Click here for a view of the schedule of hearings for the week of January 20th. New features on the NDACo website make it easy to find the schedule of NDACo bills. The schedule is updated daily – and is available to download and print. The website also includes a list of bills NDACo is tracking. Click here to check it out.
Tip: A great page to bookmark to review during the session.

Property Tax Related

How the Legislature will proceed with property tax relief and reform is the topic of conversation with nearly every lawmaker. During this first full week of hearings, two concepts were presented to the House Finance & Tax Committee.

HB 1176 is the property tax relief/reform bill that Governor Armstrong is backing, sponsored by Rep. Mike Nathe. The bill was heard Tuesday. The basis of this plan is to increase the Primary Resident Credit from $500 to $1550 using General Fund and Legacy Earnings. The bill includes a 3% cap above base year dollars levied, allows for carry-over of unused cap dollars for up to five years. Political Subdivisions can exceed the cap with a vote, but it is only good for 1 year. The plan also makes changes to the homestead tax credit – increasing the income thresholds and increases the renters refund – to allow for more individuals to be eligible. NDACo & ND League of Cities supported the relief the bill provides to citizens but voiced concerns regarding the 3% cap. NDACo Executive Director Aaron Birst described how the 3% cap will have different effects on counties depending on size, tax base and lack of other available funding sources.

HB1168 “buys out” 60 mills of General Fund levy authority for schools, caps political subdivision levies at 3% above base year dollars levied, requires a super majority vote to exceed cap and the vote is good for 5 years. This bill was heard Wednesday and is sponsored by Rep. Scott Louser.

The committee didn’t take action on either bill. NDACo is willing to work with lawmakers on all viable solutions for a tax relief and reform package. We encourage county officials to communicate with your legislators on this issue and provide them information on how a cap (3%) would impact services and hamper the ability to address emergency situations, growth, or other issues that arise.

Governor Armstrong Budget

Governor Kelly Armstrong presented his budget to the joint House and Senate Appropriations Committees. There are several county-related areas to highlight.

• $483.4 million for property tax relief
• $464 million in bonding for construction projects to include: new State Hospital, Airport projects,
• $16 million to staff and operate a new expansion of the Grand Forks County Correctional Center as an immediate, temporary solution to prison overcrowding.
• $40 million to plan for Missouri River Correctional Facility improvement/expansion and $36.5 million to finish the Heart River Correctional Facility for women.
• $19 million for behavioral health programs
• Reduced the ND DOT budget proposed increase by $109 million and adding a new Legacy Fund earnings stream for the Legacy Earnings Highway Distribution Fund.

Transportation Related

• SB 2142: Was heard Friday, it creates a new fund that would receive 25% of motor vehicle excise tax to be allocated to townships in non-oil producing counties. Currently, 50% of motor vehicle excise tax is deposited to the general fund and 50% goes to the Flexible Transportation Fund. The amended language would eliminate the deposit to the General Fund and deposit 25% to the new Township Road and Bridge Sustainability fund and 75% to the Flexible Transportation Fund. NDACo supported the concept of the MV Excise Tax being dedicated to roads but also asked for consideration that counties could also be factored in. 25% of the MV Excise tax is estimated to be $86 million.
• HB 1065:  The distribution of funds for townships in non-oil producing counties will be calculated by certified road miles rather than a flat fee.  The bill passed the House 90-3.
• HB 1051:  Added Tribal governments to allow requests for funds from the Special Road Fund.  Passed House 91-0
• HB 1052:  NDDOT bill for regulation of tourist oriented directional signs to include rural highways not within the ROW of interstate highway systems.  The bill failed in the House 1-92
• HB 1053:  The NDDOT amended the definition of the state highway system may not exceed 7,700 miles (removed the percentage of road miles calculation). Passed the House 93-0

Other bills of interest with action this past week:

• SB 2039: Property Tax Exemption for Ag Storage Facilities – NDACo opposed
• HB 1134: Criminalizes the dissemination of personal information – NDACo requested amendment for Law Enforcement related information.
• SB 2145: Immunity for 911, 211, 988 operators
• HB 1060: Extends presumption clause to State Correctional Officers – NDACo requested bill be amended to include all correctional officers (local & regional jails).
• SB 2098: Changes criteria for issuing Blue & Silver alerts
• HCR 3003: Require 60% voter approval for constitutional measures
• HB 1096: Committee amended 911 service fee from 5% to 2.5% – Passed House 89-0

Bills we are watching this week (1/20-24) worth noting (refer to schedule for links to bills)

• SB 2096: Funding for acute psychiatric treatment
• SB 2201: Primary Residence credit for homes in trusts
• SB 2166: Creates Property Tax Portal
• HB 1266: Disabled Veterans Credit
• SB 2128: Attorney General’s Truth in Sentencing Bill
• HB 1335: Homestead Tax Credit increases
• HB 1390: Property Tax Relief bill
• HB 1383: Property Tax exemption for inundated ag land
• HB 1337: Grants to Counties for mental health treatment in jails
• HB 1193: Back the Blue Grants
• SB 2183: Increases speeding fine in construction areas
• HB 1287: Establishes voter registration
• SB 2175: Post-Election audits
• SB 2178: Creates multiple ballot styles for primary
• HB 1197: Creates new jail improvement fund
• HB 1213: Low interest loans for jail improvements
• HB 1407: Increases road weight limits
• HB 1380: County publication requirement
• HB 1384: Requires County Auditors to be Elected