Committee Summary for House Education Funding (04/07/2026)

Member	Member	Member
Ladd, Rick(Chairman)(R)[B+]2025	Brown, Pam(Clerk)(R)[B+]2025	Spilsbury, Walter(V Chairman)(R)[A-]2025
McGuire, Dan(R)[A]2025	Ames, Dick(D)[CT]2025	Burton, Wayne(D)[F]2025
Luneau, David(D)[CT]2025	Colcombe, Riché(R)[B+]2025	Chretien, Suzanne(D)[F]2025
Popovici-Muller, Daniel(R)[A-]2025	Damon, Hope(D)[CT]2025	Fellows, Sallie(D)[CT]2025
Erf, Keith(R)[A]2025	Bricchi, Tracy(D)[D-]2025	Weinstein, Toni(D)[F]2025
Peeples, Raymond(R)[B+]2025	Mehegan, Peter(R)[B+]2025

Bill/Time	Type	Title	Sponsor
SB586	Public Hearing	requiring school districts to publish a school administrative unit audit report after the end of the fiscal year.	Murphy, Keith(R)[A]2025
SB580	General Working Session	(New Title) relative to establishing a school cooperative purchasing program.	Sullivan, Victoria(R)[A-]2025
SB580	General Working Session	(New Title) relative to establishing a school cooperative purchasing program.	Sullivan, Victoria(R)[A-]2025
SB491	General Working Session	enabling students to utilize education freedom account funds to pay for certain career and technical education funding.	Watters, David(D)[D-]2025
SB531	General Working Session	establishing a task force to study the feasibility of the creation of cosmetology related programming in Coos County.	Watters, David(D)[D-]2025

SB586: Information Only 00:01:45.358 - 12:59:51 PM; Representative McGuire introduced Senate Bill 586 on behalf of Senator Murphy, who was unavailable. He provided a detailed explanation of current law under RSA 198:4-d, which requires cities, school districts, and charter schools to submit various financial reports, including election results, revenue revisions, annual statistical financial summaries, accounting standards, budget filings, and audit procedures. He distributed handouts including a side-by-side comparison of current law and the bill, plus a draft amendment he prepared. McGuire highlighted the bill's changes: expanding the content of the annual financial report to include detailed employee payroll, assets, debts, bonds, and leases; and requiring the Department of Education to review reports for completeness, correct errors collaboratively, and withhold state funding until compliant. His amendment adds school administrative units (SAUs) as reporting entities and mandates searchable electronic formats for reports. He noted minor issues in the draft, such as a timing clarification and integration with audit requirements, and invited questions.
SB586: Information Only 00:16:01.858 - 1:14:07 PM; Representative McGuire continues introducing the bill on behalf of Senator Murphy, explaining the provision on line 14 of page two that requires the commissioner to withhold any and all state funding from non-compliant entities, noting it seems harsh and potentially excessive. He discusses the need for clarification on withholding funds only after the six-month filing deadline has passed, suggesting wording changes to reflect compliance during the period. He addresses phrasing like 'at the close of the year' versus 'as of the close of the year' for clarity on balance sheets. He compares the proposed six-month deadline to current law's September 1st requirement, noting fiscal year ends June 30th, and clarifies the bill upgrades from a simple report to more audit-like requirements. He responds to questions on employee payroll publicity, benefit contributions in the Senate version, and lack of review by school districts on new provisions.
SB586: Information Only 00:26:31.278 - 1:24:37 PM; Representative Fellows speaks to the bill as introduced, highlighting that Roman numeral three refers to the DOE-25 report, which provides extensive detail on expenditures and revenue. She notes the current September 1st deadline allows for setting tax rates and other publications, emphasizing the need to retain the DOE-25 submission requirement to the state.
SB586: Support 00:31:45.934 - 1:29:51 PM; Michael Campbell provides expertise from auditing 240 municipal, school district, SAU, and special purpose entities in New Hampshire. He supports establishing a deadline for financial reports to enhance transparency, accountability, and succession planning in finance offices, noting challenges like staff turnover due to pressure. He outlines the audit process, including inputs, in-person fieldwork, efficiency measures amid auditor shortages, and pride in reliable opinions. He recommends a nine-month window instead of six months, citing federal delays this year and alignment with federal clearinghouse timelines for entities expending over a million in federal funds. He supports searchable scanned documents to the state but cautions on modifiable formats for clients, endorses including SAUs in timelines, and clarifies DOE-25 is not typically audited but reviewed. He differentiates audits from reviews and forensic audits, explaining reviews involve reasonableness checks without testing, while forensics target specific objectives like fraud detection. He details audit timelines, averaging five days fieldwork for clean audits, plus additional time for drafting, management review, MD&A preparation, and legal confirmations to ensure reliability.
SB586: Information Only 00:47:10.290 - 1:45:16 PM; Campbell responds to committee questions on distinguishing financial reports from audits, noting audits involve CPA opinions while reports may not meet the same criteria. He discusses amending statutes for comprehensive audits, potential auditor delays justifying extensions to avoid withholding funds from schools, standard audit procedures including review of prior findings and policies, challenges in obtaining timely data from districts due to staff turnover and inexperience, payroll testing methods, and the impact of budget season on six-month timelines. He advocates for a nine-month period, emphasizes monthly budget-to-actual reviews by boards, training via ASBO programs, audit costs varying by district size and complexity, potential cost increases from amendments, handling repeated findings through conversations or discontinuing relationships, and ongoing handbook updates for administrators.
SB586: Oppose 01:06:50.290 - 2:04:56 PM; Rohwer and Scott express uncertainty about the bill's motivation but support accountability goals. They argue the six-month timeline is unrealistic due to limited auditor capacity, leading to non-compliance; audits have grown from 18 to 60 pages with added requirements like OPEB. They suggest requiring CPA audits statewide, focusing on starting audits timely rather than finishing, avoiding new audit content amid GASB changes, and emphasizing management over audits. They note audits are after-the-fact and hard to understand without training, advocate for monthly reporting and board oversight, invite auditors to meetings including non-public sessions for performance review, and highlight operational fixes like better budgeting and federal fund accounting as key to addressing issues like Claremont's mismanagement.
SB586: Information Only 01:29:37.531 - 2:27:43 PM; Green presents department concerns via memo, noting audits traditionally go to DRA, not DOE, requiring new resources for collection and analysis. He opposes modifying DOE 25 provisions due to the September 1 deadline needed for tax rates with DRA, recommending a separate statute for audit requirements. Only 7% of districts meet six months; suggests 12-18 months. He supports deadlines with incentives like withholding aid for compliance, values audits for transparency but stresses DOE 25's role in reporting and adequacy calculations, and notes ongoing efforts like updating charts of accounts and providing technical assistance to improve fiscal oversight.
SB586: Information Only 01:41:16.457 - 2:39:22 PM; The speaker provides an example from their school district where $122,000 spent on a greenhouse was misclassified as maintenance, not caught by the audit despite capital asset lists. They note auditors missed tying expenditures to MS-22 appropriations or accounting codes, leading to a violation of RSA 3210. Calls to DRA and DOE revealed no jurisdiction, emphasizing need for preemptive involvement by agencies to address such issues before they occur, as audits and DOE 25 do not fully resolve misappropriation problems.
SB580: Information Only 01:56:20.270 - 2:54:26 PM; Arlinghouse explains the state has 480 statewide contracts for various goods and services available to schools, towns, and nonprofits under current law, but awareness is low. He suggests publicizing access via DOE outreach rather than creating a new program, as cooperative procurement for schools would require 6-10 additional staff due to increased workload. Districts can directly use vendors like WB Mason without state involvement, needing only spend tracking against contract limits set by Executive Council, which are hit on about half of contracts; new systems will aid monitoring.
SB580: Information Only 02:07:28.664 - 3:05:34 PM; Explains how users can search for contracts on the state website by typing keywords like 'heating oil' to find relevant contracts offering discounts or rates for school districts. Notes significant progress in website accessibility under recent governors. Responds to questions on maximum contract quantities, indicating that school district purchases may require discussion with the Executive Council. Affirms that advances in cooperative purchasing can be made without legislation by increasing awareness and usage of existing state contracts through outreach to the Department of Education. Describes handling of service contracts like maintenance for copiers or elevators as separate from commodity purchases, involving competitive bidding without specifying brands. Discusses adding locations to service contracts requiring amendments. Explains that using cooperatively procured contracts from entities like NASPO counts as competitive bidding. Confirms charter schools and independent public academies can use state contracts, similar to non-profits under 501(c)(3). States the department has capacity to add more contracts, managing around 480 currently despite staffing shortages. Details procedure for schools to use contracts, similar to state agencies, involving P-cards or direct ordering with invoices sent to the user. Notes food programs are federal but mentions state surplus food delivery to schools. Discusses savings from state contracts, noting some like WB Mason provide convenience rather than always the lowest price, and the department is evaluating value. Explains fuel contracts are specific to state DOT pumps, not available to schools, though government rates apply elsewhere. Mentions surplus property auctions open to the public, including schools.
SB580: Information Only 02:08:31.604 - 3:06:37 PM; Asks about whether school district purchases using state contracts would count toward the maximum authorized by the Executive Council or require separate consideration.
SB580: Information Only 02:09:52.964 - 3:07:58 PM; Inquires if cooperative purchasing advances can be achieved without legislation and suggests directing the Department of Education to promote state contract usage. Also asks about state contracts for school needs like Xerox machines, maintenance, and leasing, and whether schools must handle these separately. Questions if using procured services counts as bidding under section three of the bill. Raises concerns about independent public academies and their eligibility. Asks about the department's capacity to add new contracts for school commodities. Follows up on school food programs being federal and potential state involvement.
SB580: Information Only 02:12:16.524 - 3:10:22 PM; Interjects that he has worked for Stanley Elevator Company for 34 years and notes they installed the elevators in the building.
SB580: Information Only 02:17:30.761 - 3:15:36 PM; Asks about the procedure for schools to use state contracts like for pens, whether it's obvious, and if outreach is needed to inform them. Follows up on how ordering works, invoicing to schools rather than the state, and ensuring only authorized entities use contracts.
SB580: Information Only 02:19:48.761 - 3:17:54 PM; Confirms questions on food programs being federal and notes surprise about state surplus food delivery to schools. Asks about savings for DOE or schools using state system versus independent purchasing.
SB580: Information Only 02:24:09.761 - 3:22:15 PM; Asks if school buses get the same fuel break as state trucks at DOT pumps.
SB580: Information Only 02:25:12.353 - 3:23:18 PM; Asks about other programs schools could use, like surplus property. Later, discusses the required policies section on page three, noting they mirror existing rules with minor additions or errors, such as reversed roles for school board and superintendent on goals. Questions why codify in statute if already in rules. Explains rules provide details to statutes and that policies can vary by district but must address required topics.
SB580: Information Only 02:28:59.687 - 3:27:05 PM; References statute 193-E:2-a on curriculum presenting educational goals set locally by boards.
SB580: Oppose 02:30:19.847 - 3:28:25 PM; Clarifies that goals refer to district-wide objectives set by the school board and implemented by the superintendent, not academic standards. Questions if the bill is needed since cooperative buying exists and policies are in rules.
SB580: Oppose 02:31:08.177 - 3:29:14 PM; Expresses thought that the bill SB 580 is not needed given existing provisions.
SB580: Oppose 02:31:57.285 - 3:30:03 PM; Criticizes the receivership provision on page 4 as incomplete, lacking criteria, powers, qualifications, and time limits. Suggests it needs detailed work like other state takeovers, and adding it as is makes no sense.
SB580: Oppose 02:34:23.805 - 3:32:29 PM; Agrees with Representative Ames, notes Massachusetts' detailed 14-page statute may be too much, references Claremont's emergency approach, and questions added value.
SB580: Oppose 02:35:39.805 - 3:33:45 PM; Recalls unanimous bill 18-16 providing limited one-year oversight for financial emergencies without takeover, passed on voice vote, as a better approach than this bill's receivership.
SB580: Oppose 02:36:54.027 - 3:35:00 PM; Suggests consensus against the bill based on discussions of all parts, proposes potential executive session to recommend inexpedient to legislate.
SB580: Information Only 02:38:33.633 - 3:36:39 PM; Questions benefit of putting policies in legislation versus rules, noting rules are reviewed every 10 years and echo statutes.
SB580: Information Only 02:39:20.570 - 3:37:26 PM; Confirms much of the policy language mirrors current rules but cautions against conflicts if added to statute, suggesting review with State Board. Notes policies are scattered in statutes, and consistency is key.
SB580: Information Only 02:42:52.693 - 3:40:58 PM; Explained the history of administrative rules since 1982, reviewed every 10 years by the State Board of Education and JLCAR with public input. Described a past issue with 306 rules expiring temporarily, leading to reinstatement. Noted conflicts between rules and statutes, such as owner's project manager requirements and fourth-year math. Emphasized complexity and cautioned against embedding rules into statute to avoid micromanagement.
SB580: Information Only 02:43:38.853 - 3:41:44 PM; Asked for background on why the legislation was introduced.
SB580: Information Only 02:43:38.853 - 3:41:44 PM; Shared no understanding of the prompt but recounted 306 rules issue. Suggested reviewing relationship between proposed bill, rules, and statutes. Recommended caution against putting rules into statute and micromanaging school operations. Proposed revisiting on Tuesday.
SB580: Support 02:45:59.308 - 3:44:05 PM; Praised Section 3 for providing a comprehensive list of school board duties, unlike scattered references elsewhere. Noted value in having explicit duties in RSAs as basis for rules, making changes legislative. Requested side-by-side comparison of Section 3 policies with statutes and rules by Tuesday, referencing rule 303.01.
SB580: Information Only 02:47:19.308 - 3:45:25 PM; Acknowledged request for side-by-side and emphasized rules must reference statutes per 541-A.
SB580: Information Only 02:48:06.308 - 3:46:12 PM; Pointed out that 6I on prohibiting discrimination was addressed in House Bill 2, eliminating DEI language, making it currently illegal. Cautioned on additional material requests.
SB580: Information Only 02:49:40.345 - 3:47:46 PM; Agreed on statutes as foundation and rules for agency expertise, policed by JLCAR. Suggested possibly retaining Section 3 via interim study instead of ITL, to gather more information.
SB580: Information Only 02:50:56.925 - 3:49:02 PM; Suggested having Liz Brown from DOE for expertise on statutes, but chair preferred internal research first due to her workload and time until May 7.
SB580: Information Only 02:50:56.925 - 3:49:02 PM; Preferred relying on committee research over consulting Liz Brown, given time availability and her current litigation load. Aimed to narrow sections if pursuing.
SB580: Information Only 02:52:08.543 - 3:50:14 PM; Requested explanation of responsibilities for aligning rules and statutes. Clarified that departments amend rules if statutes change, with statute taking precedence. Noted State Board proposes amendments via public school office staff.
SB580: Information Only 02:53:22.918 - 3:51:28 PM; Suggested investigating the merger of three bills by Senator Sullivan, reviewing Senate history, origins, and rationale.
SB580: Information Only 02:54:17.398 - 3:52:23 PM; Agreed to investigate the three underlying bills. Cautioned on broad statutory language vs. nitty-gritty details, emphasizing local school boards' role.
SB491: Information Only 02:55:06.849 - 3:53:12 PM; Introduced SB 491 by Senators Waters and Lang, dealing with EFAs for CTE, tuition, and transportation. Noted issues discussed by CTE folks for years.
SB491: Information Only 02:56:31.021 - 3:54:37 PM; Detailed $9 million biennial funding for CTE from separate account, subtracting $700k transportation (25 cents/mile or 10 cents for personal vehicle). Explained tuition as 20-40% of per pupil cost plus 3% capital, varying by program. Noted proration leading to shortfalls, e.g., 58% reimbursement years ago, needing extra $6M. Discussed past $7M increase to $9M, maintenance of effort constraints. Advocated breaking into separate accounts for better budgeting. Mentioned recent transportation formula change to vehicle/miles/trips basis.
SB491: Support 02:57:19.814 - 3:55:25 PM; Supported sections 1 and 2 for separating tuition and transportation to predict and fund accurately, beyond $9M cap.
SB491: Information Only 03:02:02.634 - 4:00:08 PM; Shared district budgeted 75% but received 42%, leading to $240k additional bill from CTE center. Confirmed 25-75 split common, emphasizing need to fix funding shortfall.
SB491: Information Only 03:03:27.083 - 4:01:33 PM; Noted district cut CTE students from 70 to 35 due to costs. Supported choice but questioned affordability of EFA expansion.
SB491: Information Only 03:03:27.083 - 4:01:33 PM; Clarified lines 16-18 provide information to EFA students on CTE without specified costs. Noted Senate amendment removed funding.
SB491: Oppose 03:04:54.463 - 4:03:00 PM; Criticized rulemaking proviso consulting House/Senate committees as unconventional and usurping JLCAR. Suggested removal.
SB491: Information Only 03:06:10.343 - 4:04:16 PM; Commented on fiscal note illustrating swept law bizarre impacts based on community adequacy vs. swept.
SB491: Information Only 03:07:26.503 - 4:05:32 PM; Questioned rulemaking authority shift from State Board to DOE, noting DOE lacks authority and crossed language.
SB491: Information Only 03:08:27.823 - 4:06:33 PM; Clarified preparatory language doesn't affect, intent to shift responsibility to DOE, creating rulemaking authority there.
SB491: Information Only 03:08:27.823 - 4:06:33 PM; Recalled public hearing where DOE objected to rulemaking as it's State Board's role; DOE avoids rule writing.
SB491: Information Only 03:09:48.487 - 4:07:54 PM; Concurs with previous statements and notes that Senator Waters discussed shifting rule-making from the State Board to the Department of Education (DOE) with Drew Klein, who approved. Highlights the issue of inconsistency if only part of the rules move to DOE while the rest stay with the board, suggesting it's not a good structure. Explains that typically the department develops rules and the State Board adopts them, possibly with alterations based on public testimony.
SB491: Information Only 03:11:18.970 - 4:09:24 PM; Suggests the department could develop a formula for tuition and transportation costs using a cost accounting approach based on actual program costs at each school, without needing rules. Proposes amending the bill to remove rule-making language and the reference to Representative Pillsbury, starting from line four to simply have the DOE develop the formula.
SB491: Information Only 03:12:18.082 - 4:10:24 PM; Proposes revised language for an amendment: remove the in-consultation clause and specify that the department shall develop the formula in rules adopted pursuant to RSA 541-A, which involves the board in the process. Emphasizes that having the formula in rules ensures transparency and consistency, preventing arbitrary changes year to year.
SB491: Information Only 03:13:36.452 - 4:11:42 PM; Discusses lines 16, 17, and 18, noting that information should be available, and references willingness from the children's scholarship fund representative (Matt Southerton) to provide information to BFA students.
SB491: Information Only 03:15:07.152 - 4:13:13 PM; Agrees to make the change in lines 4 and 5, leave the rest of the bill alone, and supports proceeding with the amendment. Suggests Representative Rickey and Representative Peoples, both on the advisory council, work together on drafting the amendment for the tuition and transportation for CTEs, specifying DOE shall develop the formula in rules.
SB531: Information Only 03:16:57.004 - 4:15:03 PM; Notes that SB 531 is on the docket, focusing first on the cosmetology program at White Mountain Community College. Expresses concern about the last part of the bill regarding programs on community college or higher education campuses, mentioning a fine construction OSHA safety program at Keene State College working with CTEs and high school kids on campus.
SB531: Information Only 03:18:08.469 - 4:16:14 PM; Discusses efforts with three-year programs at community colleges and state universities, suggests checking if the Keene program involves high school kids and if it fits. Proposes broadening language to include public higher education campuses to avoid excluding viable programs like the one at Keene, which has a waitlist and is one of the best in the country.
SB531: Information Only 03:19:16.189 - 4:17:22 PM; Offers to check with Don Berks, interim president at Plymouth State? (context Keene), and Nate Bottich on the provost to confirm details. Suggests changing language to 'public higher education' in the two relevant places in the Senate version, and getting it wordsmithed by higher ed people or legislative services.
SB531: Information Only 03:20:20.149 - 4:18:26 PM; Comments on the lack of legislative representation in prior discussions, mentions no one from CTE advisory panel testified. Notes Senator Waters viewed it as not a new responsibility, and suggests considering adding a representative from the community college system or chancellor to the task force for inclusivity, but ultimately decides it's locally focused and no need to add.
SB531: Information Only 03:21:52.943 - 4:19:58 PM; Discusses the advisory council members including themselves, Senator Waters, and others from various backgrounds. Agrees it's a task force, not requiring additional members, and supports proceeding with the bill as a pilot with the proposed change to include higher ed.
SB531: Information Only 03:24:33.077 - 4:22:39 PM; Plans to get feedback from Don Berks, sets next meeting for 10 a.m. Tuesday with objective to executive session as many bills as possible. Mentions bringing a non-germane amendment to incorporate academic standards into a bill, changing 'curriculum frameworks' to 'academic standards' per Legislative Oversight Committee. Highlights need for personal finance literacy in standards, citing example from UCLA coach, and emphasizes bipartisan support for updating standards due to DOE staffing shortages.