Committee Summary for House Education Funding (01/27/2026)

Bill/Time	Type	Title	Sponsor
HB1672 00:11:12.480 - 8:40:54 AM	Public Hearing	requiring schools to present line-item expenses as part of the school budget process.	Morse, Bryan(R)[A-]2025
HB1495 00:32:22.240 - 9:02:04 AM	Public Hearing	allowing a reimbursement anticipation note to be used as collateral in certain circumstances.	Ladd, Rick(R)[B+]2025
HB1514 00:59:47.680 - 9:29:29 AM	Public Hearing	requiring the department of education and the department of revenue administration to send school compliance and financial reports to school and school board authorities.	Damon, Hope(D)[CT]2025
HB1816 01:38:15.520 - 10:07:57 AM	Public Hearing	relative to the intervention of the department of education into a school or school district during a financial emergency.	Ladd, Rick(R)[B+]2025
HB1824 02:15:43.280 - 10:45:25 AM	Public Hearing	relative to school district financial distress.	Damon, Hope(D)[CT]2025
Unclear 03:31:12.239 - 12:00:54 PM	Executive Session	Unclear
Unclear 03:51:04.319 - 12:20:46 PM	General Working Session	Unclear

HB1672: Representative Holcomb (presenting on behalf of sponsor Representative Morris) Information Only00:11:12.480 - 8:40:54 AM; Representative Holcomb briefly presented the bill as requested by the committee, reading the title and noting the sponsor. No questions were directed to her as she is not the sponsor.
HB1672: Chairman Spilsbury (reading DOE memo) Information Only00:12:10.720 - 8:41:52 AM; The chairman read a memo from the Department of Education indicating that the bill requires line-item expense reports but lacks specificity on detail level and publication method. Most districts could comply at no cost by posting existing data, but some might incur costs for enhancements. Fiscal impact is indeterminable.
HB1672: Mark McNeil, NH Department of Education Information Only00:13:13.760 - 8:42:55 AM; McNeil provided technical testimony on the bill's implementation, noting confusion among business administrators. He recommended involving the sponsor to clarify intent for transparency and specify reporting requirements to avoid inconsistency. He discussed current state-level rolled-up reporting (e.g., DOE-25, MS-22) versus local granularity, voter amendment abilities, expense breakdowns, and capabilities of systems like QuickBooks. He suggested studying auditing issues, especially in light of districts like Claremont, and working with other committees.
HB1672: Nate Green, NH Department of Education Information Only00:15:26.959 - 8:45:08 AM; Green explained that local districts define their own budget granularity based on community demands, while state reporting is more aggregated into buckets like instruction and special education. He noted no state-mandated website posting granularity.
HB1672: Representative Holcomb Information Only00:16:18.880 - 8:46:00 AM; Holcomb asked about voter restrictions on amending rolled-up versus line-item budgets, suggesting local control allows line-item amendments but with potential ambiguity.
HB1672: Committee Member (unnamed) Information Only00:17:31.120 - 8:47:13 AM; Asked about DOE-25 form breakdowns, noting separations like tuition and transportation, and inquired if expenses are further detailed or lumped.
HB1672: Mark McNeil (continued) Information Only00:18:28.000 - 8:48:10 AM; McNeil detailed DOE-25 breakdowns (salaries, benefits, property, contracts) and program categories. He reiterated the need for sponsor input on desired granularity beyond DOE-25, such as vendor details, and confirmed all districts use some technology, though QuickBooks limits depth.
HB1672: Representative (prior commissioner discussion) Information Only00:20:56.480 - 8:50:38 AM; Discussed unaudited DOE-25 submissions and potential for breaking out adequacy-related components to discern true adequacy costs, noting it would require subject-level accounting, which is a significant lift for districts.
HB1672: Representative Papovich Information Only00:22:00.159 - 8:51:42 AM; Asked about QuickBooks limitations but affirmed it supports line items, suggesting districts could comply if requirements are clear.
HB1672: Representative Holcomb (continued) Information Only00:23:43.200 - 8:53:25 AM; Confirmed financial data availability via RSA 91-A requests and suggested using the bill for an interim study on auditing to ensure accurate reporting to DOE.
HB1672: Mark McNeil (final) Information Only00:24:55.760 - 8:54:37 AM; McNeil supported studying audits, noting delays in some districts and the value of legislative solutions, even if handled by policy committees. He endorsed inter-committee collaboration.
HB1495: Representative Rick Ladd, Haverhill, NH Support00:32:22.240 - 9:02:04 AM; Representative Ladd introduced the bill to ensure reimbursement anticipation notes (RANs), backed by special education aid (RSA 198:18) and adequacy funds (RSA 198:4), are used only for their intended purposes, such as special ed needs or base costs like labor, transportation, and maintenance. He emphasized prioritizing core education in financial crises, citing examples like Claremont, and referenced Montana's law restricting note proceeds to anticipated funds' purposes. He clarified it's not accusing misuse but tightening policy to prevent diversion, e.g., using special ed funds for non-eligible costs like roofs instead of IEPs.
HB1495: Representative McGuire Information Only00:39:37.040 - 9:09:19 AM; Asked if the bill responds to a specific incident or cleans up language; Ladd confirmed it's to define usage for the RSAs' purposes, motivated by Claremont's situation without alleging misuse.
HB1495: Representative Fellows Information Only00:41:48.000 - 9:11:30 AM; Questioned restricting adequacy aid, which has no spending limits; Ladd explained it ties to base costs and differentiated aid components like special ed, ELL, and poverty.
HB1495: Representative Damon Information Only00:44:59.839 - 9:14:41 AM; Sought clarification on Claremont motivation; Ladd affirmed it's to tighten policy post-joint meetings, ensuring funds like special ed aren't crossed over inappropriately, potentially leading to legal issues.
HB1495: Representative Papovich Miller Information Only00:48:11.680 - 9:17:53 AM; Interpreted the bill as ensuring debt proceeds match statutory purposes; Ladd agreed.
HB1495: Representative Ames Oppose00:49:11.839 - 9:18:53 AM; Expressed concern that the bill narrows borrowing without evidence of issues, potentially complicating operations like heating or cleaning shared spaces between special and general ed.
HB1495: Representative Ladd (response to Ames) Support00:50:05.040 - 9:19:47 AM; Ladd clarified ineligible special ed costs (e.g., basic classroom heating) versus eligible (e.g., therapists), advising use adequacy for operations and caution with special ed funds.
HB1495: Representative Gan Information Only00:52:26.960 - 9:22:08 AM; Asked about other states like Montana and NH's low state funding share (<30%); Ladd noted RAN amounts are modest but important for tying to purposes.
HB1495: Representative Fellows (continued) Information Only00:54:57.119 - 9:24:39 AM; Clarified extraordinary needs aid is separate from RSA 198:4's base and differentiated components; Ladd confirmed the bill targets only adequacy base.
HB1514: Representative Hope Damon, Sullivan District 8 (Acworth, Langdon, Lempster, Goshen, Washington, Springfield, Sunapee, Croydon, Claremont) Support00:59:47.680 - 9:29:29 AM; Representative Damon introduced the bill, requested by Claremont School Board chair, to mandate DOE and DRA send all compliance and financial reports to elected school board members, superintendents, and business administrators annually. It addresses communication gaps revealed in Claremont's $5M shortage crisis in August 2024, ensuring timely information for all districts to prevent similar issues, focusing on simple communication for better oversight.
HB1514: Representative Spillsbury Information Only01:02:48.640 - 9:32:30 AM; As co-sponsor from adjacent community, asked about August 2024 revelations in Claremont; Damon described the surprise $5M shortage two weeks before school opening, affecting payroll, with board members unaware due to poor fiscal communication, and this bill provides a safety net via broader distribution.
HB1514: Representative Damon Support01:04:57.760 - 9:34:39 AM; Representative Damon testifies in support of HB1514, explaining the bill's intent to ensure school board members receive direct communications and reports from the Department of Education (DOE) and Department of Revenue Administration (DRA) regarding compliance and financial issues. She references the Claremont district's financial troubles where warnings were not shared with the board, proposing the bill addresses this by mandating district-specific reports to be sent directly to board members electronically if timelines are communicated. She clarifies the bill focuses on state-to-district reporting, not district-to-state, and emphasizes the need for uniform state statute over local policies. Damon acknowledges the need for clearer definitions of reports and is open to amendments for superintendent services in districts without a single superintendent.
HB1514: Representative McGuire Information Only01:06:09.039 - 9:35:51 AM; Representative McGuire questions Representative Damon about overlap between reports in sections one and two of the bill, confirming DOE and DRA send their own generated reports district-specifically. He suggests an amendment to clarify not all reports go to every board statewide and asks if electronic delivery would be acceptable, to which Damon agrees with prior communication of expectations.
HB1514: Committee Chair (Mr. Chairman) Information Only01:08:16.238 - 9:37:58 AM; The Chair asks about defining compliance and financial reports and whether reports could be sent to the school board chair for dissemination instead of all members, noting challenges with changing elected officials. Damon responds that her DOE work needs more thoroughness for definitions and prefers direct delivery to all members to avoid chair discretion issues.
HB1514: Representative Papovich Support01:11:47.280 - 9:41:29 AM; Representative Papovich thanks Damon for the bill and asks if she has experience with chairs not sharing information effectively. Damon shares a personal anecdote from Massachusetts and notes similar issues could occur in New Hampshire.
HB1514: Representative Pelos Information Only01:12:52.080 - 9:42:34 AM; Representative Pelos questions why the issue can't be addressed internally by school board policies requiring report sharing and notes the bill's annual sending requirement despite multiple timed reports. Damon argues for state statute uniformity over district discretion and clarifies 'annually' means at report completion times, not a set date.
HB1514: Representative Kolkcom Information Only01:19:53.360 - 9:49:35 AM; Representative Kolkcom seeks clarification on whether the bill provides lists of required reports rather than actual signed reports, questioning why states would resend district-prepared documents. Damon explains it's a one-way street: lists of expected reports and state flags/concerns, not resending district submissions.
HB1514: Representative Weinstein Information Only01:22:14.800 - 9:51:56 AM; Representative Weinstein shares experience with non-disseminating chairs in New Market and thanks Damon.
HB1514: Representative Spilsbury Support01:23:06.719 - 9:52:48 AM; Representative Spilsbury suggests expanding beyond formal reports to include notifications of missed deadlines and red flags, concurring with Damon on the need.
HB1514: Representative Burton Information Only01:24:10.400 - 9:53:52 AM; Representative Burton asks if reports flag dangerous situations. Damon interprets as suggesting earmarking concerns, and the Chair interjects that direct warnings from DOE serve as red flags, emphasizing local accountability.
HB1514: Representative Cludier Support01:32:34.239 - 10:02:16 AM; Representative Cludier, from Claremont, strongly supports HB1514 as a co-sponsor, describing the traumatic $5 million deficit revelation and urging amendments to prevent recurrence statewide. He emphasizes taxpayer upset and the need for better state-district communication.
HB1514: Jennifer Ramsey, DRA Tax Policy Counsel Information Only01:27:10.560 - 9:56:52 AM; Jennifer Ramsey from DRA provides analysis of HB1514, listing financial reports received from districts and noting DRA does not currently generate compliance or financial reports but could create an audit receipt confirmation report. She discusses potential needs for staff/resources for mailings and updated lists, offering to assist in work sessions.
HB1514: Representative McGuire (question to Ramsey) Information Only01:29:49.440 - 9:59:31 AM; Representative McGuire asks if DRA produces summary reports from district submissions. Ramsey explains reports set tax rates and are self-regulating via tax rate needs.
HB1514: Representative Colcom (question to Ramsey) Information Only01:30:39.520 - 10:00:21 AM; Representative Colcom asks about including SAU financials. Ramsey notes SAUs are embedded in district budgets without separate tax rates or direct reports, suggesting integration with other related bills.
HB1816: Representative Lad Support01:38:15.520 - 10:07:57 AM; Representative Lad, prime sponsor, presents HB1816 to grant DOE oversight (not control) in financial emergencies declared by the State Board of Education, allowing assistance in recovery plans including altering practices, reallocating resources, renegotiating contracts, and overseeing governance for up to one year. He references Claremont's situation, provides $200,000 from the education trust fund for support, and emphasizes collaboration without takeover, addressing DOE's current limitations under RSA 193-C:5.
HB1816: Representative Papish Miller Information Only01:48:17.199 - 10:17:59 AM; Representative Papish Miller asks if the bill is the minimal, friendly way to assist districts. Lad agrees it's responsible, leveraging DOE expertise without takeover.
HB1816: Representative Burton Information Only01:49:16.719 - 10:18:58 AM; Representative Burton references Massachusetts receivership and asks if Lad considered it. Lad prefers collaborative oversight reflecting local culture over external control.
HB1816: Representative Phillips Information Only01:51:20.800 - 10:21:02 AM; Representative Phillips clarifies if 'schools' includes charters. Lad specifies K-12 public schools and districts, not charters without taxing authority.
HB1816: Representative McGuire Information Only01:52:21.840 - 10:22:03 AM; Representative McGuire questions placing the bill in RSA 193-H (focused on academic performance). Lad notes it can be relocated and emphasizes narrow financial focus.
HB1816: Unnamed Representative (on Claremont initiative) Information Only01:54:28.960 - 10:24:10 AM; An unnamed representative notes Claremont's quick hiring of attorney and controller, suggesting DOE require such actions if districts don't initiate. Lad agrees recovery plans are flexible and DOE can oversee external help.
HB1816: Representative Damon (question on operational condition) Information Only01:56:41.840 - 10:26:23 AM; Representative Damon asks about defining 'operational condition.' Lad explains it involves assessing if operations align with community expectations amid financial shortfalls.
HB1816: Representative Ames Information Only02:00:37.360 - 10:30:19 AM; Representative Ames questions the term 'financial emergency' definition. Lad refers to the bill's assistance in recovery plans upon declaration, open to wording improvements for clarity.
HB1816: Representative Weinstein Information Only02:02:58.800 - 10:32:40 AM; Representative Weinstein asks if districts can reject or modify the recovery plan. Lad states boards retain authority but envisions collaborative development without strong-arm tactics.
HB1816: Representative Burton (follow-up) Information Only02:04:06.159 - 10:33:48 AM; Representative Burton shares experience with a bankrupt college recovery via loan covenants and asks if current law controls recovery. Lad reiterates no control under law, emphasizing oversight and local responsibility.
HB1816: Deborah House, President of American Federation of Teachers New Hampshire Information Only02:07:15.679 - 10:36:57 AM; Deborah House testified on behalf of the American Federation of Teachers New Hampshire, representing 3,500 members in K-12 public education, university faculty, and town/city employees. Initially opposed to HB1816 due to fears of state takeover overriding locally elected school boards in recovery plans, including altering operations, reallocating resources, renegotiating contracts, and overseeing governance, she now appreciates the bill's intent after clarifications from the sponsor. She supports the Department of Education providing expert advice for reshaping district finances to ensure students receive their right to education, but emphasizes that local school boards and legislative bodies must retain control over implementation. She calls for clearer definitions of financial emergencies, noting examples like Claremont's crisis partly due to decades of state underfunding despite Supreme Court cases. House opposes any state takeover, highlighting the importance of local control for community investment and better student outcomes, as supported by research. She urges reworking the bill to ensure local boards can reject or modify advice to fit their community needs.
HB1824: Representative Hope Damon, Sullivan District 8 (Claremont, Cuddon, and seven other towns) Support02:15:43.280 - 10:45:25 AM; Representative Hope Damon introduced HB1824, aimed at addressing statutory gaps revealed by the Claremont School District's fiscal crisis, with statewide applicability. The bill has four main purposes: (1) Authorizing the Commissioner of Education, with Joint Legislative Fiscal Committee affirmation, to enter five-year loan agreements with financially insolvent districts (defined as annual expenditures exceeding available funding), developed via a recovery plan, with interest based on an index rate. (2) Allowing school districts to receive emergency assistance from municipal funds in their locality, such as Claremont assisting its school district. (3) Amending statutes to permit retaining unused year-end unassigned general funds up to 10% of the current fiscal year's net assessment (increasing from 5%). (4) Establishing a non-lapsing school district adequacy revolving loan fund in the Department of Treasury for cash flow in anticipation of adequacy payments, with loans up to 75% of total adequacy funding, repayable within five years. Damon emphasized the essential role of public schools in educating 90% of K-12 students for New Hampshire's economy and well-being, noting overlaps with other bills like HB1816 and openness to collaboration or merger for a comprehensive recovery process.
HB1824: Representative Spillsbury Oppose02:23:16.319 - 10:52:58 AM; Representative Spillsbury questioned the effectiveness of loans in resolving insolvency, noting they add new obligations without addressing root causes. He argued that short-term loans merely postpone crises without operational changes, citing Claremont's loss of 78 positions impacting staffing, sports, and programs. Drawing from experience as a financial adviser to distressed companies, he explained that long-term loans (like the five-year terms in the bill) are for capital purposes with strict covenants, while cash flow issues require short-term lines of credit. He stressed the need for recovery plans to restructure expenses and revenues, similar to bank negotiations, and suggested the bill's approach might not suffice for structural rather than cyclical problems.
HB1824: Representative Damon Information Only02:27:26.479 - 10:57:08 AM; Representative Damon discusses the differences between school district insolvency and corporate bankruptcy, emphasizing that schools must continue operating. He addresses concerns about a five-year loan removing pressure for short-term management decisions, noting flexibility in the loan timeframe. He stresses the constitutional requirement to provide education and the need to avoid returning to previous failing conditions, highlighting multiple reasons for fiscal issues in districts like Claremont, including funding inadequacies and mismanagement.
HB1824: David Trumbull, town of Ware Support02:29:40.560 - 10:59:22 AM; David Trumbull supports HB1824, advocating for a longer-term loan to provide certainty for retaining teachers and administrators in crisis situations. He references Claremont's experiences where short-term pressures led to teacher losses and inadequate business administration, preventing access to federal funds. He argues schools are not cyclical like businesses and require stable funding to fulfill constitutional obligations. Trumbull notes the historical underfunding in Claremont and praises the district's efforts, urging sufficient runway to resolve the crisis without excessive short-term pressure. He addresses delegation of superintendent responsibilities, suggesting integration with state oversight and acknowledging broader funding issues.
Unclear: Chairman Led and Committee Vote03:31:12.239 - 12:00:54 PM; The committee conducts an executive session on multiple bills. For HB1586 (allowing the commissioner of education to withhold funds from non-compliant schools on special education), motion to ITL by Rep. McGuire, seconded by Rep. Luno, passes unanimously 16-0 on consent. Discussion notes it's overly punitive like a sledgehammer, with existing consequences in place. For HB1714 (authorizing state bonds for public school expenses), motion to ITL by Rep. Papovich, seconded by Rep. Luno, passes 16-0 on consent. Remarks highlight borrowing for operational expenses as poor policy, referencing past lessons from building aid. For HB1104 (modifying priority of school building aid grant applications), motion to ITL by Rep. Maguire, seconded by Rep. Damon, passes 16-0 on consent. Noted that the policy is already passed in HB366. For HB1202 (relative to dual and concurrent enrollment at community colleges), motion to OTP by Rep. Lad, seconded by Rep. Luno, passes 16-0 on consent. Explanation supports flexibility for courses exceeding four credits, allowing community colleges to set policy. Tributes are given to retiring Chancellor Mark Rubenstein for his leadership in community colleges and dual enrollment programs. For HB1503 (Department of Education database of school maps for emergencies), motion to OTP by Rep. Lad, seconded by Rep. Damon, passes 16-0 on consent. Emphasizes importance for quick emergency responses and child safety. For HB1672 (requiring line item expenses in school budgets), motion to ITL by Rep. Peoples, seconded by Rep. Luno, passes 16-0 on consent. Discussion notes unclear premise, impacts, and that budgets already provide sufficient granularity at town meetings.
Unclear: Chairman Led and Committee Members Information Only03:51:04.319 - 12:20:46 PM; The committee discusses scheduling: a work session tomorrow on special education costing with three bills, focusing on formulas, data collection, and grant processes. Future sessions will address school financial crises like Claremont (considering merging bills), adequate education costs, and revenue sources like SWEEP (HB1799). Plans include executive sessions the week of February 2nd (Tuesday and Friday) for early bills, with reporting by February 12th. Emphasis on careful deliberation, amendments, and providing opportunities for input. Questions clarify agendas, absences, and inclusion of alternative funding discussions from prior sessions like HB491.

Ladd, Rick(Chairman)(R)[B+]2025	Brown, Pam(Clerk)(R)[B+]2025	Spilsbury, Walter(V Chairman)(R)[A-]2025
McGuire, Dan(R)[A]2025	Ames, Dick(D)[CT]2025	Burton, Wayne(D)[F]2025
Luneau, David(D)[CT]2025	Colcombe, Riché(R)[B+]2025	Chretien, Suzanne(D)[F]2025
Popovici-Muller, Daniel(R)[A-]2025	Damon, Hope(D)[CT]2025	Kofalt, Jim(R)[A+]2025
Fellows, Sallie(D)[CT]2025	Erf, Keith(R)[A]2025	Bricchi, Tracy(D)[D-]2025
Weinstein, Toni(D)[F]2025	Peeples, Raymond(R)[B+]2025	Mehegan, Peter(R)[B+]2025