HB 292-FN - AS INTRODUCED

2001 SESSION

01-0152

10/09

HOUSE BILL 292-FN

AN ACT relative to the travel allowance for members of the general court.

SPONSORS: Rep. Arnold, Hills 20

COMMITTEE: Legislative Administration

ANALYSIS

This bill provides that beginning with the 2003 legislative session new members of the general court shall be paid mileage at the maximum rate established in the United States Internal Revenue Code.

Existing members in continuous service retain the option for mileage payment.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

01-0152

10/09

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand One

AN ACT relative to the travel allowance for members of the general court.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 New Paragraph; Legislature; Travel Allowance for Members; Application. Amend RSA 14:15-a by inserting after paragraph II the following new paragraph:

III. The mileage allowance described in paragraph I shall only be available for members of the general court serving in the 2001-2002 legislature. Such members may choose the method in paragraph I for any legislative session after 2002 only for so long as the member remains in continuous service as an elected member of the general court. All other members of the general court elected for the 2003 legislative session and for subsequent sessions shall receive travel expenses compensation pursuant to paragraph II.

2 Effective Date. This act shall take effect 60 days after its passage.

LBAO

01-0152

1/22/01

HB 292-FN - FISCAL NOTE

AN ACT relative to the travel allowance for members of the general court.

FISCAL IMPACT:

The Legislative Accountant stated this bill will increase state expenditures by an indeterminable amount in FY 2003 and each year thereafter. There will be no fiscal impact on state, county, and local revenue or county and local expenditures.

METHODOLOGY:

The Legislative Accountant stated that beginning with the 2003 legislative session, this bill would reimburse members of the New Hampshire General Court for travel between the member's home and Concord at the federal rate of 34.5 cents per mile. Currently, members have the option of receiving reimbursement at either the state rate (38 cents per mile for the first 45 miles, and 19 cents per mile for all miles in excess of 45) or the federal rate. This bill will eliminate this option and reimburse all members at the federal rate, except for those members of the general court who serve during the 2001-2002 legislative session. Such members would still have the option of receiving either the state or federal reimbursement after 2002, only for so long as the member remains in continuous service as an elected member of the general court.

The Legislative Accountant further stated that they are unable to determine the cost of this legislation since it cannot be determined which members serving during the 2001 and 2002 session will continually serve after 2002, and choose the state reimbursement rate over the federal rate. In addition, under current federal law, members opting to receive mileage at the federal rate must actually drive to the State House, thus eliminating reimbursement for those members who do not drive to Concord.

Using actual figures from the 1999 and 2000 calendar year, the Legislative Accountant estimates an annual increase in mileage costs between $37,088 and $48,275 annually. This estimate is the difference between actual mileage paid to members being reimbursed at the state rate, compared to the mileage which would be paid to the same members using the federal reimbursement rate. Savings in payroll taxes are also reflected in the Legislative Accountant's estimates, whereas members receiving reimbursement at the federal rate do not pay federal

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1/22/01

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HB 292-FN - FISCAL NOTE

income taxes on the mileage received as is required of those receiving reimbursement at the state rate.