Increasing the annual real estate transfer tax revenue contribution and making an appropriation to the affordable housing fund.
Impact
The passage of SB81 would directly affect the distribution of real estate transfer tax revenue, thereby bolstering the funding available for affordable housing initiatives. While increasing resources allocated to the housing fund, the bill anticipates a decrease of approximately $5,000,000 in revenue from the state’s General Fund and Education Trust Fund. This redistribution of funds is intended to alleviate the growing demand for affordable housing in the state, which has been a significant concern for constituents and policymakers alike.
Summary
Senate Bill 81, introduced in the 2025 session, seeks to increase the annual contribution of real estate transfer tax revenues to the affordable housing fund in New Hampshire. The bill proposes raising the annual transfer amount from $5,000,000 to $10,000,000. In addition to this adjustment, SB81 includes an appropriation of $25,000,000 from the General Fund to the New Hampshire housing finance authority for the management and enhancement of the affordable housing fund. The bill's effective date is set for July 1, 2025.
Sentiment
Overall sentiment surrounding SB81 appears supportive among stakeholders advocating for enhanced housing resources. Proponents highlight the urgent need for affordable housing solutions amid rising property prices and limited availability. While there is a general acknowledgment of the importance of the measure for housing affordability, concerns linger regarding the adequacy of funding and the potential impact on funding for educational initiatives due to the reduced transfers to the Education Trust Fund.
Contention
One notable point of contention arises from the fiscal implications of diverting funds from the General Fund and Education Trust Fund to bolster the affordable housing fund. Critics may argue that while addressing housing needs is crucial, it should not undermine educational funding. The balance between increasing housing support and maintaining adequate funding for other essential services will likely be a significant aspect of ongoing discussions surrounding the bill.
Making appropriations to the department of health and human services to support community and transitional housing through community mental health centers.
State finance: budgets; procedures related to transfers of appropriations and work projects; modify. Amends secs. 393 & 451a of 1984 PA 431 (MCL 18.1393 & 18.1451a). TIE BAR WITH: HB 5679'24, HB 5680'24