1 Taxation; Education Tax Credit; Definitions. Amend RSA 77-G:1, VIII to read as follows:

VIII. "Eligible student" means a New Hampshire resident who is at least 5 years of age and no more than 20 years of age, who has not graduated from high school, and

(a)(1) Who is currently attending a New Hampshire public school, including a chartered public school, and for whom the adequacy grant in the next school year would be reduced if the student were removed from the average daily membership calculation, or who is entering kindergarten or first grade; or

(2) Who received a scholarship under subparagraph (1) or this subparagraph in the prior program year; or

(3) Who does not qualify under subparagraph (1) or (2) *; and

(b) Whose annual household income is less than or equal to 300 percent of the federal poverty guidelines as updated annually in the Federal Register by the United States Department of Health and Human Services under the authority of 42 U.S.C. section 9902(2). The scholarship organization shall verify eligibility under this subparagraph.*

2 Taxation; Education Tax Credit; Scholarships. Amend RSA 77-G:2, I(d) and (e) to read as follows:

(d) At least 40 percent of the scholarships awarded by the scholarship organization to eligible students as defined in RSA 77-G:1, VIII(a)(1) and (2) shall be awarded to students who qualified for the federal free and reduced-price meal program in the prior year.

(e) A student shall reapply each year for a scholarship.

3 Effective Date. This act shall take effect July 1, 2025.

1 Taxation; Education Tax Credit; Definitions. Amend RSA 77-G:1, VIII to read as follows:

VIII. "Eligible student" means a New Hampshire resident who is at least 5 years of age and no more than 20 years of age, or 21 if eligible underRSA 186-C:2, who has not graduated from high school, and

(a)(1) Who is currently attending a New Hampshire public school, including a chartered public school, and for whom the adequacy grant in the next school year would be reduced if the student were removed from the average daily membership calculation, or who is entering kindergarten or first grade; or

(2) Who received a scholarship under subparagraph (1) or this subparagraph in the prior program year; or

(3) Who does not qualify under subparagraph (1) or (2) .

2 Taxation; Education Tax Credit; Scholarships. Amend RSA 77-G:2, I(d) and (e) to read as follows:

(d) At least 50 percent of the scholarships awarded by the scholarship organization to eligible students as defined in RSA 77-G:1, VIII(a)(1) and (2) shall be awarded to students who qualified for the federal free and reduced-price meal program .

(e) No income threshold needs to be met in subsequent years, provided a student otherwise qualifies for a scholarship .

3 Effective Date. This act shall take effect July 1, 2025.