BISMARCK, N.D. (NewsDakota.com) – The Legacy Fund, North Dakota’s sovereign wealth fund established to secure the state’s long-term financial stability, is poised for increased growth and economic impact following the passage of Measure #3, according to a release from the ND State Investment Board.

Created in 2010, the Legacy Fund allocates 30% of North Dakota’s oil and gas tax revenues into strategic investments, amassing a value of $11 billion. Its purpose is to ensure the benefits of the state’s natural resources extend to future generations.

With Measure #3’s approval, legislators’ access to the fund’s principal is reduced from 15% to 5% per two-year budget cycle. This adjustment allows a higher portion of the fund to be directed toward long-term investments, which have a greater potential to increase earnings. According to a study by RVK, a Legacy Fund advisory board consultant, the measure could boost earnings by $30 million in its first year.

“The Legacy Fund was created to provide financial stability and deliver sustained economic benefits for North Dakotans,” said Rep. Glenn Bosch, vice chair of the Legacy and Budget Stabilization Fund Advisory Board. “With the passage of Measure #3, we can consider more long-term investments that have the potential to increase the fund’s earnings. These increased earnings would provide additional dollars for tax relief, infrastructure, and other in-state projects.”

The fund’s investment strategy is managed by the State Investment Board (SIB) with coordination from the Retirement and Investment Office (RIO). Lt. Governor Tammy Miller, chair of the SIB, emphasized the importance of a diversified and prudent portfolio that balances financial returns with opportunities to positively impact North Dakota’s economy.

Over the past six years, the Legacy Fund has contributed more than $1.8 billion in earnings to North Dakota’s general fund, supporting state projects and providing tax relief. An additional $601 million in earnings is scheduled for transfer in June 2025.

“The Legacy Fund’s asset allocation is thoughtfully designed to align with the fund’s unique revenue sources and spending needs. This commitment to North Dakota’s future reflects our dedication to growth and stability,” said Jan Murtha, RIO executive director.