North Dakota’s Primary Residence Credit program for mobile homes has led to some owner dissatisfaction and created processing inconsistencies among counties. But proposed legislation could fix the problem, Ward County Auditor/Treasurer Marisa Haman told the Ward County Commission Tuesday.

Unlike the $500 credit applied to traditional homes, which is subtracted from the next year’s tax bill, the mobile home tax break is retroactive. Mobile home owners get a $500 tax refund if eligible.

Homeowners can get a 5% discount for paying in full by Feb. 15, or they can pay in two installments, and it doesn’t affect the original, base tax bill from which the tax credit is subtracted, Haman explained. The same is true for other state property tax credit programs, even if an application is late and requires refunding.

For mobile home owners, a taxpayer can’t be refunded more than is paid. The refund is reduced if the discounted tax paid is below $500.

Haman also noted Ward County is paying out refunds to mobile home owners before it collects primary residence credit reimbursement from the state to cover those refunds. Counties are each handling refunds differently because no process is outlined in the law, she said.

Haman said House Bill 1176, if passed, would fix the problem beginning in 2026. The bill amends the program to treat mobile homes like other residential property in applying a credit rather than a refund.

Ward County had about 400 mobile home owners qualify for the refund this year. Haman estimated about 100 hours of work have gone into processing the refunds.