State education aid increase plan hit from both sides
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Mar. 26—CONCORD — An ambitious plan to increase state aid to education to comply with two lower-court rulings met with opposition across the political spectrum Tuesday, ranging from those against raising taxes in property-rich towns to critics of a cap on total spending at all public schools.
State Rep. Tracy Emerick, R-Hampton, said his proposal was a good-faith effort to dramatically increase state aid to schools while preventing city and town boards from using that money to spike education spending at the local level.
The plan would increase base state aid from about $4,100 per pupil to $7,300 and pay for that by raising the statewide property tax collected annually from $373 million to $763 million.
In turn, total school spending would be capped at a three-year average in cost of living or increases in school enrollment, whichever was greater.
Going above the cap would require a two-thirds vote of the governing body in a city or voters in a town.
Several speakers told the House Finance Committee they objected to making 53 property-rich towns send nearly $90 million a year back to the state to support grants for all school districts.
"I urge you to reject this fallacy of excess property taxes held by wealthy towns," said Mark Decoteau, Waterville Valley's town manager.
Attorney General John Formella's office has appealed both education funding lawsuit decisions to the state Supreme Court.
Large donor communities in the bill would include Wolfeboro, the hometown of Senate Republican Jeb Bradley ($5.3 million); Moultonborough ($11.9 million); Portsmouth ($7 million); Rye ($5.8 million); Meredith ($5.3 million); Lincoln ($3.7 million); Bartlett ($3.4 million) and Emerick's hometown of Hampton ($3.2 million).
Portsmouth Mayor Deaglan McEachern urged lawmakers to consider replacing the statewide property tax with a fairer way to raise money at the state level for schools.
"The ship is sinking in terms of how we are funding education in New Hampshire. I personally think it is time to chart a new course," said McEachern, whose late father, Paul, ran for governor on an income-tax platform.
Under Emerick's plan, many school districts would see large increases in state aid, including Manchester ($46 million), Nashua ($35 million), Concord, Rochester and Bedford ($13 million apiece), Derry and Merrimack ($12 million each), Salem ($11 million), and Londonderry and Windham ($10 million each).
A group of 10 mayors signed a letter urging rejection of the proposal.
These mayors instead urged the Legislature to pass two related bills that would increase aid to schools by about $100 million a year, targeted to property- and income-poor districts (HB 1583) and those that have expensive costs for educating students with special needs (HB 1656).
Manchester Mayor Jay Ruais didn't sign the letter.
Senate Ways and Means Committee Chairman Tim Lang, R-Sanborton, expressed doubt that the proposal would find favor in the Senate.
