HB 1031 Summary

• Amends North Dakota Century Code Section 57-51-15 to restructure oil and gas gross production tax allocations effective for taxable events after June 30, 2015.

• Reduces the oil and gas impact grant fund cap from $240 million to $100 million per biennium and maintains the state highway fund cap at $75 million per biennium.

• Changes county revenue allocation formula: first $2 million to county (increased from $5 million), then tiered percentages for the next $3 million in revenues before reverting to lower percentages on remaining revenues.

• Introduces a county infrastructure fund mechanism where counties receiving over $5.35 million annually must allocate excess revenues to infrastructure improvements, with 45% to county general fund, 35% to schools, and 20% to cities.

• Maintains 30% of remaining revenues deposited in the legacy fund and requires annual reporting by county commissioners on revenue distributions and expenditures to the legislative council.