The proposed bill amends various sections of the North Dakota Century Code to transfer the administration of the state fire and tornado fund from the insurance commissioner to the office of management and budget. Key changes include the repeal of several sections related to the fund's administration and the introduction of new definitions and responsibilities for the office. The bill establishes a continuing appropriation for the fund, allowing for ongoing financial management and claims payment related to losses incurred by state agencies, political subdivisions, and winter shows. It also mandates that state agencies obtain replacement cost appraisals for insured properties every six years and adjust values annually, emphasizing the importance of maintaining adequate insurance coverage for public buildings.

Additionally, the bill outlines new guidelines for determining insurable values of property and specifies that insurance coverage does not automatically apply to townships or school districts outside city limits unless requested. It establishes a process for arbitration in case of disputes regarding insurable values or loss amounts and includes provisions for the collection of assessments for insurance coverage, with penalties for late payments. The bill allows for the issuance of anticipation bonds to maintain fund levels in case of catastrophic events and clarifies the handling of hazardous risks. It also modifies the waiver of subrogation rights during construction and holds political subdivisions liable for attorney fees if they violate state law. Overall, the bill aims to streamline insurance processes and ensure adequate coverage and financial stability for the involved entities.

Statutes affected:
INTRODUCED: 26.1-01-03, 26.1-22-01, 26.1-22-02, 26.1-22-02.1, 26.1-22-03.1, 26.1-22-09, 26.1-22-10, 26.1-22-11, 26.1-22-14, 26.1-22-16, 26.1-22-17, 26.1-22-21, 26.1-22-22, 26.1-23.1-01, 37-03-13
Adopted by the House Industry, Business and Labor Committee: 26.1-01-03, 26.1-22-01, 26.1-22-02, 26.1-22-02.1, 26.1-22-03.1, 26.1-22-09, 26.1-22-10, 26.1-22-11, 26.1-22-14, 26.1-22-16, 26.1-22-17, 26.1-22-21, 26.1-22-22, 26.1-23.1-01, 37-03-13
FIRST ENGROSSMENT: 26.1-01-03, 26.1-22-01, 26.1-22-02, 26.1-22-02.1, 26.1-22-03.1, 26.1-22-09, 26.1-22-10, 26.1-22-11, 26.1-22-14, 26.1-22-16, 26.1-22-17, 26.1-22-21, 26.1-22-22, 26.1-23.1-01, 37-03-13
Adopted by the Senate Industry and Business Committee: 26.1-01-03, 26.1-22-01, 26.1-22-02, 26.1-22-02.1, 26.1-22-03.1, 26.1-22-09, 26.1-22-10, 26.1-22-11, 26.1-22-14, 26.1-22-16, 26.1-22-17, 26.1-22-21, 26.1-22-22, 26.1-23.1-01, 37-03-13
PREFILED: 26.1-01-03, 26.1-22-01, 26.1-22-02, 26.1-22-02.1, 26.1-22-03.1, 26.1-22-09, 26.1-22-10, 26.1-22-11, 26.1-22-14, 26.1-22-16, 26.1-22-17, 26.1-22-21, 26.1-22-22, 26.1-23.1-01, 37-03-13