested by the commissioner of higher education.
SECTION 9. TRANSFER - STRATEGIC INVESTMENT AND IMPROVEMENTS FUND - 
UNIVERSITY SYSTEM CAPITAL BUILDING FUND. The office of management and budget 
shall transfer $31,500,000 from the strategic investment and improvements fund to the 
university system capital building fund during the biennium beginning July 1, 2025, and ending 
June 30, 2027, as requested by the commissioner of higher education. Funding transferred 
pursuant to this section is to be allocated to each institution as follows:
Tier II Tier III Total
Bismarck state college	$770,505 $1,000,000 $1,770,505
Lake Region state college	233,263 1,000,000 1,233,263
Williston state college	322,154 1,000,000 1,322,154
University of North Dakota 5,354,139 3,750,000 9,104,139
North Dakota state university 4,695,895 3,750,000 8,445,895
North Dakota state college of science1,214,738 1,000,000 2,214,738
Dickinson state university	516,884 1,000,000 1,516,884
Mayville state university	332,070 1,000,000 1,332,070
Minot state university	906,412 1,000,000 1,906,412
Valley City state university 452,403 1,000,000 1,452,403
Dakota college at Bottineau	201,537 1,000,000 1,201,537
Total	$15,000,000 $16,500,000 $31,500,000
SECTION 10. CAPITAL BUILDING FUNDS - TIER II - USES. The institutions listed may 
use funding from tier II of the respective institution's university system capital building fund 
allocation for the following projects authorized by the sixty-ninth legislative assembly:
Bismarck state college student housing	$1,400,000
University of North Dakota science, technology, engineering, and 23,860,000
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   mathematics building
North Dakota state university Van Es biosafety laboratory	8,000,000
Total	$33,260,000
SECTION 11. CAMPUS CAPITAL PROJECTS - PROJECT MANAGEMENT. During the 
biennium beginning July 1, 2025, and ending June 30, 2027, each capital project authorized by 
the state board of higher education must have adequate project management oversight by 
either an institution official or a representative of an external entity. An institution may seek 
assistance from the university system office for project management oversight of a capital 
project.
SECTION 12. BOND ISSUANCE AUTHORIZATION - PURPOSES. The state board of 
higher education, in accordance with chapter 15-55, may arrange for the funding of projects 
authorized in this section, declared to be in the public interest, through the issuance of 
self-liquidating, tax-exempt evidences of indebtedness under chapter 15-55, during the 
biennium beginning July 1, 2025, and ending June 30, 2027. Evidences of indebtedness issued 
pursuant to this section are not a general obligation of the state of North Dakota. Any 
unexpended balance resulting from the proceeds of the evidences of indebtedness must be 
placed in a sinking fund to be used for the retirement of indebtedness. The evidences of 
indebtedness may be issued and the proceeds are appropriated in section 1 of this Act for the 
following capital projects:
North Dakota state university - university village	$54,000,000
North Dakota state university - memorial union	50,000,000
Dickinson state university - Woods hall, agriculture and technical education12,500,000
   building, and rodeo arena projects
Minot state university - student center	3,100,000
Total special funds	$119,600,000
SECTION 13. AMENDMENT. Subsection 2 of section 6-09-53 of the North Dakota Century 
Code is amended and reenacted as follows:
2.In consultation with representatives of North Dakota state university and the university 
of North Dakota, the Bank, in consultation with the state board of higher education, 
shall award grants to institutions under the control of the state board of higher 
education. The sum of five millionseven million two hundred thousand dollars must be 
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awarded to North Dakota state university and the university of North Dakota with equal 
amounts awarded to each institution. The remaining funding must be awarded to the 
other institutions under the control of the state board of higher education, as 
determined by the board. The state board of higher education may not award more 
than fifty percent of the available funding during the first year of the biennium. The 
Bank of North Dakota shall distribute the grant funding as awarded by the state board 
of higher education.
SECTION 14. AMENDMENT. Subdivision c of subsection 1 of section 15-10-48 of the North 
Dakota Century Code is amended and reenacted as follows:
c.The board may award up to two million seven hundred thousandthree million 
three hundred seventy 	- five thousand dollars in matching grants each to the 
university of North Dakota and North Dakota state university; and up to two 
million two hundred thousandtwo million seven hundred fifty thousand dollars in 
matching grants to the university of North Dakota school of medicine and health 
sciences. Of the amount available to the university of North Dakota, two hundred 
fifty thousand dollars must be awarded for projects dedicated to projects at the 
school of law.
SECTION 15. AMENDMENT. Subdivision c of subsection 1 of section 15-10-48.2 of the 
North Dakota Century Code is amended and reenacted as follows:
c.The board may award up to two million two hundred thousandtwo million seven 
hundred fifty thousand dollars in matching grants under this section.
SECTION 16. AMENDMENT. Subdivision c of subsection 1 of section 15-10-49 of the North 
Dakota Century Code is amended and reenacted as follows:
c.The board may award up to:
(1)One million seven hundred thousandTwo million one hundred twenty 	- five  
thousand dollars each to Bismarck state college, Minot state university, and 
the North Dakota state college of science;
(2)One million one hundred thousandOne million three hundred seventy 	- five  
thousand dollars each to Dickinson state university, Mayville state university, 
and Valley City state university; and
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(3)Six hundred thousandSeven hundred fifty thousand dollars each to Dakota 
college at Bottineau, Lake Region state college, and Williston state college.
SECTION 17. AMENDMENT. Subsection 1 of section 15-10-75 of the North Dakota Century 
Code is amended and reenacted as follows:
1.The state board of higher education may provide award funds to institutions under its 
control, excluding the university of North Dakota and North Dakota state university, to 
create or enhance educational programs that address the workforce needs of North 
Dakota business and industry. An award made under this section may be used for 
curriculum development, equipment and technology purchases, facility modifications 
and equipment installation, hiring and training new and existing instructors, 
educational program promotion, and enhancement of postsecondary partnerships with 
primary and secondary schools.
SECTION 18. AMENDMENT. Paragraph 3 of subdivision h of subsection 1 of section 
15-18.2-02 of the North Dakota Century Code is amended and reenacted as follows:
(3)9.025.0 for professional level credits;
SECTION 19. AMENDMENT. Subsection 2 of section 15-18.2-03 of the North Dakota 
Century Code is amended and reenacted as follows:
2.If the number of credit-hours completed by an institution would cause a decrease in 
the credit completion factor for that institution compared to the credit completion factor 
the institution was entitled to receive during the 2017-19received during the prior 
biennium, the state board of higher education shall multiply the product determined 
under section 15-18.2-02 by a credit growth factor of 1.0 for credits in excess of the 
factor the institution was entitled to receive during the 2017-19received during the prior 
biennium. Any weighted credit-hours multiplied by a credit growth factor under this 
section must have a weight of 1.0 under section 15-18.2-02. The state board of higher 
education shall multiply the remaining weighted credits by the credit completion factor 
the institution was entitled to receive during the 2017-19received during the prior 
biennium.
SECTION 20. AMENDMENT. Subsection 1 of section 15-18.2-05 of the North Dakota 
Century Code is amended and reenacted as follows:
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1.Except as provided under subsections 2 and 3, to determine the state aid payment to 
which each institution under its control is entitled, the state board of higher education 
shall multiply the product determined under section 15-18.2-03 by a base amount of:
a.$73.15$79.36 in the case of North Dakota state university and the university of 
North Dakota;
b.$103.76$111.55 in the case of Dickinson state university, Mayville state 
university, Minot state university, and Valley City state university; and
c.$110.38$119.91 in the case of Bismarck state college, Dakota college at 
Bottineau, Lake Region state college, North Dakota state college of science, and 
Williston state college.
SECTION 21. AMENDMENT. Section 15-54.1-02 of the North Dakota Century Code is 
amended and reenacted as follows:
15-54.1-02. Capital building funds - Uses - Reports.
Subject to tier II and tier III capital building fund matching requirements under this chapter, 
each institution may use its allocation of funds from the university system capital building fund 
for projects specifically authorized by the legislative assembly to use university system capital 
building fund moneys from each tier. In addition, after an institution has matched and committed 
seventy-five percent of the funding appropriated for the institution's tier I extraordinary repairs 
and subject to state board of higher education approval and matching requirements under this 
chapter, each institution may use its allocation of funds from the university system capital 
building fund tier   II and tier  III  for extraordinary repairs and deferred maintenance projects for 
academic and student housing facilities that do not increase the overall square footage of a 
building. The state board of higher education shall report biennially to the legislative 
management and to the appropriations committees of the legislative assembly on the use of 
funding in the university system capital building fund, the source of matching funds, and each 
institution's five-year plan for capital construction spending.
SECTION 22. AMENDMENT. Section 15-54.1-04 of the North Dakota Century Code is 
amended and reenacted as follows:
15-54.1-04. Tier III capital building funds - Matching requirements.
The state board of higher education may allocate tier III capital building fund moneys to an 
institution only after the institution, excluding the university of North Dakota and North Dakota 
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state university, provides two dollarsone dollar of matching funds from operations or other 
sources for each one dollartwo dollars from the university system capital building fund for the 
project. The state board of higher education may allocate tier   III capital building fund moneys to  
the university of North Dakota and North Dakota state university only after the institution 
provides one dollar of matching funds from operations or other sources for each one dollar from 
the university system capital building fund for the project. An institution may not use tier I 
extraordinary repairs funding, tier II capital building fund moneys, or state funding appropriated 
for a specific capital project as matching funds under this section.
SECTION 23. AMENDMENT. Subsection 1 of section 15-62.4-01 of the North Dakota 
Century Code is amended and reenacted as follows:
1.a.Graduated from a high school in this state;
b.Graduated from a high school in a bordering state, pursuant to chapter 15.1-29;
c.Graduated from a nonpublic high school in a bordering state while residing with a 
custodial parent in this state;
d.Completed a program of home education supervised in accordance with chapter 
15.1-23; or
e.Received a general educational development high school diploma from the 
superintendent of public instruction; or
f.Is a resident student, as defined in section 15 	- 10-19.1. 
SECTION 24. AMENDMENT. Section 54-44.1-11 of the North Dakota Century Code is 
amended and reenacted as follows:
54-44.1-11. Office of management and budget to cancel unexpended appropriations - 
When they may continue. (Effective through July 31, 20252027)
Except as otherwise provided by law, the office of management and budget, thirty days after 
the close of each biennial period, shall cancel all unexpended appropriations or balances of 
appropriations after the expiration of the biennial period during which they became available 
under the law. Unexpended appropriations for the state historical society are not subject to this 
section and the state historical society shall report on the amounts and uses of funds carried 
over from one biennium to the appropriations committees of the next subsequent legislative 
assembly. Unexpended appropriations for the North Dakota university system are not subject to 
this section and the North Dakota university system shall report on the amounts and uses of 
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funds carried over from one biennium to the next to subsequent appropriations committees of 
the legislative assembly. The chairmen of the appropriations committees of the senate and 
house of representatives of the legislative assembly with the office of the budget may continue 
appropriations or balances in force for not more than two years after the expiration of the 
biennial period during which they became available upon recommendation of the director of the 
budget for:
1.New construction projects.
2.Major repair or improvement projects.
3.Purchases of new equipment costing more than ten thousand dollars per unit if it was 
ordered during the first twelve months of the biennium in which the funds were 
appropriated.
4.The purchase of land by the state on a "contract for deed" purchase if the total 
purchase price is within the authorized appropriation.
5.Purchases by the department of transportation of roadway maintenance equipment 
costing more than ten thousand dollars per unit if the equipment was ordered during 
the first twenty-one months of the biennium in which the funds were appropriated.
6.Authorized ongoing information technology projects.
Office of management and budget to cancel unexpended appropriations - When they 
may continue. (Effective after July 31, 20252027) The office of management and budget, 
thirty days after the close of each biennial period, shall cancel all unexpended appropriations or 
balances of appropriations after the expiration of the biennial period during which they became 
available under the law. Unexpended appropriations for the state historical society are not 
subject to this section and the state historical society shall report on the amounts and uses of 
funds carried over from one biennium to the appropriations committees of the next subsequent 
legislative assembly. The chairmen of the appropriations committees of the senate and house of 
representatives of the legislative assembly with the office of the budget may continue 
appropriations or balances in force for not more than two years after the expiration of the 
biennial period during which they became available upon recommendation of the director of the 
budget for:
1.New construction projects.
2.Major repair or improvement projects.
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3.Purchases of new equipment costing more than ten thousand dollars per unit if it was 
ordered during the first twelve months of the biennium in which the funds were 
appropriated.
4.The purchase of land by the state on a "contract for deed" purchase if the total 
purchase price is within the authorized appropriation.
5.Purchases by the department of transportation of roadway maintenance equipment 
costing more than ten thousand dollars per unit if the equipment was ordered during 
the first twenty-one months of the biennium in which the funds were appropriated.
6.Authorized ongoing information technology projects.
SECTION 25. AMENDMENT. Section 6 of chapter 126 of the 2021 Session Laws is 
amended and reenacted as follows:
SECTION 6. TRANSFER - BANK OF NORTH DAKOTA - SKILLED 
WORKFORCE STUDENT LOAN REPAYMENT PROGRAM FUND. The Bank of 
North Dakota shall transfer the sum of $2,250,000, or so much of the sum as may be 
necessary, from the Bank's current earnings and undivided profits to the skilled 
workforce student loan repayment fund during the bienniumperiod beginning July 1, 
2021, and ending June 30, 20232027.
SECTION 26. AMENDMENT. Section 7 of chapter 126 of the 2021 Session Laws is 
amended and reenacted as follows:
SECTION 7. TRANSFER - BANK OF NORTH DAKOTA - SKILLED 
WORKFORCE SCHOLARSHIP FUND. The Bank of North Dakota shall transfer the 
sum of $2,250,000, or so much of the sum as may be necessary, from the Bank's 
current earnings and undivided profits to the skilled workforce scholarship fund during 
the bienniumperiod beginning July 1, 2021, and ending June 30, 20232027.
SECTION 27. AMENDMENT. Section 7 of chapter 3 of the 2023 Session Laws is amended 
and reenacted as follows:
SECTION 7. TRANSFER - BANK OF NORTH DAKOTA PROFITS - STATE 
BOARD OF HIGHER EDUCATION SCHOLARSHIPS. The industrial commission 
shall transfer to the North Dakota university system a total of $1,500,000 from the 
current earnings and accumulated undivided profits of the Bank of North Dakota 
during the bienniumperiod beginning July 1, 2023, and ending June 30, 20252027, as 
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requested by the commissioner of higher education. The estimated income line item in 
subdivision 1 of section 1 includes $1,500,000 for the North Dakota university system 
office for dual-credit tuition scholarships.
SECTION 28. AMENDMENT. Section 8 of chapter 3 of the 2023 Session Laws is amended 
and reenacted as follows:
SECTION 8. TRANSFER - BANK OF NORTH DAKOTA PROFITS - SKILLED 
WORKFORCE STUDENT LOAN REPAYMENT PROGRAM FUND. The industrial 
commission shall transfer the sum of $3,400,000 from the current earnings and 
accumulated undivided profits of the Bank of North Dakota to the skilled workforce 
student loan repayment program fund during the bienniumperiod beginning July 1, 
2023, and ending June 30, 20252027.
SECTION 29. AMENDMENT. Section 9 of chapter 3 of the 2023 Session Laws is amended 
and reenacted as follows:
SECTION 9. TRANSFER - BANK OF NORTH DAKOTA PROFITS - SKILLED 
WORKFORCE SCHOLARSHIP FUND. The industrial commission shall transfer the 
sum of $3,400,000 from the current earnings and accumulated undivided profits of the 
Bank of North Dakota to the skilled workforce scholarship fund during the 
bienniumperiod beginning July 1, 2023, and ending June 30, 20252027.
SECTION 30. AMENDMENT. Subsection 17 of section 1 of chapter 550 of the 2021 Special 
Session Session Laws is amended and reenacted as follows:
17.There is appropriated from federal funds derived from the state fiscal recovery 
fund, not otherwise appropriated, the sum of $2,104,121, or so much of the sum 
as may be necessary, to the university of North Dakota school of medicine and 
health sciences for the purpose of purchasing equipment and hiring personnelto 
be granted to health care providers in the state to provide hyperbaric oxygen 
therapy for the period beginning with the effective date of this Act, and ending 
June 30, 2023.
SECTION 31. EXEMPTION - TRANSFER AUTHORITY - LEGISLATIVE MANAGEMENT 
REPORT. Notwithstanding section 54-16-04, the office of management and budget shall 
transfer appropriation authority from the operations to the capital assets line items within 
subdivisions 2 through 14 of section 1 of this Act as requested by the state board of higher 
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education for the biennium beginning July 1, 2025, and ending June 30, 2027. The board shall 
report any transfer of funds under this section to the legislative management.
SECTION 32. EXEMPTION - FULL-TIME EQUIVALENT POSITION ADJUSTMENTS. 
Notwithstanding any other provisions of law, the state board of higher education may adjust 
full-time equivalent positions as needed, subject to the availability of funds, for institutions and 
entities under its control during the biennium beginning July 1, 2025, and ending June 30, 2027. 
The North Dakota university system shall report any adjustments to the office of management 
and budget as part of the submission of the 2027-29 biennium budget request.
SECTION 33. EXEMPTION - UNEXPENDED APPROPRIATIONS. The following 
appropriations are not subject to the provisions of section 54-44.1-11 and may be continued into 
the biennium beginning July 1, 2025, and ending June 30, 2027:
1.Any amounts remaining from the $18,160,000 appropriated from the general fund for 
capital projects inflation and $411,724,026 appropriated from other funds, including 
$209,976,971 appropriated from the strategic investment and improvements fund, for 
capital projects at institutions under the control of the state board of higher education 
in section 1 of chapter 3 of the 2023 Session Laws;
2.Any amounts remaining from the $8,500,000 appropriated from other funds to 
Bismarck State College for the multipurpose academic and athletic center in section 2 
of chapter 638 of the 2023 Special Session Session Laws;
3.Any amounts remaining from the $1,500,000 appropriated from Bank of North Dakota 
profits for dual-credit scholarships in section 1 of chapter 3 of the 2023 Session Laws;
4.Any amounts remaining from the funding appropriated from federal funds derived from 
the state fiscal recovery fund to the state board of higher education and institutions 
under the control of the state board of higher education in section 1 of chapter 548 
and section 1 of chapter 550 of the 2021 Special Session Session Laws and continued 
into the biennium beginning July 1, 2023, and ending June 30, 2025, in section 42 of 
chapter 3 of the 2023 Session Laws.
SECTION 34. EXEMPTION - SALE OF PROPERTY AUTHORIZED - USE OF 
PROCEEDS. The state of North Dakota, by and through the state board of higher education, 
may sell and convey certain real property located at the intersection of sixth avenue north and 
forty-second street north, in the southeast corner, unplatted parts including the north half of the 
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northwest quarter of the southwest quarter of section 5, township 151 north, range 50, 
estimated to include 20 acres, in the records of the city of Grand Forks. If any real property 
authorized to be conveyed under this section is conveyed, the terms of conveyance must be 
determined jointly by the state board of higher education or a designee of the board and the 
commissioner of university and school lands. Sections 54-01-05.2 and 54-01-05.5 do not apply 
to the transfers authorized by this section. Any proceeds from the sale of land pursuant to this 
section may be used only for deferred maintenance, extraordinary repairs, or legislatively 
authorized capital projects.
SECTION 35. EXEMPTION - SALE OF PROPERTY AUTHORIZED - USE OF 
PROCEEDS. The state of North Dakota, by and through the state board of higher education, 
may sell and convey certain real property located at the intersection of Demers avenue and 
forty-second street north, in the northwest corner, known as 4201 James Ray drive, the south 
east corner of lot 1, block 1, estimated to be 2.74 acres, in the records of the city of Grand 
Forks. If any real property authorized to be conveyed under this section is conveyed, the terms 
of conveyance must be determined jointly by the state board of higher education or a designee 
of the board and the commissioner of university and school lands. Sections 54-01-05.2 and 
54-01-05.5 do not apply to the transfers authorized by this section. Any proceeds from the sale 
of land pursuant to this section may be used only for deferred maintenance, extraordinary 
repairs, or legislatively authorized capital projects.
SECTION 36. HIGHER EDUCATION FUNDING REVIEW COMMITTEE - REPORT TO 
THE LEGISLATIVE MANAGEMENT.
1.During the 2025-26 interim, the higher education funding review committee is created 
and composed of thirteen members as follows:
a.Two members of the house of representatives appointed by the majority leader of 
the house of representatives and one member appointed by the minority leader 
of the house of representatives;
b.Two members of the senate appointed by the majority leader of the senate and 
one member appointed by the minority leader of the senate;
c.One member of the legislative assembly appointed by the legislative 
management to serve as the committee chairman;
d.Six nonvoting members, including:
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(1)The university of North Dakota vice president for finance and operations, or 
a designee of the vice president for finance and operations;
(2)The North Dakota state university vice president for finance and 
administration, or a designee of the vice president for finance and 
administration;
(3)Two representatives from regional four-year universities, including 
dual-mission institutions, appointed by the state board of higher education; 
and
(4)Two representatives from two-year colleges, including polytechnic 
institutions, appointed by the state board of higher education.
2.The committee shall review funding methods for higher education in the state, 
including the higher education funding formula, the university system capital building 
fund, permanent funds distributions, property tax allocations, oil and gas gross 
production and oil extraction tax revenue allocations, other statutory funds for higher 
education and research, and other funding appropriated to institutions and entities 
under the control of the state board of higher education.
3.The committee must receive and consider input from representatives of all higher 
education institutions under the control of the state board of higher education.
4.The committee shall report its findings and recommendations to the legislative 
management by September 1, 2026.
SECTION 37. LEGISLATIVE INTENT - WEIGHTED CREDIT -HOURS - INSTRUCTIONAL 
PROGRAM CLASSIFICATION FACTORS. It is the intent of the sixty-ninth legislative assembly 
that wind energy technology and law enforcement courses be transferred to the career and 
technical education instructional program classification within the higher education funding 
formula.
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