Bill Text: NH SB247 | 2019 | Regular Session | Amended


Bill Title: Establishing a sunny day fund and grant program.

Spectrum: Partisan Bill (Democrat 7-0)

Status: (Introduced) 2019-03-21 - Pending Motion OT3rdg; 03/21/2019; Senate Journal 9 [SB247 Detail]

Download: New_Hampshire-2019-SB247-Amended.html

SB 247-FN-A - AS AMENDED BY THE SENATE

 

03/07/2019   0648s

 

2019 SESSION

19-0908

04/05

 

SENATE BILL 247-FN-A

 

AN ACT establishing a sunny day fund and grant program.

 

SPONSORS: Sen. Dietsch, Dist 9; Sen. Morgan, Dist 23; Sen. Levesque, Dist 12; Sen. Fuller Clark, Dist 21; Sen. Kahn, Dist 10; Sen. Feltes, Dist 15; Rep. Leishman, Hills. 24

 

COMMITTEE: Education and Workforce Development

 

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AMENDED ANALYSIS

 

This bill establishes the sunny day fund and grant program in the department of business and economic affairs to obtain and disburse grants for research and development, support the infrastructure necessary to address critical gaps in the state's ability to attract research and development projects, increase commercialization of new technologies, leverage federal funds, and support business development and expansion.  The bill transfers funds from the general fund surplus account to fund the program.

 

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

03/07/2019   0648s 19-0908

04/05

 

STATE OF NEW HAMPSHIRE

 

In the Year of Our Lord Two Thousand Nineteen

 

AN ACT establishing a sunny day fund and grant program.

 

Be it Enacted by the Senate and House of Representatives in General Court convened:

 

1  New Subparagraph; Application of Receipts; Sunny Day Fund.  Amend RSA 6:12, I(b) by inserting after subparagraph (343) the following new subparagraph:

(344)  Moneys credited to the sunny day fund established in RSA 12-O:21-a.

2  General Fund Surplus Account; Transfer to Sunny Day Fund.  On July 1, 2019, the state treasurer shall transfer the sum of $15,000,000 from the general fund surplus account to the sunny day fund established in RSA 12-O:21-a.  

3  New Section; Department of Business and Economic Affairs; Sunny Day Fund.  Amend RSA 12-O by inserting after section 21 the following new section:

12-O:21-a  Sunny Day Fund Established.  

I.  There is hereby established in the office of the state treasurer a fund to be known as the sunny day fund, which shall be kept distinct and separate from all other funds.  The commissioner shall administer the fund.  The fund shall be nonlapsing and continually appropriated to the commissioner for the purpose of obtaining and disbursing grants for research and development, including any preliminary funding necessary to obtain grant funding, supporting the infrastructure necessary to address critical gaps in the state's ability to attract research and development projects, increasing commercialization of new technologies, leveraging federal funds, and supporting business development and expansion.  Grants may be from federal, private, or other sources.  

II.  The New Hampshire Research and Industry Council ("council"), with the support of the New Hampshire Established Program to Stimulate Competitive Research (NH EPSCoR), shall administer the grant program application and approval process in consultation with the commissioner, manage the annual investment portfolio, and evaluate investment performance.  An organization may apply for funding under this section pursuant to the procedures established by the council.  The council shall assign preference to grant applications that:

(a)  Increase New Hampshire's competitiveness through innovation.

(b)  Attract talent to New Hampshire.

(c)  Target existing industrial-cluster strength, potential growth, and research capacity.

(d)  Target areas of strategic priority as determined by NH EPSCoR and the department

of business and economic affairs.

(e)  Qualify for available matching funds from federal, private, or other sources.

III.  Beginning July 1, 2021, and annually thereafter, the council shall conduct a survey of all organizations which receive grants under this section to evaluate the return on investment from the state’s funding support and to permit the general court to consider legislation for continued funding.  The council shall, no sooner than 18 months after the effective date of this section, develop and distribute a survey instrument to all organizations that have received grant funding under this section.  The survey shall, at a minimum, collect the following information for each organization that receives grant funds under this section:

(a)  Number of grants obtained.

(b)  Total funding from grants and other investments.

(c)  Amount of federal funds obtained.

(d)  Number of employees.

(e)  Number of jobs created as a result of funding received under this section.

(f)  Number of licensing agreements secured.

(g)  Number of patents filed.

IV.  An organization shall submit the completed survey to the council within 6 weeks of receipt.  The council shall collect the completed surveys and submit them to the commissioner of the department of business and economic affairs.  Any organization which fails to timely submit a completed survey shall not be eligible to obtain additional funding under this section.  

V.  Administrative costs shall not exceed 8 percent of annual fund expenditures.

4  Effective Date.  This act shall take effect July 1, 2019.

 

LBAO

19-0908

1/23/19

 

SB 247-FN-A- FISCAL NOTE

AS INTRODUCED

 

AN ACT establishing a sunny day fund in the department of business and economic affairs.

 

FISCAL IMPACT:      [ X ] State              [    ] County               [    ] Local              [    ] None

 

 

 

Estimated Increase / (Decrease)

STATE:

FY 2020

FY 2021

FY 2022

FY 2023

   Appropriation

$0

$0

$0

$0

   Revenue

$0

$0

$0

$0

   Expenditures

Potential Increase of $15,000,000

Indeterminable

Potential Increase of $15,000,000

Indeterminable

Funding Source:

  [ X ] General            [    ] Education            [    ] Highway           [    ] Other

 

METHODOLOGY:

This bill establishes a Sunny Day Fund in the Department of Business and Economic Affairs DBEA).  Funds in excess of the statutory limit of the Revenue Stabilization Reserve Account (Rainy Day Fund) shall be transferred to this fund rather than to the general fund surplus account.  The fund shall be nonlapsing and shall not exceed $15,000,000, with any excess funds transferred to the general fund surplus account.  Sunny Day funds shall be continually appropriated to the DBEA for obtaining and disbursing grants for research and development, including any preliminary funding necessary to obtain grant funding, and for the infrastructure necessary for research and development.  Grants may be from federal, private, or other sources, and will be allocated to projects promoting matching grants, increasing the State’s competitiveness and innovation, attracting talent and targeting areas of defined strategic priority, potential growth and research capacity.  The New Hampshire Established Program to Stimulate Competitive Research (NHEPSCoR), a research and industry collaborative administered by the University of New Hampshire, shall administer the grant application and approval process in consultation with the Commissioner of the DBEA, manage the annual investment portfolio and evaluate investment performance.  Administrative costs shall not exceed 8 percent of NHEPSCoR’s annual budget for fund disbursement.

 

The DBEA states the Sunny Day Fund projects will meet defined criteria for addressing issues of importance to the State.  The agency is unable to determine the amount of grant applications that may be received or a cap on grant funds for any given approved project.  DBEA anticipates the need for at least one unspecified position to administer the fund.

 

The University System of New Hampshire states there is no anticipated fiscal impact.  The bill provides for funds to be appropriated to pay for related program administration.  If there are no funds resulting from the legislation, there will be no administrative functions required, and thus no fiscal impact. If funds are available due to the legislation, the fiscal impact will be offset by the administrative funds provided.  There is no ongoing fiscal impact if the program sunsets in the future as no administrative functions will be necessary.

 

The State Treasury states there is no anticipated fiscal impact on the revenues and expenditures of the State Treasury, the fiscal liability of the State, or at the county and local levels.

 

AGENCIES CONTACTED:

Department of Business and Economic Affairs, University System of New Hampshire, and State Treasury

 

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