The North Dakota House Appropriations Committee convened on March 20, 2025, to discuss significant financial matters concerning education funding, particularly focusing on tuition waivers at the University of North Dakota (UND) and North Dakota State University (NDSU).

A key topic of discussion was the substantial amount of tuition waivers granted by these institutions. Karen Haigston, Associate Vice President for Finance Administration at NDSU, reported that tuition waivers for the fiscal year 2024 totaled approximately $18.8 million, a decrease from $22 million in the previous year. This reduction is part of a broader strategy under President Cook to scrutinize and manage tuition waivers more effectively, particularly in light of the new tuition model that allocates a percentage of tuition revenue directly to the colleges.

The committee members expressed concerns about the financial implications of these waivers, especially as they relate to the institutions' claims of limited resources. Representative Sanford highlighted the paradox of high waiver amounts alongside claims of financial constraints. Haigston explained that many waivers are tied to graduate assistantships, particularly in STEM fields, where waivers are common practice to attract and retain graduate students who contribute significantly to research.

The discussion also touched on the impact of these waivers on enrollment and the financial health of the institutions. President Cook acknowledged that while reducing waivers could negatively affect enrollment, it is a necessary step towards financial sustainability. The committee emphasized the importance of managing waivers effectively to ensure that they serve both the institutions' needs and the students' educational opportunities.

In addition to tuition waivers, the committee explored the potential for utilizing challenge grant funds for scholarships, although it was noted that such decisions ultimately rest with the respective foundations of the institutions.

Overall, the meeting underscored the ongoing challenges faced by North Dakota's higher education institutions in balancing financial sustainability with the need to attract and support students through financial aid mechanisms. The committee's discussions will likely influence future funding strategies and policies within the state's education system.