Legislation Would Reduce Interest and Penalties
North Dakota legislators are being asked to change a 40-year-old law that allows the state to collect up to 18% interest and 12% in penalties on unpaid royalties.
The law dates back to 1981 when inflation and interest rates were at record highs, but times have changed and the law should be changed to reflect that. That's according to Rep. Jason Dockter, R-Bismarck, who pitched HB1080 to the House Finance and Taxation Committee this week. Dockter said the bill would help create "a little more certainty with the Fed's fund rate" as it relates to royalty payment penalties.