The proposed bill establishes a new education savings account program in North Dakota, introducing a criminal offense for the misuse of funds from these accounts. It creates a new section in chapter 12.1-23 of the North Dakota Century Code that outlines penalties for individuals who misuse education savings account funds, with penalties ranging from a class A felony for amounts exceeding $50,000 to a class B misdemeanor for lesser amounts. The bill also amends section 15.1-20-02 to clarify exceptions to compulsory school attendance and provides for a continuing appropriation for the education savings account program. Additionally, it establishes definitions related to the program, creates an education savings account fund within the state treasury, and outlines the responsibilities of the superintendent of public instruction in administering the program.

Moreover, the bill mandates an annual parental satisfaction survey to gather feedback from parents of eligible students, allows the Department of Public Instruction to apply for federal funds, and clarifies the autonomy of participating schools and education service providers. It also amends compulsory attendance exceptions to include children in home education programs participating in the education savings account program. The bill appropriates $3 million for the administration of the program and an additional $3 million for legal defense related to the program for the biennium from July 1, 2025, to June 30, 2027. These changes aim to enhance the effectiveness of the education savings account program while ensuring proper oversight and funding.

Statutes affected:
Adopted by the House Education Committee: 15.1-20-02