Senators debate oversight on $300 million hospital construction project

The North Dakota Senate Appropriations Committee convened on April 16, 2025, to discuss significant concerns regarding the proposed construction of a new hospital. Senator Mather raised critical points about the project's oversight and financial implications, urging the committee to consider delaying construction until the next biennium. He emphasized the need for a new governor and commissioner to evaluate the project thoroughly.

Senator Dwyer questioned the strong push for the hospital's construction, suggesting that public sentiment may be misguided. Mather responded by highlighting a lack of proper oversight, noting that the planning phase began with an exception to the bidding process, which set a concerning precedent. He pointed out that leadership changes within the Department of Health and Human Services contributed to insufficient scrutiny of the project.

Mather compared the proposed hospital's estimated cost of $1.3 billion to a recent $52 million hospital built in Fargo, which had the same number of beds but was managed in the private sector. He criticized the absence of the Office of Management and Budget (OMB) in the initial planning stages, arguing that their involvement could have prevented the current issues.

The discussion underscored the potential for significant financial overruns and legal challenges associated with the project. Mather concluded that transferring management to the OMB could help mitigate these risks, suggesting that their expertise in budget management would be beneficial moving forward. The committee's deliberations reflect ongoing concerns about fiscal responsibility and governance in public projects.