North Dakota House Bill HB1438

North Dakota 2023-2024 Regular Session

• Introduced: 1/17/23
• Refer: 1/17/23
• Report DNP: 2/2/23
• Engrossed: 2/9/23
• Refer: 2/15/23
• Report Pass: 3/17/23
• Refer: 3/21/23
• Report Pass: 3/21/23
• Enrolled: 4/24/23
• Passed: 4/26/23

Caption

A property tax exemption for buildings and land belonging to institutions of public charity; and to provide an effective date.

Impact

The enactment of HB 1438 will have significant implications for state laws regarding property taxation, particularly concerning how charitable institutions operate and are funded. By amending the property tax exemption criteria, the bill seeks to alleviate financial burdens on these organizations, helping them to allocate more resources to their charitable missions. The legislation specifically allows for exemptions on undeveloped land owned by public hospitals and nursing homes, aiming to encourage future growth and construction in healthcare capacity.

Summary

House Bill 1438 focuses on amending the North Dakota Century Code to provide property tax exemptions for buildings and land owned by institutions of public charity, including public hospitals and nursing homes under religious or charitable control. The amendments ensure that these institutions are tax-exempt for properties used for charity work and allow for a specified amount of undeveloped land to remain exempt for future use. The intent of the bill is to enhance financial support for charitable organizations involved in essential community services.

Sentiment

Sentiments surrounding HB 1438 appear positive, particularly among advocates for public charities and healthcare facilities. The bill received strong support in legislature votes, indicating a consensus on the perceived need for tax relief for charitable institutions. Supporters argue that this exemption will help bolster services and improve access to healthcare within the community. However, concerns may exist regarding the potential cost implications for local governments and how it may affect overall tax revenues.

Contention

While the bill enjoyed considerable backing, it may face scrutiny regarding fairness and fiscal responsibility. Some detractors may question whether extending tax exemptions for larger institutions is appropriate when local entities could be facing budget constraints. The potential impact on local property tax revenues and how these exemptions balance with other taxation needs in the community are points of contention that may arise during discussions about the bill's implementation and effect.