North Dakota 2025 2025-2026 Regular Session

North Dakota House Bill HB1233 Introduced / Bill

Filed 01/13/2025

                    25.0404.01000
Sixty-ninth
Legislative Assembly
of North Dakota
Introduced by
Representatives Lefor, Vigesaa
Senator Bekkedahl
A BILL for an Act to amend and reenact sections 15-10-12.1, 48-01.2-25, 54-16-03, 54-16-04, 
54-16-04.1, 54-16-09, and 54-16-13 relating to the powers and duties of the emergency 
commission and budget section; to repeal sections 54-16-04.2, 54-16-08, and 54-16-11.1 
relating to the powers and duties of the emergency commission; and to provide an 
appropriation.
BE IT ENACTED BY THE LEGISLATIVE ASSEMBLY OF NORTH DAKOTA:
SECTION 1. AMENDMENT. Section 15-10-12.1 of the North Dakota Century Code is 
amended and reenacted as follows:
15-10-12.1. Acceptance of buildings and campus improvements - Legislative 
approval.
The state board of higher education may authorize campus improvements and building 
maintenance on land under the control of the board which are financed by donations, gifts, 
grants, and bequests if the cost of the improvement or building maintenance is not more than 
seven hundred thousand dollars. The consent of the legislative assembly is required for 
construction of any building or any addition to a building on land under the control of the board 
which is financed by donations, gifts, grants, and bequests. The consent of the legislative 
assembly is required for campus improvements or building maintenance financed by donations, 
gifts, grants, and bequests if the cost of the improvements or maintenance is more than seven 
hundred thousand dollars. During the time the legislative assembly is not in session, except for 
the sixthree months preceding the convening of a regular session and the three months 
following the close of a regular session, and unless otherwise restricted by previous legislative 
action or other law, the budget section may authorize the use of land under the control of the 
board and construct buildings financed by donations, gifts, grants, and bequests and campus 
improvements and building maintenance financed by donations, gifts, grants, and bequests if 
Page No. 1	25.0404.01000
 HOUSE BILL NO. 1233
    
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24 Sixty-ninth
Legislative Assembly
the cost of the improvement or maintenance is more than seven hundred thousand dollars. Any 
project request submitted to the budget section for the construction of a building financed by 
donations, gifts, grants, and bequests must include the removal of a building or buildings with 
an equivalent or greater total number of square feet compared to the proposed building. The 
budget section approval must comply with section 54-35-02.9 and must include a specific dollar 
limit for each building, campus improvement project, or maintenance project. The state board of 
higher education may authorize the sale of any real property or buildings which an institution of 
higher learning has received by gift or bequest. The board shall prescribe such conditions for 
the sale of the property as it determines necessary. The conditions must include requiring an 
appraisal and public auction or advertisement for bids, unless the gift instrument requires a 
different process. If the state board of higher education submits a request for campus 
improvements, building maintenance, or to construct buildings under this section to the budget 
section for approval, the legislative council shall notify each member of the legislative assembly 
of the date of the budget section meeting at which the request will be considered and provide a 
copy of the meeting agenda to each member of the legislative assembly. The chairman of the 
budget section shall allow any member of the legislative assembly an opportunity to present 
testimony to the budget section regarding any such request.
SECTION 2. AMENDMENT. Section 48-01.2-25 of the North Dakota Century Code is 
amended and reenacted as follows:
48-01.2-25. Authorization of expansion of public improvements by legislative 
assembly or budget section.
Notwithstanding any other provision of law, a state agency or institution may not 
significantly change or expand a public improvement beyond what has been approved by the 
legislative assembly unless the legislative assembly approves the change or expansion of the 
project or any additional expenditure for the project. During the time the legislative assembly is 
not in session, and unless otherwise restricted by previous legislative action or other law, the 
budget section may approve a change or expansion or any additional expenditure for the 
project. However, the budget section may not approve a change, expansion, or additional 
expenditure for the project during the sixthree months preceding the convening of a regular 
session or during the three months following the close of a regular session except for changes 
in project scope and related additional expenditures resulting from an unforeseen emergency 
Page No. 2	25.0404.01000
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31 Sixty-ninth
Legislative Assembly
event. Any request considered by the budget section must comply with section 54-35-02.9. For 
the purposes of this section, a significant change or expansion includes the construction of an 
addition to a building, including skywalks or other type of enclosed walkway, or any other 
substantial increase in the area of the building, but does not include the construction of building 
entrances and stairwells.
SECTION 3. AMENDMENT. Section 54-16-03 of the North Dakota Century Code is 
amended and reenacted as follows:
54-16-03. Unlawful to expend more than appropriated - May secure approval from 
commission for use of other funds - Deficit void - Submission of petition to emergency 
commission.
1.A state officer may not expend, or agree or contract to expend, any amount in excess 
of the sum appropriated for that expenditure, and may not expend an amount 
appropriated for any specific purpose or fund or for any other purpose without prior 
approval in the form of a transfer approval or expenditure authorization as provided in 
this chapter.
2.When an emergency exists, a state officer may submit to the secretary of the 
emergency commission an itemized petition requesting approval to:
a.Transfer money and spending authority between funds or line items pursuant to 
section 54-16-04;
b.Accept and expendspecial funds or federal funds pursuant to section 54-16-04.1;
c.Accept and expend state contingency fundsTransfer appropriation authority from 
the state contingencies appropriation pursuant to section 54-16-09; or
d.Accept and expend other funds pursuant to section 54-16-04.2; or
e.Recommend full-time equivalent positions pursuant to section 54-16-04.3.
3.The secretary of the emergency commission shall provide a copy of each petition 
submitted under this section to the office of management and budget and legislative 
council. The office of management and budget may provide an analysis and 
prioritization of emergency requests to the emergency commission.
4.Any petition to the emergency commission by a state officer must be considered by 
the emergency commission. A petition under this section must be approved or 
Page No. 3	25.0404.01000
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30 Sixty-ninth
Legislative Assembly
recommended by the emergency commission before submission for consideration by 
the budget section.
5.Any debt or deficit created by a state officer in violation of this section is void.
SECTION 4. AMENDMENT. Section 54-16-04 of the North Dakota Century Code is 
amended and reenacted as follows:
54-16-04. May order transfer of moneys between funds - Line item transfers - Order 
may draw from state treasuryBudget section approval.
The emergency commission, upon the advice of the office of management and budget and 
approval by the budget section of the legislative management, may order money or spending 
authority transferred from one fund or line item to another fund or line item belonging to or 
appropriated for the same institution or board or the same state enterprise, may order a transfer 
of spending authority from the state contingencies appropriation, or, in an extremity, may 
authorize money to be drawn from the state treasury to meet the emergency until the legislative 
assembly can make an appropriation available. The following transfers, if authorized by the 
emergency commission, require the approval of the budget section of the legislative 
management:
1.A transfer of moneys or spending authority which would eliminate or make impossible 
the accomplishment of a program or objective funded by the legislative assembly.
2.A transfer exceeding fifty thousand dollars from one fund or line item to another fund 
or line item, unless the transfer is necessary to comply with a court order or to avoid:
a.An imminent threat to the safety of people or property due to a natural disaster or 
war crisis; or
b.An imminent financial loss to the state. Any request considered by the budget 
section must comply with section 54 	- 35 - 02.9. The budget section, when  
considering requests under this section, may approve the request in the form 
received from the emergency commission or may amend and approve the 
request. A request amended and approved by the budget section is deemed to 
be approved by the emergency commission. Approval by the budget section is 
not required if the transfer is necessary to avoid an imminent threat to the safety 
of people or property due to a natural disaster or war crisis or an imminent 
financial loss to the state.
Page No. 4	25.0404.01000
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31 Sixty-ninth
Legislative Assembly
SECTION 5. AMENDMENT. Section 54-16-04.1 of the North Dakota Century Code is 
amended and reenacted as follows:
54-16-04.1. May authorize acceptance and disbursement of special funds or federal 
funds - Budget section approval.
1.The emergency commission, upon the advice and counsel of the office of 
management and budget and approval by the budget section of the legislative 
management, may authorize the state treasurer to receive any moneys not 
appropriated by the legislative assembly which are made available by any federal 
agency anda state officer to accept any special funds or federal funds not appropriated 
by the legislative assembly which the legislative assembly has not indicated an intent 
to reject.
2.The emergency commission may authorize passthrough federal funds from one state 
agency to another state agency. A request to expend federal funds received by a state 
agency and passed through to any other state agency may be approved only under 
this section.
3.The emergency commission, with approval of the budget section of the legislative 
management if the amount under consideration exceeds fifty thousand dollars but 
does not exceed three million dollars, may authorize any state officer to receive and 
expend federal moneys from the date such moneys become available until June 
thirtieth following the next regular legislative session.
4.The emergency commission, with approval of the budget section of the legislative 
management if the amount under consideration exceeds three million dollars, may 
authorize any state officer to receive and expend federal moneys from the date such 
moneys become available until June thirtieth following the next regular legislative 
session. The budget section may approve a request under this subsection in the form 
received from the emergency commission or may amend and approve a request. A 
request amended and approved by the budget section is deemed to be approved by 
the emergency commission. Any request considered by the budget section must 
comply with section 54-35-02.9.
5.Any special funds or federal funds made available to this state which arehave not 
been appropriated by the legislative assembly for a specific purpose or program and 
Page No. 5	25.0404.01000
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31 Sixty-ninth
Legislative Assembly
which are not required to be spent prior to the next regular legislative session, upon 
the approval for acceptance by the emergency commission and the budget section of 
the legislative management, must be deposited into a separate fund until the 
legislative assembly appropriates the funds.
6.a.3.Approval by the budget section of the legislative management is not required 
for the acceptance of special funds or federal funds if the acceptance is necessary to 
avoid an imminent threat to the safety of people or property due to a natural disaster 
or war crisis or an imminent financial loss to the state.
b.Budget section approval is required under this section before the expenditure of 
any funds accepted under these conditions.
7.The expenditures must be consistent with state law and with the terms of the grant 
and the program may not commit the legislative assembly for matching funds in the 
future unless the program has first been approved by the legislative assembly.
8.4.A state officer may not expend funds received from the federal government which 
have not been specifically appropriated by the legislative assembly except as provided 
in this chapter.
9.A state officer shall submit an expenditure plan with a request for approval under this 
section of expenditure of federal funds combined with or as part of a block grant for a 
new or existing program.
10.The cumulative amount of requests to expend funds that may be approved each 
biennium under this section may not exceed fifty million dollars. Any request received 
under this section which, if approved, would result in more than fifty million dollars of 
funds being approved for expenditure under this section during the biennium may be 
approved only by the legislative assembly during a regular legislative session or during 
a special legislative session called by the governor. The director of the office of 
management and budget shall notify the members of the legislative assembly of any 
requests submitted which, if approved, would exceed the limit under this subsection.
11.Any request received under this section to expend funds received through a federal 
act that makes available to the state more than fifty million dollars may be approved 
only by the legislative assembly during a regular legislative session or a special 
legislative session called by the governor.
Page No. 6	25.0404.01000
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31 Sixty-ninth
Legislative Assembly
12.Subsections 10 and 11 do not apply to federal highway administration emergency 
relief funding received by the state or to disaster or emergency recovery funding 
received by the state pursuant to chapter 37-17.1.
SECTION 6. AMENDMENT. Section 54-16-09 of the North Dakota Century Code is 
amended and reenacted as follows:
54-16-09. Transfer of spending authority from state contingencies appropriation - 
Budget section approval.
The emergency commission, upon the advice of the office of management and budget, may 
order a transfer of spending authority from the state contingencies appropriation, which must be 
deducted from the state contingencies line item in the appropriation to the office of management 
and budget and added to the appropriate line item in the appropriation of the state officer who 
requested the transfer. The emergency commission, with approval of the budget section of the 
legislative management if the amount under consideration exceeds fifty thousand dollars, shall 
certify, by an approved motion recorded in its minutes, that the material, services, or purposes 
for which the authority was transferred are necessary and proper expenditures and, if an 
appropriation for that purpose was made by the legislative assembly, that the appropriation for 
that purpose is insufficient. Approval by the budget section of the legislative management is not 
required if the transfer is necessary to avoid an imminent threat to the safety of people or 
property due to a natural disaster or war crisis or an imminent financial loss to the state.
1.The emergency commission, upon the advice and counsel of the office of 
management and budget and approval by the budget section of the legislative 
management, may order a transfer of general fund, special funds, or federal funds 
appropriation authority from the state contingencies appropriation, which must be 
deducted from the state contingencies appropriation to the office of management and 
budget and added to the appropriate line item in the appropriation of the state officer 
approved for the transfer.
2.Any request considered by the budget section must comply with section 54 	- 35 - 02.9.  
The budget section, when considering requests under this section, may approve the 
request in the form received from the emergency commission or may amend and 
approve the request. A request amended and approved by the budget section is 
deemed to be approved by the emergency commission.
Page No. 7	25.0404.01000
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31 Sixty-ninth
Legislative Assembly
3.Approval by the budget section is not required if the transfer of appropriation authority 
is necessary to avoid an imminent threat to the safety of people or property due to a 
natural disaster or war crisis or an imminent financial loss to the state.
SECTION 7. AMENDMENT. Section 54-16-13 of the North Dakota Century Code is 
amended and reenacted as follows:
54-16-13. Authority to borrow funds for a disaster - Continuing appropriation.
Any board, agency, commission, or officer of the state, subject to the approval of the 
emergency commission and the budget section of the legislative management, may borrow 
moneys from the Bank of North Dakota for the purpose of responding to a disaster within the 
state as declared by the governor pursuant to chapter 37-17.1. The amount of moneys 
borrowed is limited to the amount of any estimated federal reimbursement for repair, recovery, 
or response relating to a disaster within the state, unless the state contingencies appropriation 
is inadequate to pay the estimated state share of the costs, then moneys may be borrowed up 
to one hundred percent of the costs incurred by the agency. Any interest payments on the funds 
borrowed must be paid from funds availabletransferred to the agency from the state 
contingencies appropriation as authorized by the emergency commission or other funds as 
authorized by the emergency commissionand budget section. Any moneys borrowed from the 
Bank of North Dakota pursuant to this section are hereby appropriated and may be spent by the 
board, agency, commission, or officer of this state for the repair, recovery, or response relating 
to a disaster within the state. If it appears to the borrower that at the end of the biennium the 
amount available to repay the amount borrowed plus interest is insufficient to totally repay the 
Bank of North Dakota, the borrower shall request from the legislative assembly a deficiency 
appropriation sufficient for the repayment of the amount borrowed plus interest.
SECTION 8. REPEAL. Sections 54-16-04.2, 54-16-08, and 54-16-11.1 of the North Dakota 
Century Code are repealed.
SECTION 9. APPROPRIATION. The funds appropriated in this section, or so much of the 
funds as may be necessary, are appropriated out of any moneys in the general fund in the state 
treasury, and from other funds derived from special funds and federal funds, to the office of 
management and budget for the purpose of making funds available to the emergency 
commission for state contingencies for the biennium beginning July 1, 2025, and ending 
June 30, 2027, as follows:
Page No. 8	25.0404.01000
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31 Sixty-ninth
Legislative Assembly
State contingencies - General fund	$750,000
State contingencies - Special funds	20,000,000
State contingencies - Federal funds	50,000,000
Total all funds	$70,750,000
Less other funds	70,000,000
Total general fund	$750,000
Page No. 9	25.0404.01000
1
2
3
4
5
6