nhsba

Legislative Bulletin

May 28, 2010


A Brief Summary of Education Issues at the State House


Conference Committee deliberations were extensive on many bills. Reports of the conference committees are available online at (NH Legislature Conference Committee Reports). Simply scroll down and click on the bill number of interest. The House and Senate are currently scheduled to meet for legislative action on Conference Committee reports next Wednesday, June 2.

_____________________________________________________________________________
Fiscal Year 2011 Budget Reductions: Impasse and Uncertainty (HB 1128 - SB 450)
House and Senate conferees worked extensively, including "stopping the clock", to meet deadlines and work toward consensus on a balanced budget. The agreed upon shortfall in revenue for the current biennium is $295.2 million. By Thursday night, conferees had reduced the shortfall from $295 million to just under $25 million. (However, pending legislation and other items added approximately $5 million more to the biennium deficit, for a total of $30 million.) House conferees, holding firm in their opposition to gaming, offered to agree on the current progress achieved and close negotiations. Senate conferees, not wanting to leave a shortfall in the budget, held firm to include new revenues (gaming) and offered to continue deliberations. At that point, discussion closed and House members indicated they would sign a report of the agreements made to date and hope that senators would join them by next week. As of Friday afternoon, there was no joint agreement and without further action, the FY 2010 and 2011 state biennium budget would remain with a $295 million deficit, and proposed cuts would not be implemented.
 
Details of the proposed cuts in education aid receiving initial agreement among conferees remained as previously reported in NHSBA Bulletins: Catastrophic aid would be reduced by $3,946,405, resulting in a distribution of this aid that is expected to be approximately 79% of entitlements. Other state aid cuts included $607,993 in Tuit & Transp; $128,065 in Dropout Prev; $39,903 in Local Ed Improvement; $23,942 in Statewide Spec Educ; $9,178 in Career Tech Student Orgs.; $65,000 to eliminate the Parent as Teacher program; a $15,961 reduction in school nutrition reimbursements for breakfast; a $102,920 reduction in support of adult education programs; and a $240,420 reduction in expenditures for state assessments.
 
Conferees had also agreed to a provision for school boards to hold a special district meeting in response to anticipated reductions in state aid. The governing body could call a special meeting to consider reduction or rescission of appropriations made for FY 2011. The legislative body (district meeting) could approve or disapprove any proposed reduction or rescission of appropriations, or approve lesser reductions, but could not approve greater reductions, increase appropriations, reduce or rescind an appropriation not specified in the warrant or act on any other business at the meeting.
 
While the House proposed a further reduction in the state share of teacher, police and fire retirement contribution rates next year, reducing the state share by another 5%, down to 20% and downshifting another $9.4 million on local budgets, the Senate did not agree and this provision was not among the items receiving tentative agreement.

______________________________________________________________________________
Special Education Liability for Parentally Placed Students - SB 520
House and Senate conferees agreed to the House version of SB 520, relative to the financial liability for special education services when a child has been "parentally placed" in a school outside the child's district of residence. The bill addresses responsibility for special education liability for students placed out of district by a parent or custodian rather than by the resident district. SB 520 clarifies that a child's resident district retains responsibility for special education costs. However, it is not the intent of the bill that resident districts be responsible for special education costs for parentally-placed out-of-district students if the resident district has not participated in the identification or IEP of the student and has not entered into an agreement to accept those costs.
____________________________________________________________________
Building Aid Suspension - SB 486
Houseand Senate conferees came to agreement on SB 486, implementing a 1-year suspension on building aid, stipulating that no school building aid be made for projects approved on or after June 30, 2010 through June 30, 2011. This temporary 1-year suspension is to allow for the redesign of the building aid program with a plan to ensure its long-term sustainability. The agreement places significant emphasis on the work of the Committee to Study the School Building Aid Grant Program, which is to submit a final report with recommendations for proposed legislation by December 1, 2010. The agreement also increases the membership of that committee by one additional senator and one additional representative, with one of the three senators on the committee being a member of the senate education committee, and two of the four representatives being members of the house education committee.
______________________________________________________________________________
Renovation and Replacement of School Buildings - SB 59
House and Senate conferees came to agreement on SB 59. The bill requires school districts to investigate feasible options in the course of deciding to renovate or replace an existing school building. The district shall hold at least one public hearing and shall seek input from municipal boards and departments. The district shall also review the municipality's zoning regulations and master plan in order to maximize best planning practices. Plans for construction or renovation must comply with effective statewide planning and the principles of smart growth.
___________________________________________________________________________
Pooled Risk Management Programs - HB 1393
House and Senate conferees came to agreement on HB 1393, proposing changes impacting Pooled Risk Management Programs, specifically the Local Government Center Health Trust, PRIMEX, and SchoolCare. The proposed agreement will give the Secretary of State authority to investigate and pursue enforcement actions against pooled risk management programs. The Secretary of State is required to provide a report of ongoing investigations of any pooled risk management program at least every 6 months to the senate and house committee with jurisdiction over matters of commerce.
_______________________________________________________________________________
Action on Conference Committee Reports
Conference Committee reports must go to the full House and Senate for concurrence. The House and Senate are currently scheduled to meet for legislative action on Conference Committee reports next Wednesday, June 2.
_________________________________________________________________________
For the complete text of any bill, go to the general court web site and enter the bill number, e.g. HB1523, SB405 or CACR27, and make sure the Session Year is 2010.

For more information on specific legislation, please call Dean Michener, NHSBA Director of Governmental Affairs at 603-228-2061, or email: deanm@nhsba.org.


Dean Michener
NHSBA Director of Governmental Affairs