Revision: March 23, 2022, 11:57 a.m.
Rep. Aron, Sull. 7
March 18, 2022
2022-1156h
04/05
Amendment to HB 1584-FN
Amend the bill by replacing all after the enacting clause with the following:
1 Capital Improvement Program for State Fairs. The subdivision heading preceding RSA 425:19 and RSA 425:19 through RSA 425:19-f are repealed and reenacted to read as follows:
Capital Improvement Program for State Fairs
425:19 Declaration of Purpose. The general court finds that it is in the public interest to advance, encourage, and protect agricultural fairs including the exhibition of livestock and agricultural produce of all kinds, as well as related arts and businesses. Fair exhibitions are an integral and historical part of New Hampshire that provide an opportunity to educate and promote agriculture to the general public. The state further recognizes the need to support the activities of local youth organizations like 4-H and Future Farmers of America that encourage agricultural awareness and rural economic development.
425:19-a Definitions. In this subdivision:
I. “Commissioner” means the commissioner of the department of agriculture, markets, and food.
II. “Department” means the New Hampshire department of agriculture, markets, and food.
III. “Fair” means a member in good standing of the New Hampshire Association of Fairs and Expositions which is intended to promote agriculture and support rural economic development by including a balanced variety of exhibits of livestock and agricultural products as well as related arts and businesses, including products of farm home and educational contests, displays, and demonstrations designed to train youth and to promote agricultural awareness and rural economic development and living.
IV. “Fund” means the capital improvement program grant fund for fairs established in RSA 425:19-b.
425:19-b Capital Improvement Program Grant Fund. There is hereby established the capital improvement program grant fund to be used by the department to assist fairs in the manner provided by this chapter. Only the commissioner or the commissioner’s designee may approve applications and authorize disbursements from the fund. The fund shall be nonlapsing and continually appropriated to the department for the purpose of administering this chapter. Each fiscal year, the state treasurer shall transfer into the capital improvement program grant fund from the state general fund the sum of $250,000. No transfer of general funds shall be made to the capital improvement program grant fund in any fiscal year in which the fund balance is at least $1,000,000. Fund disbursements shall comply with RSA 425:19-g and no appropriation shall be required for disbursements.
425:19-c Capital Improvement Program; Grant Eligibility Conditions and Criteria. The following conditions and criteria shall be met by a fair to be eligible for a capital improvement program grant awarded by the commissioner. However, the commissioner may make exceptions to the above conditions and criteria. The fair applicant shall:
I. Be a non-profit association located in New Hampshire that is a full member in good standing with the New Hampshire Association of Fairs and Expositions.
II. Annually hold events that offer contests or exhibits of 4-H members and clubs, Future Farmers of America members and clubs, granges, farm crops, domestic livestock competitions, or home crafts.
III. Be managed by a board of directors who are responsible for the business affairs and operational activities and policies.
IV. Have a board of directors who are subject to and compliant with local, state, and federal laws and regulations.
V. Have a treasurer who has charge of the financial affairs of the corporation and ensures that grant funds received from a state grant are used in accordance with the applicant's proposal as approved by the department commissioner.
VI. Operate a minimum of 3 consecutive, 8-hour days per year.
VII. Submit a capital improvement project that has a minimum useful life of 20 years and shall be completed within 2 years of execution of a contract to perform work authorized by the grant.
VIII. Contribute matching funds or in-kind services in an amount equal to 15 percent or more of the value of the grant.
IX. Not have already completed the project for which the applicant seeks reimbursement.
425:19-d Capital Improvement Grant Disbursements.
I. The board of directors of a fair may apply to the department for grant award from the capital improvement program grant fund on forms provided by the department.
II. The commissioner may allocate 95 percent of the capital improvement program grant fund including fund interest to eligible applicant fairs, and distribute such funds according to merit as measured by a merit rating to be set by the commissioner. This merit rating shall take into account such factors as area and population served, youth participation, attendance, gate receipts, number and type of exhibits, community support, evidence of successful achievement of desired outcomes and purposes of the fair, extent of improvements made to grounds and facilities from year to year, rural and farming nature of the region served by the fair, and overall condition and appearance of grounds
III. Any disbursements made under this section shall be made only as a disbursement in whole or in part for capital improvement expenses incurred by the fair.
425:19-e Health or Safety Capital Improvements and Contract Requirements.
I. Subject to the availability of funds, the department may provide grant funds on a competitive basis, to support capital projects that make health and safety improvements to agricultural fairgrounds or fair facilities in order to benefit participants and the fair-going public. The rules of such competition shall be established by the department in accordance with RSA 541-A.
II. The department shall develop and manage appropriate contracts with the selected applicants, monitor project expenditures and grantee performance, report project and contract information, and exercise due diligence, and other managerial responsibilities.
III. The department shall include provisions in the contracts which require that capital improvements be held by the grantee for a specific period of time appropriate to the amount of the grant and that facilities shall be used for the express purpose of the grant.
IV. The department may use the remaining 5 percent of funds from the annual general court appropriation to the state fair capital improvements for expenses incurred in the administration of the capital improvement grant program.
V. All deadlines and times required for the capital improvement grant program administration and disbursement of funds to fairs shall occur at such times as the commissioner may prescribe.
VI. If the grantee is found to be out of compliance with provisions of the contract, the grantee shall repay to the state general fund the principal amount of the grant plus interest calculated at the rate of interest on state of New Hampshire general obligation bonds issued most closely to the date of authorization of the grant.
425:19-f Rulemaking. The commissioner shall adopt rules under RSA 541-A relative to the administration of the capital improvement grant program under this subdivision.
425:19-g Report of Grants. The commissioner shall compile an annual report detailing the number of disbursements from the fund, the amount of each disbursement, what entity received the disbursement, and the purpose of the disbursement, and shall submit such report to the speaker of the house of representatives, the president of the senate, the chairpersons of the house and senate ways and means committees, the house and senate finance committees, and the house and senate committees with jurisdiction over environmental and agricultural issues, by November 1 of each year.
425:19-h Repairs. In case of partial or total destruction of the building by fire or otherwise, the commissioner may make needed repairs or replacement, with the approval of the governor and council, and may use the proceeds of any insurance.
425:19-i Records for Purpose of Audit. The commissioner of revenue administration shall adopt rules, pursuant to RSA 541-A, relative to the accounting methods to be used by each fair which could qualify for a distribution, if a distribution is made under this subdivision. Each such fair shall use the calendar year as its fiscal year for keeping the books, records and reports of its fiscal officers. The commissioner of revenue administration is authorized to require the production of all such books, records, vouchers and other papers and documents as will enable him to make a full, accurate and complete audit. All such records shall be preserved for 3 years following the date of said audit.
425:19-j Audit of Accounts of Agricultural Fairs.
I. The commissioner of revenue administration shall annually, at the cost and expense of each agricultural fair receiving a distribution, audit all accounts of fairs receiving money under the provisions of this subdivision, and the report of each such audit, when completed, shall be submitted to the president, treasurer and clerk of each fair so audited. If, in any case, the commissioner cannot guarantee that such an audit will be completed within one year after the end of a fiscal year for which a fair received a distribution, he shall so advise the president or treasurer of the fair, whereupon the respective fair officials may hire a certified public accountant or a public accountant licensed under RSA 309-A, to conduct such an audit within one year after the close of the fair's fiscal year in accordance with generally accepted auditing standards and applicable state statutes.
II. Every audit made by the commissioner of revenue administration or an independent public accountant licensed under RSA 309-A shall include a summary of findings and recommendations regarding compliance with applicable statutory provisions of law, and the adequacy of accounting and business procedures pursued by the fair examined. Contracts executed between the agricultural fairs and the independent public accountants shall stipulate that all accounts and funds of the fair are to be audited and a report of the audit is to be prepared in accordance with this section. At the conclusion of the audit, the independent public accountant shall submit a copy of an audit report prepared pursuant to this section directly to the commissioner of agriculture, markets, and food and to the commissioner of revenue administration for review and approval as to format only.
425:19-k Failure to Keep Records. The failure to keep the books, records and papers required by this subdivision and follow such approved methods shall be considered sufficient cause for the commissioner of agriculture, markets, and food to withhold the distribution of funds provided for in this subdivision to the fair or fairs otherwise entitled to them until such books, records and papers are made available for audit and such audit made. Any funds remaining in the hands of the commissioner of agriculture, markets, and food which are not distributed because of continued failure to comply with the provisions of RSA 425:19-i shall be distributed after a period of one year, to the fairs which complied with the provisions of said section for the year in question.
2 New Subparagraph; Capital Improvement Grant Fund for Fairs. Amend RSA 6:12, I(b) by inserting after subparagraph (382) the following new subparagraph:
(383) Moneys deposited in the capital improvement program grant fund established in RSA 425:19-b.