JAMESTOWN, N.D. (NewsDakota.com) – North Dakota legislators are raising questions about the transparency of the State Investment Board’s (SIB) management of the state’s Legacy Fund, claiming that billions of tax dollars may be invested without sufficient awareness from SIB members. Representative Bernie Satrom, in a letter to Ms. Jan Murtha, emphasized that recent reviews of public records and SIB meeting minutes have raised concerns about oversight and decision-making processes within the board.
According to Representative Satrom, the review highlighted several controversial investments, including those in Russian government bonds prior to the invasion of Ukraine and stakes in Chinese companies allegedly linked to fentanyl trafficking, terrorism, and human rights abuses. The letter also identified investments in oil and gas sectors outside the United States, including foreign competitors controlled by various governments, and in several global banks committed to eliminating fossil fuels – a stance Satrom warned could be harmful to North Dakota’s economy.
“We are compelled to ask if SIB staff and board members knew in advance that these investments were earmarked for the Legacy Fund,” the letter reads. “These funds, derived from our state’s oil and gas tax revenues, must be managed with transparency and in a manner that aligns with our state’s best interests.”
The letter details further investments, including in tobacco companies while North Dakota reportedly spends millions combating tobacco use, and substantial stakes in Chinese corporations tied to military and espionage activities.
To address these concerns, Satrom announced plans to introduce the “Legacy Fund Transparency Act” in the next legislative session, aiming to ensure transparency in investment decisions for the Legacy Fund. According to Satrom, this legislation would support “the people’s right to know” how public funds are invested and managed.
The State Investment Board has yet to respond publicly to the questions posed. However, Satrom expressed urgency for a response, underscoring the need for clarity regarding the extent of SIB members’ knowledge about Legacy Fund investments.
The Legacy Fund, often referred to as “the people’s fund,” was established to safeguard tax revenues from the state’s oil and gas industries, providing long-term financial security for North Dakota residents.