How to Find North Dakota Government Contracts for Small Businesses

North Dakota spends approximately $2 billion annually on state procurement, managed through the Office of Management and Budget’s State Procurement office. While North Dakota is one of the smaller state markets by population, its energy-driven economy — particularly the Bakken oil and gas fields — and substantial infrastructure needs create solid contracting opportunities in construction, IT, energy services, and healthcare. With meaningful in-state and veteran preferences and a procurement process that is less crowded than larger states, North Dakota rewards businesses that show up consistently. Here’s how to compete.

How North Dakota procurement works

North Dakota’s state procurement is centrally managed by the Office of Management and Budget (OMB) — State Procurement. State Procurement sets purchasing policies, manages statewide contracts, and operates the official procurement system where agencies post formal solicitations.

North Dakota uses NDBuys as its electronic procurement platform. Vendors register on NDBuys to receive solicitation notifications, access bid documents, and submit electronic responses. Registration is free and is the starting point for any business that wants to receive alerts for relevant opportunities. During registration, selecting the right commodity codes is essential — North Dakota’s notification system matches solicitations to registered vendors based on commodity code alignment.

North Dakota’s competitive bidding threshold is $25,000 for goods and services. Purchases above that level require formal competitive solicitation through NDBuys. For purchases between $10,000 and $25,000, agencies typically solicit at least three informal quotes. Purchases below $10,000 may be made at agency discretion. This tiered structure means there are opportunities at every spend level, and being in the vendor database matters for the smaller informal quote process as well.

Several agencies manage their own procurement with delegated authority:

• North Dakota Department of Transportation (NDDOT) — manages highway and bridge contracts through its own contractor registration and bidding system. Transportation contracts are among the largest and most frequent in the state.
• North Dakota University System (NDUS) — the university system, including University of North Dakota, North Dakota State University, and 11 campuses total, procures independently. University procurement is a meaningful secondary channel for IT, research, facilities, and professional services vendors.
• State agencies with large budgets — the Department of Human Services, Department of Health, and Department of Corrections each manage substantial contracting activity and may post directly on NDBuys or through their own processes.

North Dakota participates in cooperative purchasing agreements including NASPO ValuePoint and the Western States Contracting Alliance (WSCA). If you hold a cooperative contract, North Dakota agencies may be able to purchase from you without a separate competitive process — making it worth contacting agency buyers directly if you’re on these vehicles.

Who can bid on North Dakota state contracts

Any registered business can bid on North Dakota state contracts. The state does not restrict bidding to North Dakota-based firms, but two meaningful preferences give resident and veteran-owned businesses a built-in competitive advantage.

The North Dakota in-state preference gives a 5% price advantage to North Dakota resident vendors on purchases of goods. To qualify, a business must maintain a principal place of business in North Dakota and meet other residency criteria. The preference is applied at the bid evaluation stage: a North Dakota-resident bidder’s price is reduced by 5% for comparison purposes, so an in-state vendor priced up to 5% higher than an out-of-state competitor will still win on price. The preference applies to goods rather than most service contracts.

North Dakota also recognizes veteran-owned business preferencesin some solicitations, particularly on contracts funded with state general funds. Veteran-owned businesses may receive evaluation preference or tie-breaking advantage in certain categories. While North Dakota’s veteran preference is less formalized than states like New Mexico or Texas, it reflects a broader state culture of supporting veteran entrepreneurship.

North Dakota’s small business programs are less formalized than states with dedicated MWBE or HUB programs, but agencies are encouraged to consider small business participation. The state does not have a mandatory set-aside program comparable to the federal small business set-aside system, though agencies may structure solicitations to be accessible to smaller vendors.

Federal certifications — 8(a), SDVOSB, or WOSB — are most directly valuable on federal contracts, but they carry credibility on North Dakota state contracts funded with federal pass-through dollars. North Dakota receives substantial federal funding through Medicaid, highway programs (FHWA), and housing programs (HUD), all of which bring federal small business requirements into state-administered contracts.

Common contract categories in North Dakota

North Dakota’s procurement landscape is shaped by its energy economy, agricultural heritage, geographic remoteness, and expanding public sector. Key contracting categories include:

• Construction and infrastructure — NDDOT manages one of the most active contracting programs in the state, with highway construction, bridge rehabilitation, and pavement maintenance across North Dakota’s extensive road network. The state’s growth — particularly in western oil country — has placed significant strain on roads, bridges, and rural infrastructure, driving sustained investment. The State Building Authority manages construction and renovation of state-owned buildings, adding another layer of construction contracting activity beyond transportation.
• Information technology — North Dakota has been investing in IT modernization across state government, including cloud migration, cybersecurity, and system upgrades. The Information Technology Department (ITD) coordinates major statewide IT contracts and manages the state’s centralized data center and network infrastructure. Active IT contracting categories include software, managed security services, cloud services, IT staffing, and help desk support.
• Energy — oil, gas, and related services — North Dakota is the second-largest oil-producing state in the country, with the Bakken formation in the western part of the state driving a large energy economy. State agencies contract for energy-related services including environmental compliance, reclamation and remediation, pipeline inspection, land management, and energy auditing. The Industrial Commission oversees the state’s oil and gas programs and is an active contracting agency for related environmental and technical services.
• Healthcare and human services — the Department of Human Services (DHS) is one of North Dakota’s largest agencies by budget, administering Medicaid, behavioral health services, substance use treatment, child welfare, and aging services. The Department of Health contracts for public health services, laboratory services, and health information systems. Healthcare contracting is a major and recurring source of state procurement activity.
• Professional and consulting services — engineering, environmental science, accounting, legal services, management consulting, and staffing across agencies. Environmental services are particularly active given the energy sector’s impact on land, water, and air quality, and the Department of Environmental Quality (DEQ) contracts regularly for assessment, monitoring, and remediation services.
• Agriculture-related services — North Dakota is the nation’s leading producer of wheat, sunflowers, canola, and several other crops. The Department of Agriculture contracts for agricultural research, plant and animal disease monitoring, rural extension services, and food safety inspection. The North Dakota State University agricultural extension program is also a significant contracting entity for research and field services.

Tips for winning North Dakota state contracts

Register in NDBuys under the right commodity codes. North Dakota’s vendor notification system depends entirely on commodity code matching. Spend time selecting every applicable code when registering — including categories adjacent to your core business. A construction company should register under multiple construction discipline codes, not just a single general category.

Certify in-state status immediately if you qualify. The 5% preference on goods purchases is automatic for registered North Dakota residents who certify their status. It costs nothing and can be the margin of victory on price-competitive solicitations. Review the certification requirements and apply when registering in NDBuys.

Register separately with NDDOT for transportation work. NDDOT operates its own contractor prequalification system and bidding process for highway and bridge projects. If transportation is your market, NDDOT registration is separate from and in addition to NDBuys registration. NDDOT’s prequalification requires financial documentation and experience records, so plan to start the process well before any specific project closes.

Monitor the energy sector’s state contracting spinoffs.North Dakota’s oil and gas boom creates environmental and regulatory compliance workloads for state agencies. DEQ, the Industrial Commission, and the Department of Mineral Resources regularly contract for environmental assessment, reclamation, and monitoring services tied to the energy sector. Businesses with environmental consulting or engineering backgrounds should pay close attention to these agencies.

Leverage the lower competition. North Dakota’s small population means fewer competing bidders on most solicitations. For businesses in the northern Plains region, this is a real advantage — meaningful contract values with fewer competitors than in larger coastal or Sunbelt states. Businesses based in neighboring states (Minnesota, South Dakota, Montana, Wyoming) can also bid effectively given geography.

Build relationships with university procurement offices.The North Dakota University System — particularly UND and NDSU — is a substantial contracting entity for IT, research, facilities, and professional services. University procurement operates through separate portals and processes, but the relationship-building effort is worthwhile for businesses with capabilities suited to academic institutions.

Watch for federally funded contracts carrying DBE goals.North Dakota receives substantial federal transportation funding through FHWA, and NDDOT has a DBE program for federally funded highway projects. If your business qualifies for DBE certification, it opens subcontracting opportunities on NDDOT prime contracts where primes must meet participation goals.

How ContractRadar monitors North Dakota contracts

ContractRadar syncs North Dakota’s NDBuys procurement portal daily, pulling active solicitations and scoring them against your business profile. Each opportunity is matched against your NAICS codes, keywords, certifications, and service descriptions. Strong matches appear in your opportunities dashboard and your daily email digest, labeled by agency and category so you can immediately see what’s worth pursuing.

North Dakota coverage runs alongside federal opportunities from SAM.gov and SBA SubNet, plus every other state and local government we monitor — giving you a complete ranked list of your best opportunities across all levels of government in one place. View our full source list on the coverage page.

For a broader look at how state contracting works across the country, visit our state government contracts guide. For veteran-owned businesses looking to maximize the ND veteran preference alongside federal opportunities, see our veteran-owned business guide.

Get free help from North Dakota’s APEX Accelerator

North Dakota’s APEX Accelerator (formerly PTAC) provides free one-on-one counseling, bid assistance, registration support, and training to help small businesses win government contracts at the federal, state, and local level. The program is federally funded and available to any North Dakota business at no cost. APEX counselors can help you navigate NDBuys registration, NDDOT prequalification, in-state preference certification, and proposal writing.

• Find your nearest APEX Accelerator office — free procurement assistance for North Dakota small businesses

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North Dakota’s procurement market rewards consistent monitoring. Solicitations open and close on rolling schedules with bidding windows that are often just a few weeks long. The state’s lower competition means each opportunity you identify and pursue has a better chance of converting — but only if you catch it in time.

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