The Legacy Fund
In 2010, North Dakotans voted to set something aside. The constitutional amendment they approved created the Legacy Fund: a permanent savings fund, built from a share of the state’s oil and gas tax revenue, invested for the long term and held for every North Dakotan today and for those who come after.
How It Works
Every month, 30% of the state’s oil and gas production and extraction tax collections are deposited into the Legacy Fund. The Legislature can add funds from other sources, too. These dollars are invested to generate long-term growth.
The fund itself is not spent. A portion of what the investments earn is made available to the state, under limits set in the constitution and in state law. The principal is protected and kept working for future generations.
Why North Dakota Built It
For every boom there is a bust. The oil rush of the late 1970s gave way to the collapse of the 1980s, and the state was left with little that lasted. So, when the Bakken boom arrived thirty years later, the question wasn't whether this boom would end — it was what would remain when it ended.