Bill > HB1147

This bill modifies existing law regarding the use of capital reserve funds by counties, towns, districts, and water departments. Specifically, it reinstates and clarifies requirements for using capital reserve funds to make multiple payments under lease/purchase agreements. The bill establishes two key conditions for such use: first, the lease/purchase agreement must not contain an "escape clause" or "non-appropriation clause" (which typically allows the government to cancel the agreement without penalty), and second, the agreement must be ratified by a two-thirds vote of all voters present at an annual or special meeting. A capital reserve fund is a financial mechanism that allows local government entities to set aside money for specific future capital expenses or investments. The bill aims to provide more structured guidelines for how these funds can be used in lease/purchase scenarios, ensuring greater transparency and voter involvement in financial commitments. The bill will take effect 60 days after its passage.

Government Affairs

https://gc.nh.gov/bill_Status/billinfo.aspx?id=1665&inflect=2