This bill outlines the compensation adjustments for permanent state employees in North Dakota for the 2025-27 biennium, proposing an average increase of 3 percent for the first fiscal year and 2 percent for the second. The increases will be based on documented performance and will not be uniform across all employees. Probationary employees are generally excluded from these increases, although they may receive a portion at the discretion of their appointing authority. The bill also emphasizes the intent of the legislative assembly to provide appropriations to state agencies to cover these compensation adjustments, which are set at half of the increases approved for the previous biennium.

Additionally, the bill includes a provision for the appropriation and transfer of $49,200,000 from the general fund to the teachers' fund for retirement. This transfer is intended to fund a one-time supplemental payment to eligible retirees, acknowledging cost-of-living adjustments. The amount transferred represents half of the estimated costs associated with the previously approved state employee compensation increases for the 2023-25 biennium.