The bill amends section 15.1-12-29 of the North Dakota Century Code, which pertains to the distribution of the unobligated cash balance of a dissolved school district. It introduces a new provision allowing the county committee to distribute up to $500,000 of the remaining unobligated cash balance to another political subdivision located partially or wholly within the geographic boundaries of the dissolving school district. After this distribution, any remaining cash balance will be allocated as a tax credit to real property owners within the dissolved district, based on their proportionate share of the district's taxable valuation.

Additionally, the bill clarifies that school districts may provide cash refunds in lieu of tax credits, contingent upon the approval of the board of county commissioners. The refunds will be issued by the county treasurer to property owners, with any outstanding tax liens being settled first. The bill also stipulates that after fulfilling the obligations to property owners, any remaining unobligated cash balance will be distributed among the receiving school districts based on their share of the dissolved district's total taxable valuation.

Statutes affected:
INTRODUCED: 15.1-12-29
Adopted by the Senate Finance and Taxation Committee: 15.1-12-29
FIRST ENGROSSMENT: 15.1-12-29
Prepared by the Legislative Council staff for Senator Powers: 15.1-12-29
Enrollment: 15.1-12-29
SECOND ENGROSSMENT: 15.1-12-29