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Read. Follow. Verify.North Dakota Legislature Fails to Override Governor's Veto on Prison Industries Tax Credit Bill
Last action · April 8, 2025: Filed with Secretary Of State 04/08Sponsors: Jerry Klein and 4 others
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What This Bill Proposed
North Dakota considered a 10% state income tax credit for es purchasing labor or manufactured components from prison industries, capped at $45,000 annually. Although the bill was passed by the legislature and a Senate veto override succeeded, the House veto override failed, sustaining the Governor's veto.
The measure would have created a tax incentive for businesses utilizing incarcerated labor and manufacturing, with an aggregate state cap of $45,000 per calendar year, but the veto was ultimately sustained.
- North Dakota bills require approval by both legislative chambers and can be enacted over a gubernatorial veto with a two-thirds majority vote in each chamber. context
Who It Would Have Affected
Groups the bill's text would have affected, as described in the record. Being affected is not a position for or against it.
Primary sector businesses
Businesses meeting primary sector definitions would have been eligible to claim a 10 percent income tax credit for purchasing prison industry labor or components.
Incarcerated individuals
Individuals in prison industries would have been impacted by workforce development programs and alignment with private manufacturing sectors.
Key Facts
You don't have to trust us. Each fact below is taken straight from the official document - click any one to see the exact passage, highlighted in the original.
Frequently Asked Questions
What tax credit was proposed in Senate Bill 2261?
What was the annual statewide cap on the tax credits?
Did Senate Bill 2261 become law?
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News Coverage
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Votes, people, money & the original sourceWhere This Stands
This bill did not become law - Vetoed by the governor.
Procedural history
20 actions- Apr 8, 2025SenateFiled with Secretary Of State 04/08
- Apr 3, 2025HouseVeto sustained, yeas 15 nays 78
- Apr 3, 2025HouseConsideration of Governor's veto
- Mar 27, 2025SenateFloorPassed over veto, yeas 45 nays 2
- Mar 27, 2025SenateConsideration of Governor's veto
- Mar 24, 2025SenateVetoed by Governor 03/21
Show 14 earlier actions
- Mar 18, 2025SenateEnrolledSent to Governor
- Mar 18, 2025SenateSigned by President
- Mar 18, 2025HouseSigned by Speaker
- Mar 14, 2025SenateReturned to Senate
- Mar 13, 2025HouseFloorSecond reading, passed, yeas 56 nays 33
- Mar 12, 2025HouseCommitteeReported back, do pass, place on calendar 10 2 2
- Mar 12, 2025HouseCommitteeCommittee Hearing 09:30
- Feb 18, 2025HouseIntroducedIntroduced, first reading, referred Finance and Taxation Committee
- Feb 4, 2025HouseReceived from Senate
- Feb 3, 2025SenateFloorSecond reading, passed, yeas 43 nays 3
- Feb 3, 2025SenateCommitteeAmendment adopted, placed on calendar
- Jan 31, 2025SenateCommitteeReported back amended, do pass, amendment placed on calendar 5 0 0
- Jan 27, 2025SenateCommitteeCommittee Hearing 11:00
- Jan 20, 2025SenateIntroducedIntroduced, first reading, referred Industry and Business Committee
Version history
Only one version on file - nothing to compare yet. As later stages (committee substitute, engrossed, enrolled) are captured, the redline appears here.
View official text →Lobbying Activity
No state lobbying filings in our records match this bill. Federal lobbying reports (LDA) cover Congress, so they are not listed on state bills.
Full breakdown
Who this bill affects and the strongest case for and against it, written only from the bill’s own text.
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Sources
ndlegis.gov
Analysis Score
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- Controversy65Intensity of disagreement among stakeholders
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- Buzz25Current news / social attention level
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