Governor Burgum Proposes Increase to Education Funding

Hillsboro, ND — Last week, North Dakota Governor Doug Burgum released his proposed budget for the upcoming 2023-2025 biennium. With the state’s financial position strong and more oil funding coming into the state, the Governor is looking to make investments in workforce and education as well as tax relief. In regards to education, he is proposing to increase per pupil funding by 7% over the next two years, 4% the first year and 3% the next.

Hillsboro Superintendent Paula Suda says while there’s guarantee the legislature will approve it, there is reason to be optimistic.

Like last session, the budget proposes that school districts be required to spend at least 70% of new dollars for K-12 on compensation for educators.

The budget also recommends accelerating the multiyear shift to on-time K-12 funding to ensure that growing school districts are being funded based on the current year’s enrollment instead of the previous year’s enrollment, and that the state isn’t paying for “phantom” students in districts with enrollment declines.

For higher education, the budget includes $50 million in funding for challenge grants, which must be matched 2-to-1 with private sector funds, for a total investment of $150 million. Since its inception in 2013, the state has invested $72 million into the challenge grant program, which has resulted in a combined public-private investment in higher education of $221 million for scholarships, research, endowed chairs and other items.

Burgum also urged lawmakers to provide authority to borrow from the Bank of North Dakota to honor the state’s commitment to funding career academies where high school students can pursue high-demand careers in the trades, technology and other sectors. The 2021 legislature appropriated $88 million in federal funds to be matched by private sector, but the U.S. Treasury has yet to release the dollars.