North Dakota legislators revise scholarship policy to enhance student benefits

The North Dakota Senate Education Committee convened on April 18, 2025, to discuss significant changes to scholarship policies affecting higher education funding in the state. The primary focus of the meeting was a proposed amendment to a bill concerning the issuance of scholarships by the State Board of Higher Education.

The discussion began with a review of the current policy, which restricts the State Board from issuing scholarships that exceed the total cost of attendance, as determined by individual institutions. However, a key amendment proposed during the meeting involved removing the word "not" from this restriction, thereby allowing the Board to issue scholarships that could exceed the total cost of attendance.

Representative Richter explained that the rationale behind this change was to ensure that students who have worked hard to earn scholarships, such as the academic CTE scholarship and the North Dakota Scholars Program, could receive the full benefits of their awards. He emphasized that the current policy often limits students from accessing the full value of their scholarships due to the cost of attendance calculations, which can vary based on living arrangements and other factors.

Senator Scribe raised concerns about the implications of this amendment, noting that the bill had previously failed during interim discussions. He expressed skepticism about the necessity of the change, suggesting that it could lead to unintended consequences, such as students stacking multiple scholarships to receive excess funding. He argued that this could divert funds from other deserving students.

Representative Hansen added to the discussion by highlighting the administrative burden that could arise from reallocating excess scholarship funds. He pointed out that the potential financial impact of the amendment might be minimal, but the administrative costs could outweigh the benefits.

The meeting concluded with a recognition of the complexities involved in scholarship distribution and the need for careful consideration of the proposed changes. The committee plans to further evaluate the implications of the amendment before making a final decision. The discussions underscored the ongoing challenges in balancing scholarship accessibility with fiscal responsibility in North Dakota's higher education system.