To receive funding, applicants must show:

1. That oil activity in the area has created a financial hardship which cannot be handled without help from the Oil Impact Grant Program.

2. That the project will alleviate the hardship that resulted from oil activity; and

3. That the applicant's financial resources to handle the project are insufficient (this implies that the applicant has made a diligent local taxing effort to accomplish its goal).

Considerations for funding

Funds are awarded following visits with the local political subdivisions requesting the funding. Following these visits, the Director considers information received during these meetings, information from the application, and any other compiled data relating to oil production, oil taxation, and property taxation. Information is also obtained through the state's mainframe computer from the Oil & Gas Division of the Industrial Commission showing oil well, oil production, and salt water production, which helps establish the degree of oil-related traffic in each township. Also, the EDIO collects oil tax and property tax data from various sources, including the State Treasurer's Office, the State Tax Commissioner's Office, the State Department of Public Instruction, and ND League of Cities.

Conclusion

The EDIO is a program that successfully channels financial help to where it is most needed, at minimum operational expense to the State of North Dakota.