North DakotaSB 23902025 Regular SessionSenateWALLET

AN ACT to create and enact three new sections to chapter 54-40.1 of the North Dakota Century Code, relating to a rural catalyst committee, grant program, and fund; to amend and reenact section 54-40.1-02 of the North Dakota Century Code, relating to definitions for regional planning councils; to provide an appropriation; and to provide for a transfer.

Sponsored By: Terry M. Wanzek (Republican)

Became Law

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Bill Overview

Analyzed Economic Effects

5 provisions identified: 4 benefits, 1 costs, 0 mixed.

New state fund for rural grants

The law creates the Rural Catalyst Fund in the state treasury. The Department of Commerce administers it. Money pays grants and committee or department travel and per diem. Half of non‑expense money must go to communities under 1,000 people. Interest earned stays in the fund. From July 1, 2025 to June 30, 2027, $2.5 million moves into the fund, and $2.5 million is appropriated one time to Commerce for the program. Spending occurs as appropriated by the legislature.

Public project database and reports

The Department of Commerce must keep a public website showing each approved project’s data, status, and spending. By September 1 of each even‑numbered year, the department reports results to legislative management. The report lists projects requested and funded, matching dollars raised, and local impacts. The department also gives the report to the next assembly’s appropriations committees.

Rural grants committee and oversight

The law creates the Rural Catalyst Committee to guide and award grants. Members include the governor (chair), the commerce commissioner, two regional council appointees, two members‑at‑large, and one legislator. Non‑ex officio members serve four‑year terms. The committee meets at least twice a year to review Commerce’s recommendations and make awards, with priorities for finishing existing projects and rural quality‑of‑life work. The Department of Commerce runs the program and provides staff support. Non‑state‑employed members get $135 per day for meetings and duties. State‑employed members are reimbursed by their agency, and a legislator’s pay and travel come from the legislative council. The law also updates regional‑council definitions, including that “industry” includes agriculture and business and that a “member‑at‑large” represents county citizens.

Rural grants target small towns

Grants support arts and culture; community and economic development; education; and health and wellness. They can also preserve or reopen rural grocery stores in places with 4,500 or fewer people. Each project can receive up to $500,000. At least 50% of grant money must go to communities under 1,500 people.

Grants require local matching funds

To get a grant, applicants must provide nonstate matching funds. One rule requires $1 from nonstate sources for every $2 from the fund. The law also directs guidelines that set at least a $1‑for‑$1 match. Matches can be cash or in‑kind. Pledged matches can count for up to seven years.

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Sponsors & Cosponsors

Sponsor

  • Terry M. Wanzek

    Republican • Senate

Cosponsors

  • Mike Beltz

    Republican • House

  • Mike Brandenburg

    Republican • House

  • Keith Kempenich

    Republican • House

  • Janne Myrdal

    Republican • Senate

  • Paul J. Thomas

    Republican • Senate

Roll Call Votes

All Roll Calls

Yes: 221 • No: 55

Senate vote 4/29/2025

Second reading, passed, yeas 42 nays 5

Yes: 42 • No: 5

House vote 4/29/2025

Second reading, passed as amended, yeas 72 nays 18

Yes: 72 • No: 18

House vote 4/15/2025

Second reading, passed as amended, yeas 68 nays 24

Yes: 68 • No: 24

Senate vote 2/24/2025

Second reading, passed, yeas 39 nays 8

Yes: 39 • No: 8

Actions Timeline

  1. Filed with Secretary Of State 05/02

    6/11/2025House
  2. Signed by Governor 05/02

    5/2/2025Senate
  3. Sent to Governor

    5/1/2025Senate
  4. Signed by President

    5/1/2025Senate
  5. Signed by Speaker

    5/1/2025House
  6. Second reading, passed as amended, yeas 72 nays 18

    4/29/2025House
  7. Conference committee report adopted

    4/29/2025House
  8. Reported back from conference committee, in place of, placed on calendar

    4/29/2025House
  9. Second reading, passed, yeas 42 nays 5

    4/29/2025Senate
  10. Conference committee report adopted

    4/29/2025Senate
  11. Reported back from conference committee, in place of, placed on calendar

    4/29/2025Senate
  12. Conference committee appointed Louser Fisher Longmuir

    4/24/2025House
  13. Conference committee appointed Dwyer Magrum Luick

    4/23/2025Senate
  14. Refused to concur

    4/23/2025Senate
  15. Returned to Senate (12)

    4/15/2025Senate
  16. Second reading, passed as amended, yeas 68 nays 24

    4/15/2025House
  17. Amendment adopted, placed on calendar

    4/15/2025House
  18. Reported back amended, do pass, amendment placed on calendar 23 0 0

    4/14/2025House
  19. Rereferred to Appropriations

    4/4/2025House
  20. Amendment adopted

    4/4/2025House
  21. Reported back amended, do pass, amendment placed on calendar 8 5 0

    4/3/2025House
  22. Committee Hearing 10:30

    3/13/2025House
  23. Introduced, first reading, referred Political Subdivisions Committee

    3/7/2025House
  24. Received from Senate

    2/25/2025House
  25. Second reading, passed, yeas 39 nays 8

    2/24/2025Senate

Bill Text

  • Adopted by the Conference Committee

  • Adopted by the Senate Agriculture and Veterans Affairs Committee

  • Enrollment

  • FIRST ENGROSSMENT

  • INTRODUCED

  • Prepared by the Legislative Council staff for House Appropriations Committee

  • Prepared by the Legislative Council staff for Representative Motschenbacher

  • Prepared by the Legislative Council staff for Senator Dwyer

  • SECOND ENGROSSMENT

  • SECOND ENGROSSMENT with Conference Committee Amendments

  • SECOND ENGROSSMENT with House Amendments

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