House Passes NH Budget [VIDEO]

The budget debate now heads across the hall to the New Hampshire Senate.

The House of Representatives on April 3 slogged through numerous proposed amendments to the proposed $11 billion two-year state budget, with House Speaker Terie Norelli ultimately having little trouble finding the votes for passage.

House Minority Leader Gene Chandler (R-Bartlett) tried to scuttle parts of the budget, arguing that it was too much spending with rosy revenue estimates. He also complained that it downshifts $7 million to county taxpayers. Rep. Dan Eaton (D-Stoddard), fighting for the majority report, argued the balanced budget takes care of some of New Hampshire's priorities.

House Bill 1 was passed 194 to 172. The House voted 193 to 166 to pass House Bill 2, the budget companion bill, which proposes:

• 12-cent increase in the state's gas tax.
• 30-cent increase in the cigarette tax.
• repeal of the education tax credit, which was passed in the last session.
• Medicaid expansion

The budget moves to restore some significant cuts, but not all, made during the previous session, according to Rep. Mary Jane Wallner (D-Concord), chairwoman of the House Finance Committee. Its provisions include:

• restores full funding to eliminate the Developmental Disabilities waitlist for the more than 650 individuals currently waiting and those who will turn 21 and become eligible in the next two years. 
• $25 million is appropriated to assist local and county taxpayers
• restores the Children in Need of Services program.
• $150 million to the university system 

The House voted 285 to 68 to adopt the capital budget, including $38 million for a new women's prison, possibly located adjacent to the men's prison in Concord.

The state budget, as passed by the House, does not include revenue from a proposed casino licensing fee, which was originally proposed by the governor, but the House this month will begin considering the casino bill passed last month by the Senate.

Here is the roll call for Merrimack's District 21 on HB 1 and HB 2 (the votes were the same):

Reaction to the Budget Votes

Senate Finance Chairman Chuck Morse (R-Salem):

"While it represents an improvement over the Governor’s original budget submission, the House’s budget still increases spending by nearly a billion dollars while relying on inflated revenues. Between inflated Medicaid Enhancement Tax (MET) revenues – which were criticized by the state’s hospitals – as well as increases in the gas tax, tobacco tax and others, the House budget looks to spend millions of dollars in revenues the Senate will not approve and the state should not expect. I also have concerns with a number of policies included in the House budget, such as allowing the Governor significant latitude to raid dedicated funds as well as the suspensions of the newly enacted school building aid program and job-fostering business tax reductions. 

Beginning next week, Senate Finance will take a fresh look at the budget in an effort to create a document that funds state government within our means while protecting the reforms implemented last session. At this time, one thing the House can do to make that process slightly easier would be to take up and pass SB152, which would provide the state with millions in non-tax revenue allowing us to fund our priorities, from education to infrastructure, without increasing taxes on New Hampshire citizens.”

Senate Minority Leader Sylvia Larsen (D-Concord:

"This budget now moves to the Senate where we will spend the next two months reviewing and revising while attempting to maintain Governor Hassan’s key budget items that help to grow our economy, including increased aid to our state’s universities and community colleges, affordable health care, mental health care, and innovative business investments. There is no question that the budget enacted two years ago was detrimental to NH and its economy and both Governor Hassan’s budget and the House budget are aimed at reversing much of damage caused by those ill-advised priorities. The 2012-2013 Republican passed budget downshifted millions of dollars to our local property taxpayers, slashed services for New Hampshire’s most vulnerable, contained misplaced priorities that made cigarettes cheaper but college more expensive, and has left New Hampshire will a deficit in the current fiscal year.

As the Senate begins its budget process, Senate Democrats stand ready and willing to work with Senate Republicans to develop a fiscally responsible budget that meets the needs of the citizens and the businesses of our state. It’s important that as the budget process moves to the Senate it is open and transparent as we address the many difficult decisions that await us."

Gov. Maggie Hassan:

“Today’s passage of the House budget plan is another step forward in the legislature’s budget process. I appreciate the hard work by members of the House to develop their plan, and in many cases their funding priorities align with those in our balanced budget proposal, especially in taking steps to address our strained mental health system and to restore investments in New Hampshire’s community colleges.

However, significant work remains in order to finalize a responsible, balanced budget that reinvests in the priorities needed for job creation and innovative economic growth. The House budget as it stands falls short of our balanced budget proposal in key areas that are critical for strengthening our economy and improving the health and well-being of our people.

The cuts made to our restoration of university system funding put at risk the proposed tuition freeze at our public universities, making it more difficult for our young people to afford a higher education in New Hampshire."

Rep. Neal Kurk (R-Weare):

“This budget is balanced on unrealistic revenue estimates that simply put off the eventual day of reckoning. It includes millions in increased taxes on working families and businesses that will hurt the economy and job creation. It spends 10.2% more money than the previous state budget. This budget also increases the state’s exposure to massive future liabilities as a result of expanding Medicaid. It suspends new school building aid imposes a moratorium on charter schools. It shifts costs of nursing home services to county property tax payers. It  purposefully underfunds line items that can be paid for later, outside of the more transparent budget process. We have a real concern about where this budget will lead our State. It’s unaffordable and sets us up for failure both in the short and long terms.”