Destination Development Grant

The North Dakota Department of Commerce, Tourism Division administers the Destination Development Grant Program for the 2025–2027 biennium. The program is backed by a $15 million appropriation from the 69th Legislative Assembly to support the development or expansion of tourism experiences and attractions that strengthen North Dakota’s economy and diversify its tourism offerings. Projects funded through this program must provide new or enhanced experiences, align with the state’s identity and values, and demonstrate significant long-term impact. All applications will be evaluated for their ability to attract new visitors, encourage extended stays, support workforce recruitment and retention, and improve quality of life for residents. Funding may be used for infrastructure construction, attraction expansion, and other capital improvements that serve as anchor tourism destinations. Examples include accommodations with unique cultural or regional character, culinary experiences celebrating local flavors, themed education or entertainment attractions, agritourism offerings, and focused niche activities tied to North Dakota’s heritage, natural features, or tourism markets. Eligible expenditures include construction or purchase of tourism-related assets, infrastructure directly supporting tourism, and essential project equipment. Planning and operational costs are not eligible. Projects may be multi-use and multi-seasonal. All costs must be incurred before June 15, 2027, for reimbursement. Eligible applicants include for-profit businesses, non-profit organizations, and tourism-related entities, including those operating in government-owned buildings or on public land, provided funds benefit only assets owned by the applicant. State and federal government entities, government-owned facilities, and projects involving staffing, marketing, strategic planning, or ongoing operational expenses are ineligible. Three funding options are offered: Option 1 provides $5 million with a 1:1 match requirement, Option 2 provides $5 million with a match waiver for those unable to raise matching funds, and Option 3 offers awards up to $500,000 with a 1:1 match and priority for rural communities under 20,000 population. Applications are accepted only through the online portal, which opens August 1, 2025, at 3:00 p.m. CDT and closes September 2, 2025, at 5:00 p.m. CDT. Required application materials include a detailed project description, budget, letters of support, and for some applicants, a match waiver request. The proposal must address evaluation criteria including project overview, innovation, cultural and historical significance, tourism and hospitality capacity, financial sustainability, market demand, visitor demographics, collaboration, economic impact, tourism growth potential, and community benefits. Existing attractions seeking operational enhancements must also address feasibility, impact, social impact, sustainability, financial hardship, and collaboration. Applications must include three letters of support from local or regional leaders or organizations, a comprehensive business plan, and financial documentation including three years of historical and projected statements. Applicants requesting a match waiver must meet additional community support requirements. All supporting materials must be uploaded to the portal as separate labeled files. Ineligible expenses include travel, lodging, advocacy, lobbying, taxes (except eligible sales tax), administrative costs, speculative projects, and direct payments to individuals unless approved as an exception. The Department will review and score proposals, notify successful applicants, and issue grant agreements. Grantees must follow strict reimbursement documentation guidelines, submit quarterly progress narratives, and provide a final report with photos upon completion. Any changes to budget, match, use of funds, or timeline require prior approval. Upon contract closeout, projects must be listed on NDtourism.com and kept up to date to attract visitors. Questions about the program should be directed to McKenzie Clayburgh, North Dakota Department of Commerce, Tourism Division, at clayburghmckenzie@nd.gov or (701) 328-6484.

Competitive applications show clear vision, alignment with tourism goals, long-term value; include data on visitation; address known tourism gaps; leverage multiple funding sources; extend visitor stays; and demonstrate sustainable management of tourism resources