Bill > HB1435

This bill modifies the Winnipesaukee River Basin Control Replacement Fund by reducing the capitalization rate from 5% to 2% of the value of equipment and depreciable assets of treatment facilities. The fund will continue to be computed every 5 years based on current replacement costs, with the new valuation applying starting June 30, 2024. Members will contribute their share of the fund capital over a 10-year period as a yearly surcharge, with adjustments made as membership and valuation change. When the fund is used for repairs or replacements, 50% of the expenditure will be replenished by members who use the specific facilities, and the other 50% will be shared among all members. The bill also updates provisions for how the fund is handled when new facilities are added, new members join, or members exit or consolidate. Notably, the fiscal impact analysis indicates this change will reduce annual assessments from approximately $1,657,234 to $662,894, resulting in a local and state revenue reduction of $994,340 per year. The bill takes effect upon passage, with the specific capitalization assessment percentage change beginning on June 30, 2024, and the full implementation of Section 2 occurring on June 30, 2029.

Budget and Finance

https://gc.nh.gov/bill_Status/billinfo.aspx?id=1545&inflect=2