Surplus eyed for rainy day fund, more

On April 26 Senate President Chuck Morse presented a bill amendment that lifts a cap on how much the state can transfer to the rainy day fund in a given year.

The amendment was prompted by a projected surplus this fiscal year.

Gov. Maggie Hassan supports lifting the bill amendment. 

"Revenues are already $80 million above plan this year, and expected to exceed plan by a similar amount next year," said Hassan.  "With these revenue surpluses ... we are on track - for the first time in recent history - to potentially fill the Rainy Day Fund to its statutory limit of 10 percent, or $140-$150 million, of general fund unrestricted revenues by the end of this biennium.  This important milestone has the potential to improve New Hampshire's bond rating over time, reducing long-term costs to our taxpayers."

Hassan and conservative lawmakers disagree on how to handle any additional surplus, however.

In a letter to Morse and House Speaker Shawn Jasper, Hassan outlined a list of spending priorities, from technology upgrades to the prescription drug monitoring program to school building aid.

House Majority Leader Dick Hinch would like to wait until later in the fiscal year before approving more spending.

"Our Ways and Means and Finance committees are actively reviewing the merits of several legislative proposals dealing with issues the governor discusses in her letter, but our revenue position for the entire biennium remains to be seen," said Hinch.  "That is why we are not committed to rolling out the rubber stamp until we weigh some important factors."

How do you think the state should treat its surplus so far?  Answer in the comments below.