House Finance and Taxation Committee recommends not advancing conservation-easement tax exemption bill; forwards hydroelectric credit bill

The House Finance and Taxation Committee on an organizational hearing day debated three tax-related bills and issued mixed recommendations: it recommended "do not pass" on the amended version of House Bill 1383, issued a due-pass recommendation on House Bill 1211, and recommended "do not pass" on House Bill 1289.

House Bill 1383: conservation-easement tax treatment

House Bill 1383 drew the longest debate. Commissioner Gearing, appearing for the executive branch, proposed an amendment that would prevent land placed in a perpetual conservation easement from qualifying for a property-tax exemption tied to that easement, while preserving existing exemptions tied to inundated or wetland lands under current law. "It would not allow any land in the state of North Dakota that is under a perpetual easement or easement, to receive a tax abatement or exempt from tax," Gearing told the committee. He said the intent was to stop counties from using local modifiers to grant tax exemptions based on conservation easements.

State Supervisor of Assessments Shelley Myers told the committee the proposed language would be inserted into the valuation and assessment statute for agricultural land, and agreed the draft accomplishes the commissioner’s stated goal. Charles…