A BILL for an Act to create and enact a new section to chapter 35-27 of the North Dakota Century Code, relating to a debris removal lien.

HB 1187 creates a legal lien on fire insurance proceeds for debris removal after a total property loss. It directly affects property owners with fire insurance claims and local governments (cities or counties) in North Dakota. The bill requires insurers to notify owners and local auditors within 10 days of a total loss, allowing cities/counties to claim a lien equal to the greater of $5,000 or 10% of the policy’s real property coverage. The lien must be filed within 30 days and applies only to debris removal costs, not personal property or temporary housing payments. Local governments must release the lien once remediation is complete or insurance pays the claim.