HB1638 (2016) Detail

Relative to the allocation of lottery revenues to schools.


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HB 1638-FN-LOCAL - AS INTRODUCED

 

2016 SESSION

\t16-2244

\t06/09

 

HOUSE BILL\t1638-FN-LOCAL

 

AN ACT\trelative to the allocation of lottery revenues to schools.

 

SPONSORS:\tRep. Leeman, Straf. 23; Rep. D. McGuire, Merr. 21

 

COMMITTEE:\tEducation

 

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ANALYSIS

 

\tThis bill requires all moneys from the state lottery to be distributed to all K-12 schools on a per pupil basis for academic purposes only.

 

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Explanation:\tMatter added to current law appears in bold italics.

\t\tMatter removed from current law appears [in brackets and struckthrough.]

\t\tMatter which is either (a) all new or (b) repealed and reenacted appears in regular type.

\t16-2244

\t06/09

 

STATE OF NEW HAMPSHIRE

 

In the Year of Our Lord Two Thousand Sixteen

 

AN ACT\trelative to the allocation of lottery revenues to schools.

 

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

 

\t1  New Section; Distribution of Lottery Revenues.  Amend RSA 198 by inserting after section 42 the following new section:

\t198:42-a  Distribution of Lottery Revenues to Schools.

\t\tI.  Notwithstanding any other law to the contrary, all moneys from the state lottery shall be granted to each public and nonpublic school in New Hampshire providing academic education at the elementary or secondary level.  

\t\tII.  Each fiscal year, as soon as possible after June 30, the state treasurer shall certify to the commissioner of the department of education the amount of state lottery revenues in the education trust fund.  The commissioner shall calculate the amount of the grant to be distributed to each school on a per pupil basis for each pupil enrolled in grades one through 12.  The state treasurer shall distribute the moneys to such schools in 4 equal payments on September 1, November 1, January 1, and April 1 of each school year.

\t\tIII.  Each school shall maintain a separate account for moneys received under this section.  Such moneys shall be used solely to pay teachers' salaries for that portion of time each teacher devotes to academic subjects.

\t\tIV.  Any moneys from the state lottery remaining in the education trust fund at the end of each fiscal year shall be reallocated the following fiscal year.

\t2  School Money; Distribution Schedule of Adequate Education Grants; Appropriation.  Amend RSA 198:42, I to read as follows:

\t\tI.  The adequate education grant determined in RSA 198:41, less moneys distributed to schools under RSA 198:42-a, I shall be distributed to each municipality's school district or districts legally responsible for the education of the pupils who attend approved public schools within the district or in other districts or who attend approved programs for children with disabilities, as the case may be, from the education trust fund in 4 payments of 20 percent on September 1, 20 percent on November 1, 30 percent on January 1, and 30 percent on April 1 of each school year; provided that for a dependent school district, the grant determined in RSA 198:41 shall be distributed to the municipality, which shall appropriate and transfer the grant funds to its dependent school department.  During the course of the school year, the commissioner may make adjustments in grant payments necessitated by variations in the ADMA data for a school district for any fiscal year in which the ADMA calculation is made.

\t3  Repeal.  RSA 198:42-a, relative to distribution of lottery revenue to schools, is repealed.

\t4  Effective Date.  

\t\tI.  Section 3 of this act shall take effect July 1, 2018.

\t\tII.  The remainder of this act shall take effect 60 days after its passage.

 

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\t\t\t\t\t\t\t\t\t\t\t12/21/15

 

HB 1638-FN-LOCAL- FISCAL NOTE

 

AN ACT\trelative to the allocation of lottery revenues to schools.

 

 

FISCAL IMPACT:

The Department of Education states this bill, as introduced, may have an indeterminable impact on education trust fund expenditures in FY 2017 and FY 2018.  There will be no impact on state, county, and local revenue or county and local expenditures.

 

METHODOLOGY:

The Department of Education states this bill requires all moneys from the New Hampshire Lottery Commission (assumed to be net revenue to the education trust fund) to be distributed on a per pupil basis to public and nonpublic elementary and secondary schools (grades one through 12) in the state.  This bill requires each receiving school to account for such funds in a separate account to only be used for teacher salaries for time devoted to academic subjects and would only be effective in FY 2017 and FY 2018 (repealed July 1, 2018).  This bill would also decrease the traditional adequate education grant to municipalities by the amount allocated from the lottery revenues in this bill, therefore resulting in a net zero impact to traditional public schools.  However, it appears this bill would not affect charter public school funding and therefore the net impact would only be the portion of the lottery revenues distributed for pupils of charter public schools and nonpublic schools.  While the exact impact is indeterminable as it would depend on future enrollments and actual lottery revenues, for informational purposes only, the Department of Education and Office of Legislative Budget Assistant provide the following data from FY 2015 (school year 2014-15):

 

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Lottery Revenues to Education Trust Fund
(Unaudited Preliminary Accrual)

$74,200,000

 

 

Fall Enrollment Data (Grades 1-12)

 

Public District Schools

161,630

Public Academies & Joint Maintenance Agreements

4,371

Public Charter Schools

2,459

Nonpublic Schools

15,031

Total

183,491

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The Lottery Commission does not believe this bill would affect its sales or net revenue.