Pro-business groups back BEA commissioner continuing
3 of 5 Executive Council members oppose Taylor Caswell’s reappointment
Gov. Chris Sununu’s proposed budget includes a number of new spending items, from one-off payments toward affordable housing and planning for a new men’s prison to longer-term expenses such as an increase in Medicaid reimbursement rates. Here’s a look at some of the numbers.
Overall spending: Sununu’s budget would spend about $14.9 billion in total over two years, or about $7.5 billion per year. That’s a large increase from the last two-year budget that passed in 2021, which spent about $13.2 billion overall. The proposed budget is about 13 percent larger. Of the $14.9 billion that would be spent in the newly proposed budget, 33.3 percent would come from federal funds.
Higher revenues: Sununu’s budget is based in part on the fact that revenues over the last two years have come in above lawmakers’ expectations. In the first year of the last two-year budget – between July 2021 and June 2022 – the state brought in 15.2 percent more in tax revenue than had been planned, according to the governor’s office. Seven months into the second budget year, the state has so far brought in 21.2 percent more in revenue than expected.
Rainy day fund: The governor’s office and the Department of Administrative Services project that the state will end the current two-year budget period in June with about $330.4 million in surplus. Under the governor’s budget, $94 million of that surplus would go immediately into the state’s “rainy day fund” at the start of the next two-year budget in July 2023. And his budget would devote an additional $87.4 million into the rainy day fund at the end of the next budget biennium, in June 2025. In total, the governor’s budget would add $181.4 million to the rainy day fund.
Long-term spending: Sununu has a number of proposals to increase long-term spending in the budget, which will be politically difficult to reverse in the future. Among those are:
One-time spending: As with past budgets, Sununu’s proposed budget this year features a bevy of one-time spending requests. On the list this time are:
This story was originally produced by the New Hampshire Bulletin, an independent local newsroom that allows NH Business Review and other outlets to republish its reporting.