AN ACT to amend and reenact sections 18-13-03 and 26.1-01-07.1 of the North Dakota Century Code, relating to the use of the reduced cigarette ignition propensity and the insurance regulatory trust fund; to repeal section 18-13-08 of the North Dakota Century Code, relating to the fire prevention and public safety fund; and to provide a transfer.
HB1086 revises North Dakota law governing the reduced cigarette ignition propensity program and the insurance regulatory trust fund. The bill updates the cigarette certification process by requiring manufacturers to certify and recertify cigarettes that meet state fire-safety standards, pay certification fees, and notify regulators if product changes could affect compliance. It also clarifies that certification information may be shared with the insurance commissioner and tax commissioner for enforcement purposes.
The bill further redirects the money collected under the cigarette ignition propensity program into the insurance regulatory trust fund, rather than maintaining a separate fire prevention and public safety fund. It repeals the statute creating that separate fund and directs the Office of Management and Budget to transfer any remaining balance from the old fund into the insurance regulatory trust fund on August 1, 2025. The insurance regulatory trust fund remains the repository for various insurance-related fees and penalties, with excess balances above $1 million transferred to the general fund after fiscal year closeout.
HB1086 amends sections 18-13-03 and 26.1-01-07.1 of the North Dakota Century Code, repeals section 18-13-08, and consolidates cigarette ignition propensity revenues into the insurance regulatory trust fund. It affects cigarette manufacturers, the state fire marshal, the insurance commissioner, the tax commissioner, and the Office of Management and Budget by changing fee collection, fund administration, and transfer procedures. The bill does not change the underlying cigarette fire-safety standard, but it changes how the program is financed and how related funds are managed and distributed.
The bill appears to have broad support and little visible opposition. It passed the House 86-5 and the Senate 44-0, indicating strong bipartisan approval. The available context shows no committee transcript debate, suggesting the measure was likely viewed as a technical or administrative cleanup bill rather than a controversial policy change.
No major points of contention are evident in the available record. The only likely areas of interest are the consolidation of a dedicated fire-related fund into the insurance regulatory trust fund and the repeal of the separate fire prevention and public safety fund, which could raise questions about how cigarette certification fees are used and whether fire-safety-related revenues remain sufficiently targeted. However, the overwhelming vote margins suggest any concerns were limited or resolved without significant dispute.