The Government and Veterans Affairs Committee voted to recommend a do-not-pass on House Bill 1169 after members concluded the bill could not be reconciled with federal Veterans Affairs accreditation requirements and because the state-level options sought by the sponsor were not acceptable to the VA commissioner.

Representative Brown, who had been working behind the scenes on the issue, told the committee the sponsor and stakeholders had not reached agreement with the commissioner and that no committee amendments had been accepted. Representative Vedder argued against killing the bill outright, saying the industry and veterans could benefit if the statutory obstacles could be addressed; other members pointed to a federal accreditation requirement that the commissioner said agents and attorneys representing veterans must meet.

Committee staff summarized the status: that agents and attorneys may represent North Dakota veterans but must meet federal VA accreditation and that the commissioner had insisted on that requirement. Members noted the bill's intent to help outside businesses assist veterans but said they lacked a path to alter federal accreditation requirements through state statute.

The committee vote on a do-not-pass recommendation was taken by roll call and recorded yes votes from Chairman Schauer, Vice Chairman Satrim, Representative Brown, Representative Grinberg, Representative Rohr, Representative Schneider, Representative Steiner and Representative Wolf; Representatives Carls, Van Winkle and Vetter were recorded as no. The motion carried (8 yes, 3 no, 3 not recorded as voting). Members left open the possibility of further work but recommended the bill not advance in its present form.

Committee staff noted that killing the bill would leave the status quo in place and that any future change would require coordination with the federal VA and accreditation processes.