ND’s economic increase streak continues

By The Bakken Magazine Staff | June 18, 2015

The North Dakota taxable sales increase streak first started in 2010 continued in 2014. The state’s tax department has reported that taxable sales and purchases for 2014 reached $28.2 billion, an 11 percent increase above the $25.47 billion recorded in 2013. The mining and oil extraction industry segment achieved an increase of nearly 19 percent at $806.4 million. Of the 15 major industry sectors, 10 saw growth from 2013 to 2014.

In addition to tracking industry sector growth, the annual report also records city and population area results. Dunn County led all counties in the state with an increase of 62.41percent over the previous year, followed by Bottineau at 44.33 percent, McKenzie at 39.44 percent, Slope at 29.78 percent and Billings at 22.95 percent.

At the city level, several small communities underwent major growth, an aspect of the report that Ryan Rauschenberger, tax commissioner, said shows the strength of the state’s economy. “All of the cities that experienced a near doubling of the sales tax bases are small,” he said. “Significant growth occurred not only in the oil-rich western side of the state, but also throughout nearly every region of the state.”

The North Dakota cities of Burlington and Davenport each recorded more than 100 percent growth at 198.21 percent and 126.05 percent, respectively. The cities of Sawyer, Reeder and Des Lacs each saw increases from 2013 to 2014 above 80 percent. Major metro areas also saw an increase. Bismarck, Dickinson, Fargo, Grand Forks, Minot and Williston all recorded growth upticks.

“Eleven percent is a substantial increase in North Dakota taxable sales and purchases, well above the 2 percent rate of inflation,” Rauschenberger said. “This report shows a continuation of the rapid sales growth experienced nearly every year since 2010.”