SB 2328 — Life Science Research Council (North Dakota) — Bill Summary
Status: Introduced March 12, 2025. Second reading — failed to pass (yeas 21, nays 24).
Summary: SB 2328 would create a new statutory chapter (Title 54, NDCC) establishing a Life Science Research Council and a Life Science Development Fund administered in consultation with the Industrial Commission. The bill would repeal the existing bioscience innovation grant program (NDCC § 4.1‑01‑20.1), provide a continuing appropriation for the new fund, authorize unspecified appropriations/transfers, require a report, and contains an emergency clause (immediate effect if enacted).
Primary purpose and intent
- Centralize and expand state support for life‑science research, commercialization, and industry development (biotechnology, medical devices, pharmaceuticals, and related fields).
- Replace the prior bioscience grant program with a formal council + fund structure to guide Industrial Commission financial assistance and policy.
Key provisions
- Definitions: Clarifies “biotechnology,” “life science,” “medical devices,” and “pharmaceuticals.”
- Life Science Research Council:
- Created to advise and make recommendations to the Industrial Commission on administration of the Life Science Development Fund.
- Membership (per bill text): includes the Commissioner of Commerce (chair) plus members representing medical devices, pharmaceuticals, and biotechnology appointed by executive officers (final appointment authorities vary across drafts). Members serve staggered three‑year terms and (in later drafts) serve at the pleasure of the governor. Council meets at least annually; four members constitute a quorum.
- Council recommends approvals of grants, loans, and other financial assistance.
- Confidentiality: application materials and trade‑secret/proprietary data can be kept confidential under state trade‑secret law; the identities of independent technical reviewers and council members making recommendations are treated as confidential.
- Industrial Commission authorities:
- May award grants, loans, venture investments, low‑interest loans and loan buydowns, feasibility studies, applied research/demonstrations, and related incentives to qualified applicants.
- Awards cannot be the sole support for a project; the commission may require matching or supplementary support.
- May establish interest buydown programs, accept federal/state/private grants, and contract with the Dept. of Commerce, university system, or private third parties for technical assistance.
- Life Science Development Fund:
- Created as a special fund in the state treasury with a continuing appropriation to the Industrial Commission to carry out the chapter; interest earnings remain available for fund purposes.
- Repeal: NDCC § 4.1‑01‑20.1 (bioscience innovation grant program) would be repealed and (per bill text) funds/appropriations would be transferred/repurposed (specific dollar amounts not shown in the provided draft).
- Report & emergency clause: Bill requires a report (details in text truncated) and declares an emergency for immediate effect if enacted.
Who would be affected
- Life‑science companies (biotech, medical device, pharmaceutical firms) seeking state R&D, commercialization, or scale‑up support.
- Applicants and recipients of state financial assistance (research institutions, startups, producers).
- ND Industrial Commission, Dept. of Commerce, university system (as technical partners), and executive offices involved in appointments.
- Existing bioscience grant program stakeholders (program would be repealed and functions consolidated under the new fund/council).
Procedural/timeline notes
- Introduced March 12, 2025. The bill advanced through committee activity and amendment drafts but failed on second reading (21–24). Because of the emergency clause, if reenacted and approved it would take effect immediately upon enactment. The bill text references unspecified appropriations and transfers; final fiscal details would depend on later amendments or appropriation language not included in the truncated draft.
Sponsors/Introducers (ND versions): Senators Wanzek, Erbele; Representatives Brandenburg, Headland (and related co‑sponsors noted in materials).
