North Dakota 2025-2026 Regular Session

North Dakota Senate Bill SB2378 Compare Versions

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

Old	New	Differences
1	1	25.0369.01000
2	2	Sixty-ninth
3	3	Legislative Assembly
4	4	of North Dakota
5	5	Introduced by
6	6	Senator Weber
7	7	A BILL for an Act to create and enact a new section to chapter 57-15 of the North Dakota
8	8	Century Code, relating to limitations on taxing district budgets without voter approval; and to
9	9	provide an effective date.
10	10	BE IT ENACTED BY THE LEGISLATIVE ASSEMBLY OF NORTH DAKOTA:
11	11	SECTION 1. A new section to chapter 57-15 of the North Dakota Century Code is created
12	12	and enacted as follows:
13	13	Limitation on taxing district budgets without voter approval.
14	14	1.Notwithstanding that a taxing district may have unused or excess levy authority under
15	15	any other provision of law, this section supersedes and limits that authority. This
16	16	section may not be interpreted as authority to increase any property tax levy authority
17	17	otherwise provided by law and must be applied to limit the growth of a taxing district's
18	18	budget . The governing body of a taxing district may not exceed the final budget of that
19	19	taxing district in the preceding taxable year by more than the consumer price index,
20	20	subject to the following:
21	21	a.When property and improvements to property which were not taxable in the
22	22	preceding taxable year are taxable in the current taxable year, the final budget of
23	23	the taxing district in the previous taxable year must be increased for purposes of
24	24	this section to reflect the taxes that would have been imposed against the
25	25	additional taxable valuation attributable to that property at the mill rate applied to
26	26	all property in the preceding taxable year.
27	27	b.When a property tax exemption existed in the preceding taxable year which has
28	28	been reduced or no longer exists for the current taxable year, the final budget of
29	29	the taxing district in the preceding taxable year must be increased for purposes of
30	30	this section to reflect the taxes that would have been imposed against the portion
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32	32	SENATE BILL NO. 2378
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57	57	24 Sixty-ninth
58	58	Legislative Assembly
59	59	of the taxable valuation of the property which is no longer exempt at the mill rate
60	60	applied to all property in the preceding taxable year.
61	61	c.When property that was taxable in the preceding taxable year is not taxable for
62	62	the current taxable year, the final budget of the taxing district in the preceding
63	63	taxable year must be reduced for purposes of this section by the amount of taxes
64	64	that were imposed against the taxable valuation of that property in the preceding
65	65	taxable year.
66	66	d.When a temporary mill levy increase, excluding an increase under this section,
67	67	authorized by the electors of the taxing district or mill levy imposition authority
68	68	under state law existed in the previous taxable year but is no longer applicable or
69	69	has been reduced, the final budget of the taxing district in the previous year for
70	70	purposes of this section must be adjusted to reflect the expired temporary mill
71	71	levy increase and the eliminated or reduced mill levy under state law before the
72	72	percentage increase allowable under this subsection is applied.
73	73	2.A taxing district budget exceeding the percentage increase limitation under
74	74	subsection 1 may be adopted by the taxing district upon approval of a ballot measure,
75	75	stating the proposed budget increase percentage compared to the percentage
76	76	limitation under subsection 1, by at least two - thirds of the qualified electors of the
77	77	taxing district voting on the question at a statewide primary or general election. A
78	78	budget exceeding the percentage increase limitation under subsection 1 may be
79	79	approved by electors for not more than one taxable year at a time.
80	80	3.For purposes of this section:
81	81	a."Consumer price index" means the percentage change in the consumer price
82	82	index for all urban consumers in the midwest region as determined by the United
83	83	States department of labor, bureau of labor statistics, for the most recent year
84	84	ending December thirty-first.
85	85	b."Taxing district" means any political subdivision empowered to levy taxes.
86	86	4.A city or county may not supersede or modify the application of the provisions of this
87	87	section under home rule authority.
88	88	SECTION 2. EFFECTIVE DATE. This Act is effective for taxable years beginning after
89	89	December 31, 2024.
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