Governor Jack Dalrymple said today in his State of the State Address that North Dakota's economy, fueled by diverse business growth, is "strong and growing stronger."
"While other states remain firmly in the grip of our nation's weakened economy, we in North Dakota are in a position of strength and can use our surplus funds to meet the needs of our state," Dalrymple said.
Dalrymple said North Dakota is fiscally sound, able to continue providing tax relief, while building reserves and funding priorities. But in his address before a joint session of the 62nd Legislative Assembly and a full public gallery, Dalrymple focused on North Dakota's future, saying much more can be achieved in job growth, education, infrastructure improvements and quality-of-life services.
"We should not be satisfied when national surveys rank our state at the top in areas of education, quality of life, or commerce, "Dalrymple said. "We shouldn't be satisfied because others do not set the standards for North Dakota.
"Only our citizens and their elected representatives in this chamber can set the standards for our state, and I expect they will be set very high," he said.
Strategies for Job Creation, 2011-2020
In addition to approaching job creation through five targeted industries, Dalrymple called for a holistic approach to create jobs across all industries and sectors. In his address, he outlined the following five essential strategies for continued economic growth during the next decade:
* Sustaining a positive business climate - This strategy includes an emphasis on low taxes, an emphasis on operating a responsive state government and providing for infrastructure improvements to meet the needs of people as well as commerce.
* Research and Development -- Continue investing in university-based research and development conducted with the private sector in emerging industries, including life sciences and advanced technology.
* Entrepreneurship -- Foster a culture where innovative, tech-savvy companies can thrive.
* Workforce Development -- This strategy includes the formation of the Workforce Center of Excellence where we will assess our student abilities and train them for the best possible job placement.
* Promoting exports -- This strategy calls for strengthening North Dakota's global competitiveness by supporting the state's successful public-private trade promotion model. The Trade Office connects exporters with foreign buyers and promotes export sales through advocacy, education and expertise.
"Job creation leads to a stronger economy, which in turn leads to more state revenues, which in turn leads to more funding, larger reserves and lower taxes," Dalrymple said. "Looking ahead we have identified a new method of approaching our job creation that will further enhance our results and grow our economy for years to come."
Funding and Improving Education
K-12 Education
Dalrymple, who as Lt. Governor led North Dakota's successful efforts to improve funding equity in our schools, is now taking on the challenges of funding adequacy and improving the quality of instruction in our schools. His budget includes an increase of $102 million to complete work on educational adequacy and to fund an increase in the per-student payment of $100 for each year of the biennium.
Higher Education
In his address, Dalrymple called for a new approach to funding higher education, with a funding system based on educational outcomes. Dalrymple and the Board of Higher Education will establish a new Commission on Higher Education Funding that will develop recommendations to improve the equity, the transparency and the effectiveness of higher education funding. Dalrymple also proposes funding much-needed infrastructure upgrades on the state's campuses. His plan includes six construction projects, highlighted by the completion of the research greenhouse at North Dakota State University.
"Our campuses are a great treasure to our state, and a key to our future," Dalrymple said. "They will continue to adapt to our future needs if we communicate clearly our expectations."
Quality of Life
The Dalrymple administration is committed to making the investments that help take care of people.
"It has been said that a society is best measured by the way it treats is most vulnerable," Dalrymple said. "Once again we have made great progress, but there is still more to do."
During his address, Dalrymple highlighted his budget recommendations for:
* A three-percent increase in each year of the upcoming biennium for nursing homes and other health care providers, as well as for providers serving people with developmental disabilities and mental illnesses
* Nearly $8 million to address the mental health challenges facing some of our citizens
* Funding of $1 million for suicide prevention efforts through the Department of Health and the Department of Indian Affairs
* Supporting public safety by committing $4.1 million for the construction and equipping of an expanded Highway Patrol Training Academy and $2.2 million to upgrade state radio capabilities, the key to North Dakota's emergency response system
* Additional funds to address mental health issues on college campuses and in high schools; and support for military service members and veterans suffering from post traumatic stress disorder
Investments in Infrastructure
Dalyrmple called for a permanent solution to the flooding problems that plague the Devils Lake Region and the Red River Valley. He also reiterated his strong financial commitment to rebuild and repair state, county and township roads in North Dakota's 17 oil and gas producing counties.
"The remarkable and rapid growth of oil and gas development in western North Dakota has brought jobs and population growth, but it has also brought extreme wear and tear on roads,' Dalrymple said.
"All of these investments, whether they be roads, bridges, flood prevention structures or water treatment plants, will pay dividends back to our citizens for decades to come," he said. "We have proposed to pay for them in cash and create no future liabilities or lingering obligations."
Dalrymple said the state's strong financial position allows for unprecedented investments in infrastructure and the funding of other priorities, while still providing additional tax relief and building the state's reserves during the 2011-2013 biennium.
"In North Dakota, unlike most other states, we are setting our own course and reaping the rewards of our hard work, our careful fiscal management, our pro-business climate and our diversified economy," he said.