The North Dakota Development Fund announced a pause on virtually all new loans and investments, a move driven by pending legislative action on the program’s future. The board voted 4‑0 to implement the pause immediately, signaling a cautious approach while state lawmakers weigh whether to keep the fund or dissolve it.

Board decision and limited exceptions

Commissioner Chris Schilken of the North Dakota Department of Commerce proposed the pause, citing the upcoming legislative session as a critical juncture for the fund’s direction. Under the new policy, the existing child‑care loan program will continue uninterrupted, and the board may still consider four applications that have already been signed and submitted.

Continuing obligations

Commerce officials emphasized that the fund will honor all current loans and investments, maintaining existing commitments to borrowers and partners. The agency will also manage ongoing projects and ensure that any contractual obligations are fulfilled.

Audit findings and operational concerns

Board members noted that the pause provides staff with needed time to address audit findings, including gaps in record‑keeping and conflict‑of‑interest checks. Addressing these issues is intended to improve transparency and accountability before any further financing decisions are made.

Legislative outlook

A legislative committee has recommended that lawmakers consider eliminating the Development Fund in the upcoming session. If that recommendation is adopted, the pause could become a permanent cessation of new financing. Until the board receives further direction, the pause will remain in effect.

Impact on local businesses and communities

The Development Fund has been a source of capital for a range of projects across the state, from small‑business expansions to infrastructure improvements. While the pause may delay new initiatives, the continued operation of the child‑care loan program ensures that families seeking affordable early‑education options will still have access to financing.

What’s next?

Stakeholders are encouraged to monitor upcoming legislative hearings for updates on the fund’s status. The board has indicated that it will reassess the pause once the legislature provides guidance, and it may resume new financing if the program is retained and audit concerns are resolved.

Original reporting: KFYR-TV Bismarck (news) — read the source article.