Governor Hassan’s Proposed FY 2014-2015 Budget

In submitting her proposed fiscal year 2014-2015 budget to the Legislature in February, Governor Maggie Hassan described it as one that “begins rebuilding” from the steep cuts in spending adopted during previous budget debates. The description is apt, for while the Governor’s budget would significantly improve funding for some critical priorities, such as higher education and mental health services, it falls short in restoring support to other areas central to the quality of life in New Hampshire and to economic security for its residents, such as aid to cities and towns or safety net programs.

New Hampshire’s Tax System Asks Far Less of the Wealthy Than of the Poor

With many in the Granite State still struggling to recover from the 2007-2009 national recession, the full range of public policies across New Hampshire should seek to remove existing barriers to economic security.

Yet, one key set of policies – New Hampshire’s state and local tax system – pushes in the opposite direction. It requires upper-income taxpayers to dedicate much smaller shares of their incomes to meeting their tax responsibilities than it demands of low- and moderate-income taxpayers. In fact, a new report shows that, on average, the wealthiest families in New Hampshire pay an effective state and local tax rate that is less than one-third of the rate faced by families just trying to make ends meet.

Supermajority Requirement to Increase Taxes at Odds with Sound Fiscal Policy

The New Hampshire House Ways and Means Committee is taking up a constitutional amendment that’s identical to one voted down by the House last year — it would require a supermajority of both the House and Senate to add or increase any tax or fee. NHFPI Executive Director Jeff McLynch will be there to tell lawmakers why this was a bad idea then and remains a bad idea now. Read this updated Issue Brief for some of the reasons.

The ACA’s Medicaid Coverage Option: An Affordable Way to Insure Thousands of Granite Staters

New Hampshire policymakers have the option under the Affordable Care Act to extend Medicaid coverage to adults with annual incomes below $15,000 and to pass the vast majority of the costs onto the federal government. The costs to New Hampshire would be offset in part, and possibly in whole, by savings elsewhere in the budget. By electing the Medicaid coverage option, New Hampshire would be able to lower payments to hospitals for care for the uninsured and potentially reduce costs for mental health, substance abuse, or public health services. In short, New Hampshire would be able to provide health care coverage to at least an additional 36,000 residents, while spending only 2 percent more on Medicaid than it would have otherwise.