HB 1102 increases two key limits on New Hampshire's research and development (R&D) tax credit program. It raises the annual cap on total credits claimed by all businesses from $7 million to $10 million per fiscal year, and increases the maximum credit an individual business can claim from $50,000 to $100,000. This bill directly affects businesses conducting qualifying R&D activities in New Hampshire, allowing them to claim larger credits against their state business taxes. The changes take effect July 1, 2026, and do not require new state funding.
HB 1798 requires New Hampshire's Department of Health and Human Services to apply for a federal waiver by November 1, 2026, to add diaper coverage under Medicaid for infants' first year of life. The bill directly affects Medicaid-eligible infants (approximately 4,000 annually) and their families, providing coverage for 100 diapers per month during the child's first 12 months. It appropriates $100,000 for the 2026-2027 fiscal year to fund the program, with federal matching funds expected to cover most costs. Implementation depends on federal CMS approval, with a target start date of May 1, 2027, if approved.
HB 1786 imposes a semi-annual state assessment on residential properties valued over $1 million that are not used as a primary residence (luxury second homes), directly affecting owners of such properties. The revenue generated funds statewide housing development programs, including $15 million for workforce training in building trades and municipal grants for housing production. Key provisions include creating a dedicated fund for demolishing vacant buildings, expanding tax credits for housing infrastructure, and establishing a commission to study state financing for housing. The bill aims to address New Hampshire's housing shortage by leveraging new revenue to support affordable housing construction and workforce development.
HB 1588 establishes a process for cities and towns to create special assessment districts to fund infrastructure improvements (like roads, water, and sewer systems) directly tied to new housing developments. Municipalities can finance these projects through property assessments on benefiting parcels - collected over up to 20 years - without using general tax revenue. The bill also expands an existing state grant program to fund municipal infrastructure upgrades for new housing, with a $1 appropriation for fiscal year 2027. This directly affects municipalities planning new housing projects and property owners within designated districts who may face assessments based on their specific benefit from improvements.
SB 586 requires New Hampshire school districts and charter public schools to publish a detailed annual financial audit report by September 1 each year. The report must include receipts, expenditures, assets, liabilities, payroll details, and capital projects. Schools failing to submit the report by the deadline will have state funding withheld until compliance is achieved. This bill takes effect July 1, 2026, and amends existing law to standardize the submission deadline for all school entities.
HB 1708 reduces the statewide education property tax (SWEPT) rate for homeowners and property owners while increasing the business profits tax rate from 7.5% to 8.5% (with 40-44.2% of this revenue directed to the education trust fund). It sets specific annual revenue targets for the SWEPT - $346 million for 2026-2027, $284 million for 2027-2028, and $273 million annually thereafter - to maintain current education funding levels. Affected parties include residential property owners (who see lower taxes) and businesses (which pay higher profits taxes), with municipalities impacted by the tax shift receiving capped compensation up to $90 million. The bill ensures no net reduction in education funding by offsetting the SWEPT cut through increased business tax revenue.
HB 1542 sets all renewable energy fund compliance payments (the fees electric providers pay if they can't meet renewable energy requirements) to $0, effective January 1, 2027. This eliminates the primary revenue source for New Hampshire's Renewable Energy Fund (REF), which currently funds programs like low-income solar initiatives, non-residential renewable grants, and community solar projects. The fiscal note states this change would reduce annual REF revenue by approximately $6.7 million starting in 2028, causing all REF-funded programs and nine state positions supporting renewable energy compliance to cease without new legislative funding. The bill directly affects electric service providers (by removing compliance penalties), state programs, and low-income communities relying on REF-funded solar projects.
This constitutional amendment (CACR 12) would require a two-thirds vote in both the New Hampshire Senate and House of Representatives to pass new broad-based taxes, such as income, sales, or capital gains taxes. It directly affects the legislative process for enacting new taxes that broadly impact many residents or businesses, not existing tax laws. The key mechanism is changing the constitutional requirement for such taxes from a simple majority to a supermajority vote. If approved by voters in 2026, this would apply to all new broad-based tax legislation moving forward.
HB 1224 modifies how towns calculate their default budget when no new budget is approved by the deadline. It specifically allows funding for vacant public safety positions (like police, fire, or emergency medical roles) that were listed in last year's approved budget, provided they remain vacant before the previous budget was approved. Unspent funds for these positions must reduce local taxes instead of being reallocated to other budget areas. This change directly affects New Hampshire towns using the default budget process for official ballot town meetings. The bill takes effect January 1, 2027.
HB 1196 repeals New Hampshire's Housing Champion Designation and Grant Program, which provided financial incentives and recognition to municipalities for adopting housing-friendly policies. The bill ends the state's authority to issue new grants or designations under this program, affecting participating municipalities and the Department of Business and Economic Affairs that administered it. Existing contracts (worth approximately $2.6 million) will be honored until June 2027, but no new funding or recognition will be provided after the bill's effective date. The repeal also eliminates the Housing Champion Program Fund and the associated advisory committee.
