| Workforce housing repeal bill returns; R&D tax credit increase proposed
Will Stewart, Greater Manchester Chamber of Commerce
With the introduction of House Bill 1282, one can't help but wonder if the memories of some legislators are wiped completely clean between legislative sessions.
HB 1282 seeks to, essentially, repeal the state's workforce housing law, a law that took effect in 2008 and requires municipalities to allow for a reasonable opportunity for workforce housing to exist within their boundaries. While not a strict repeal, HB 1282 would allow municipalities the ability to opt into the workforce housing law.
Last year saw a very similar bill killed at the committee level by an overwhelming vote of 14-1. The full House, however, saw fit to ignore the committee's Inexpedient to Legislate (ITL) recommendation, opting to vote on and ultimately pass the bill 219-110. When the bill crossed over to the Senate, it was killed on a voice vote. But it appears that death was a very temporary one, indeed.
At 1 p.m., Tuesday, Jan. 31, the House Municipal and County Government will hold a hearing on HB 1282. We encourage Chamber members to testify against the bill.
The existence of workforce housing (housing that allows families making median income-young professionals, blue collar workers, municipal employees and the like- in a town to afford to live there too) in our communities is of critical importance to the business community. It's bad for business when companies aren't able to hire people who can afford to live nearby. This drives up wages and increases turnover.
But in some municipalities, zoning laws make it such that developers can't supply the demand for workforce housing., thus hurting economic expansion.
Additionally, HB 1282 sends a negative message to growing business and large employers who are thinking of moving to New Hampshire.
If the existence of workforce housing is an issue that is important to you and your business, and you would like to testify on Tuesday, or write a letter of opposition, please contact me at 792-4107 or wills@manchester-chamber.org for talking points.
Get your (partial) R&D tax credit on
By almost any measure, the state's Research and Development Tax Credit is popular. In fact, it might be a victim of its own success.
Enacted for five years starting in 2007, the Research and Development Tax Credit program allows New Hampshire businesses to claim up to $50,000 against their state business tax liabilities for "qualified manufacturing research and development" expenditures.
The rub is that companies applying for the full $50,000 credit don't get anywhere near that amount. Due to the popularity of the program, coupled with the program's $1 million annual cap, actual tax credit amounts received are closer to $15,000 per business.
With the program slated to lapse in 2013, prime sponsor Sen. Bob Odell, R-Lempster, proposes, via Senate Bill 295, to increase the annual cap from $1 million to $2 million, as well as to repeal the 2007 law's five-year sunset clause.
The Chamber supports SB 295, which has a public hearing at 1:30 p.m., this coming Tuesday, Jan. 31. We would love to hear from any members who have taken advantage of the R&D Tax Credit. If you would like to see the R&D Tax Credit program continued and expanded, please contact me at 792-4107 or wills@manchester-chamber.org.
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