A transfer of Bank of North Dakota profits to the water infrastructure revolving loan fund; to provide for a transfer; to provide for retroactive application; and to provide an effective date.
One of the notable provisions of SB2397 is the establishment of a line of credit from the Bank of North Dakota, extending up to $100 million to the Department of Water Resources. This line of credit will be used to provide local cost-share loans for approved water projects, thereby enhancing funding opportunities for municipalities and districts working on water infrastructure improvements. Additionally, the bill includes a retroactive application, making it effective from July 1, 2023, which allows for immediate implementation of its provisions.
Senate Bill 2397 is a legislative measure aimed at amending and reenacting provisions related to joint water resource boards within specified drainage basins in North Dakota. The bill proposes a significant change by allowing the boards of county commissioners in designated drainage basins to approve a tax levy not exceeding two mills on the taxable valuation of property within the respective districts. This change is intended to facilitate better management and funding for water resource projects in these areas.
The legislative sentiment around SB2397 appears overwhelmingly positive, as indicated by the voting results, which showed a 47-0 vote in the Senate and 87-2 in the House. This strong bipartisan support suggests that lawmakers recognize the importance of enhancing water infrastructure in the state and the need for collaborative efforts among different drainage basins. The bill reflects a proactive approach to managing water resources amidst the growing challenges associated with climate change and population growth in North Dakota.
Despite its positive reception, some points of contention may arise around the financial implications of the proposed tax levy and the management of the newly afforded powers to the joint water resource boards. Critics could argue that this levy may place additional financial burdens on property owners, although supporters contend that the long-term benefits of improved water infrastructure—such as flood control and sustainable water supply—will far outweigh initial costs. Ensuring equitable management of these funds and clear accountability among the joint boards will be critical as the bill moves forward.