Bill > HB1573

This bill creates a new chapter in North Dakota law establishing a pore space utilization tax and a North Dakota disaster fund. The tax will be levied at $5 per ton on substances transported via pipelines longer than 25 miles for the purpose of permanent underground storage in pore space within the state, applicable to pipelines in service after July 31, 2025. Taxpayers must submit monthly reports to the tax commissioner detailing the volume of substances transported and tax owed. The first $500 million collected will be credited to a new North Dakota disaster fund, with remaining revenues going to the state's general fund. The disaster fund can be used to mitigate damages from pipeline-related incidents, purchase specialized emergency response equipment, fund training for pipeline hazards, and support state disaster emergency declarations. The fund cannot be used for expenses already covered by insurance or other federal or private sources. The tax commissioner is granted broad powers to administer the tax, including requiring information, conducting investigations, and processing refunds. The bill becomes effective for taxable events occurring after June 30, 2025.

Budget and Finance

https://ndlegis.gov/assembly/69-2025/regular/bill-overview/bo1573.html