2014 North Dakota Century Code Title 57 Taxation Chapter 57-64 Mill Levy Reduction Allocations and Grants
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CHAPTER 57-64
MILL LEVY REDUCTION ALLOCATIONS AND GRANTS
57-64-01. (Suspended through the first two taxable years beginning after
December 31, 2012) Definitions.
For purposes of this chapter:
1. "Combined education mill rate" means the combined number of mills levied by a
school district for the general fund, high school tuition, and high school transportation.
2. "Qualifying school district" means a school district that meets the conditions and
requirements of this chapter to receive a mill levy reduction grant.
57-64-02. (Suspended through the first two taxable years beginning after
December 31, 2012) Mill levy reduction allocation and grant.
Each qualifying school district in the state is entitled to a mill levy reduction allocation and
grant as provided in this chapter, subject to legislative appropriation to the superintendent of
public instruction.
1. The mill levy reduction allocation rate for each qualifying school district is equal to the
payments to the school district based on the per student payment rate as determined
for the school year under chapter 15.1-27.
2. The grant to a qualifying school district may not exceed the smallest of:
a. The allocation determined under subsection 1;
b. The taxable valuation of property in the school district in the previous taxable year
times the number of mills determined by subtracting one hundred mills from the
combined education mill rate of the school district for taxable year 2008; or
c. The taxable valuation of property in the school district in the previous taxable year
times seventy-five mills.
3. The grant to a qualifying school district may not be less than the grant to that school
district in the preceding school year.
4. The grant to a qualifying school district may not exceed the grant to that school district
in the preceding school year by a percentage that is more than the percentage
increase in statewide taxable valuation which was determined for the previous taxable
year.
5. For purposes of this section, "taxable valuation" means the valuation to which the mill
rate is applied to determine the amount of ad valorem taxes or payments in lieu of
taxes, and includes taxable valuation determined for agricultural, residential, and
commercial property; railroad property assessed by the state board of equalization
under chapter 57-05; gas company property, pipeline property, and power company
property assessed by the state board of equalization under chapter 57-06; mobile
homes under chapter 57-55; land controlled by the game and fish department subject
to valuation under chapter 57-02.1; land owned by the board of university and school
lands or the state treasurer subject to valuation under chapter 57-02.3; national guard
land subject to valuation under chapter 37-07.3; farmland or ranchland owned by
nonprofit organizations for conservation purposes subject to valuation under section
10-06.1-10; land acquired by the state water commission for the Devils Lake project
subject to valuation under chapter 61-02; a workforce safety and insurance building
and associated real property subject to valuation under section 65-02-32; and carbon
dioxide pipeline property subject to valuation under section 57-06-17.2. For purposes
of this section, "taxable valuation" includes the taxable valuation of the homestead
credit reimbursed by the state under section 57-02-08.2 and the disabled veterans'
credit reimbursed by the state under section 57-02-08.8.
6. The superintendent of public instruction shall report to each qualifying school district
by July fifteenth of each year the mill levy reduction grant in dollars available to that
school district during the upcoming school year.
7. By December first, January first, February first, and March first of each school year,
the superintendent of public instruction shall forward to each qualifying school district
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8.
9.
installments equal to twenty-five percent of the total mill levy reduction grant the district
is eligible to receive during that school year.
Allocations to a school district under this chapter are not considered per student
payments or state aid for purposes of chapter 15.1-27.
For all purposes under law relating to allocation of funds among political subdivisions
based on property tax levies, property taxes levied by a school district are the amount
that would have been levied without the mill reduction grant provided to the school
district under this chapter.
57-64-03. (Suspended through the first two taxable years beginning after
December 31, 2012) School district levy compliance.
1. To be eligible to receive a grant under this chapter, a qualifying school district must
establish a spending level that does not result in a general fund mill rate exceeding
one hundred ten mills. The certificate of levy form filed with the county auditor by a
qualifying school district must reflect the revenue to be received by the school district
under this chapter and that the general fund mill rate for the school district will not
exceed one hundred ten mills unless:
a. The district has approval of a majority of the electors of the school district for a
higher levy;
b. The higher levy is the result of a school district reorganization in compliance with
chapter 15.1-12;
c. The higher levy does not produce an amount in dollars exceeding the amount
allowed under section 57-15-01.1 reduced by the amount of the school district's
mill levy reduction grant under section 57-64-02 for the budget year; or
d. The district has authority for a higher levy under subdivision b of subsection 2.
2. The authority under subdivision a or b of subsection 1 for a school district to levy a
general fund mill rate exceeding one hundred ten mills applies for not more than ten
taxable years at a time after taxable year 2008 unless a majority of the electors of the
school district approve an extension of that authority. Approval by electors of extension
of levy authority under subdivision a or b of subsection 1 is effective for not more than
ten taxable years at a time. A ballot measure for approval by electors of extension of
levy authority under subdivision a or b of subsection 1 is subject to the following:
a. The ballot measure must specify the number of mills for the general fund mill rate
for which approval is sought.
b. If a ballot measure for approval of extension of levy authority under this
subsection is not approved by a majority of the electors of the school district
voting on the question, the school district general fund levy limitation for
subsequent years is subject to the limitations as determined for the school
district's budget year under section 57-15-01.1 or 57-15-14, whichever produces
the higher levy limitation.
57-64-04. (Suspended through the first two taxable years beginning after
December 31, 2012) Levy reduction priority.
In setting mill rates for qualified school districts, the county auditor shall apply funds
allocated to a school district under this chapter for mill levy reduction first to reduce the number
of mills levied for general fund purposes and, if allocation funds remain after the general fund
mill rate is reduced to zero, the balance must be applied to reduce the high school tuition levy
and, if allocation funds remain after the high school tuition levy mill rate is reduced to zero, then
to reduce the high school transportation levy of the qualified school district.
57-64-05. (Suspended through the first two taxable years beginning after
December 31, 2012) (Effective through June 29, 2015) Property tax relief fund.
The property tax relief fund is a special fund in the state treasury. Moneys in the fund may
be spent, pursuant to legislative appropriations, for property tax relief programs.
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(Effective after June 29, 2015) Property tax relief sustainability fund. The property tax
relief sustainability fund is a special fund in the state treasury. Moneys in the fund may be spent,
pursuant to legislative appropriations, for property tax relief programs.
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