The imposition of a pore space utilization tax and creation of a North Dakota disaster fund; and to provide an effective date.
Impact
The revenue generated from this tax will be allocated to the newly created North Dakota disaster fund, with the first five hundred million dollars credited specifically to it. The disaster fund will finance expenses associated with potential damages from pipelined substances, equipment for hazard response, and training related to pipeline safety, effectively bolstering the state's preparedness for potential disasters associated with such storage practices. This financial structure aims to ensure that the state is equipped to mitigate risks associated with underground storage and transport while fostering accountability among those responsible for such activities.
Summary
House Bill 1573 establishes a pore space utilization tax for substances transported for injection and permanent underground storage in North Dakota. Specifically, it imposes a tax of five dollars per ton on substances that are transported via a pipeline exceeding twenty-five miles in length, aimed at generating revenue from the underground storage practices. The tax is due monthly and requires detailed reporting and accountability from those subjected to the tax. Additionally, the bill empowers the tax commissioner with the authority to collect necessary information and enforce compliance through hearings and investigations.
Contention
The bill may face scrutiny regarding its implications for both the oil and gas industries and environmental safety regulations. Critics may argue that the tax could increase operational costs for companies engaged in substance transport and affect the economic viability of such operations. Furthermore, there are concerns about the adequacy of safety measures and regulatory frameworks surrounding the subterranean storage of potentially hazardous substances. As such, extensive discussions are expected to emerge around balancing economic interests with environmental safeguards.
A transfer of Bank of North Dakota profits to a water infrastructure revolving loan fund; to provide for a transfer; to provide an exemption; to provide for a legislative management study; to provide a report; to provide a penalty; to provide for application; to provide a retroactive effective date; to provide a contingent effective date; to provide an effective date; and to declare an emergency.
Determination of state school aid, information displayed on property tax statements, transfer of legacy fund earnings, and deposit of oil and gas tax revenues; and to provide an effective date.
The salary of the state tax commissioner, property assessment increase notices, and use tax exemptions; to provide an exemption; to provide for a transfer; to provide an effective date; and to provide an expiration date.
Fuel production facility loan guarantee reserve funding, the housing incentive fund, the powers of the North Dakota pipeline authority, definitions for the clean sustainable energy authority, a clean sustainable energy authority line of credit, and an appropriation from the state fiscal recovery fund; to provide a contingent appropriation; to provide for a transfer; to provide an exemption; to provide for a study; to provide for a report; to provide a statement of legislative intent; to provide an effective date; and to declare an emergency.
The homestead tax credit and income tax rates for individuals, estates, and trusts; to provide for a legislative management study; to provide for a legislative management report; to provide an appropriation; to provide an effective date; and to provide an expiration date.
Allocations to townships from the township highway aid fund and an allocation of motor vehicle excise tax collections to the township highway aid fund and the county highway aid fund; and to provide an effective date.
Resolution Granting The Claims Commissioner An Extension Of Time To Dispose Of Certain Claims Against The State Pursuant To Chapter 53 Of The General Statutes.
Resolution Granting The Claims Commissioner An Extension Of Time To Dispose Of Certain Claims Against The State Pursuant To Chapter 53 Of The General Statutes.