North Dakota 2025-2026 Regular Session

North Dakota House Bill HB1559 Compare Versions

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

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1	1	25.0538.04000
2	2	Sixty-ninth
3	3	Legislative Assembly
4	4	of North Dakota
5	5	Introduced by
6	6	Representatives Schauer, Bahl, Frelich, Jonas, Dockter, Grueneich, Ostlie, Vetter
7	7	Senators Bekkedahl, Cory, Paulson
8	8	A BILL for an Act to create and enact a new section to chapter 57-02 of the North Dakota
9	9	Century Code, relating to limitations on taxable valuation of residential property; and to provide
10	10	an effective date.
11	11	BE IT ENACTED BY THE LEGISLATIVE ASSEMBLY OF NORTH DAKOTA:
12	12	SECTION 1. A new section to chapter 57-02 of the North Dakota Century Code is created
13	13	and enacted as follows:
14	14	Limitation on taxable valuation increases of residential property.
15	15	1.Notwithstanding any other provision of law, for purposes of taxation, the taxable
16	16	valuation on a parcel of taxable property classified as residential property must be
17	17	limited as provided in this section.
18	18	a.The taxable valuation on a parcel of taxable property classified as residential
19	19	property may not exceed the amount of the base year valuation on that parcel of
20	20	taxable property, except as provided in subdivision b.
21	21	b.The assessor shall reassess the property to reflect the current true and full value
22	22	of the property:
23	23	(1)If the property or an improvement to the property was not taxable in the
24	24	preceding taxable year and is taxable in the current taxable year.
25	25	(2)Upon sale, transfer, or other change in ownership of the property. For
26	26	purposes of this paragraph, the assessor shall reassess the property to
27	27	reflect the current true and full value of the property as of the date of the
28	28	sale, transfer, or change in ownership.
29	29	(3)If an owner of the property makes or causes to be made an improvement to
30	30	the property. For purposes of this paragraph, the assessor shall reassess
31	31	the property to reflect the current true and full value of the property as of the
32	32	Page No. 1 25.0538.04000
33	33	HOUSE BILL NO. 1559
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58	58	24 Sixty-ninth
59	59	Legislative Assembly
60	60	date of construction completion, accounting for improvements made to the
61	61	property.
62	62	2.For purposes of this section :
63	63	a."Base year valuation" means the average of the taxable value of a parcel of
64	64	taxable property over the three most recent taxable years before the current
65	65	taxable year.
66	66	b."Improvement" means the addition of a new structure or a structural change
67	67	made to an existing structure located on a parcel of residential property after the
68	68	most recent assessment of the property which increases the true and full value of
69	69	the property. The term does not include:
70	70	(1)Ordinary maintenance of an existing structure or the grounds of the
71	71	property.
72	72	(2)A replacement structure for a structure rendered uninhabitable or unusable
73	73	by a casualty or by wind or water damage, unless:
74	74	(a)The square footage of the replacement structure exceeds that of the
75	75	replaced structure as that structure existed before the casualty or
76	76	damage occurred; or
77	77	(b)The exterior of the replacement structure is of higher quality
78	78	construction and composition than that of the replaced structure.
79	79	3.A city or county may not supersede or modify the application of the provisions of this
80	80	section under home rule authority.
81	81	SECTION 2. EFFECTIVE DATE. This Act is effective for taxable years beginning after
82	82	December 31, 2024.
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