Bill to use Common Schools Trust Fund for property tax relief

[Fritz the Cat]

In the early years of Statehood trust lands were sold to generate money to build schools. Later trust lands were sold and the money was deposited in a permanent trust fund that was "invested" and then the money was distributed.

Around 1970 the Land Trust had 700,000 acres and decided to not sell anymore land. These 700,000 acres serve as part of the portfolio while the money from land that was previously sold generates income from stocks, bonds, mortgages and loans on land.

So how did our fore fathers do investing? The Common Schools Trust Fund has

$4,318,989,728​

dollars (billion) in it and gains about $400 million per year. The idea is, don't touch the principle. It's the gift that keeps on giving. Part of the gains or $400 million could/should be spent.

And then we have the valedictorians who want to bitch about the 1.8 million acres that were sold. It can be explained to the valedictorians over and over that it was the intention during Statehood to sell part of these lands to generate income to build schools then and into the future, but how do we understand it for them?

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Also,

to clarify, part of the gains or interest on that invested 4.3 Billion dollars or approximately 300 million earned is spent on education:

The chart below shows the distributions that will be made to the Permanent Trust Beneficiaries for the 2-year period ending June 30, 2017. The distribution to the ND public school system – grades K-12 during the 2014 school year was $627.53/pupil. The ND Department of Trust Lands is not a tax funded agency but rather an income generator for the various trust funds.

2015-17 Fund Beneficiary Distribution Amt Common Schools (K-12) $ 206,134,000
North Dakota State University $ 3,368,000 School for the Blind $ 456,000
School for the Deaf $ 1,180,000
State Hospital $ 1,000,000 Ellendale (split to other funds) $ 546,000
Valley City State University $ 570,000 Mayville State University $ 382,000
Industrial School $ 1,372,000 School of Science $ 988,000
School of Mines $ 1,134,000 Veterans Home $ 356,000
University of North Dakota $ 1,608,000

Total $ 219,094,000 Million

 

[SLE]

...............................

The chart below shows the distributions that will be made to the Permanent Trust Beneficiaries for the 2-year period ending June 30, 2017. The distribution to the ND public school system – grades K-12 during the 2014 school year was $627.53/pupil. The ND Department of Trust Lands is not a tax funded agency but rather an income generator for the various trust funds.

2015-17 Fund Beneficiary Distribution Amt Common Schools (K-12) $ 206,134,000
North Dakota State University $ 3,368,000 School for the Blind $ 456,000
School for the Deaf $ 1,180,000
State Hospital $ 1,000,000 Ellendale (split to other funds) $ 546,000
Valley City State University $ 570,000 Mayville State University $ 382,000
Industrial School $ 1,372,000 School of Science $ 988,000
School of Mines $ 1,134,000 Veterans Home $ 356,000
University of North Dakota $ 1,608,000

Total $ 219,094,000 Million

If I understand this right, they spent $219 Million for the 15'-17' biennium. If the idea was to not spend the principal, which I understand, then isn't there another $580 million they didn't spend that got banked or am I missing something? based on whats above, it looks like they are getting $400M per year or $800M per biennium but only spending a fraction of that. Is that right?

 

[eyexer]

Yes! The state was awarded just over 2.5 million acres of land from the federal government at statehood. Sections 16 and 36 of every township were given to the state from the feds to serve as school trust lands. In the case those sections were already privately owned, other sections within the township were awarded. Today there are approximately 700,000 acres of state school trust lands remaining. Do your own research. ND doesn't have the best track record of holding state lands.

i was simply asking because I didn’t know and you seemed to know. I wasn’t accusing you of lying or anything. So the funds from those sales have been sitting in the trust fund since earning interest. Any idea what those purchase prices totaled altogether?

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In the early years of Statehood trust lands were sold to generate money to build schools. Later trust lands were sold and the money was deposited in a permanent trust fund that was "invested" and then the money was distributed.

Around 1970 the Land Trust had 700,000 acres and decided to not sell anymore land. These 700,000 acres serve as part of the portfolio while the money from land that was previously sold generates income from stocks, bonds, mortgages and loans on land.

So how did our fore fathers do investing? The Common Schools Trust Fund has

$4,318,989,728​

dollars (billion) in it and gains about $400 million per year. The idea is, don't touch the principle. It's the gift that keeps on giving. Part of the gains or $400 million could/should be spent.

And then we have the valedictorians who want to bitch about the 1.8 million acres that were sold. It can be explained to the valedictorians over and over that it was the intention during Statehood to sell part of these lands to generate income to build schools then and into the future, but how do we understand it for them?

- - - Updated - - -

Also,

to clarify, part of the gains or interest on that invested 4.3 Billion dollars or approximately 300 million earned is spent on education:

The chart below shows the distributions that will be made to the Permanent Trust Beneficiaries for the 2-year period ending June 30, 2017. The distribution to the ND public school system – grades K-12 during the 2014 school year was $627.53/pupil. The ND Department of Trust Lands is not a tax funded agency but rather an income generator for the various trust funds.

2015-17 Fund Beneficiary Distribution Amt Common Schools (K-12) $ 206,134,000
North Dakota State University $ 3,368,000 School for the Blind $ 456,000
School for the Deaf $ 1,180,000
State Hospital $ 1,000,000 Ellendale (split to other funds) $ 546,000
Valley City State University $ 570,000 Mayville State University $ 382,000
Industrial School $ 1,372,000 School of Science $ 988,000
School of Mines $ 1,134,000 Veterans Home $ 356,000
University of North Dakota $ 1,608,000

Total $ 219,094,000 Million

hmmm something isn’t right. No way could they have spent any of that money on school buildings because the legislators have said forever that would be unconstitutional. So somebody is lying apparently

 

[Fritz the Cat]

Most of us want our 401k or banked investments to accrue or have increasing amounts of money over time.

And then there are those who deficit spend. They have wants and needs. They view the $4.3 Billion as abundance. They will always vote largesse onto themselves. Once the money or the income generator fund is gone, then it will be the fault of the politicians.

 

[TFX 186]

Fritz,
I am sure that a big portion of the ND people understand what investment is. Don't get into the principle and spend it and you will be fine. I'm with SLE, Where is the rest of the money being spent? How long has it been spent somewhere else and all we hear is the bitch about how the state has no money for education. Maybe you don't know where it's going but you seam to be fairly well versed on the goings on in the legislature.
Don't lump us all into the liberal deficit spending.

Fish On!

 

[Reprobait]

ND has the highest state and local tax collections per capita in the country:

[h=3]North Dakota[/h]

• State & local government spending per capita: $12,360 (4th highest)
• State & local tax collections per capita: $9,182 (the highest)
• Largest spending category: Education (31.5% of spending)
• Share of workers in public sector jobs: 19.1% (9th highest)
• Poverty rate: 10.7% (10th lowest)

https://www.usatoday.com/story/money/economy/2018/06/29/what-your-state-spends-on-you/36290279/

 

[scrotcaster]

.

And then there are those who deficit spend. They have wants and needs. They view the 700,000 acres as abundance. They will always vote largesse onto themselves. Once the money or the STATE LAND is gone, then it will be the fault of the politicians.

Hey Fritz,
Fixed it for ya
Sincerely,
One of the Valedictorian


Seriously thou, not looking to start a pissin match,, just dont want anymore of whats left of our public land to disappear

 

[Fritz the Cat]

Scrotcaster,

It would appear that our people many years ago wisely invested the money from land sales. And then they wisely decided in 1970 to NOT sell any more retaining 700,000 acres.

I can't know if ND didn't sell a problem piece of ground or not since 1970 but it can be said that North Dakota has not sold that 700,000 acres in 50 years. 50 years...…. Yet the fearmongers claim North Dakota will sell any federal land we may acquire.

 

[Davy Crockett]

ND has the highest state and local tax collections per capita in the country:

North Dakota

• State & local government spending per capita: $12,360 (4th highest)
• State & local tax collections per capita: $9,182 (the highest)
• Largest spending category: Education (31.5% of spending)
• Share of workers in public sector jobs: 19.1% (9th highest)
• Poverty rate: 10.7% (10th lowest)

https://www.usatoday.com/story/money/economy/2018/06/29/what-your-state-spends-on-you/36290279/

I'm no economical engineer but every since I can remember, ND has has been promoting tourism as a money maker , Come and visit our beautiful state and buy a tank full of gas , Stay at a motel and eat at our restaurants . That strategy is backfiring as people like what they see and move here to retire . Couple that with some of the best welfare benefits in the nation. Now I see we are building Teddy Roosevelt a new library for economical development. You would think money grows on trees.

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It would be interesting to know what % of the people in ND pay what % of the taxes. There's a lot of people in ND getting a free ride.

 

[Uncle Jimbo]

The "fear mongers" and "valedictorians" have good reason to think the state may one day liquidate their public land assets. A state that is drunk on spending will need to keep the spigot of money flowing since they can't curb the spending.

When someone like Fritz immediately resorts to name calling, it raises my suspicions. Why is someone like him so sensitive to an open discussion about public lands?

 

[SLE]

I'm no economical engineer ............... That strategy is backfiring as people like what they see and move here to retire . Couple that with some of the best welfare benefits in the nation........

I would completely challenge this statement. I don't think ANYBODY is looking at ND as a good cheap retirement option. High taxes, high costs of living (groceries, utilities, etc.), expensive housing, expensive transportation, and shitty weather all play into this. ND is not the "old folk's" play ground by any means. Most are moving out of ND to cheaper places, with more opportunity, and way better weather for retirement. I would say the vast majority that actually keep places in ND when they retire is strictly based on the fact it's either all the know and what they're comfortable with, or because their family is here.

No offense Davy but i think you missed the mark on this one.

 

[Fritz the Cat]

The "fear mongers" and "valedictorians" have good reason to think the state may one day liquidate their public land assets. A state that is drunk on spending will need to keep the spigot of money flowing since they can't curb the spending.

When someone like Fritz immediately resorts to name calling, it raises my suspicions. Why is someone like him so sensitive to an open discussion about public lands?

This thread isn't about liquidating public lands. It's more about how well/wise our fore fathers invested our money at the ND Land Trust and today we have a very nice nest egg. Gains realized from the $4.3 Billion are the gift that keeps on giving.

But some of you guys want to debate public lands AGAIN. Point.....North Dakota has not sold any Trust land since 1970. Question....were your hero's, Land Tawney and Randy Newberg even born yet?

Yes, States sold Trust land to fund schools back then and fund them into the future. But it is fun to watch the public land activists holler see...see... the States have a history of selling public lands and will do so in the future therefore we must keep it locked up in federal hands. Dead Capital

 

[eyexer]

ND has the highest state and local tax collections per capita in the country:

North Dakota

• State & local government spending per capita: $12,360 (4th highest)
• State & local tax collections per capita: $9,182 (the highest)
• Largest spending category: Education (31.5% of spending)
• Share of workers in public sector jobs: 19.1% (9th highest)
• Poverty rate: 10.7% (10th lowest)

https://www.usatoday.com/story/money/economy/2018/06/29/what-your-state-spends-on-you/36290279/

this is a fact jack

 

[Uncle Jimbo]

This thread isn't about liquidating public lands. It's more about how well/wise our fore fathers invested our money at the ND Land Trust and today we have a very nice nest egg. Gains realized from the $4.3 Billion are the gift that keeps on giving.

But some of you guys want to debate public lands AGAIN. Point.....North Dakota has not sold any Trust land since 1970. Question....were your hero's, Land Tawney and Randy Newberg even born yet?

Yes, States sold Trust land to fund schools back then and fund them into the future. But it is fun to watch the public land activists holler see...see... the States have a history of selling public lands and will do so in the future therefore we must keep it locked up in federal hands. Dead Capital

There you have it! It's all about how much money can be made from public lands! Sell it to the states because the states can better milk every last dollar from those lands!

 

[db-2]

Also, if it is posted by the tenant they can not hunt on it either.
Yes when we became a state the feds put the two sections aside with its income to be used for education. I am sure over the years a lot has change. School section rent is really cheap in my area and I do not feel the state manages the land well. But it does come up for bid every so often so just bid on it, get a couple of cows and a way you go.
Signs go up and if you have land next to it, puts the stand up on your land with feed and have access to 160 protected acres to house the deer for your enjoyment besides pasture for your cow.
Life is and always will never be fair unless your 6 years old in the play ground at school and a teacher takes the time to make it fair.
Times one just needs to live with things and consider one lucky for what may come ones way. db

 

[eyexer]

Also, if it is posted by the tenant they can not hunt on it either.
Yes when we became a state the feds put the two sections aside with its income to be used for education. I am sure over the years a lot has change. School section rent is really cheap in my area and I do not feel the state manages the land well. But it does come up for bid every so often so just bid on it, get a couple of cows and a way you go.
Signs go up and if you have land next to it, puts the stand up on your land with feed and have access to 160 protected acres to house the deer for your enjoyment besides pasture for your cow.
Life is and always will never be fair unless your 6 years old in the play ground at school and a teacher takes the time to make it fair.
Times one just needs to live with things and consider one lucky for what may come ones way. db

never thought of that. Get some buddies together and out bid everybody on the rent and plant it to food plots and habitat. We could all do this and have our own mini crp program. I guess if they pass the trespass bill it’s something people really need to explore

 

[ndlongshot]

never thought of that. Get some buddies together and out bid everybody on the rent and plant it to food plots and habitat. We could all do this and have our own mini crp program. I guess if they pass the trespass bill it’s something people really need to explore

Has to stay as grazing land. I'm sure you could lease and hold which would be great. Get a local sublease and graze every three years and you'd have something.

 

[db-2]

Yes, and when I asked my buddy to do this with me as he owned land next to the state land he was concern the locals would run him out but the rent was really, really cheap. Bid was for a fair amount of time. No one could hunt on the state land with the signs we put up, leave the one cow till December, and whatever. db

 

[Kurtr]

See it’s different down here. Does not matter if there are cows or not it is still open to public.

 

[Fritz the Cat]

never thought of that. Get some buddies together and out bid everybody on the rent and plant it to food plots and habitat. We could all do this and have our own mini crp program. I guess if they pass the trespass bill it’s something people really need to explore

Do it. Just keep in mind all your sweat equity and improvements do not belong to you. And you cannot post it. Your efforts would be much better served if you purchased some land and did that exact same thing.