Committee Summary for Senate Education Finance (02/19/2025)

Bill/Time	Type	Title	Sponsor
SB294 00:02:03.039 - 12:01:09 PM	Public Hearing	relative to lab fees for career and technical education courses.	Altschiller, Debra(D)[CT]2024
SB292 00:11:01.399 - 12:10:07 PM	Public Hearing	authorizing a warrant for the funding of state special education aid.	Lang, Timothy(R)[C+]2024
SB296 00:21:23.960 - 12:20:29 PM	Public Hearing	increasing the percentage of nonpublic school scholarships awarded to students who qualify for the federal free and reduced-price meal program.	Rochefort, David(R)

SB294: Senator Cindy Rosmarin, District 13 Information Only00:02:03.039 - 12:01:09 PM; Senator Cindy Rosmarin introduced Senate Bill 294. There were no other speakers for this bill, and the hearing was closed shortly after her introduction.
SB292: Grant Bosley, Deputy Chief of Staff for the New Hampshire Senate Support00:11:01.399 - 12:10:07 PM; Grant Bosley introduced Senate Bill 292 on behalf of Senator Lang, the bill's prime sponsor. He explained that the bill addresses the shortfall in special education funding, which was significantly underestimated this year, leaving local school districts to cover higher than anticipated costs. The bill proposes using the surplus from the Education Trust Fund to cover these costs, ensuring that the state meets its obligations to fund high-cost special education students. Bosley also mentioned that the bill aims to prevent future shortfalls and suggested a review of special education funding in future budgets.
SB292: Senator Lang Support00:12:35.120 - 12:11:41 PM; Senator Lang elaborated on the need for Senate Bill 292, highlighting the $36 million allocated for special education which resulted in a $50 million expense. He explained that when the state underestimates these costs, the difference is passed onto local communities, impacting their local property taxes. He emphasized that the bill aims to prevent such shortfalls by allowing the state to withdraw from the Education Trust Fund to cover any shortfall, thus protecting local communities from unexpected financial burdens. He also mentioned a recent change in special education age limits as a contributing factor to the shortfall and suggested that this bill would mitigate the impact on small communities.
SB292: Unnamed Senator Information Only00:14:07.880 - 12:13:13 PM; An unnamed senator inquired about the capacity of the Education Trust Fund to absorb the additional expenses proposed in the bill. Senator Lang responded by citing previous surpluses in the fund and affirmed that the bill would have covered the recent shortfall without impacting local taxpayers.
SB292: Another Unnamed Senator Information Only00:15:18.839 - 12:14:24 PM; Another senator asked about the specific language in the bill regarding funding for communities with fewer than a thousand residents and whether the term 'catastrophic aid' was still in use. Senator Lang clarified that the term was still used and explained that the bill's intent was to address funding shortfalls generally, not just for small communities. He also mentioned that the bill was drafted in cooperation with the Department of Education.
SB296: Grant Bosy, Deputy Chief of Staff, New Hampshire Senate Support00:21:23.960 - 12:20:29 PM; Grant Bosy, on behalf of Senator David Roord, introduced Senate Bill 296, which aims to expand the Education Tax Credit Program. The program has been successful, serving about 900 New Hampshire students by allowing businesses to donate to scholarship funds in exchange for tax credits. The bill proposes to remove the income limit, making the program universally accessible to all New Hampshire families, and increase the requirement for scholarships to be awarded to children from families qualifying for federal free and reduced meal programs from 40% to 50%. This change aims to better support families most in need while ensuring access to school choice programs without means testing, similar to public and charter school enrollment.
SB296: Senator Al Information Only00:22:59.159 - 12:22:05 PM; Senator Al asked clarifying questions about the bill, particularly regarding the impact of removing the income cap on scholarship availability and the possibility of double dipping between the Education Tax Credit Program and the Education Freedom Account (EFA) program. He inquired about the potential for students not qualified for free and reduced lunch to also qualify for scholarships, the total amount of money available for scholarships, and whether a friendly amendment could be considered to prevent families from receiving benefits from both programs.
SB296: Senator Aler Information Only00:25:46.120 - 12:24:52 PM; Senator Aler expressed concern about the bill's proposal to remove the auditing process for the program, questioning the removal of safeguards at a time when government efficiency is prioritized. He also asked about the protocol for allocating the increased portion of scholarships to students on free and reduced lunch, seeking clarity on whether low-income students would be prioritized before others.
SB296: Mary Wilky, Retired Public School Teacher, Concord Oppose00:28:04.120 - 12:27:10 PM; Mary Wilky opposed Senate Bill 296, expressing concerns about the lack of income re-verification for scholarship recipients, which might allow families to remain eligible even after their income increases. She highlighted issues with the program's lack of audits, the potential for double dipping between the Education Tax Credit and EFA programs, and the disproportionate allocation of scholarships to religious schools, particularly those affiliated with scholarship organizations. Wilky argued that the program's expansion without proper oversight could lead to misallocation of resources, especially when public schools face funding challenges.
SB296: Representative Kelly Maenza, Strafford District 19 Support00:36:02.960 - 12:35:08 PM; Representative Kelly Maenza supported Senate Bill 296, emphasizing its goal to remove income limits from the Education Tax Credit Scholarship, thereby preventing families from being removed due to minor income fluctuations. She highlighted the bill's increase in the requirement for scholarships to assist low-income children from 40% to 50%. Maenza shared her personal experience with the program during a financial hardship, underscoring its value in providing stability and educational options for families. She argued that the program, funded by private contributions, does not compete with public funds and should be expanded to help more families.
SB296: Senator Rosal Information Only00:39:54.119 - 12:39:00 PM; Senator Rosal questioned Representative Maenza about the potential impact of the bill on the amount of scholarship money available per student, given that the bill does not increase the total funding but expands eligibility. He raised concerns about the possibility of double dipping between the Education Tax Credit and EFA programs, suggesting that it might dilute the scholarship funds. Maenza responded by clarifying that the programs are funded from separate sources, and the Education Tax Credit Program's funding is based on private donations, which are not expected to increase dramatically.
SB296: Baker, Children's Scholarship Fund Information Only00:54:39.520 - 12:53:45 PM; Baker from the Children's Scholarship Fund provided technical assistance and clarified data points regarding the Education Tax Credit Program. She confirmed the number of scholarships granted in the last report and addressed concerns about double dipping, stating that the programs are designed by the legislature and she implements them as directed. She did not express a personal opinion on the potential for double dipping but acknowledged that a low-income family might need more financial support than one program could offer.
SB296: Al Information Only00:59:09.880 - 12:58:15 PM; Al questioned the co-sponsor of the legislation about the potential increase in applications due to the program's low profile. He inquired about any plans for advertising the program if the bill passes. The response indicated no plans for advertising, as the funds are fully utilized each year without extra for recruitment. Al also discussed the eligibility criteria of the education tax credit law, noting it targets low-income families and children switching from public schools. He raised concerns about the removal of an income cap in the legislation, questioning how the program could still be considered for low-income students without this cap. The discussion included details on how applications are prioritized based on income levels and school transitions.