Senate Transportation Committee
Vivian Hall 271-3091
SB 458-FN, relative to the use of toll credits.
Hearing Date: January 20, 2026
Time Opened: 2:07 p.m. Time Closed: 2:36 p.m.
Members of the Committee Present: Senators Ricciardi, McConkey, Ward, Prentiss and Fenton
Members of the Committee Absent : None
Bill Analysis: This bill:
I. Removes the Nashua-Manchester-Concord project limitation.
II. Allows municipal, county, and non-profit projects to purchase toll credits at a discount of at least 50 percent of face value.
III. Eliminates the need for departmental or legislative approval for their use.
Sponsors:
Sen. Reardon | Sen. Long | Sen. Watters |
Sen. Prentiss | Sen. Altschiller | Sen. Perkins Kwoka |
Sen. Fenton |
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Who supports the bill: Senator Tara Reardon, Senate District 15; Brodie Deshaies, Legislative Advocate, New Hampshire Municipal Association; and Dick Lemieux.
Who opposes the bill: None.
Who is neutral on the bill: Danielle Chandonnet, New Hampshire Department of Transportation.
Summary of testimony presented in support:
Senator Reardon, Senate District 15
- Senator Reardon introduced SB 458-FN to extend the use of toll credits beyond highway projects to eligible municipal, county, and nonprofit projects.
- The Department of Transportation said that current federal regulations may prevent toll credit transfers and cited the failure of a former federal pilot program but declined to provide a definitive legal opinion when asked.
- She said the Federal Highway Administration materials include plenty of examples of toll credits used in public-private partnerships that suggest that federal law does allow such use under certain conditions.
- This bill would support in-state projects like the Merrimack Greenway Trail, advancing transportation, tourism, and economic activity while respecting any applicable federal limitations.
Senator Ricciardi asked if this bill would be counterproductive to SB 627-FN.
Senator Reardon said there is not one single fix. This is one way of promoting the construction needed. One form of funding doesn’t replace the other and we need them all.
Dick Lemieux
- Mr. Lemieux said that the municipalities and nonprofits across the state would benefit from this bill being passed.
- SB458 would address a structural problem in the way New Hampshire handles federal funding for some transportation projects.
- He explained that federal law broadly allows toll credits, but RSA 228 adds process without judgment, effectively excluding municipalities and disproportionately harming urban, transit, nonprofit, and compact-area projects.
- Mr. Lemieux said that SB 458 would fix the issues associated with RSA 228.
Senator Ricciardi expressed that these types of bills always fail citing concerns that passing this bill before broader toll credit reforms could fail due to insufficient credits.
Mr. Lemieux responded that New Hampshire recently had excess toll credits but now faces shortages likely due to reduced toll system spending.
Neutral Information Presented:
Danielle Chandonnet, Department of Transportation
- Ms. Chandonnet explained what the toll credits are, how they are earned, how they are spent, and what they can be spent on.
- Ms. Chandonnet expressed concern that under the current plan, turnpike toll credits would be exhausted by 2035.
Senator McConkey asked if it would be a fair assessment that toll credits should not be used for projects and instead, available funds should be reserved solely for the department. Ms. Chandonnet agreed.
V.H
Date Hearing Report completed: January 23, 2026