Committee Summary for House Finance Division II (03/28/2025)

Bill/Time	Type	Title	Sponsor
HB2 2024-1446h 00:03:17.200 - 12:01:23 PM	General Working Session	relative to state fees, funds, revenues, and expenditures.	Weyler, Kenneth(R)[B+]2024

HB2 2024-1446h: Representative Maguire Information Only00:03:17.200 - 12:01:23 PM; Representative Maguire discussed the inclusion of a bill into HB2 that passed on consent, related to the creation of a new license plate called the Lakes number plate. The revenue from this plate would fund the cyanobacteria fund to help lakes manage cyano bacteria. He mentioned that this was a joint request from Division 1 and Division 2 and that it was non-controversial, leading to a motion to adopt the amendment.
HB2 2024-1446h: Representative Murray Information Only00:04:26.560 - 12:02:32 PM; Representative Murray seconded the motion to adopt amendment 2024-1446h to HB2.
HB2 2024-1446h: Unnamed Speaker Information Only00:04:26.560 - 12:02:32 PM; An unnamed speaker inquired about the status of the bill in the Senate, to which Representative Maguire responded that it had been heard but it did not prevent the House from including it in HB2, enhancing its chances in a potential Committee of Conference.
HB2 2024-1446h: Representative Maguire Information Only00:05:47.919 - 12:03:53 PM; Representative Maguire discussed another amendment, 1040, which was meant to be included in Division 1 but was overlooked. This amendment proposes a 5% administrative fee on certain dedicated funds, which would deposit into the general fund, aiming to raise approximately 31 million dollars over the biennium to help balance the budget.
HB2 2024-1446h: Representative Papovich Information Only00:07:00.280 - 12:05:06 PM; Representative Papovich moved to adopt amendment 104h to HB2. He explained that the amendment aims to eliminate inconsistencies in how dedicated funds contribute to administrative fees, ensuring all funds are treated equally. He highlighted that this amendment would not affect current balances but would apply to new money coming in, emphasizing the importance of consistency in fund management.
HB2 2024-1446h: Representative Murray Information Only00:08:37.360 - 12:06:43 PM; Representative Murray raised questions about the amendment, expressing concerns about potential inconsistencies and the complexity of exemptions listed. He inquired about who currently covers the administrative charges and noted that dedicated funds are managed on a case-by-case basis, often absorbed by the managing agency or the state treasurer's budget.
HB2 2024-1446h: Representative Lander Information Only00:12:12.000 - 12:10:18 PM; Representative Lander provided information on the exemptions within the amendment, mentioning that there are 46 exemptions out of 306 funds listed in RSA 612. He also discussed the ongoing work of the joint committee on dedicated funds, which reviews these funds every five years to ensure their purposes are being met and to make necessary adjustments.
HB2 2024-1446h: Representative Papovich Information Only00:13:17.199 - 12:11:23 PM; Representative Papovich moved to reconsider the acceptance of sections 182 and 183 of HB2 as introduced, in relation to amendment 1381h. This amendment proposes to change the revenue splits for business taxes, tobacco, and real estate transfer tax between the general and education trust fund, setting it at 30% to the education trust fund and 70% to the general fund.
HB2 2024-1446h: Representative Phillips Information Only00:13:17.199 - 12:11:23 PM; Representative Phillips reminded the division that the governor's plan proposed a 4% higher distribution to the education trust fund for both the tobacco tax and the real estate property transfer tax, indicating a consideration of this plan in the ongoing discussions.
HB2 2024-1446h: Representative Papovich Information Only00:14:31.839 - 12:12:37 PM; Representative Papovich expressed concerns about the reconsideration that would lower the distribution to the education trust fund in order to increase the distribution to the general fund. He mentioned that the changes from the governor's budget were necessary due to more optimistic revenue projections at the time of the governor's budget creation. He also noted that the previous budget had allocated 35% of taxes to the education trust fund, which was reduced to 22% by the House, and then increased to 44% by the Senate, leading to a surplus that complicated funding other voted items.
HB2 2024-1446h: Representative Wer Information Only00:16:50.199 - 12:14:56 PM; Representative Wer discussed the historical distribution of funds, noting that the Senate's increase to 41% was overfunding and caused problems. He supported a return to a distribution closer to historical norms.
HB2 2024-1446h: Representative Murray Oppose00:17:49.400 - 12:15:55 PM; Representative Murray opposed any motion that would take money out of the education trust fund, emphasizing the importance of education to the state's workforce and economy.
HB2 2024-1446h: Representative Papovich Information Only00:17:49.400 - 12:15:55 PM; Representative Papovich made a motion to adopt Amendment 1381H, which would modify sections 180 to 183 of HB2 regarding the distribution of business profit and enterprise tax funds. He clarified that the amendment does not change the amount spent on education but rather the source of the funds.
HB2 2024-1446h: Representative Hacken Phillips Information Only00:19:03.360 - 12:17:09 PM; Representative Hacken Phillips provided details on the contemplated motion to reduce the distribution of business profits and enterprise taxes from 41% to 30% into the education trust fund.
HB2 2024-1446h: Representative Wer Information Only00:20:33.360 - 12:18:39 PM; Representative Wer supported the amendment, noting it aligns more closely with historical distributions and criticized the Senate's increase to 41%.
HB2 2024-1446h: Representative Papovich Information Only00:21:51.559 - 12:19:57 PM; Representative Papovich made a motion to adopt Amendment 1413H to HB2, incorporating the language from HB 741 regarding open enrollment and student attendance in public schools.
HB2 2024-1446h: Representative Bean Support00:21:51.559 - 12:19:57 PM; Representative Bean supported the inclusion of HB 741 in HB2, citing its importance and financial impact.
HB2 2024-1446h: Representative Hacken Phillips Information Only00:23:15.360 - 12:21:21 PM; Representative Hacken Phillips provided context on HB 741, mentioning its passage out of committee on a party-line vote and its close vote on the House floor.
HB2 2024-1446h: Representative Murray Oppose00:23:15.360 - 12:21:21 PM; Representative Murray opposed the policy of HB 741, reflecting the Democratic stance on the Education Committee.
HB2 2024-1446h: Representative Papovich Information Only00:24:38.600 - 12:22:44 PM; Representative Papovich made a motion to adopt a change to the University System of New Hampshire's budget, reducing its operating budget by $25 million per year. He explained the necessity of the cut due to budget balancing efforts.
HB2 2024-1446h: Representative Murray Oppose00:25:51.720 - 12:23:57 PM; Representative Murray strongly opposed the cut to the University System of New Hampshire's budget, arguing it was unnecessary and detrimental to the state's economic health. He suggested alternative cuts, such as reducing the Education Freedom Accounts program.
HB2 2024-1446h: Representative Papovich Information Only00:27:55.120 - 12:26:01 PM; Representative Papovich emphasized the importance of the University of New Hampshire (UNH) to the community but highlighted the constitutional duty to fund education through the 12th grade. They acknowledged the necessity of the cuts to UNH due to the inability to find other sources of revenue or alternative cuts after two months of effort.
HB2 2024-1446h: Representative Mary Oppose00:29:04.360 - 12:27:10 PM; Representative Mary expressed strong opposition to the proposed cuts to UNH, describing them as bizarre and irresponsible, especially in light of other program cuts. They argued that expanding less popular programs while cutting significant community and state health programs is unjustifiable.
HB2 2024-1446h: Representative Kelly Oppose00:30:10.360 - 12:28:16 PM; Representative Kelly highlighted the economic impact of UNH, referencing a letter from the Business and Industry Association of New Hampshire. They stressed the importance of UNH in attracting students, filling workforce gaps, and retaining graduates in the state, arguing against the proposed cuts as detrimental to the state's economy.
HB2 2024-1446h: Representative Murray Oppose00:31:24.519 - 12:29:30 PM; Representative Murray argued that cutting UNH funding would negatively impact the state's workforce, population of young people, and housing affordability. They emphasized the ripple effect of such cuts throughout the state and opposed the expansion of the EFA program.
HB2 2024-1446h: Representative Papovich Information Only00:32:26.720 - 12:30:32 PM; Representative Papovich reiterated the importance of the letter from the Business and Industry Association and the constitutional duty to fund K-12 education. They expressed reluctance to cut UNH but found no acceptable alternative to cutting K-12 education.
HB2 2024-1446h: Representative Melly Oppose00:33:13.200 - 12:31:19 PM; Representative Melly suggested an alternative to cutting UNH by not expanding the EFA program, which would save money without affecting K-12 education.
HB2 2024-1446h: Representative Hacken Phillips Oppose00:34:28.560 - 12:32:34 PM; Representative Hacken Phillips argued that the proposed cuts to UNH were not necessary and were a result of value judgments on what to cut. They emphasized UNH's critical role in the state's workforce development and economic vitality, warning of the severe long-term impacts of the cuts.
HB2 2024-1446h: Representative Papovich Information Only00:39:11.800 - 12:37:17 PM; Representative Papovich inquired if any committee members were UNH graduates, highlighting personal connections to the institution.
HB2 2024-1446h: Representative Kelly Oppose00:39:11.800 - 12:37:17 PM; Representative Kelly shared personal connections to UNH through family members and criticized the proposed cuts as detrimental to the state's future, emphasizing the need to value and retain young people.
HB2 2024-1446h: Representative Papovich Information Only00:40:29.040 - 12:38:35 PM; Representative Papovich praised the committee's work culture and expressed confidence in UNH's ability to withstand the proposed cuts, citing past resilience and current preparedness. They acknowledged the tough financial circumstances but believed UNH would survive.
HB2 2024-1446h: Representative Kelly Oppose00:41:37.720 - 12:39:43 PM; Representative Kelly referenced the 2011 budget cuts and their lasting impact, suggesting that the state was still recovering from those decisions.
HB2 2024-1446h: Representative Hacken Phillips Oppose00:42:52.319 - 12:40:58 PM; Representative Hacken Phillips provided historical context on UNH's response to previous cuts, warning that the current proposed cuts would force major disruptions and potentially threaten the system's survival.
HB2 2024-1446h: Representative Kelly Oppose00:44:02.280 - 12:42:08 PM; Representative Kelly emphasized the message being sent to younger generations about the state's valuation of higher education and its impact on brain drain.
HB2 2024-1446h: Representative Papovich Information Only00:45:15.920 - 12:43:21 PM; Representative Papovich argued that personal factors like age should not influence their duty to represent the state. They noted that the state's financial situation, not a lack of appreciation for UNH, necessitated the cuts.
HB2 2024-1446h: Representative Murray Oppose00:47:32.200 - 12:45:38 PM; Representative Murray argued that the budget reflects the state's values and judgments, suggesting that the proposed cuts to UNH indicate a lower valuation of higher education compared to other areas.
HB2 2024-1446h: Mr. Landrian Information Only00:59:55.039 - 12:58:01 PM; Mr. Landrian presented a comprehensive 68-page document summarizing all the recommendations and amendments related to House Bill 1 and House Bill 2. He explained the format of the document, detailing the budget language changes, the dollar changes approved, and the sources of funds. He highlighted the surplus statements for the education trust fund, highway fund, and fish and game fund, and offered to answer any questions the committee might have about the document.
HB2 2024-1446h: Representative Information Only01:03:29.920 - 1:01:35 PM; A representative expressed gratitude towards Mr. Landrian for his meticulous work and dedication in coordinating and compiling the budget amendments and recommendations. The representative acknowledged the significant contribution of staff and support personnel in enabling the committee to make informed decisions.
HB2 2024-1446h: Representative D Information Only01:04:37.880 - 1:02:43 PM; Representative D inquired about the increase in automobile registrations and was directed to specific pages and lines in the document where the $15 million increase for fiscal years 26 and 27 was recorded, along with its impact on the highway fund surplus statement.
HB2 2024-1446h: Representative Information Only01:05:27.440 - 1:03:33 PM; Another representative asked about fee increases for fish and game, to which Mr. Landrian responded by detailing the increases in dedicated accounts for the fish and game fund, amounting to $383,000 in 2026 and $765,000 in 2027, as reflected in the document.
HB2 2024-1446h: Chair Information Only01:06:54.520 - 1:05:00 PM; The chair concluded the session, reminding everyone of the next full committee meeting scheduled for Monday at 10:00 a.m. and wished everyone a pleasant weekend to review the materials and prepare for the upcoming meetings.