Bill Text: NH SB40 | 2013 | Regular Session | Introduced
Bill Title: Relative to distribution of education funds for fiscal year 2013.
Spectrum: Moderate Partisan Bill (Democrat 16-4)
Status: (Passed) 2013-03-19 - Signed by the Governor on 03/18/2013; Chapter 0004; Effective 03/18/2013 [SB40 Detail]
Download: New_Hampshire-2013-SB40-Introduced.html
SB 40-FN-LOCAL – AS INTRODUCED
2013 SESSION
04/01
SENATE BILL 40-FN-LOCAL
AN ACT relative to distribution of education funds for fiscal year 2013.
SPONSORS: Sen. Kelly, Dist 10; Sen. Boutin, Dist 16; Sen. Bradley, Dist 3; Sen. Carson, Dist 14; Sen. D'Allesandro, Dist 20; Sen. Fuller Clark, Dist 21; Sen. Gilmour, Dist 12; Sen. Hosmer, Dist 7; Sen. Larsen, Dist 15; Sen. Lasky, Dist 13; Sen. Pierce, Dist 5; Sen. Rausch, Dist 19; Sen. Soucy, Dist 18; Sen. Watters, Dist 4; Sen. Woodburn, Dist 1; Rep. Wallner, Merr 10; Rep. Gile, Merr 27; Rep. Lerandeau, Ches 12; Rep. Almy, Graf 13; Rep. Whittemore, Rock 5
This bill provides funds for certain municipalities for the 2013 fiscal year.
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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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
13-0918
04/01
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Thirteen
AN ACT relative to distribution of education funds for fiscal year 2013.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Determination of Education Grants. Amend RSA 198:41, IV to read as follows:
IV.(a) For fiscal year 2012, the department of education shall identify all municipalities in which the fiscal year 2012 total education grant will be less than the fiscal year 2011 total education grant. The department shall distribute a stabilization grant to each of those municipalities equal to 100 percent of the decrease.
(b) For fiscal year 2013, the department of education shall identify all municipalities in which the fiscal year 2013 total education grant, including any stabilization grant distributed pursuant to subparagraph (a), will be less than the fiscal year 2011 total education grant. The department shall distribute funds to each of those municipalities equal to 100 percent of the decrease.
(c) For fiscal year [2013] 2014, and each fiscal year thereafter, the department of education shall distribute a total education grant to each municipality in an amount equal to the total education grant for the fiscal year in which the grant is calculated plus the amount of the fiscal year 2012 stabilization grant, if any, distributed to the municipality.
2 Effective Date. This act shall take effect upon passage.
LBAO
13-0918
Revised 01/18/13
SB 40 FISCAL NOTE
AN ACT relative to distribution of education funds for fiscal year 2013.
FISCAL IMPACT:
The Department of Education states this bill, as introduced, will increase state education trust fund expenditures and local revenue by $3,420,549 in FY 2013. This bill will have no fiscal impact on state and county revenue, or county and local expenditures.
METHODOLOGY:
The Department of Education states this bill would distribute funds to municipalities in which the FY 2013 total adequate education grant is less than the FY 2011 total adequate education grant. In FY 2012, municipalities in which the FY 2012 calculated adequate education grant was less than the FY 2011 adequate education grant received a stabilization grant equal to 100% of the difference. Pursuant to RSA 198:41, the amount of the stabilization grant remains constant at the FY 2012 level and does not change. In addition, in FY 2012 and 2013 the total adequate education grant of a municipality could not exceed the FY 2011 grant amount. As a result, a municipality’s FY 2012 total adequate education grant was exactly equal to the municipality’s grant in FY 2011.
In FY 2013, although the calculation of the total cost of an adequate education did not change from FY 2012 to FY 2013 (since the calculation was made for the biennium), and the stabilization grant amounts did not change from FY 2012 to FY 2013, some municipalities still would experience a decrease in their total adequate education grant amount due to an increase in the amount of State Wide Education Property Tax they are required to raise. This bill would provide these municipalities with an additional grant in order to hold these communities harmless against the decrease in their FY 2013 total adequate education grant from the FY 2012 level. The statewide amount of the additional grants that would be issued as a result of this bill would total $3,420,549 in FY 2013, increasing the total statewide amount of adequate education grants from $574,816,056 to $578,236,605. Since the FY 2013 appropriation to the Department of Education for adequacy grants is $578,236,605, the costs of this bill could be absorbed within the Department’s existing budget and would not require an additional appropriation.
This bill does not require or contain an appropriation, and would have no fiscal impact in FY 2014 and each year thereafter.
