# North Dakota SB 2261: AN ACT to create and enact a new section to chapter 57-38 and a new subdivision to subsection 7 of section 57-38-30.3 of the North Dakota Century Code, relating to a prison industries workforce development income tax credit; to provide for a legislative management study; and to provide an effective date.

North Dakota SB 2261, AN ACT to create and enact a new section to chapter 57-38 and a new subdivision to subsection 7 of section 57-38-30.3 of the North Dakota Century Code, relating to a prison industries workforce development income tax credit; to provide for a legislative management study; and to provide an effective date., is a 2025 Regular Session Senate bill sponsored by Jerry Klein (Republican); status vetoed, last action 2025-04-08 (Filed with Secretary Of State 04/08); PRIA reads it as touching household money (as of 2026-10-18).

- Canonical: https://policyrisk.com/state-bill/ND-SB2261-202501
- As of: 2026-10-18
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Bill: North Dakota SB 2261
- State: North Dakota
- Session: 2025 Regular Session
- Title: AN ACT to create and enact a new section to chapter 57-38 and a new subdivision to subsection 7 of section 57-38-30.3 of the North Dakota Century Code, relating to a prison industries workforce development income tax credit; to provide for a legislative management study; and to provide an effective date.
- Status: vetoed
- Chamber: Senate
- Introduced: 2025-01-20
- Last action: 2025-04-08, Filed with Secretary Of State 04/08
- Sponsor: Jerry Klein (Republican)
- Cosponsors: 4
- Touches household money: yes
- Roll calls: 4 (159 yes, 116 no in all)
- Economic provisions PRIA read: 1

## Summary

No summary available.

## Bill overview: provisions PRIA read

- 10% tax credit for prison-industry purchases: mixed, medium. Beginning with tax years starting January 1, 2025, primary sector businesses can claim a 10% income tax credit for parts and labor bought from prison industries. The credit is nonrefundable, claimed in the year you buy the items, and any unused amount can carry forward for up to five years. All cre…

## Sponsors and cosponsors

- Sponsor: Jerry Klein (Republican), Senate
- Cosponsor: Jon O. Nelson (Republican), House
- Cosponsor: Austen Schauer (Republican), House
- Cosponsor: Jeff Barta (Republican), Senate
- Cosponsor: Greg Kessel (Republican), Senate

## Roll call votes

| Date | Chamber | Motion | Result | Yes | No | Other |
| --- | --- | --- | --- | --- | --- | --- |
| 2025-04-03 | House | Veto sustained, yeas 15 nays 78 | fail | 15 | 78 |   |
| 2025-03-27 | Senate | Passed over veto, yeas 45 nays 2 | pass | 45 | 2 |   |
| 2025-03-13 | House | Second reading, passed, yeas 56 nays 33 | pass | 56 | 33 |   |
| 2025-02-03 | Senate | Second reading, passed, yeas 43 nays 3 | pass | 43 | 3 |   |

## Actions (20)

- 2025-04-08: Filed with Secretary Of State 04/08 (Senate)
- 2025-04-03: Veto sustained, yeas 15 nays 78 (House)
- 2025-04-03: Consideration of Governor's veto (House)
- 2025-03-27: Passed over veto, yeas 45 nays 2 (Senate)
- 2025-03-27: Consideration of Governor's veto (Senate)
- 2025-03-24: Vetoed by Governor 03/21 (Senate)
- 2025-03-18: Sent to Governor (Senate)
- 2025-03-18: Signed by President (Senate)
- 2025-03-18: Signed by Speaker (House)
- 2025-03-14: Returned to Senate (Senate)
- 2025-03-13: Second reading, passed, yeas 56 nays 33 (House)
- 2025-03-12: Reported back, do pass, place on calendar 10 2 2 (House)
- 2025-03-12: Committee Hearing 09:30 (House)
- 2025-02-18: Introduced, first reading, referred Finance and Taxation Committee (House)
- 2025-02-04: Received from Senate (House)
- 2025-02-03: Second reading, passed, yeas 43 nays 3 (Senate)
- 2025-02-03: Amendment adopted, placed on calendar (Senate)
- 2025-01-31: Reported back amended, do pass, amendment placed on calendar 5 0 0 (Senate)
- 2025-01-27: Committee Hearing 11:00 (Senate)
- 2025-01-20: Introduced, first reading, referred Industry and Business Committee (Senate)

## Bill text

- Adopted by the Senate Industry and Business Committee: [PDF](https://ndlegis.gov/assembly/69-2025/regular/documents/25-1273-01001m.pdf)
- Enrollment: [PDF](https://ndlegis.gov/assembly/69-2025/regular/documents/25-1273-03000.pdf)
- FIRST ENGROSSMENT: [PDF](https://ndlegis.gov/assembly/69-2025/regular/documents/25-1273-02000.pdf)
- INTRODUCED: [PDF](https://ndlegis.gov/assembly/69-2025/regular/documents/25-1273-01000.pdf)

## Related bills

- SB 2390: AN ACT to create and enact three new sections to chapter 54-40.1 of the North Dakota Century Code, relating to a rural catalyst committee, grant program, and f… (signed)
- HB 1298: AN ACT to amend and reenact sections 39-06.1-06, 39-09-02, 39-09-04, and 39-09-07.1, and subsection 2 of section 40-05-06 of the North Dakota Century Code, rel… (signed)
- HB 1229: AN ACT to create and enact a new subdivision to subsection 2 of section 39-06.1-06 and section 39-10-71.1 of the North Dakota Century Code, relating to statuto… (signed)
- SB 2113: AN ACT to create and enact two new sections to chapter 50-06 of the North Dakota Century Code, relating to certified community behavioral health clinics and th… (signed)
- SB 2147: AN ACT to create and enact a new subsection to section 15-10-38.4, a new subsection to section 15-62.4-03, a new section to chapter 15-62.4, and a new subsecti… (signed)
- SB 2018: AN ACT to provide an appropriation for defraying the expenses of the department of commerce; to provide an appropriation to the attorney general; to provide an… (signed)

## Sources
- [Adopted by the Senate Industry and Business Committee (PDF)](https://ndlegis.gov/assembly/69-2025/regular/documents/25-1273-01001m.pdf)
- [Enrollment (PDF)](https://ndlegis.gov/assembly/69-2025/regular/documents/25-1273-03000.pdf)
- [FIRST ENGROSSMENT (PDF)](https://ndlegis.gov/assembly/69-2025/regular/documents/25-1273-02000.pdf)
- [INTRODUCED (PDF)](https://ndlegis.gov/assembly/69-2025/regular/documents/25-1273-01000.pdf)

## Related
- [SB 2390: AN ACT to create and enact three new sections to chapter 54-40.1 of the North D…](https://policyrisk.com/state-bill/ND-SB2390-202501)
- [HB 1298: AN ACT to amend and reenact sections 39-06.1-06, 39-09-02, 39-09-04, and 39-09-…](https://policyrisk.com/state-bill/ND-HB1298-202501)
- [HB 1229: AN ACT to create and enact a new subdivision to subsection 2 of section 39-06.1…](https://policyrisk.com/state-bill/ND-HB1229-202501)
- [SB 2113: AN ACT to create and enact two new sections to chapter 50-06 of the North Dakot…](https://policyrisk.com/state-bill/ND-SB2113-202501)
- [SB 2147: AN ACT to create and enact a new subsection to section 15-10-38.4, a new subsec…](https://policyrisk.com/state-bill/ND-SB2147-202501)
- [SB 2018: AN ACT to provide an appropriation for defraying the expenses of the department…](https://policyrisk.com/state-bill/ND-SB2018-202501)
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Source: PRIA, https://policyrisk.com/state-bill/ND-SB2261-202501 (as of 2026-10-18).