North Dakota

North Dakota became a state under the same Enabling Act of February 22, 1889 as South Dakota, Montana and Washington. The Dakota Territory was divided into North and South; the states gave up the right to tax the federal lands within their boarders and were granted lands in trust for the support of public schools and other institutions to generate revenue for their support. The common schools, later known as public schools, received the largest grant totaling over 2.5 million acres of which 635,574 surface acres and 2,556,068 mineral acres remain in trust ownership.

The North Dakota State Land Department is the trustee and manages the lands and permanent fund to produce much needed surface and mineral revenue for schools. Revenue from leases is distributed annually and revenue from sales and mineral production is deposited in the permanent fund, also established in the Enabling Act. The permanent fund is invested providing a perpetual revenue stream to schools from the annual interest. In FY 2006, the land office distributed $31 million to the public schools of North Dakota.

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