Budget Bickering Forces Continuing Resolution Proposal

After hearing about consistent budget veto threats from Gov. Maggie Hassan, D-Exeter, Republican leaders in the House and Senate are moving to propose a continuing resolution to keep the state’s government open for business even though there might not be a budget.

Senate President Chuck Morse, R-Salem, and House Speaker Shawn Jasper, R-Hudson, released a joint statement regarding a continuing resolution on Friday.

“We are disturbed by Gov. Hassan’s recent announcement of her intent to veto the proposed budget that effectively addresses our shared priorities. However, in order to ensure that state government remains open and that the same services and operations that were in place on June 30 will be available July 1, we intend to introduce a continuing resolution,” according to the statement. “We hope this measure isn’t necessary, but want to be confident that our state will not be negatively affected by the governor’s short sighted and risky decision to veto the budget.”

Hassan countered with her own statement thanking them for “expressing their intention to introduce a continuing resolution to keep state government open” and called on them to return to the negotiating table “to develop a compromise, bipartisan and balanced budget that is fiscally responsible, honest about what it pays for, and supports the priorities needed to keep New Hampshire’s economy moving forward.”

ALSO READ:

• Hassan Proposes $11.5B Budget, 6.4% Increase
• State Senate Committee Rejects Governor’s Budget Bill
• House Releases HB1, HB2 NH Budget Document
• NH House Budget Panned, Praised
• NH House Budget Nitty Gritty
• State Senate Supports Greater Drug Abuse Prevention Options
• Senate Democrats Denounce Cuts to Substance Abuse Prevention

Budget bickering

The budget back and forth reached new rhetorical heights this week as Republicans came together and approved an $11.3 billion for FY16-17 that Gov. Hassan threatened to veto because it didn’t include a number of programs Democrats supported, like Medicaid Expansion, pay raises for state employees, and new taxes and fees to pay for those programs and spending.

In February, Hassan proposed an $11.5 billion budget that included a 6 percent spending increase that was both praised and panned. But with Republicans controlling both the House and Senate, with overwhelming margins, her proposal was presumed to be dead on arrival.

Republicans in House balked at the new taxes, fees, and spending, and called for a budget that was closer to the previous biennium, $10.5 billion, a bipartisan compromise budget that Hassan signed. The House later approved an $11.2 billion budget, a compromise between what the governor wanted and what conservatives in the House wanted, and the process went to the state Senate,

The state Senate added back about another $100 million in spending and included a lowering of business taxes in the state but no state employee pay raises or Medicare Expansion. Hassan, as well as House and Senate Democrats, pounced.

“Their budget is unbalanced, dishonest about what it funds, and includes unpaid-for corporate tax cuts that create a more than $90 million budget hole at the expense of critical economic priorities,” Hassan said in a statement. “It is also left unbalanced by relying on misleading budget gimmicks. It double counts fiscal year 2015 dollars, it does not adequately fund basic services and it does not honestly fund the services we all agree are critical to our people, families and businesses.”

House Democratic Leader Steve Shurtleff and Senate Democratic Leader Jeff Woodburn added that Hassan’s budget “proposed a fiscally responsible, balanced budget that makes smart investments in critical economic priorities like higher education, health care, roads and bridges, and public safety, without an income or sales tax.”

Republicans, however, said Hassan veto threat would put citizens of the state at risk.

“I am very proud of the work we have done and the budget we have produced,” Morse said. “This budget funds important services for the elderly, mental health programs, substance abuse and homeless programs, transportation services, public safety, education and tourist promotion programs. The governor tried to cut funding for nursing homes which we restored, and did cut funding for home healthcare agencies. We have worked with the Governor and House every step of the way through this process and found compromises when it came to issues like supporting Charter Schools, the Department of Health and Human Services, and on funding for equipment in DOT; it’s unfortunate that the governor is putting her political ambitions before the needs of our citizens. Now is not the time for partisan politics. Our citizens expect better than threats of vetoes and shutdown of state services.”