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Friday, September 26, 2025

North Dakota Legislative Assembly brings changes impacting small businesses

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Angela Kornowski - Member Representative | LinkedIn

Angela Kornowski - Member Representative | LinkedIn

The National Federation of Independent Business (NFIB), a prominent small business advocacy group, has highlighted key achievements from the recent 69th North Dakota Legislative Assembly. The session concluded on May 3, 2025.

"This year's Legislative Assembly included several wins for small businesses," stated Don Larson, NFIB North Dakota State Director. "Legislators lowered property taxes, cut red tape, and increased transparency. Most importantly, they showed a commitment to ensuring North Dakota small businesses and the economy grow and thrive for years to come."

Significant legislative outcomes include:

- Property Tax Relief (HB 1176): This bill increases the primary residence credit from $500 to $1,600. It also imposes a cap on local subdivisions, limiting spending growth to 3% in an effort to control rate increases over time.

- Pharmacy Benefit Manager (PBM) Bill (HB 1584): Grants the North Dakota Insurance Department regulatory authority over PBMs. This measure aims to enhance cost transparency by mandating further disclosure from PBMs to the state.

- Gas Tax (HB 1382): Proposed a three-cent per gallon increase in the gas tax but was rejected by the Senate. The Department of Transportation budget bill (HB 1014) initially included a five-cent per gallon gas tax hike; however, this was later removed by the conference committee.

- Mandatory Leave (HB 1608): A proposal requiring employers to provide additional leave was defeated. The bill sought one day off per week for employees but lacked necessary employer notice provisions.

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