Two Bismarck senators were among 30 who helped pass a bill that prohibits retailers from selling fuel below cost.

Bismarck Sens. Ralph Kilzer and Ed Kringstad, both Republicans, voted in favor of Senate Bill 2389, which passed the Senate 30-13 without debate just before 6:30 Thursday night.

Area lawmakers who voted against the bill were Sen. Dwight Cook, R-Mandan, Sen. Layton Freborg, R-Underwood and Sens. Dick Dever and Bob Stenehjem, both Republicans from Bismarck.

Senate Bill 2389, spearheaded by gas retailers, would allow a business to be sued for selling gas below cost. Proponents of the bill said it will prevent Wal-Mart and other big box stores from selling fuel below cost as a way to lure customers who will buy other products, while opponents argued it will hurt competition.

The bill allows businesses to sell below cost in some instances. Some exceptions include going-out-of-business sales, special promotions and to match the price of a competitor that has lower costs.

The bill previously received a "do pass" recommendation from the Senate Transportation Committee by a vote of 6-0.

The bill was largely aimed at Wal-Mart, which is building larger stores across the state, including two super centers and a Sam's Club in Bismarck.

Sen. Duane Mutch, R-Larimore, gave a brief explanation of the bill before it was passed.

Mutch said retailers count on fuel for 70 percent of their sales. He said the bill does not set prices for fuel or profits for retailers.

Some of the organizations supporting the bill include the North Dakota Petroleum Marketers Association, North Dakota Retail Association, North Dakota Grocers Association, North Dakota Farm Bureau and the National Federation of Independent Businesses.

There are 12 states with similar laws.

The next step is for the bill to have a public hearing in a House committee.

(Reach reporter Tom Rafferty at 223-8482 or tom.rafferty@bismarcktribune.com.)