Governor, MHA chairman sign compact for sharing of oil tax revenue
Gov. Doug Burgum and Mandan, Hidatsa and Arikara (MHA) Nation Chairman Mark Fox on Thursday signed a compact that maintains the current tax rate on oil and gas production and extraction within the Fort Berthold Reservation, while changing how the state and tribe share tax revenue from new oil and gas activity on trust and fee lands.
“This historic agreement lays the foundation for a stable tax and regulatory environment that will help North Dakota compete with other oil producing states while providing certainty to the tribes, the state and private industry,” Burgum said. “We thank Chairman Fox, the entire MHA Tribal Council and our North Dakota legislative leaders for their collaboration and partnership on this issue for the benefit of all North Dakotans.”
Under the compact, the current combined oil production and extraction tax rate will remain at 10 percent, with a “trigger” that increases the rate to 11 percent if the average price of crude oil exceeds $90 per barrel for three consecutive months.
The compact changes the current 50-50 tax revenue split so that 80 percent of the production and extraction tax revenue from new wells on tribal trust lands would go to the tribe and 20 percent would go to the state. On fee land, 80 percent of the revenue would go to the state and 20 percent to the tribe.
“The MHA Nation supports continued responsible energy development, and this compact will help us maximize that opportunity by providing certainty and stability to our members and those looking to invest in our lands and natural resources,” said Fox, chairman of the MHA Nation, also known as the Three Affiliated Tribes. “The additional tax revenue received through this compact will go a long way in helping us address infrastructure needs and other priorities for our people.” The MHA Tribal Business Council approved the compact on Feb. 25.
The compact is contingent upon the passage of Senate Bill 2312, which was approved by the Senate and now awaits action in the House.
Video of the compact signing has been posted on the governor’s Facebook page at https://www.facebook.com/GovernorDougBurgum/.
Burgum, Sanford meet with Grand Forks officials during Capitol visit
Gov. Burgum and Lt. Gov. Brent Sanford met with Grand Forks Mayor Michael Brown, elected officials, business owners, economic development leaders, University of North Dakota officials and other citizens on Friday during "Grand Forks Day" at the Legislature.
About 30 people from the Grand Forks community traveled to Bismarck to meet with the governor, lieutenant governor, legislators and representatives from several state agencies over the course of two days.
The meeting with Burgum and Sanford included discussion about the importance of investment in unmanned aircraft systems and the Grand Sky research and development park, license reciprocity for military spouses and the city's efforts aligned with the governor's Main Street Initiative. The governor's executive budget proposed investing $30 million to build out a statewide UAS infrastructure network.
For more information about North Dakota's third-largest city, visit http://www.grandforksgov.com/about-grand-forks.
Burgum attends White House business session with President, cabinet
Gov. Doug Burgum on Monday attended a business session at the White House with President Donald Trump and members of his cabinet while in Washington, D.C., for the National Governors Association’s annual Winter Meeting.
The President addressed the governors in the State Dining Room, delivering remarks about job growth, workforce development and trade negotiations; the administration’s efforts to reduce taxes, regulations and the price of prescription drugs and health care; and the need for criminal justice reform, border security and rebuilding the nation’s infrastructure, among other topics.
Afterward, Burgum participated in a session with several cabinet officials and fellow governors on modernizing and rebalancing trade and growing exports. The session included discussion about soybeans and liquid natural gas – two major exports for North Dakota – and how states will benefit from new trade agreements such as the U.S.-Mexico-Canada Agreement.
Burgum and other governors also participated in a session with administration officials on combating the opioid crisis and reducing drug demand. Behavioral health and addiction is one of the Burgum/Sanford administration’s five strategic initiatives.
“We’re thankful for the opportunity to engage with President Trump and his administration on the challenges facing our states and how we can partner with the federal government to find solutions that will benefit North Dakotans and all Americans,” Burgum said.
Gallup index ranks North Dakota in top 10 for well-being of residents
A Gallup index released last week finds North Dakota ranks in the top 10 states when it comes to the well-being of their residents.
The top 10 states were Hawaii, Wyoming, Alaska, Montana, Utah, Colorado, Vermont, Delaware, South Dakota and North Dakota.
Gallup's index of well-being is based on a 2018 survey. The index incorporates elements of well-being pertaining to career satisfaction, social relationships, financial security, community and physical health, Route Fifty reported.