The 1981 NCAA Division II football season, part of college football in the United States organized by the National Collegiate Athletic Association at the Division II level, began in August 1981, and concluded with the NCAA Division II Football Championship on December 12, 1981 at McAllen Veterans Memorial Stadium in McAllen, Texas. During the game's five-year stretch in McAllen, the "City of Palms", it was referred to as the Palm Bowl. Southwest Texas State defeated North Dakota State in the championship game, 42–13, to win their first Division II national title.