New Hampshire 2025 Regular Session

New Hampshire House Bill HB115 Compare Versions

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11 HB 115-FN - AS AMENDED BY THE HOUSE
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55 13Mar2025... 0651h
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77 2025 SESSION
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1515 HOUSE BILL115-FN
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1919 AN ACTrelative to universal eligibility for the education freedom account program.
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2323 SPONSORS:Rep. McDonnell, Rock. 25; Rep. Ladd, Graf. 5; Rep. Noble, Hills. 2; Rep. Soti, Rock. 35; Rep. Verville, Rock. 2; Rep. Cordelli, Carr. 7; Rep. Sweeney, Rock. 25; Rep. Seidel, Hills. 29; Rep. Alexander Jr., Hills. 29; Rep. Weyler, Rock. 14; Sen. Murphy, Dist 16; Sen. Ward, Dist 8; Sen. Sullivan, Dist 18; Sen. Innis, Dist 7
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2727 COMMITTEE:Education Funding
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3535 AMENDED ANALYSIS
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3939 This bill increases the income eligibility for the EFA program in fiscal year 2026 and removes the income eligibility criteria beginning in fiscal year 2027.
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4747 Explanation:Matter added to current law appears in bold italics.
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4949 Matter removed from current law appears [in brackets and struckthrough.]
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5151 Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
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5353 13Mar2025... 0651h25-0061
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5555 07/02
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5959 STATE OF NEW HAMPSHIRE
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6363 In the Year of Our Lord Two Thousand Twenty Five
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6767 AN ACTrelative to universal eligibility for the education freedom account program.
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7171 Be it Enacted by the Senate and House of Representatives in General Court convened:
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7575 1 Education Freedom Accounts; Definitions; Eligible Student. Amend RSA 194-F:1, VI to read as follows:
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7777 VI. "Eligible student" means a resident of this state who is eligible to enroll in a public elementary or secondary school and whose annual household income at the time the student applies for the program is less than or equal to [350] 400 percent of the federal poverty guidelines as updated annually in the Federal Register by the United States Department of Health and Human Services under 42 U.S.C. section 9902(2). After June 30, 2026, no income threshold need be met in subsequent years for a kindergarten through grade 12 student to enroll in the EFA program, provided the student otherwise qualifies. Students in the special school district within the department of corrections established in RSA 194:60 shall not be eligible students.
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7979 2 Effective Date. This act shall take effect 60 days after its passage.
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8383 LBA
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9191 HB 115-FN- FISCAL NOTE
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9393 AS INTRODUCED
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9797 AN ACTrelative to universal eligibility for the education freedom account program.
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101101 FISCAL IMPACT:
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104104 Estimated State Impact
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106106 Revenue $0 $0 $0 $0
107107 Revenue Fund(s) None
108108 Expenditures* $0 Indeterminable
109109 Funding Source(s) Education Trust Fund
110110 Appropriations* $0 Statutory Appropriation Under RSA 194-F:11 for Any Amount Necessary to Fund Program
111111 Funding Source(s) Education Trust Fund
112112 *Expenditure = Cost of bill *Appropriation = Authorized funding to cover cost of bill
113113 Estimated Political Subdivision Impact
114114 FY 2025 FY 2026 FY 2027 FY 2028
115115 Local Revenue $0 Indeterminable
116116 Local Expenditures $0 Indeterminable
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122122 Estimated State Impact
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146146 None
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148148 Expenditures*
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154154 Funding Source(s)
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156156 Education Trust Fund
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158158 Appropriations*
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160160 $0
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162162 Statutory Appropriation Under RSA 194-F:11 for Any Amount Necessary to Fund Program
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164164 Funding Source(s)
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166166 Education Trust Fund
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168168 *Expenditure = Cost of bill *Appropriation = Authorized funding to cover cost of bill
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172172 Estimated Political Subdivision Impact
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190190 Local Expenditures
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198198 METHODOLOGY:
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200200 This bill eliminates the income requirement for eligibility for the education freedom account (EFA) program. As of September 2024, 5,321 students were in the EFA program with an annualized cost estimated at $27.7 million with the grant averaging $5,204 per student. The average adequacy education grant (FY 2026 preliminary estimates as of November 15, 2024) to public district schools is $7,108, which includes cost of an opportunity for an adequate education, and extraordinary needs and hold harmless grants. Students entering the program under this bill would likely receive a grant less than the current average, since the newly eligible population would not be eligible for free or reduced-priced meal (F&R) differentiated aid. It is estimated that the average EFA grant for the newly eligible population under this bill would be approximately $4,419 (assuming 7% are eligible for special education differentiated aid).
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204204 The Department of Education states this bill will result in an indeterminable number of new students accessing the program. The following is information relative to the different situations in which a student may access the EFA program:
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216216 As students potentially leave traditional district schools and join the EFA program, districts may feel pressure to reduce their local expenditures to better fit the reduced population served. It is unknown the impact this would have on local expenditures, but this could potentially result in an indeterminable decrease.
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220220 It should be noted, that under current law, EFA and charter school grants are paid based on current year enrollments, while district adequacy grants are paid based on the previous school year enrollments (one year lag).
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224224 AGENCIES CONTACTED:
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226226 Department of Education