Valley Prosperity Partnership

THE RED RIVER WATER SUPPLY PROJECT WILL PROVIDE A SUPPLEMENTAL WATER OPTION TO CENTRAL NORTH DAKOTA AND THE RED RIVER VALLEY TO MITIGATE AGAINST DROUGHT CONDITIONS THAT WOULD CAUSE COSTLY WATER SHORTAGES. THE VPP ADVOCATED FOR ACCELERATION OF THE PROJECT TO REDUCE COSTS AND PUT THE PROJECT INTO OPERATION AS SOON AS POSSIBLE. THE PROJECT IS SLATED FOR COMPLETION IN 2031AT A COST OF $1.2 BILLION OF WHICH $953 MILLION IS STATE FUNDING AND THE REMAINDER IS COMMITTED BY LOCALITIES. POTENTIALLY, $454 MILLION IS AVAILABLE FROM THE EASTERN NORTH DAKOTA ALTERNATE WATER SUPPLY, WHICH COULD BE USED TO REDUCE THE OVERALL COST AND/OR EXPEDITE COMPLETION.THE AVAILABILITY, AFFORDABILITY, AND QUALITY OF CHILDCARE SERVICES IS A FORMIDABLE BARRIER TO WORKFORCE PARTICIPATION IN ALL SECTORS OF THE ECONOMY. THE VPP SUPPORTED FUNDING OF OVER $50 MILLION TO INCREASE ELIGIBILITY FOR CHILDCARE ASSISTANCE PAYMENTS (CCAP), FOR ENHANCED ASSISTANCE FOR INFANT AND TODDLERS, FOR AN EMPLOYER-LED COST-SHARE PROGRAM, FOR A NON-TRADITIONAL HOURS-OF-CARE PILOT PROGRAM, AND GRANTS FOR PROVIDER SHARED SERVICES AND START-UPS, AND FOR STREAMLINING BACKGROUND CHECKS. THE RED RIVER VALLEY FACES CRITICAL WORKFORCE CHALLENGES. THE VPP HAS SUPPORTED FUNDING FOR CAREER EDUCATION TECH CENTERS TO TRAIN YOUNG PEOPLE FOR NORTH DAKOTA'S GROWING INDUSTRY SECTORS. DUE TO A DELAY IN RECEIVING FUNDS FROM THE U.S. DEPARTMENT OF TREASURY, THE 2022-2023 LEGISLATURE ACTED TO APPROPRIATE A $68 MILLION LINE OF CREDIT TO HELP FINANCE THE CONSTRUCTION OF 13 PLANNED CAREER ACADEMIES ACROSS THE STATE, INCLUDING ONE IN FARGO AND ONE IN GRAND FORKS. AS CONSTRUCTION COSTS ESCALATED IN 2023 THE EDUCATION TECH CENTERS HAVE EXPERIENCED SHORTFALLS IN FUNDING, SO VPP SUPPORT EFFORTS TO MAKE UP THOSE SHORTFALLS IN THE 2024-2025 SESSION. THE VPP HAS ADVOCATED FOR LONG TERM, PREDICTABLE FUNDING FOR UNIVERSITY RESEARCH AND DEVELOPMENT TO ENGAGE IN INDUSTRY DRIVEN RESEARCH TO ATTRACT RESEARCH TALENT AND FUNDING FOR INDUSTRY SECTORS THAT ARE KEY TO STRENGTHENING AND DIVERSIFYING NORTH DAKOTA'S ECONOMY. THE ECONOMIC RESEARCH DIVERSIFICATION FUND WAS FUNDED AT $5.5 MILLION IN THE 2022-2023 SESSION, WITH $2.5 MILLION ALLOCATED EACH FOR NDSU AND UND, THE REMAINING TO BE SPLIT AMONG THE OTHER 9 NORTH DAKOTA UNIVERSITY SYSTEM INSTITUTIONS. AFTER ADMINISTRATIVE PROCEDURES WERE COMPLETED IN COLLABORATION WITH THE BANK OF NORTH DAKOTA THE UNIVERSITIES SOLICITED THEIR FIRST ROUND OF RESEARCH PROPOSALS IN 2023.THE RAPID RISE OF ARTIFICIAL INTELLIGENCE TECHNOLOGY SYSTEMS HAS RAISED CONCERNS ABOUT NORTH DAKOTA'S READINESS FOR THIS GAME CHANGING DEVELOPMENT AND ITS RAMIFICATIONS FOR BUSINESS, EDUCATION, SERVICE DELIVERY AND LARGE LOAD ELECTRIC POWER IMPACTS. VPP HAS PARTICIPATED IN DISCUSSIONS ABOUT GOVERNANCE AI IN THE PUBLIC SECTOR, UNDERSTANDING THE IMPACT OF DATA CENTERS ON ELECTRICITY RATES, AND BUSINESS MODELS FOR PROVIDING SUFFICIENT, REASONABLE COST ACCESS TO THE COMPUTING POWER OF DATA CENTERS.