| 2 | 2 | | Sixty-ninth |
|---|
| 3 | 3 | | Legislative Assembly |
|---|
| 4 | 4 | | of North Dakota |
|---|
| 5 | 5 | | Introduced by |
|---|
| 6 | 6 | | Representatives Hauck, Fisher, Hagert, Morton, Novak, Dressler |
|---|
| 7 | 7 | | Senators Gerhardt, Kessel, Luick, Thomas |
|---|
| 8 | 8 | | A BILL for an Act to create and enact a new section to chapter 21-06 of the North Dakota |
|---|
| 9 | 9 | | Century Code, relating to prohibiting natural asset companies; and to provide a penalty. |
|---|
| 10 | 10 | | BE IT ENACTED BY THE LEGISLATIVE ASSEMBLY OF NORTH DAKOTA: |
|---|
| 11 | 11 | | SECTION 1. A new section to chapter 21-06 of the North Dakota Century Code is created |
|---|
| 12 | 12 | | and enacted as follows: |
|---|
| 13 | 13 | | Natural asset companies prohibited - Penalty. |
|---|
| 14 | | - | 1.As used in this section, "natural asset company" means a corporation that holds the |
|---|
| 15 | | - | rights to the ecological performance produced by natural or working areas and has the |
|---|
| 16 | | - | authority to manage the areas for conservation, restoration, or sustainable |
|---|
| 17 | | - | management with a primary purpose to actively manage, maintain, restore, grow, and |
|---|
| 18 | | - | monetize the value of natural assets and the production of ecosystem services. The |
|---|
| 19 | | - | term includes a company affiliated with a natural asset company, controlled by a |
|---|
| 20 | | - | natural asset company, or under common control with a natural asset company. |
|---|
| 14 | + | 1.As used in this section, "natural asset company" means a corporation with a primary |
|---|
| 15 | + | purpose to actively manage, maintain, restore, and grow the value of natural assets |
|---|
| 16 | + | and the company's production of ecosystem services, with a value based on the |
|---|
| 17 | + | natural assets and ecosystem services. |
|---|
| 21 | 18 | | 2.This state or a political subdivision may not: |
|---|
| 22 | 19 | | a.Sell, lease, license, grant a lien, or otherwise encumber land or resources owned, |
|---|
| 23 | 20 | | leased, or controlled by the state, or the rights to the land or resources, including |
|---|
| 24 | 21 | | land, resources, or the rights to the land or resources owned by a state |
|---|
| 25 | 22 | | retirement system, to a natural asset company; or |
|---|
| 26 | 23 | | b.Otherwise conduct business directly or indirectly with a natural asset company |
|---|
| 27 | 24 | | granting a natural asset company a direct or indirect interest in or right to the land |
|---|
| 28 | 25 | | or resources. |
|---|
| 59 | 58 | | c.Private placements, partnerships, or other public or private investments in natural |
|---|
| 60 | 59 | | asset companies. |
|---|
| 61 | 60 | | 4.This state or a political subdivision may not issue, approve, sponsor, guarantee, or |
|---|
| 62 | 61 | | otherwise engage with any bond offering involving a natural asset company or any |
|---|
| 63 | 62 | | project in which a natural asset company holds an interest or may exercise control. |
|---|
| 64 | 63 | | State or political subdivision assets, land, and other interests, including easements, |
|---|
| 65 | 64 | | liens, and other encumbrances, may not be used for the benefit of, transferred or |
|---|
| 66 | 65 | | promised to, or created for later transfer to or use by, a natural asset company. |
|---|
| 67 | 66 | | 5.A natural asset company may not acquire land or any rights to land or the |
|---|
| 68 | 67 | | encumbrance of land owned by the state or a political subdivision. Any acquisition by a |
|---|
| 69 | 68 | | natural asset company acquiring land owned by the state or a political subdivision is |
|---|
| 70 | 69 | | void. |
|---|
| 71 | 70 | | 6.The governor, the attorney general, a state agency, a member of the legislative |
|---|
| 72 | 71 | | assembly, a political subdivision, or a private citizen who is adversely affected by a |
|---|
| 73 | 72 | | violation of this section, may file an action in the district court in the district in which the |
|---|
| 74 | 73 | | land affected by the violation is located. If the court finds a violation has occurred, the |
|---|
| 75 | 74 | | ownership of the land affected by the violation must revert to the previous owner, and |
|---|
| 76 | 75 | | the court may award attorney's fees and costs to the plaintiff. |
|---|
| 77 | 76 | | 7.A natural asset company may not operate, conduct business, or acquire assets, |
|---|
| 78 | 77 | | easements, or other asset interests in the state. The secretary of state may not: |
|---|
| 79 | 78 | | a.Accept for filing any corporate charter or articles of incorporation by, or grant |
|---|
| 82 | | - | incorporation to convert any existing company into a natural asset company . |
|---|
| 83 | | - | 8.A contract entered between a natural asset company and the state, a political |
|---|
| 84 | | - | subdivision, or a person, in violation of this section is void. |
|---|
| 85 | | - | Page No. 2 25.1078.02000 |
|---|
| 81 | + | incorporation to convert any existing company into a natural asset company; |
|---|
| 82 | + | c.Permit the authority of any company doing business in this state to continue to |
|---|
| 83 | + | transact business in this state if the company becomes a natural asset company; |
|---|
| 84 | + | d.Accept filing fees from any natural asset company or permit a natural asset |
|---|
| 85 | + | company to enjoy good standing, transact business, or otherwise operate in this |
|---|
| 86 | + | state; or |
|---|
| 87 | + | e.Accept filing fees from a natural asset company or permit a natural asset |
|---|
| 88 | + | company to operate in this state. |
|---|
| 89 | + | Page No. 2 25.1078.01000 |
|---|