Home » News » Currently Reading:

NHFPI Statement on State Budget Agreement

September 16, 2015 News

FOR IMMEDIATE RELEASE
September 16, 2015

NHFPI Statement on State Budget Agreement

Concord, NH – The New Hampshire Senate and House of Representatives today approved the state budget agreement for FY 2016-2017. New Hampshire Fiscal Policy Institute Executive Director Jeff McLynch issued the following statement:

“Governor Hassan and members of the New Hampshire legislature should be commended for working together to craft a budget that seeks to meet the needs of all New Hampshire’s citizens and, in particular, for ensuring funds are available to support the previously agreed upon contract with state employees.

“While the agreement ratified today conditions future reductions in the rates of the business profits and business enterprise taxes on attaining a particular revenue threshold, NHFPI remains concerned about the long-term impact of such reductions and the effect they will have on New Hampshire’s ability to invest in public services like education and infrastructure that are critical to the state’s economic future.

“It should be clear from the past nine months of budget deliberations that New Hampshire already lacks sufficient resources to meet its needs. Reducing revenue still further will only make it harder to maintain our roads, educate our children, and provide health, safety, and other public services essential to a strong economy and shared prosperity for all in the Granite State.

“Hopefully, the bipartisan collaboration that produced today’s agreement lays the foundation for the expeditious reauthorization of the New Hampshire Health Protection Program in early 2016. More than 41,000 Granite Staters now participate in that program. Swift action will be needed to ensure they maintain access to affordable health coverage and that hundreds of millions of federal funds continue to flow into the state’s economy.”

 

#

Connect with NHFPI

Common Cents Blog

Unsettled Business Tax Revenues Push Surplus Upward, Offer Limited Insight for the Future

7 Dec 2018

tree with coins

The fortunes of State revenues continue to rise and fall with New Hampshire’s two primary business taxes, which provided positive signs for near-term revenue but have not shown these levels are sustainable. While the two business taxes remained healthy, other revenue sources were relatively flat overall, leaving the State with a revenue surplus entirely dependent on the two business taxes. The lack of growth in other revenue sources combined with the uncertainty around business taxes creates an environment in which it will be very difficult to accurately project revenues for the new State Budget biennium.