Bill > HB1559

This bill introduces new limitations on how the taxable value of residential property can be assessed in North Dakota. Specifically, the bill caps the taxable valuation of residential property at its "base year valuation" (defined as the average taxable value over the previous three years), with exceptions for certain circumstances. These exceptions include when a property was not previously taxable, when the property is sold or changes ownership, or when significant improvements are made to the property. An "improvement" is carefully defined to exclude routine maintenance and like-for-like replacements of damaged structures, ensuring that minor changes or rebuilding to the same specifications do not trigger a full reassessment. The bill prevents cities and counties from overriding these provisions through home rule authority and is set to take effect for taxable years beginning after December 31, 2024. The primary intent appears to be protecting homeowners from rapid increases in property tax assessments by limiting how and when a property's taxable value can be raised, which could help provide more predictability and stability for residential property owners.

Budget and Finance

https://ndlegis.gov/assembly/69-2025/regular/bill-overview/bo1559.html