BISMARCK, N.D. – Gov. John Hoeven today in his State of the State Address said that the State of North Dakota is financially strong, fueled by an agenda that is driving economic growth.
“In 2000, North Dakotans earned 84 percent of the national average in per capita personal income. As of last year, 2005, we increased that figure to 91 percent,” Hoeven said. “Today, I challenge us to go further: Let us resolve that we will not only meet, but exceed the national average in personal income, and achieve a higher standard of living for all North Dakotans – and we will do it within the next decade.”
“We’re rising up because we’re driving an agenda for growth,” Hoeven said.
That means creating more good-paying jobs with aggressive economic development. Innovative programs like the Counter-cyclical Ethanol Production Incentive, investment tax credits and Centers of Excellence are transforming our economy in energy, agriculture, advanced manufacturing, technology and tourism, our five targeted industries, as well as a growing life sciences sector.
That means building our energy future with new and innovative technologies, like biofuels, wind, new technology power plants, and carbon sequestration.
That means seizing the opportunity to reform the way we fund K-12 education. We have the means and opportunity to make the most significant reform in K-12 education in more than a generation. Building on the work of the Commission on Education Improvement, we can ensure a quality education for all North Dakota children and reduce the local cost of education for our citizens.
That means providing more funding for higher education to keep a college education affordable, and linking our campuses with growth and opportunity. Centers of Excellence link our campuses and the private sector as engines of economic growth by developing new products and services.
That means reducing the burden of taxes on our citizens, including a $116 million property tax relief plan and elimination of the tax on home heating fuels.
And that means building on our position of leadership as the safest state in the country with a statewide plan to help ensure that North Dakotans continue to feel safe in their homes, businesses and schools.
That means ensuring quality services for our seniors and others who need our help, including support for the continuum of care, and enhanced Medicaid funding for low income individuals, persons with disabilities and seniors.
That means securing our state’s future with a sustainable budget plan, and a strong financial reserve of more than $400 million.
“These are big plans, but we can achieve them. Together, we will continue to transform our economy to build a higher standard of living and better quality of life for ourselves and for our children,” Hoeven said.
STATE OF THE STATE HIGHLIGHTS
Hoeven outlined a number of new projects to illustrate the state’s vitality and the importance of driving an agenda for growth. North Dakota’s energy, agriculture, advanced manufacturing, tourism technology-based business and life science sectors are growing:
We’re driving growth in North Dakota’s Energy sector:
Acciona Wind Energy USA is developing a 180 megawatt wind farm in Dickey County, which will include wind towers in both North and South Dakota.
FPL Energy is preparing an application to site a large-scale wind farm of up to 160 megawatts with transmission located in Cavalier County.
Through Lignite Vision 21, the state is developing new clean-coal power plant projects, coal gasification, and coal-to-liquids, which include carbon sequestration.
Using our Transmission Authority, we can help build the transmission necessary to develop both more large-scale wind farms and power plants.
In Northwest North Dakota, Murex Petroleum, Whiting, and EOG Resources are working to build new pipeline systems and processing plants to capture and market valuable natural gas currently flared off oil wells – and with our proposed new pipeline authority, we’ll have the tool to help them get the job done. Capturing and marketing this gas will help our environment, as well as our economy.
We’re driving growth in North Dakota’s Agriculture sector in partnership with energy:
In McLean County, Great River Energy, NDSU, and a coalition of ranching and dairy producers are working to build a 30,000 to 50,000 head cattle feeding operation in conjunction with the new Blue Flint Ethanol plant in Underwood. And the venture has the potential to grow to 200,000 head, between the feed lot and area cow-calf operators. Blue Flint will provide the cattle feed as a byproduct of ethanol production, and the cattle waste can then be used to produce methane for heat or electricity, as well as fertilizer. This is a big step forward for renewable energy and for value-added agriculture.
Spiritwood Energy Park near Jamestown will be a more than $400 million co-generation facility. It includes a 100 million gallon ethanol plant, an expansion of the malting barley plant – making it the largest in North America – and a 40 megawatt power plant. The power plant will provide electricity to the grid and steam to power both the ethanol plant and the malting barley plant. Further, the ethanol plant will use waste water from the malting facility and produce cattle feed as a byproduct.
A new $9 million state of the art research greenhouse facility funded in the Governor’s budget can help the state with breakthrough technologies, like optimized switch grass and cellulose for ethanol.
NDSU’s Centers of Excellence for Agbiotechnology and Oilseed Development will enable us to further develop and enhance biodiesel.
“Today, many states are adopting a goal to derive 25 percent of our nation’s energy from renewables by 2025,” Hoeven said. “We can and we will achieve that, but we must set our sights higher. We can produce far more energy from all sources. We can double the amount of energy we supply to the nation by 2025. We can lead the way forward in both energy and agriculture.”
We’re driving growth in North Dakota’s Advanced Manufacturing sector:
We’re building on an already dynamic advanced manufacturing sector, with companies like Goodrich, Cirrus, MW Industries, and Marvin Windows and Doors, a partner in NDSU’s Center of Excellence for Surface Protection.
Marvin built its first North Dakota plant in Fargo. The company then expanded to Grafton, where it now employs 465 people. The company will soon have five major manufacturing facilities in North Dakota. They are currently completing construction on two new 200,000 square foot facilities in the West Fargo Industrial Park. Altogether, Marvin Windows, along with related companies Rite Screen and Cardinal Glass, now employ more than 1,600 people in North Dakota.
We’re driving growth in North Dakota’s Technology-based Business sector:
We’re forging ahead with technology-based businesses – companies like Microsoft, PacketDigital, Alien Technologies, and Eagle Creek Software – and building on their success.
Through our Centers of Excellence program, we’re helping other companies develop and grow, too.
NDSU’s Center for Advanced Electronic Design and Manufacturing will help companies like Phoenix International, PemStar, Appareo, Imation and Pedigree further expand our state’s technology-based business sector.
We’re driving growth in North Dakota’s developing Life Sciences Business sector:
Like advanced manufacturing, we’re beginning to build a life sciences sector in North Dakota. Companies like PRACS Institute, Odyssey Research, Clinical Supplies Management, and Aldevron are creating the foundation.
UND’s Center of Excellence for Life Sciences and Advanced Technologies will work with Alion, Avianax, Agragen, and BORDERS to create cutting-edge vaccines against emerging diseases and make other medical advances. These exciting new ventures will add to this dynamic new business sector in our state.
We’re driving growth in Rural Business:
We’re tapping the economic potential of rural North Dakota. Fargo Assembly is headquartered in Fargo, but the company has plants in Lisbon, Edgeley, Ellendale, Michigan, and Lehr. MTI, headquartered in Mohall, has 10 locations in rural communities around the state. These include Kenmare, Bottineau, Rugby, Stanley, Grafton, Langdon, Fessenden, Devils Lake, and Beulah. And Verety, which is located in Fargo and Grand Forks, also has locations in Steele, Rugby, Wishek and Fessenden.
Dickinson State’s Center for Entrepreneurship and Rural Revitalization is working with Killdeer Mountain Manufacturing to build on this concept. They have locations not only in Killdeer, but in Dickinson, Hettinger, and Halliday, as well.
BUILDING OUR FUTURE TOGETHER
North Dakota is on the move
The people of North Dakota have created over 17,000 new jobs and 1,600 new businesses over the past five years, with personal income growth of nearly 25 percent – 10 percent faster than the national average. Wages have grown 21 percent, compared to just 15 percent for the rest of the country, and the state’s gross domestic product has grown to over $24 billion annually, a 37 percent increase. Growth has also been driven by overseas trade, with foreign exports having doubled to $1.2 billion annually since 2001.
Building on our Progress
“Because of the success of our economic policies and the resolve of our people, we can drive new big ideas to improve the lives of all North Dakotans. We can reform education financing, improve government services, build on our leadership in law enforcement, reduce the burden of taxes, and continue to drive the transformation of our economy – not just to compete, but to truly succeed in a global marketplace.
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