The HB 1176 Conference Committee meeting held on April 28, 2025, focused on the ongoing discussions regarding the homestead tax credit and its implications for property tax funding in North Dakota. The committee members addressed the need for Senate approval on proposed increases to the homestead tax credit, emphasizing the importance of aligning budgetary numbers between the House and Senate.

The meeting began with concerns raised about the Senate's proposed budget, which was deemed insufficient to cover the projected costs associated with the homestead tax increase. Members expressed skepticism about the Senate's calculations, highlighting a significant discrepancy in funding levels. The discussion quickly turned to the specifics of the homestead tax credit, with committee members questioning whether the appropriations for the credit were adequately reflected in the tax commissioner's budget.

Sherry Anderson, the chief fiscal officer from the Office of State Tax Commissioner, provided insights into the current budget status and the potential need for adjustments based on property tax trends. She noted that discussions from the previous week’s conference committee had led to a pause in budget decisions pending further analysis of property tax impacts.

The committee explored the implications of increasing the eligibility category for the homestead tax credit, with some members advocating for broader access to the credit for seniors aged 65 and older. The conversation highlighted the need to balance increased eligibility with the fiscal responsibilities of the state, as expanding the credit would incur additional costs.

Shelley Myers, the state supervisor of assessments, presented data from Burley and Cass counties, indicating that a significant portion of applicants received either full or partial homestead credits. This data was crucial in assessing the potential impact of the proposed $16.50 increase on tax obligations for homeowners.

As discussions progressed, committee members acknowledged the necessity of reconciling differing funding levels between the House and Senate proposals. The House expressed concerns about the Senate's approach, suggesting that the proposed funding might fall short of covering the necessary expenses.

The meeting concluded with a call for further analysis and collaboration between the two chambers to ensure that the final budget adequately addresses the needs of North Dakota's property owners while maintaining fiscal responsibility. The committee plans to reconvene to continue discussions and work towards a consensus on the homestead tax credit and its funding.