HB 741-FN-A-LOCAL - AS INTRODUCED
2001 SESSION
09/10
HOUSE BILL 741-FN-A-LOCAL
AN ACT relative to supplemental grants to certain municipalities to cap tax effort per pupil.
SPONSORS: Rep. Sapareto, Rock 13; Rep. Odell, Sull 5; Rep. D. White, Hills 25
This bill provides for supplemental grants from the education trust fund to certain municipalities to cap tax effort per pupil.
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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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
01-0046
09/10
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand One
AN ACT relative to supplemental grants to certain municipalities to cap tax effort per pupil.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 New Paragraph; Definition; Tax Effort Per Pupil. Amend RSA 198:38 by inserting after paragraph XII the following new paragraph:
XIII. "Tax effort per pupil" means the equalized education tax rate for a municipality based on equalized assessed valuation that is required to raise $1,000 per pupil above that provided by the adequate education grant in this subdivision and other non-municipal sources. This amount shall be adjusted annually by the department of education to reflect changes in the most recently available Consumer Price Index for northeast urban consumers, published by the United States Department of Labor. Pupil counts are based on the average daily membership in residence, as defined in paragraph X.
2 Payments to Cap Tax Effort Per Pupil Added. Amend the introductory paragraph of RSA 198:39, I to read as follows:
I. The state treasurer shall establish an education trust fund in the treasury. Moneys in such fund shall not be used for any purpose other than to distribute adequate education grants to municipalities' school districts pursuant to RSA 198:42, to make payments to municipalities to cap their tax effort per pupil under RSA 198:40-b, and to provide education property tax hardship relief under RSA 198:55. The state treasurer shall deposit into this fund immediately upon receipt:
3 New Sections; Supplemental Distributions Per Pupil. Amend RSA 198 by inserting after section 40 the following new sections:
198:40-a Determination of the Maximum Tax Effort Per Pupil. The maximum tax effort per pupil is set initially at the equalized rate of $5 using the latest available equalization survey for equalized value.
198:40-b Supplemental Distributions to Cap Tax Effort per Pupil. Any municipality for which there is a dollar amount needed to reduce the municipality's tax effort per pupil to an equalized rate of $5 for education spending greater than provided by the education trust fund and all other non-municipal sources for the last completed school year for any fiscal year shall be entitled to a quarterly supplemental distribution over the next school year equal to that amount which would have reduced the municipality's tax effort per pupil, in the immediately preceding tax year, as defined in RSA 198:38, XIII, to a rate of $5 based on equalized assessed valuation. Such supplemental distributions shall be distributed in the same manner as adequate education grants under RSA 198:42.
4 Effective Date. This act shall take effect July 1, 2001.
LBAO
01-0046
2/15/01
HB 741-FN-A - FISCAL NOTE
AN ACT relative to supplemental grants to certain municipalities to cap tax effort per pupil.
FISCAL IMPACT:
The Office of Legislative Budget Assistant is unable to complete a fiscal note for this bill as it is awaiting information from an agency.