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Questions Raised About “Centers of Excellence” Grants

BISMARCK, N.D.

A panel endorsed six “centers of excellence” stipends to four North Dakota colleges despite questions about whether some of the $10 million in grants should be allocated by the Legislature itself.

Some of the grants provide more money for projects that received excellence grants earlier, said Sen. Bob Stenehjem, R-Bismarck, the Senate majority leader. During a state Emergency Commission review of the projects Friday, Stenehjem voted against all six grants.

The excellence program is intended to provide startup money for projects at North Dakota’s colleges that have commercial potential, rather than serve as a continuing source of funds, Stenehjem said.

Gov. John Hoeven, the Emergency Commission’s chairman, said it makes sense to give more grants to a project as it continues to develop. Some of the projects also did not get all the money they had sought during initial grant rounds, the governor said.

“If you think about funding for virtually any new business or any project, I think you want some flexibility,” Hoeven said. “When they come in with a concept … they’re going to have some that are going to take off very well, and you’re going to want to bring some additional investment in there to keep it going.”

The grants still must be reviewed by the Legislature’s Budget Section, an interim committee that includes members of the House and Senate appropriations committees, before any money is dispensed to the colleges. The section will consider the grants Oct. 30.

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