[{"_1":2,"_112":-5,"_113":-5},"loaderData",{"_3":4,"_26":27},"root",{"_5":6,"_17":10,"_18":19,"_20":21,"_22":10,"_23":-5,"_24":-5,"_25":10},"user",{"_7":8,"_9":10,"_11":10,"_12":-5,"_13":-5,"_14":15,"_16":-5},"roles",[],"isAuthenticated",false,"isPremium","planName","subscriptionStatus","featureFlags",{},"insightsBudget","isDevelopmentHost","userPreferences",{},"recaptchaSiteKey","6LcvOJcUAAAAAHsB-gPGfGktcRlKpH7OTIU_dMTD","isImpersonating","impersonation","affiliateStatus","isFreedomPortal","routes/v2/article/layout",{"_28":29,"_30":31},"notFound",true,"relatedArticles",[32,76,88,100],{"_33":34,"_35":36,"_37":38,"_39":40,"_41":42,"_43":44,"_45":46,"_47":48,"_49":50,"_51":52,"_53":54,"_55":56,"_57":58,"_59":60,"_61":62,"_63":64,"_65":66,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},"mediaId",6342475,"mediaKeyId","2254831-94ae1ea16f461274cfd8fc3543e86cf6","parentId",2254831,"title","Committee backs amended plan to return construction sales tax to counties for large animal facilities","audioSeconds",1123,"startMs",2369000,"endMs",3492000,"viewUrl","/Search/View?dp=1&key=2254831-94ae1ea16f461274cfd8fc3543e86cf6&start=2369&end=3492","thumbnailUrl","https://assets.pipeline.soar.com/2254831-94ae1ea16f461274cfd8fc3543e86cf6/thumbnail_2369000.jpg","articleUrl","/articles/6342475/North-Dakota/Committee-backs-amended-plan-to-return-construction-sales-tax-to-counties-for-large-animal-facilities","mediaUrl","https://secure.pipeline.soar.com/6342475-f62f7fd87757123218c2dbc45f052261/orig.mp4?Expires=1771183929&Signature=CHLdfahvhoAdkrqBNvk0jsirxfW2DFbshUp0inF2rN6LL57LL3XjsVO3mP4BQv6uffhhaL0uVjRsiDSlAUitoY5oMXkucC7b1WcqRi6v2Yb-c57nM9yjsb7h-N8cRV9wizlRki2OK651HFjOOngvWVPuBIo7Odl-QWSPW2mT40yB5Plo50P8msFwTswwYZmN57uPlSRMGJ-fkWUfrLcXq3pi1m2BgusE6vc8YkkyM5jqFjjULALnEcL8g~DrXCxOwRrVtrDXSVi4vqeKDMLmPkHqL-OAV-H7wrENV02BL~FsOqK8LAdNOvmP7X5GVxcIQQFmW8425c9UF8pkCoLxwA__&Key-Pair-Id=KUT5TJCACFTXG","author","North Dakota State Legislature","date","2025-02-10T00:00:00Z","article","A Senate Finance and Taxation committee voted to advance an amended Senate Bill 2,177 that would transfer sales-and-use-tax paid on materials for qualifying new animal agricultural facilities back to the county and, on request, to townships that host the facility, to support local infrastructure needs.

Senator Rummel presented the amendment and said its intent is to target large, new construction projects to help counties cover infrastructure costs such as approaches or roadwork. \"We want to make sure that this is for the new construction ... This was meant for those larger animal, agricultural facilities that are being built,\" Rummel said. The amendment increases the minimum qualifying investment from $150,000 in the original draft to $500,000.

Under the amendment, facility owners, facility operators or the contractor may submit documentation of sales-and-use-tax paid on materials and new equipment; the tax department would collect that information annually and transfer the reported amount into a dedicated fund to be distributed to the county (and to organized townships that request a portion) where the facility is located. Committee discussion clarified that transfer requests would be processed once per year and that March 31 is the annual submission deadline included in the amendment.

Senator Wallen said the transfers would provide local counties with at least a modest, guaranteed minimum: \"the minimum that'll be going back, if it's requested, is $25,000 because that's 5% of $500,000,\" referencing the percent-based calculation discussed in committee. Senators discussed that most of these large facilities cost millions to build and that counties and facility owners are likely to be aware of the program and to cooperate in documentation and submission.

The amendment also includes a four-year sunset provision to ensure legislative review. The committee approved the amendment and then voted to recommend a due pass on SB 2,177 as amended. Senator Romo agreed to carry the bill to the floor.

Committee members emphasized that qualification would require a minimum $500,000 investment in new construction or equipment, that documentation must be submitted to the State Tax Department, and that failure of an owner or contractor to apply would mean no transfer to the county.","mediaType","Video","parentTitle","Senate Finance and Taxation Mon, Feb 10, 2025","oneSentenceSummary","An amended version of SB 2177 that directs sales-and-use-tax paid on construction materials for new, large animal agricultural facilities back to affected counties and townships was approved by the committee; the amendment raises the minimum investment to $500,000 and adds documentation and an expiration clause.","taxTitle","Finance and Taxation, Senate, Legislative, North Dakota","taxId",28904,"location","North Dakota","headline","","shortSummary",{"_33":77,"_35":36,"_37":38,"_39":78,"_41":79,"_43":80,"_45":81,"_47":82,"_49":83,"_51":84,"_53":85,"_55":56,"_57":58,"_59":86,"_61":62,"_63":64,"_65":87,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6342482,"Committee approves amendment clarifying nonprofit event rental tax exemption in SB 2369",673,1818000,2491000,"/Search/View?dp=1&key=2254831-94ae1ea16f461274cfd8fc3543e86cf6&start=1818&end=2491","https://assets.pipeline.soar.com/2254831-94ae1ea16f461274cfd8fc3543e86cf6/thumbnail_1818000.jpg","/articles/6342482/North-Dakota/Committee-approves-amendment-clarifying-nonprofit-event-rental-tax-exemption-in-SB-2369","https://secure.pipeline.soar.com/6342482-472e286f2e7fd635c4ef41e7b77b0ef1/orig.mp4?Expires=1771183929&Signature=gZSnvRxYYkNnUOn1WeR98qqMtNf5Ghok8ezft~wC3JSz9ucxlJPgPLKmMzkhzuVEcUIlMXdfFQrCHIgLWMoYQF4R1vYN2ctjXn5CzwBKJtaruoR43sF1a~v8cAS2mdKzD3ZZeupM1W7VN8FCIOdGl7pyJh8akaEF2kNR86nyTXwd5Gw-9I3eF0V2PX0~0Y75hTLLwX4pa8bnRcSTFUq1kUt6mcepePs700vs61PPiapRn3rAt2wwMb4ndRp0KTsbpf8qBogh65GhvSxI3kHz~np5QOxB0T1~MSfLyTAzYTGuw6lOtBr3UYiKNYAR2zHGjchhBtCyjKKG~0B0F3K~PA__&Key-Pair-Id=KUT5TJCACFTXG","A Senate committee adopted an amendment and advanced Senate Bill 2,369, which clarifies tax treatment for sales tied to educational, religious and charitable activities conducted by nonprofits. The amendment focuses on large event spaces and specifies that nonprofit entities will not pay tax on gross receipts from such activities provided they pay fair-market rent for the facilities they use.

Senator Rummel, who presented the amendment, said the change was intended to address uncertainty about which nonprofits are aware of the exemption and to avoid limiting competition with for-profit event centers. \"As long as they are renting at fair market rent, then these activities are probably going to work out just fine,\" Rummel said.

Committee members asked practical questions about how fair-market rent would be determined and whether public institutions that publish rental rates could complicate competition. Senator Powers said she was concerned that public institutions can offer lower rates, potentially making private bridal or event venues less competitive. Senator Wallen responded that many public entities publish their rental schedules and that published rates would normally constitute fair market value for the purpose of the exemption.

The committee adopted the amendment, which restructured language and moved an exception into a clearer subsection; Senator Rummel moved adoption and Senator Wallen seconded. The committee then voted to recommend a due-pass report on SB 2369 as amended, with a roll-call vote showing unanimous support in the session excerpt. Senator Rummel volunteered to carry the bill to the floor.

Committee members also noted a typographical error in the fiscal note that referred to the bill as \"HB 2369\" instead of \"SB 2369;\" the committee recorded that as a minor error that did not affect the substance of the amendment.","An amendment to Senate Bill 2369 clarifies when charitable/nonprofit event rentals are exempt from gross-receipts tax if the nonprofit pays fair-market rent and raises outreach questions about public facilities and competition.",{"_33":89,"_35":36,"_37":38,"_39":90,"_41":91,"_43":92,"_45":93,"_47":94,"_49":95,"_51":96,"_53":97,"_55":56,"_57":58,"_59":98,"_61":62,"_63":64,"_65":99,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6342486,"Committee endorses repeal of state capitalization threshold and lease-analysis requirement in House Bill 1081",274,1393000,1667000,"/Search/View?dp=1&key=2254831-94ae1ea16f461274cfd8fc3543e86cf6&start=1393&end=1667","https://assets.pipeline.soar.com/2254831-94ae1ea16f461274cfd8fc3543e86cf6/thumbnail_1393000.jpg","/articles/6342486/North-Dakota/Committee-endorses-repeal-of-state-capitalization-threshold-and-lease-analysis-requirement-in-House-Bill-1081","https://secure.pipeline.soar.com/6342486-4da471b53d3d66fbaa3480e66c37673c/orig.mp4?Expires=1771183929&Signature=C7Npd6ZjD50NgddO2BDKoMqmuns1XWOaeNMWIyhVo9NaFZtVqCpjmKrz2KRO24WDPyoPFBbzqRa2ALbe2RC7WMhrlwmZkD6BEOKsRCLlcVL8jlHEuQPHnoPtFyf4OA0I5EboIa~4wuGQ7my~I-cBxC1cz7mMhyTPXEFvYdF-HEE~XMoV4t-dthdxvgMCTr5yOQuE-9kTVNuulFsSyAwaD3YkF1VDNK4HVC7082YnT6mPbdPAjvh0-E9K9oL4ugOiNi3tK75h8FaXeD8aRr3A~s6NsXDAqQvHy~RwnXu3JjE9Y0Yt7kUyl3Vhxd3zfRhAYO5-qN7EoZSUa0UwXbeVRg__&Key-Pair-Id=KUT5TJCACFTXG","A Senate Finance and Taxation committee voted to recommend a due pass for House Bill 10‑81 after testimony from the Office of Management and Budget explaining that the bill would repeal state statutes that fix agency capitalization thresholds and require lease-versus-purchase analyses.

Crystal Hogarth, ACRA manager with the Office of Management and Budget, told the committee that the federal government raised its capitalization threshold on Oct. 1, 2024, from $5,000 to $10,000 and that maintaining a differing state threshold would require agencies to prepare separate state and federal asset reports. \"If the state law is repealed, the OMB fiscal policy for fixed assets will refer to the federal capitalization threshold to ensure they stay consistent with each other,\" Hogarth said. She asked the committee to add an emergency clause so state reporting would match federal requirements for the coming fiscal year.

Hogarth also said the bill would repeal North Dakota Century Code section 54‑24‑21.1, which requires agencies and institutions to prepare a lease-purchase analysis when contemplating leasing an asset. She described that requirement as a \"red tape reduction suggestion,\" saying agencies generally prepare the report but its analysis does not drive decisions because budget constraints often determine whether an agency can purchase or must lease.

The manager noted that agencies will still be required under North Dakota Century Code section 44‑04‑07 to maintain complete and accurate inventory records of property of sufficient value; that requirement is independent of any capitalization threshold.

Senators asked whether the repeal would apply across state agencies and higher-education institutions. Hogarth said she believed the repeal would include state agencies and institutions and offered to confirm whether boards and commissions that report to the state were included.

The committee adopted a motion for a due-pass recommendation, seconded by Michelle Powers, and recorded a roll-call vote in which Chairman Weber, Vice Chair Romo, Senators Marsala, Patton, Powers and Waller voted in favor. Senator Powers was assigned as carrier for the measure. The committee closed the hearing after no public testimony was offered in favor, opposition or neutral positions.

The bill, if enacted with an emergency clause as requested by OMB, would let state fiscal policy reference the federal capitalization threshold and remove a separate statutory lease-analysis requirement.","The committee recommended a due-pass for House Bill 1081, which would repeal state statutes tying agencies' capitalization thresholds to a fixed dollar amount and eliminate a required lease-vs-purchase analysis, aligning state policy with new federal capitalization rules, OMB testified.",{"_33":101,"_35":36,"_37":38,"_39":102,"_41":103,"_43":104,"_45":105,"_47":106,"_49":107,"_51":108,"_53":109,"_55":56,"_57":58,"_59":110,"_61":62,"_63":64,"_65":111,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6342491,"Committee advances bill clarifying bond, reporting and penalty rules for tax filings",344,816000,1160000,"/Search/View?dp=1&key=2254831-94ae1ea16f461274cfd8fc3543e86cf6&start=816&end=1160","https://assets.pipeline.soar.com/2254831-94ae1ea16f461274cfd8fc3543e86cf6/thumbnail_816000.jpg","/articles/6342491/North-Dakota/Committee-advances-bill-clarifying-bond-reporting-and-penalty-rules-for-tax-filings","https://secure.pipeline.soar.com/6342491-6a45ebbfea3685bb26c3c6f2958bc134/orig.mp4?Expires=1771183929&Signature=PhDvQmxkTEsjWhazlp0BPonMd0hMV-NjruaiwVngpHlDGFtCXeMrwluUrt0UV4PY78WRY2xmW8-9SbA7yp4A0ahqKzzfcGxrkPVxSPGDKtNj~87jrjxNql5FlclSFw7PPlZoaWT4Skc0qN2oUY-bgkVYpvCzz6lJqSE-GUvRROdt~2mPXwHqGnMGkAPVy3ZafJGBbaV3AppBmL3VIXkp6GameeMBTtaZEgz2~gV8jP2kQAO0aMF~Yhc15JUrdP6fHrE8y6QofAJB0dgSjVTOhylveE39jp1XuCll49IrqPiP4wE9fE4G5gbIU2~VPn-Kos1Q3kA-QAbb8qSx7uQmTw__&Key-Pair-Id=KUT5TJCACFTXG","A Senate Finance and Taxation committee voted to give a due-pass recommendation to a bill that clarifies several technical tax-administration rules, including bond maintenance for corporate officers, changes to penalties for late informational returns and a short, administrative extension for certain fuel-related reports.

The bill—introduced to the committee in testimony by a department staff member identified only as Charles—would clarify that bonds posted to avoid personal liability for corporate officers must be posted and maintained, confirm that bonds generally equal an estimated one year of taxes, and preserve local control when a county negotiates contract-for-deed terms, testimony said. \"The change here is just a clarification that the bond needs to be posted and maintained if you wanna avoid personal liability,\" Charles said.

Committee members also heard that the bill would raise the statutory penalty for late filing of informational returns such as W-2s and 1099s from $10 to $15 and would remove the existing $2,000 cap on that penalty. \"Removing the cap helps us out because some of the companies that are filing with us, they're very large, and if you have a $2,000 cap ... it's cheaper for them to take the extra time and pay the penalty,\" Charles said. He framed the change as updating a penalty that was last set in the early 1990s and as improving incentives for timely filing so taxpayers receive refunds more quickly.

The bill also would give the tax commissioner authority to grant a short extension—up to 30 days, for good cause—on returns from refiners, suppliers, distributors, importers or exporters of motor fuels, special fuels and aviation fuels, testimony said. Under current practice the department assesses a penalty and later can consider waiving it; the proposed change would let staff waive or delay the due date proactively when a taxpayer raises a short-term problem such as software outage.

Senators asked for operational clarifications during the hearing about how the penalty is assessed when the department lacks complete information and about which officer is liable when multiple corporate officers exist. The department representative said the penalty is assessed per missing report and that in practice the department works with filers to adjust assessments after the missing reports are produced; and that bonds are obtained per corporation to cover the officer responsible for filing.

The committee adopted a motion, seconded by Senator Patton, and recorded a roll-call vote in which Chairman Weber, Vice Chair Romo, Senators Marsala, Patton, Powers and Wallen voted in favor. The committee assigned Senator Wallen to carry the bill forward. The committee record shows no formal opposition testimony at the hearing.

The vote was procedural: the committee recommended a due-pass report; the bill will not reach the floor until after crossover, committee staff said.","A Senate committee voted to give a due-pass recommendation to a bill that would clarify bond maintenance for corporate officers, raise a late W-2/1099 filing penalty, and allow short extensions for certain fuel tax reports.","actionData","errors"]

Article not found

Committee backs amended plan to return construction sales tax to counties for large animal facilities

Committee approves amendment clarifying nonprofit event rental tax exemption in SB 2369

Committee endorses repeal of state capitalization threshold and lease-analysis requirement in House Bill 1081

Committee advances bill clarifying bond, reporting and penalty rules for tax filings