Gov. Jack Dalrymple is calling for a 5.4 percent increase in the state's general fund budget for the next biennium.
Dalrymple presented his executive budget recommendation to a joint session of the North Dakota Legislature Wednesday. He's proposing $3 billion for statewide infrastructure projects; $873 million for what he termed a "jump start" plan to get money out in time for the 2015 construction season; and $408 million in tax relief.
"With this budget, we are taking advantage of North Dakota's success and strong financial position to advance three important objectives that have served us well," said Dalrymple. "We will continue to make sound investments in our priorities, especially infrastructure. We will provide additional tax relief. And we will maintain healthy reserves for future needs."
But with oil prices softening, and farm commodity prices low, Dalrymple did have a cautionary note for state lawmakers.
"The budget plan is ambitious," said Dalrymple. "We have once again taken great care to make sure we have developed a budget that is balanced and sustainable. We must always be cautious of over-expansion -- a looming threat anytime revenues are strong."
The chairman of the state Senate Appropriations Committee describes Governor Dalrymple’s executive budget proposal as "a good start." Sen. Ray Holmberg (R-Grand Forks) says it’s realistic.
"It recognized that oil prices have slumped," said Holmberg. "It recognizes that agriculture has had some slumps in crop prices. It is flexible -- in that there's an opportunity for some programs to be cut back if money doesn't come in."
Holmberg says it's now the Legislature's job to dig in to the budget specfics.
"If history is any indication, the Legislature will spend the first part of the session running that budget through a paper shredder, and then the last weeks of the session taping those pages back together again," said Holmberg.
Meanwhile, the House Minority Leader says it again points to the need for annual legislative sessions.
Rep.Kenton Onstad (D-Parshall) says while what’s in Dalrymple’s proposed budget – in terms of such things as infrastructure, aid to oil impacted counties and tax relief – is welcome, it’s late in coming.
"The good part of either having a smaller second session is that it requires the entire Legislature to be a part of the process, " said Onstad. "Where we're currently at, you just have the Legislature's Budget Section that deals with financial issues. The whole body needs to weigh in."
The idea of annual sessions has been brought up a number of times in the past – but it has always been voted-down.
