Senate approves higher per‑pupil aid, expands low‑interest school loan fund

MADAM PRESIDENT — The North Dakota Senate approved changes to K‑12 funding under House Bill 13‑69, increasing per‑pupil payments and adding money to a low‑interest loan fund to accommodate school construction and potential military base matching grants.

The bill’s sponsor, Senator Zac Scheible, described the two principal Senate amendments: moving from a 2%–2% per‑pupil increase to a 3%–3% increase in each year of the biennium, and increasing a transfer from the Foundation Aid Stabilization Fund to the low‑interest revolving loan fund from $75 million to $100 million.

Scheible said the loan‑fund increase was intended to prevent regular school applicants from being crowded out if federal matching grants to nearby Air Force bases materialize, noting projections that additional construction needs could otherwise create competition for limited loan dollars. He told senators the 3% shift would raise per‑pupil payments from about $11,072 to roughly $11,400 in year one and to $11,746 in year two; the committee placed a fiscal note on the bill of approximately $238 million.

Senator Eric Gearhart highlighted section 2, which addresses placements of students with disabilities in public or private facilities and ensures funding follows the student where appropriate. Senator Mary Axman, who explained the change, said the amendment partly reverts responsibility for placement approval back to the Department of Public Instruction while retaining coordination with the Department of Human Services.

The Senate adopted the proposed amendments and, on final passage, recorded 44 ayes, 3 nays and 0 absent; the bill passed.

Notes: The engrossed bill would amend Sections 15‑48 and 57 of the North Dakota Century Code and carries a fiscal note of approximately $238,000,000.