Red dye diesel being put into a tank during harvest season 2026. (KFGO News Photo)
BISMARCK, N.D. (KFGO) – North Dakota’s State Tax Commissioner says his office is committed to making sure that farmers do not fear being penalized for using red dyed diesel this harvest season once an executive order authorizing its use on the highway expires.
Tax Commissioner Brian Kroshus (R-ND)
Tax Commissioner Brian Kroshus tells KFGO News that his department has been instructed to understand that traces of red-dyed diesel will be found in the tanks of equipment for a long time after the order expires.
“Because that is a reality of the order, our approach will be one of common sense and penalties will not be issued for trace amounts found in tanks for a reasonable period of time after the order expires. I issued that guidance to staff at our agency earlier this (Tuesday) morning.” Kroshus said in a written statement.
North Dakota Governor Kelly Armstrong signed the executive order allowing red-dye diesel to be used on highways for agriculture purposes last week. It is set to expire November 30. Red dye diesel is exempt from state and federal taxes, and is usually reserved for off-road use.
Kroshus says red dye inspections are done in partnership with the North Dakota Highway Patrol, and the Office of the Tax Commissioner handles any penalties.
The North Dakota Governor’s Office says Troopers have also been told to be aware of trace amounts of red dye in tanks.
“The North Dakota Highway Patrol has been advised to exercise discretion in enforcement, understanding that some red-dyed diesel may remain in fuel tanks after the executive order expires Nov. 30,” A spokesperson for the Governor’s office said in a written statement.
Troopers say farmers that work across state lines should be conscious of what fuel is in their tanks.
“The executive order does limit, it’s the operation within the state of North Dakota. So if any of our growers cross state lines that executive order will not cover them when they go into Montana, South Dakota or Minnesota,” North Dakota Highway Patrol Lieutenant Luke Hendrickson says.
On Monday, President Donald Trump signed an executive order at the federal level allowing red dye diesel to be used on highways across the country, but the executive order does not override state laws restricting its use. Trump’s executive order instead asked state governments to adopt similar policies. The executive order also does not completely waive federal taxes on diesel, meaning those that take advantage could have to pay the tax at a later date.
South Dakota Governor Larry Rhoden issued a corresponding order Tuesday.
Minnesota Governor Tim Walz has not issued a similar policy allowing red dye diesel use. Last week, Walz issued state-wide relief of his own, allowing producers hauling agriculture and timber products to be loaded above state weight restrictions to save on trips.
Hendrickson with the North Dakota Highway Patrol says growers that enter the state with overloaded semis from Minnesota should also be aware that they are not covered by Walz’s executive order in other states.
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