A BILL for an Act to create and enact a new subsection to section 57-02-08 of the North Dakota Century Code, relating to a partial property tax exemption for residential property used for in-home care services for a qualifying individual; and to provide an effective date.

69th Legislative Assembly (2025-26) Introduced by Dick Dever and 7 co-sponsors

Creates a 50% property-tax exemption for residential property used to provide in-home care to a qualifying direct relative who lives there >50% of the year.

Second reading, failed to pass, yeas 32 nays 61

HB 1289 — Summary (North Dakota)

Note: multiple unrelated bills in other states share the number “HB 1289.” This summary covers the North Dakota bill titled “an Act to create and enact a new subsection to section 57‑02‑08 of the North Dakota Century Code,” on a partial property‑tax exemption for residential property used for in‑home care.

Key provisions

Exemption amount: 50% of the taxable valuation of qualifying residential property.

Eligibility / claimant responsibilities:

The property owner claiming the exemption must provide the assessor with a form (prescribed by the Tax Commissioner) and necessary information to demonstrate eligibility.

Definitions:

“Direct relative” — spouse, parent, grandparent, uncle, aunt, child, sibling, niece, or nephew (by blood, adoption, or marriage).
“Qualifying individual” — the owner’s direct relative who is physically or mentally incapable of self‑care due to incapacity, advancing age, physical or mental illness, or disability, and who resides in the residential property with the owner for more than 50% of the taxable year.

Effective date: the exemption applies to taxable years beginning after December 31, 2024.

Who would be affected

Beneficiaries: Homeowners in North Dakota who provide in‑home care to an eligible direct relative and meet the residency and documentation requirements — they would pay property taxes on only half the taxable valuation of the qualifying residential property.

Government entities: County and local taxing authorities and assessors — potential reduction in property tax revenue and additional administrative duties for verifying claims and processing the new exemption.

Fiscal and administrative impacts

Revenue: The bill would reduce property tax revenues to local taxing units to the extent homeowners claim the exemption. The fiscal effect is not specified in the bill text; the magnitude depends on the number of eligible claimants and taxable valuations.

Administration: County assessors must receive and review claims on forms prescribed by the Tax Commissioner, verify eligibility (including residency and relationship), and apply the exemption. This may require procedural changes and modest administrative effort.

Compliance/oversight: The form and verification process (set by the Tax Commissioner) will determine administrative burden and control risks of improper claims.

Legislative / procedural notes

Introduced (filed): November 13, 2024.

Bill text specifies an effective date for taxable years beginning after December 31, 2024.

The user-provided status indicates: “Second reading, failed to pass — yeas 32, nays 61.” (Records provided also contain actions and entries from multiple jurisdictions and other bills numbered HB 1289. Consult the official North Dakota Legislative Assembly website or county auditors/assessors for final, authoritative status and implementation guidance.)

If you want, I can:
- Draft sample language for the assessor’s claim form,
- Outline likely revenue scenarios given sample claimant counts / property values, or
- Locate the bill’s current status on the official North Dakota legislative site.

Bill