Back in the old days when schools especially the bigs had unlimited schollies that happened on a regular basis. There really wasnt that much player movement back then so youwould have kids riding the pine for four years unless they proved themselves and moved up the depth chat.
Now that doesnt happen because of limits on schollies. But the bigs figured out a new system where they would over sign to many recruits. They would then force those that couldnt produce at the next level to leave the team.
In the FCS with only 63 scholarships to divide between 85 players your scenario makes absolutely no sense and I can guarantee NDSU wouldnt do that to any kid.