Bill Text - SB39 (2009)

(New Title) relative to municipal deposits and special meetings for considering an appropriate response to the American Recovery and Reinvestment Act of 2009.


Revision: April 9, 2009, midnight

SB 39-FN-LOCAL – VERSION ADOPTED BY BOTH BODIES

02/18/09 0292s

02/18/09 0417s

24Mar2009… 0793h

2009 SESSION

09-0981

08/09

SENATE BILL 39-FN-LOCAL

AN ACT relative to municipal and state deposits, authorizing special meetings for considering an appropriate response to the American Recovery and Reinvestment Act of 2009, and relative to certain administrative rules.

SPONSORS: Sen. Reynolds, Dist 2; Sen. Odell, Dist 8; Rep. Cooney, Graf 7; Rep. Laliberte, Graf 10

COMMITTEE: Public and Municipal Affairs

AMENDED ANALYSIS

This bill allows town treasurers and state departments or institutions to make certain deposits weekly. The bill establishes special procedures to enable towns to respond appropriately to the American Recovery and Reinvestment Act of 2009. This bill also allows the suspension or adoption of certain administrative rules if necessary to comply with the American Recovery and Reinvestment Act of 2009.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

02/18/09 0292s

02/18/09 0417s

24Mar2009… 0793h

09-0981

08/09

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Nine

AN ACT relative to municipal and state deposits, authorizing special meetings for considering an appropriate response to the American Recovery and Reinvestment Act of 2009, and relative to certain administrative rules.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 Municipal Deposits. Amend RSA 41:29, VII to read as follows:

VII. The treasurer shall ensure that all moneys remitted shall be deposited at least on a weekly basis, or daily whenever funds remitted from all departments collectively totals [$500] $1,500 or more. Such deposit function may be delegated pursuant to paragraph VI. However, failure to ensure that funds are being deposited on a timely basis as required by this paragraph shall be cause for immediate removal from office pursuant to RSA 41:26-d. In any municipality where there is either no bank or other depository institution within the municipality the treasurer shall make deposits consisting of funds remitted from all departments and collectively totaling $1,500 or more on a weekly basis or more frequently as directed by the board of selectpersons in the investment policy adopted pursuant to RSA 41:9, VII.

2 American Recovery and Reinvestment Act of 2009; Special Meeting; Appropriation and Expenditure of Funds. Notwithstanding any other provision of law to the contrary, any town, village district, or school district, including those towns that have adopted RSA 40:13, may call a special meeting, without court approval, to consider an appropriate response to the American Recovery and Reinvestment Act of 2009 or any similar act adopted by Congress in 2009. The legislative body at such a meeting may authorize the appropriation and expenditure of any funds allocated to the political subdivision by the federal act, the appropriation and expenditure of any local matching share, the issuance of bonds for any local share, and the adoption of a warrant article under the provisions of RSA 31:95-b. Such meetings shall be subject to the following:

I. The governing body of such town, village district, or school district shall post a notice, which shall include the warrant, in at least 2 public places within the political subdivision, one of which shall be on the political subdivision’s website, if such exists, at least 7 days prior to the meeting. Additional notice shall be published in a newspaper of general circulation in the political subdivision, provided that if there is no newspaper of general circulation in which notice can be published at least 7 days before the date of the meeting, public notice shall be posted in at least one additional place within the political subdivision.

II. The governing body shall hold a public hearing on the proposed warrant articles at the town meeting.

III. The governing body of any town, village district, or school district that has adopted the provisions of RSA 40:13 may elect to hold and conduct the meeting in accordance with the provisions of RSA 39 and RSA 40 and other applicable law without regard to RSA 40:13. If the governing body elects to follow the provisions of RSA 40:13, it shall provide at least a 15 day period between the deliberative session and the vote for the purposes of proceedings under this section.

3 Repeal. Section 2 of this act, relative to the American Recovery and Reinvestment Act of 2009, is repealed.

4 Payments to Treasurer. Amend RSA 6:11, I-II to read as follows:

I. The treasurer shall establish deposit procedures for all state departments and institutions receiving money for the state. Such procedures shall include, but shall not be limited to, deposits to a department’s or institution’s bank accounts, related transfers to treasury bank accounts, electronically collecting state moneys, and concurrence of the treasurer for the opening of department and institution bank accounts.

II. If more than [$100] $500 is in the possession of any state department or institution such funds shall be on deposit in the related department’s bank account or in a treasury bank account. The treasurer shall transfer moneys from state departments and institutions to the treasurer’s account in the most expeditious manner possible, including, but not limited to, the use of electronic transfers. If any facility of any state department or institution is in a location where there is no bank or other depository institution within 10 miles of that facility, that state department or institution shall make deposits at least on a weekly basis or when funds remitted total $1,500 or more.

5 Administrative Rules.

I. Notwithstanding any other law to the contrary, the governor may approve an adoptive agency’s request to temporarily suspend any administrative rule and to authorize the use of alternative rules for federal stimulus when the governor finds that doing so is necessary either to comply with the requirements of the American Recovery and Reinvestment Act of 2009 or to remove barriers that prevent the state’s ability to utilize stimulus funds for jobs or economic recovery. After the finding by the governor, the adopting agency shall provide the director of the office of legislative services with a copy of the finding and a copy of the temporary rule suspension or alternative rule for federal stimulus. The adoptive agency shall also provide public notice of rules adopted or suspended pursuant to this section in the same manner as notice is provided for rules adopted pursuant to RSA 541-A:18. The joint legislative committee on administrative rules may hold an emergency meeting to consider the governor’s finding and the temporary rule suspension or alternative rule adoption after posting public notice at least 24 hours in advance of the emergency meeting. The joint legislative committee on administrative rules shall have 5 business days following receipt of the material by the director of the office of legislative services to file a final objection. The rule suspension or alternative rule for federal stimulus shall become effective at the earlier of committee approval or, if the committee files a final objection or does not act on the matter, after the 5 business days have elapsed.

II. The joint legislative committee on administrative rules may petition the adopting agency to repeal the suspension of the rule or the adoption of an alternative rule for federal stimulus if it determines that the rule suspension or alternative rule for federal stimulus is not necessary either to comply with the federal requirements for the use of funds appropriated by the American Recovery and Reinvestment Act of 2009 or to remove barriers that prevent the state’s ability to utilize stimulus funds for jobs or economic recovery.

6 Repeal. Section 5 of this act, relative to suspension or adoption of certain administrative rules, is repealed.

7 Effective Date.

I. Sections 1 and 4 of this act shall take effect 60 days after its passage.

II. Section 3 of this act shall take effect January 1, 2010.

III. Section 6 of this act shall take effect December 31, 2010.

IV. The remainder of this act shall take effect upon its passage.

LBAO

09-0981

Amended 03/02/09

SB 39 FISCAL NOTE

AN ACT relative to municipal deposits and special meetings for considering an appropriate response to the American Recovery and Reinvestment Act of 2009.

FISCAL IMPACT:

The New Hampshire Municipal Association states this bill, as amended by the Senate (Amendment #2009-0292s and #2009-0417s), may decrease local revenue and expenditures by an indeterminable amount in FY 2009 and each fiscal year thereafter. There will be no fiscal impact on state and county revenue or expenditures.

METHODOLOGY:

This bill increases from $500 to $1,500 the amount that shall be deposited daily by municipalities or weekly if there is no bank or other depository institution within the municipality or within 10 miles of the municipality. This bill also allows municipalities to hold special town meetings for the purpose of appropriating funds, including local matching funds or bonds, associated with funds made available through the American Recovery and Reinvestment Act of 2009, without petitioning the Superior Court. It also allows the corresponding public meeting to be held at the special town meeting, rather than at a separate time prior to the special meeting.

The New Hampshire Municipal Association states it is unable to determine the impact on revenue because it is unknown how many municipalities do not have a bank or other depository institution within 10 miles of that municipality. For those towns that meet the criteria, there would be an indeterminable loss of interest income if funds, particularly property tax payments and motor vehicle registration fees, are held for at least a week before deposit.

There would also be an indeterminable decrease in expenditures for travel costs resulting from fewer trips to the bank as well as costs associated with the petitioning of the Superior Court regarding special town meetings. Additionally, the Association notes that expenditures would also be reduced by an indeterminable amount as a result of savings acquired from holding the public meetings simultaneously with the special town meetings.