ND HB1336

Regulatory agencies cannot pursue civil penalties for violations discovered during voluntary environmental audits if the entity discloses the violation in writing within 45 days of discovery, unless specified exceptions apply.

Entities must notify the regulatory agency in writing before beginning an environmental audit, specifying the facility or portion to be audited, anticipated start date, and scope, and must complete the audit within 180 days.

Civil penalties may still be pursued if violations caused imminent or substantial harm to health or environment, were discovered by the agency first, were not corrected within 60-365 days, involved a pattern of repeated violations within two years, resulted from willful violations or gross negligence, or involve federally delegated programs requiring penalties.

Environmental audit reports are privileged and inadmissible in civil actions unless the regulated entity waives the privilege, with limited exceptions for certain violation types and information disclosed to regulatory agencies.

Entities cannot initiate audits to avoid liability after becoming aware of violations, and misrepresenting material facts about violations or damage eliminates penalty exemptions.