A BILL for an Act to create and enact a new chapter to title 15.1 of the North Dakota Century Code, relating to the funding of kindergarten through grade twelve school construction; to provide an appropriation; and to provide an expiration date.
HB 1604 would create a new state-funded school construction program in North Dakota for kindergarten through grade 12 facilities. It establishes eligibility criteria for school districts seeking state aid, including a showing that renovation costs exceed 60% of new construction costs, evidence of a failed local referendum for construction or renovation, a local funding plan for the district’s share, a maintenance funding plan for the new building, and an engineering assessment showing that renovation or new construction is an immediate need. The bill also allows the superintendent of public instruction to waive certain requirements for districts reorganizing under existing school reorganization law.
The bill sets a sliding scale for state participation based on the value of a mill in the district, ranging from 95% of construction costs for the lowest mill values down to 5% for the highest. Districts eligible for federal construction funding could receive up to an additional 12.5% under the program after applying for and receiving federal support. The measure also directs the superintendent to appoint an evaluation committee to select an architectural firm, prioritize firms and construction managers with a strong in-state presence, and require standardized, scalable school designs. It appropriates $600 million from the general fund for the 2025-2027 biennium and sunsets the act on July 1, 2035.
If enacted, the bill would add a new chapter to Title 15.1 of the North Dakota Century Code and create a major state grant program for K-12 school construction. It would shift a substantial share of school building costs from local districts to the state, establish new administrative duties for the superintendent of public instruction, and create rules for eligibility, design selection, construction management, and plan approval. The bill would also affect school districts seeking to build new schools, engineering firms preparing facility assessments, architectural firms competing for state contracts, and construction managers working on funded projects.
The available record shows no committee transcript or recorded vote details, so there is no direct evidence of debate positions or floor sentiment. Based on the bill’s structure, it appears designed to address school facility needs and local funding barriers by offering substantial state support, which suggests a policy goal likely to appeal to districts facing aging buildings and failed local referendums. However, the large appropriation, state control over design and contracting, and the long-term fiscal commitment could also invite scrutiny from lawmakers concerned about cost and state oversight.
The main points of contention likely center on the size of the $600 million appropriation, the extent of state involvement in local school construction decisions, and the formula that ties state aid to mill value. The bill also conditions eligibility on a failed referendum, which may be seen as protecting local control by requiring voter input, while also potentially limiting access for districts that have not recently sought local approval. Additional friction could arise over the preference for in-state firms and the requirement to use approved state architectural designs for districts receiving higher levels of state funding.