Bill > HB675

This bill introduces several significant changes to education funding and property taxation in New Hampshire. For the fiscal year beginning July 1, 2025, the bill establishes a statewide base adequacy aid of $773,000,000, with subsequent years' funding calculated based on average daily membership and a base aid amount. The bill increases the per-pupil base adequacy cost from $4,100 to $7,356.01 and requires the Department of Revenue Administration to set an education tax rate sufficient to generate the required revenue. Municipalities will now be required to remit any excess statewide education property tax payments to the state's Department of Revenue Administration for deposit in the education trust fund. The bill also implements a cap on school district appropriations, limiting increases to the previous three years' average Consumer Price Index (specifically using the All Urban Consumers, Northeast Region "services less medical care services" index) until June 30, 2027, after which increases will be tied to changes in average daily membership. School districts seeking to exceed these appropriation limits must obtain a two-thirds majority vote, and the Department of Revenue Administration is empowered to review and potentially delete excess appropriations. Municipalities that fail to remit excess tax payments may face penalties, including withholding of state education aid and meals and rooms tax distributions.

Budget and Finance, Education

https://gc.nh.gov/bill_status/legacy/bs2016/bill_status.aspx?lsr=0505&sy=2025&sortoption=&txtsessionyear=2025&txtbillnumber=HB675