15.9519.

09000

Prepared by the Legislative Council staff

2015-17 BIENNIUM ALLOCATIONS OIL AND GAS TAX COLLECTIONS REFLECTING HOUSE BILL NOS. 1176, 1377, AND 1476
The schedules below provide information on 2015-17 biennium estimated oil and gas tax allocations based on
the Conference Committee version of Engrossed House Bill No. 1176 [15.0329.05019], the Conference
Committee version of Engrossed House Bill No. 1377 [15.0400.05009] reflecting the March 2015 revised revenue
forecast and reflecting the provisions of Engrossed House Bill No. 1476 [15.1024.05022]. The Conference
Committee version of Engrossed House Bill No. 1176 increases the allocation of oil and gas gross production tax
revenue to counties from 25 percent to 30 percent of all revenue over $5 million. The proposed changes to
Engrossed House Bill No. 1377 include changing the name of the property tax relief sustainability fund and
decreasing the allocation to the fund from $341.79 million to $300 million, removing the transfer of 25 percent of
the revenue from the strategic investment and improvements fund to the legacy fund, providing that the state
disaster relief fund does not receive oil and gas tax allocations if the unobligated balance in the fund exceeds a
certain amount, and providing an allocation of 30 percent of the remaining revenue to a newly created political
subdivision allocation fund. Engrossed House Bill No. 1476 changes the oil extraction tax rate to 5 percent.
2015-17 Biennium Forecast Estimates - House Bill Nos. 1176 and 1377
March 2015
Proposed Changes Forecast
HB 1476
Increase (Decrease)
Legacy fund
$940,730,000
$950,600,000
$9,870,000
Three Affiliated Tribes
262,640,000
265,080,000
2,440,000
Oil and gas research fund
10,000,000
10,000,000
0
Oil and gas impact grant fund
140,000,000
140,000,000
0
630,790,000
630,790,000
0
Political subdivisions
Abandoned well reclamation fund
10,000,000
10,000,000
0
North Dakota outdoor heritage fund
27,500,000
27,500,000
0
Foundation aid stabilization fund
131,180,000
134,230,000
3,050,000
Common schools trust fund
131,180,000
134,230,000
3,050,000
Resources trust fund
262,370,000
268,460,000
6,090,000
General fund
300,000,000
300,000,000
0
Tax relief fund
300,000,000
300,000,000
0
Strategic investment and improvements fund
194,910,000
202,490,000
7,580,000
Political subdivision allocation fund
40,670,000
43,930,000
3,260,000
State disaster relief fund
16,420,000
16,420,000
0
Total oil and gas tax revenue allocations

$3,398,390,000

$3,433,730,000

$35,340,000

March 2015 Revised Revenue Forecast

Proposed Changes - House Bill No. 1476

State's share $852 million

State's share $862 million

Distributed by formula

Distributed by formula

General fund - First $200 million

General fund - First $200 million

Tax relief fund - Next $300 million

Tax relief fund - Next $300 million

General fund - Next $100 million

General fund - Next $100 million

Strategic investment and improvements fund - Next $100 million

Strategic investment and improvements fund - Next $100 million

State disaster relief fund - Next $22 million if disaster fund balance
does not exceed a certain level - $16 million

State disaster relief fund - Next $22 million if disaster fund balance
does not exceed a certain level - $16 million

Strategic investment and improvements fund 70 percent of any additional revenues - $95 million

Strategic investment and improvements fund 70 percent of any additional revenues - $102 million

Political subdivision allocation fund 30 percent of any additional revenues - $41 million

Political subdivision allocation fund 30 percent of any additional revenues - $44 million

NOTE: The amounts reflected in these schedules are preliminary estimates. The actual amounts allocated
for the 2015-17 biennium may differ significantly from these amounts based on actual oil price and oil
production.
North Dakota Legislative Council

April 2015