The bill amends section 6-09.4-22 of the North Dakota Century Code, which pertains to the protection of services provided by political subdivisions during the term of a loan. It establishes that services financed by loans from the public finance authority or other state agencies cannot be curtailed or limited by the inclusion of the service area within another political subdivision or by granting private franchises for similar services. Additionally, it clarifies that the political subdivision providing the service is not required to obtain any franchise, license, or permit if the area is included within another political subdivision during the loan term.

A significant addition to the bill is the insertion of a new provision that states any agreement made before January 1, 2025, that violates the negotiation requirements outlined in the bill is voidable at the discretion of the public finance authority or other state agency, provided they give thirty days written notice. This provision ensures that any agreements made under the previous terms can be challenged, thereby protecting the interests of the public finance authority and ensuring the security of outstanding bonds related to the loan. The bill is also declared an emergency measure, indicating its immediate importance.

Statutes affected:
INTRODUCED: 6-09.4-22
Adopted by the House Political Subdivisions Committee: 6-09.4-22
FIRST ENGROSSMENT: 6-09.4-22
Adopted by the Senate Industry and Business Committee: 6-09.4-22
Enrollment: 6-09.4-22