Revision: Feb. 26, 2020, 8:58 a.m.
SB 435-FN-A - AS AMENDED BY THE SENATE
02/13/2020 0473s
2020 SESSION
20-2947
05/08
SENATE BILL 435-FN-A
SPONSORS: Sen. Carson, Dist 14; Sen. Morse, Dist 22; Sen. Watters, Dist 4; Sen. Giuda, Dist 2; Sen. D'Allesandro, Dist 20; Rep. Rice, Hills. 37; Rep. L. Ober, Hills. 37; Rep. Ulery, Hills. 37; Rep. Renzullo, Hills. 37
COMMITTEE: Finance
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AMENDED ANALYSIS
This bill makes a bonded, supplemental appropriation to the department of education for the purpose of completing construction of the Hudson CTE center.
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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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
02/13/2020 0473s 20-2947
05/08
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Twenty
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Department of Education; Hudson CTE Center; Supplemental Appropriation.
I. The sum of $2,550,000 for the biennium ending June 30, 2021, is hereby appropriated to the department of education for the purpose of completing the construction and renovation of the Wilbur H. Palmer Career and Technical Education Center located at the Alvirne High School in Hudson, New Hampshire. The appropriation shall be part of, and not in addition to, the $17,000,000 appropriated to the department for renovation of the center in 2019, 146:18, I. The appropriation made in this section shall not lapse until June 30, 2023 and shall be in lieu of the anticipated appropriation for the biennium ending June 30, 2023 in 2019, 146:18, II, B.
II. To provide funds for the appropriation made in paragraph I, the state treasurer is hereby authorized to borrow upon the credit of the state not exceeding the sum of $2,550,000 and for said purpose may issue bonds and notes in the name of and on behalf of the state of New Hampshire in accordance with RSA 6-A. Payments of principal and interest on the bonds and notes shall be made from the general fund of the state.
III. All contracts and projects and plans and specifications therefor for the projects authorized in this section shall be awarded in accordance with the provisions of RSA 21-I.
2 Appropriation Lapses. To offset $1,018,000 of sums appropriated in section 1 of this act, the sum of $865,000 from the unencumbered balance of the appropriation made to the department of administrative services in 2015, 220:1, II, D, 1, extended by 2017, 228:22, 26 and extended by 2019, 146:20, 36 for Merrimack county superior court - new courthouse, $99,186 from the unencumbered balance of the appropriation made to the department of administrative services in 2017, 228:1, II, D, 1, extended by 2019, 146:20, 25 for convert AOC building to probate court and the sum of $53,814 from the unencumbered balances of the appropriation made to the department of administrative services in 2017, 228:1, II, B, 8, extended by 2019, 146:20, 20 for state library parapet and ceiling repair shall lapse on June 30, 2020.
3 Effective Date. This act shall take effect upon its passage.
20-2947
Amended 2/19/20
SB 435-FN-A- FISCAL NOTE
AS AMENDED BY THE SENATE (AMENDMENT #2020-0473s)
FISCAL IMPACT: [ X ] State [ ] County [ ] Local [ ] None
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The Treasury Department states this bill will increase state general fund expenditures by $63,750 in FY 2021, $276,675 in FY 2022, and $269,025 in FY 2023. This bill will have no impact on state, county and local revenue, or county and local expenditures.
METHODOLOGY:
This bill allows for the bonding of an appropriation of $2,550,000 made to the Department of Education for the Hudson CTE Center. The Treasury Department has indicated that the amount of total outstanding direct general obligation bonded indebtedness on behalf of and incurred by the state as of June 30, 2019 is $754 million (not including bond anticipation notes outstanding). The amount of net general obligation bonded indebtedness (general improvement plus University System of New Hampshire bonds), as of June 30, 2019 is $523 million. The estimated amount of net general obligation bonds authorized, but unissued, as of June 30, 2019 is $230 million.
It is assumed the entire amount of the proposed bond authorization ($2,550,000) will be issued in FY 2021. Current interest bond rates are assumed fixed at 5% and amortized over 20 years (60% of the principal paid in the first ten years, 40% paid in the second 10 years). Based on issuing the full amount of this bill's bond authorization in FY 2021, debt obligation will increase by the following amounts through FY 2023:
Fiscal Year | Additional Debt Obligation |
FY 2020 | $0 |
FY 2021 | $63,750 |
FY 2022 | $276,675 |
FY 2023 | $269,025 |
Additionally, this bill would lapse $1,018,000 from three identified capital projects on June 30, 2020.
AGENCIES CONTACTED:
Treasury Department and Department of Administrative Services