North Dakota 2025-2026 Regular Session

North Dakota House Bill HB1309 Compare Versions

Only one version of the bill is available at this time.

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1	1	25.0082.01000
2	2	Sixty-ninth
3	3	Legislative Assembly
4	4	of North Dakota
5	5	Introduced by
6	6	Representatives Heilman, Marschall, Novak, M. Ruby
7	7	Senators Enget, Walen
8	8	A BILL for an Act to create and enact a new section to chapter 54-06 of the North Dakota
9	9	Century Code, relating to state contracts with certain companies that boycott energy, mining,
10	10	and production agriculture; and to provide for application.
11	11	BE IT ENACTED BY THE LEGISLATIVE ASSEMBLY OF NORTH DAKOTA:
12	12	SECTION 1. A new section to chapter 54-06 of the North Dakota Century Code is created
13	13	and enacted as follows:
14	14	Prohibition on contracts - Boycotting critical state sectors.
15	15	1.As used in this section:
16	16	a."Boycott" means without any ordinary business purpose, refusing to deal with,
17	17	terminating business activities with, or otherwise taking any action intended to
18	18	penalize, inflict economic harm on, or limit commercial relations with a company
19	19	because the company:
20	20	(1)Engages in the exploration, production, use, transportation, sale, or
21	21	manufacturing of fossil fuel-based energy, timber, minerals, hydroelectric
22	22	power, nuclear energy, or mining and does not commit or pledge to meet
23	23	environmental standards beyond applicable federal and state law;
24	24	(2)Engages in production agriculture;
25	25	(3)Engages in, facilitates, or supports the manufacture, import, distribution,
26	26	marketing, advertising, sale, or lawful use of firearms, ammunition, or
27	27	components, parts, and accessories of firearms or ammunition; or
28	28	(4)Does business with a company engaged in the activities described in this
29	29	subdivision.
30	30	b."Company" means a for-profit organization, association, corporation, partnership,
31	31	joint venture, limited partnership, limited liability partnership, or limited liability
32	32	Page No. 1 25.0082.01000
33	33	HOUSE BILL NO. 1309
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58	58	24 Sixty-ninth
59	59	Legislative Assembly
60	60	company, including a wholly owned subsidiary, majority-owned subsidiary, parent
61	61	company, or affiliate of those entities or business associations which exists to
62	62	make a profit and which has ten or more full - time employees and has a value of
63	63	one hundred thousand dollars or more. The term does not include a sole
64	64	proprietorship.
65	65	c."Governmental entity" means a state agency or political subdivision of this state.
66	66	d."Ordinary business purpose" means any motive directly related to:
67	67	(1)Promoting the financial success or stability of the company;
68	68	(2)Mitigating risk to the company;
69	69	(3)Complying with legal or regulatory requirements; or
70	70	(4)Limiting liability of the company.
71	71	2.This section applies to a contract between a governmental entity and a company
72	72	which is to be paid wholly or in part from public funds.
73	73	3.Except as provided in subsection 4, a governmental entity may not enter a contract
74	74	with a company for goods or services unless the contract contains a written verification
75	75	the company does not engage in a boycott as described in subsection 1 and is not
76	76	included on a list of financial institutions not eligible to receive investments of state
77	77	funds by the state investment board.
78	78	4.Subsection 3 does not apply to a contract if the governmental entity determines and
79	79	documents the goods or services are not otherwise available on commercially
80	80	reasonable terms or if subsection 3 is inconsistent with the governmental entity's
81	81	constitutional or statutory duties.
82	82	SECTION 2. APPLICATION. This Act applies to a contract entered after the effective date
83	83	of this Act. A contract entered before the effective date of this Act which violates this Act may not
84	84	be renewed unless the governmental entity obtains the written verification described in this Act.
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