N.D. Senate Update- Feb. 11, 2019

This week I introduced four bills to various committees for their consideration. Monday, I introduced SB 2276, which asks the State Investment Board to return $100 million in fixed asset allocations from the Legacy Fund principal invested outside of North Dakota back in to the state to be invested here. These funds would not be removed from the Legacy Fund portfolio, but they would be invested through the Bank of North Dakota for a variety of programs that the Bank does not have a loan program for right now. These programs are designated in two general areas: The first fund would be Quality of Life Programs or infrastructure needed by political subdivisions designed to make communities more viable. These could be anything from retooling a building for child care to parks and swimming pools. The second part of the plan is for needs for behavioral and mental health, addiction, the homeless and disadvantaged. These funds could be used to repair a building for a homeless shelter, establish an addiction facility, or even add necessities for food banks such as a freezer or refrigeration unit. All in all, the bill had a good hearing. I am encouraged with the fact that the Finance and Taxation Committee still has the bill in committee.

I also introduced a resolution sponsored by leadership in both chambers to honor the Bank of North Dakota on its 100th anniversary Feb. 25, 2019. This bill had a good hearing and came out of committee with a Do Pass recommendation.

Friday morning, I introduced SB 2319 in the Energy and Natural Resources Committee on behalf of subcontractors. This bill addresses the indemnity that subcontractors now have when they work for large oil corporations. This bill was introduced in a previous session and was defeated. The problem still exists. Subcontractors are burdened with the costs related to injuries to workers and other losses.

Also, on Friday, I introduced SB 2324 which would establish a nonpartisan redistricting commission. Upon completion of the 2020 census, redistricting will take place. Many other states have independent nonpartisan redistricting commissions that do the work North Dakota now does through a committee of legislators. The current practice puts legislators on the committee by percentages of members in the legislature based on current party affiliation. This tends to work in favor of the party in the majority. The committee was very interested in this bill and will work on it by looking at the legislative district maps from the last two redistricting efforts in 2001 and 2011. I believe voters should pick their legislators rather than legislators getting to pick their voters.

In other news, I stood and spoke on the Senate floor in favor of SB 2336 which would have restored the oil extraction tax to 6.5 percent as the voters in North Dakota approved. This tax was moved from 6.5 percent down to 5 percent by the 2015 legislature. Restoring this tax back to 6.5 percent would generate over $400 million more dollars to help with the shortfall seen in the last four years. These funds would be crucial in restoring staff who have been cut, programs that are being cut or reduced, and funding infrastructure needs. The Governor is correct in that we robbed several trust funds last session. These dollars would be important in restoration of those funds to do exactly what they are designed to do-help with a variety of needs across North Dakota.

Thursday morning, I attended the Ag Coalition meeting. Several bills relating to agriculture were discussed including grain buyer's indemnity, property rights/hunting bill, eminent domain and moving the trade office to the Agriculture Department. There is a bill to allow second cousins to farm family land without having to be called a corporate farm. There is a bill to replace Harris Hall at NDSU. The bill to define a farm residence and the federal income test versus the state test to identify farm home exemptions was referenced. This bill, SB 2360, defines a farmer as one where two-thirds of the gross incomes comes from farming. There is support for this bill from farm groups. This bill has sponsors from both chambers and both parties.

The Senate Dems introduced an amendment to provide state workers with a 3 percent raise with a couple of proposals to insure a minimum increase. This amendment was defeated in Appropriations. The proposal coming from Senate Appropriations for salaries is a 2 percent increase the first year and a 3 percent increase the second year of the biennium. This increase will also follow for other entities such as long-term care.

A couple of interesting bills passed by the Senate this week were SB 2338 which would require marketplace facilitators (Amazon and others) who serve as pass through facilitators for businesses to collect sales tax. The carrier of the bill said that currently the new online sales tax requirement has generated around $5 million in collections for North Dakota.

SB 2139 passed. This would provide cost sharing from the State Water Commission for snagging and clearing of rivers and streams. I want to thank the constituents who contacted me about supporting this bill and its importance to D-23.

The two bills introduced to implement Measure 1 were heard Wednesday afternoon. SB 2148 and HB 1521 had a total of four hours of hearings in a packed Brynhild Haugland room. The bills are quite different in that the Senate bill identifies only what is required until 2021. The House bill goes further to work that in the measure is identified to be undertaken by the Ethics Commission and a Legislative Management Interim Committee.

Upcoming events next week include the introduction of the last of my sponsored bills and participation in events in Memorial Hall relating to Recovery Day, Public Health Day, Children's Advocacy Day, Nutrition and Food Service Day, and Nonprofit Organization Day. I will be speaking to ND Association of Nonprofits, ND Association of Realtors/Homebuilders, and the Fargo, West Fargo, Moorhead Chamber. I will highlight other opportunities in next week's Legislative Report.

You can reach me at [email protected] or by calling (701) 302-0355.

Have a good week!