Sixty-ninth Legislative Assembly of North Dakota
In Regular Session Commencing Tuesday, January 7, 2025
HOUSE BILL NO. 1233
(Representatives Lefor, Vigesaa)
(Senator Bekkedahl)
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 of the North Dakota Century Code, 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 of the North Dakota Century Code, 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 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: H. B. NO. 1233 - PAGE 2
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 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 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: H. B. NO. 1233 - PAGE 3
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.
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 H. B. NO. 1233 - PAGE 4
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 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.
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. H. B. NO. 1233 - PAGE 5
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.
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: H. B. NO. 1233 - PAGE 6
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 H. B. NO. 1233 - PAGE 7
____________________________ ____________________________
Speaker of the House President of the Senate
____________________________ ____________________________
Chief Clerk of the House Secretary of the Senate
This certifies that the within bill originated in the House of Representatives of the Sixty-ninth Legislative
Assembly of North Dakota and is known on the records of that body as House Bill No. 1233.
House Vote: Yeas 91 Nays 0 Absent 3
Senate Vote:Yeas 45 Nays 1 Absent 1
____________________________
Chief Clerk of the House
Received by the Governor at ________M. on _____________________________________, 2025.
Approved at ________M. on __________________________________________________, 2025.
____________________________
Governor
Filed in this office this ___________day of _______________________________________, 2025,
at ________ o’clock ________M.
____________________________
Secretary of State