Special Session Update

Lawmakers wrapped up their three-day special session Friday with the passage of two of the five bills considered.

Kratom

Governor Kelly Armstrong called for the Special Session to address the rising concerns over Kratom. Prior to hearings, Armstrong requested the Legislature pass a full ban on Kratom and Kratom products. However, that effort failed. Lawmakers instead, approved a bill to ban synthetic kratom and allow but strictly regulate natural pure-leaf kratom for people 21 and older. Penalties match the state’s marijuana penalties. The bill further noted that product packaging cannot imitate that of candy or be marketed “in a way that appeals to a child.” The Attorney General’s Office will issue retailer licenses and collect fees for the sale of pure kratom. Until the state rulemaking process is complete, all kratom remains banned in North Dakota.

Military Gallery Funding

Legislators approved a $20 million line of credit to restart construction of the Military Gallery addition to the ND Heritage Center on the Capitol grounds. Construction had halted because of the lack of private funds. The Capitol Grounds Planning Commission will now oversee the project. The $20 million loan is expected to be repaid by private donations. Construction is expected to resume almost immediately.

Other Special Session Issues

Linda Svihovec, NDACo Testifies to Joint Policy Committee

Lawmakers considered a bill that would have reversed their action during the January Special Session which changed how the discount for paying property taxes early is applied. County software programmers were having difficulty in programming the necessary changes for the 2026 property tax bills, but have recently made progress. NDACo was involved in providing background information on this issue during the special session. The bill passed the Senate, but failed in the House. The discount is intended to be an incentive for early payment of property taxes. For taxpayers that qualify for the Primary Residence Credit (PRC), the discount is applied before the PRC.

The Senate defeated a bill that would have prohibited government entities and officials from entering nondisclosure agreements (NDA) involving data centers and other industrial projects.

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