Education Savings Accounts for all North Dakota students pass Senate
Sen. Michelle Axtman, R-Bismarck, speaks on the Senate floor about Education Savings Accounts on Feb. 21, 2025. (Michael Achterling/North Dakota Monitor)
A bill to provide Education Savings Accounts for all North Dakota students narrowly cleared the Senate Friday on a 25-22 vote.
The bill will advance to the House of Representatives for its consideration.
Senate Bill 2400, sponsored by Sen. Michelle Axtman, R-Bismarck, would provide every North Dakota student with $500 to use toward educational expenses such as private school tuition, tutoring, text books, school meals, mental health services and educational camps, among others. Private school students who meet household income limitations could be eligible for up to $3,500. Homeschool students would each receive $500 in their accounts.
'I'm ecstatic,' Axtman said in an interview after the floor session. 'This bill provides an opportunity for every student and I'm excited to let parents know. I'm excited to let the schools know. I'm excited to let kids know that this is coming their way.'
Lawmakers opposing the measure on the Senate floor said the bill is not a 'school choice' bill because it provides additional funding for all students.
'I haven't had public schools express support for this,' said Sen. Michael Dwyer, R-Bismarck. 'I haven't had private schools express support for this. Homeschoolers don't seem to want it. And the taxpayers don't seem to want it.'
He added the state already spends more than $11,000 for public school students in per pupil payments.
Opponents have raised concerns about rural areas lacking private school options that larger cities have. Axtman said the bill would give rural students options as well.
'Choice looks different wherever you live,' Axtman said. She added public school students could take a dual-credit course, or an accredited French class, while private school student families would have additional funds available for tuition, if they choose.
Public charter schools get strong support from North Dakota Senate
The Senate Appropriations Committee decreased the amount every student would receive in their accounts by $500 from what was in the original bill.
Committee member Sen. Donald Schaible, R-Mott, said members reduced the amount because the original proposal had an estimated annual price tag of more than $100 million. He also said lawmakers don't know how many students would actually use the accounts and they felt it would be better to start with a conservative approach.
The program is now expected to cost about $58.1 million per school year, according to the bill's fiscal note. However, the actual cost would depend on how many students access the funds.
Axtman said she understands why the bill was amended, but plans to advocate for the accounts to be raised back up to $1,000 before it hits the House floor. She also suggested a possible cap for the program to alleviate concerns about the program's price tag.
On Thursday, Axtman's bill establishing public charter schools in North Dakota cleared the Senate by a wide margin. That bill will also move across Memorial Hall to be considered by the House.
North Dakota House advances 1 of 3 Education Savings Account bills
House members previously approved House Bill 1540, another Education Savings Account bill. However, the bill was referred to House Appropriations, which gave the bill a 'do not pass' recommendation Thursday night. The bill will return to the House for another vote next week.
A bill that would make school meals free for all North Dakota students received a 'do not pass' recommendation from the House Appropriations Committee on Thursday evening. That bill is expected to be voted on by the full House next week.
The Together For School Meals coalition, a group of food security, nutrition and educational leaders, said members were deeply disappointed with the recommendation, according to a coalition news release.
'One in three children in North Dakota received food from the Great Plains Food Bank in 2023, underscoring the urgent need for systemic solutions to food insecurity,' said Michelle Wagner, a child nutrition program director for the North Dakota School Nutrition Association.
If signed into law, Axtman's Education Savings Accounts bill would cover school meals as an authorized expense.
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