June 21, 2001

Ag Payments and Crop Insurance Fuel Boost in Federal Payments to North Dakotans

Per capita federal expenditures to North Dakotans reached $8,167 in 2000, up 10.4 percent from 1999 after adjusting for inflation. According to the latest Economic Brief released from the North Dakota State Data Center at North Dakota State University, North Dakota ranked fourth in the nation in per capita federal expenditures in 2000.

"The percentage increase in adjusted per capita Federal dollars between 1990 and 2000 was the largest increase among all states," said Richard Rathge, Director of the Center. "The vast majority of the increase was to farmers, in the form of agricultural program payments and crop insurance," said Rathge.

Federal dollars to North Dakota totaled $5.2 billion in 2000, 24.3 percent of which was paid directly to individuals for Federal retirement and disability payments (down slightly from 26.9 percent in 1999). Nearly 40 percent of federal expenditures to North Dakota were categorized as Other Direct Payments. Agricultural program payments captured approximately 50 percent of the "other" federal expenditures or 25 percent of total federal expenditures to North Dakota at $1.3 billion.

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Source: Richard Rathge, (701) 231-8621, richard_rathge@ndsu.nodak.edu
Editor: Tom Jirik, (701) 231-9629, tjirik@ndsuext.nodak.edu

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