Appropriations Committee trims Commerce budget; boosts tourism grants and creates Office of Global Talent funding

The Appropriations Committee voted to advance Senate Bill 2018, the Department of Commerce budget, approving the committee amendment and recommending a due-pass; the committee later recorded a final vote of 14–1–1.

Committee members reduced the governor’s recommendation and reallocated state investment across multiple Commerce programs: combined marketing dollars were cut to $7 million (from a proposed $10 million), tourism destination development grants were increased to $20 million, the Operation Intern program is funded at $3 million total, and the Office of Legal Immigration will be renamed and funded as the Office of Global Talent with $1 million (split roughly $500,000 for grants and $500,000 for operations).

Senator Dwyer, who presented the budget, said the committee pared back several requests while maintaining targeted investments to support workforce development and tourism. “When people are coming to North Dakota…you’ve got to have fun things to do,” Dwyer said, explaining the decision to increase destination grants.

Katie Ralston, workforce director at the Department of Commerce, told the committee the Office of Global Talent name better reflects the office’s work to connect employers with foreign‑born talent and to support community integration. “We want the name of the office to better reflect the work that we are doing to help employers attract, retain, and integrate foreign born talent,” Ralston said; she added the office cannot provide legal advice on immigration matters and must refer such requests elsewhere.

Major allocations and changes approved by the committee include: - Tourism marketing: combined programs funded at $7,000,000; $150,000 allocated for a grant to North Dakota State magazine. - Tourism destination development grants: increased to $20,000,000; committee noted a $5,000,000 per-application statutory limit to encourage distribution. - Office of Global Talent (renamed from Office of Legal Immigration): $1,000,000 total, with $500,000 for grants and $500,000 for operating/contract costs to access international recruiting resources and integration supports. - UAS/Grand Sky/VANTAS funding adjustments: committee retained base funding for the UAS test site and reduced one-time additions; VANTAS reduced from governor’s request, in part because the Legislature previously approved related radar funding in a separate bill. - North Dakota Development Fund: committee recommended $30,000,000 (down from the governors’ combined proposals); committee noted carryover and prior sessions’ investments and said the fund takes some higher-risk opportunities that can produce multi‑dollar returns per state dollar invested. - LIFT program reduced from $10,000,000 to $5,000,000. - Tribal economic development and workforce grants: funding preserved or realigned (examples include a $750,000 grant for tribal job training programs, with awards competitive rather than limited to a single tribal college).

Rich Garman, director of Economic Development and Finance at the Commerce Department, described the Development Fund’s underwriting process and said its board — appointed by the governor — is staffed by finance and banking experts; he told the panel the fund’s projects have produced roughly a 4:1 economic-development return over time, while acknowledging that not every investment succeeds.

The committee added a reporting requirement: Commerce must provide semiannual reports to the budget section detailing how general fund and SIF appropriations are being used.

Senator Dwyer moved the amendment and the bill as amended; the committee approved the amended bill and sent it to the floor (final committee tally 14–1–1).