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Form a Business

SCHOOL MONEY

RSA tit. XV, ch. 198
in effect

RSA 198:4 Estimates.

198:4. Estimates. The school board of each district in its annual report shall state in detail the additional sums of money, if any, which will be required during the ensuing fiscal year for the support of the public schools, for the purchase of textbooks, scholars' supplies, flags and appurtenances, for the payment of the tuition of the pupils in the district in high schools, academies, and any private school approved as a school tuition program by the school board in accordance with law, and for the payment of all other statutory obligations of the district. The annual report shall also contain a summary of estimated funds anticipated from state and federal governmental units during the ensuing fiscal year. For each fund, the annual report shall contain the title or other identifier of the fund as well as a summary of any obligations incurred by accepting the anticipated funds, or state that there are no obligations. Source. RS 72:2. CS 76:2. GS 77:2. GL 85:2. PS 88:2. 1909, 52:1. 1915, 68:1. 1919, 106:21. 1921, 85, VI:4. PL 121:4. RL 140:4. 2017, 182:6, eff. Aug. 28, 2017. 2021, 106:4, eff. Aug. 5, 2021. 2026, 130:1, eff. Aug. 11, 2026.

RSA 198:4-a Report of Appropriations Voted.

198:4-a. Report of Appropriations Voted. I. The commissioner of revenue administration shall adopt rules, pursuant to RSA 541-A, relative to blanks for certifying appropriations by the school board and the information which they must contain. II. The school board shall, annually within 20 days of the close of the meeting as required in RSA 21-J:34, II, certify to the commissioner of revenue administration, the state department of education and the board of selectmen upon said blanks provided by the commissioner, a certificate of the several appropriations voted by the district and estimated revenues, so far as known. III. The commissioner of revenue administration shall examine such certificates and delete any appropriation which is not made in accordance with the law, and adjust any sum which may be used as a setoff against the amount appropriated when it appears to the commissioner of revenue administration such adjustment is in the best public interest. IV. The commissioner of revenue administration shall compute the rate percent of taxation for school district purposes from such certificate. Source. 1963, 120:6. 1973, 544:8. 1981, 128:28. 1994, 147:7, eff. July 22, 1994.

RSA 198:4-b Contingency Fund.

198:4-b. Contingency Fund. I. A school district annually by an article separate from the budget and all other articles in the warrant, or the governing body of a city upon recommendation of the school board, when the operation of the schools is by a department of the city, may establish a contingency fund to meet the cost of unanticipated expenses that may arise during the year. A detailed report of all expenditures from the contingency fund shall be made annually by the school board and published with their report. II. Notwithstanding any other provision of law, a school district by a vote of the legislative body may authorize, indefinitely until specific rescission, the school district to retain any unused portion of the year-end unassigned general funds, from the preceding fiscal year in subsequent fiscal years, provided that the total amount of year-end unassigned general funds does not exceed, in any fiscal year, 5 percent of the current fiscal year's net assessment under RSA 198:5. (a) Prior to expending retained general funds, the school board shall hold a prior public hearing on the action to be taken with such funds. Notice of the time, place, and subject of such hearing shall be published in a newspaper of general circulation in the relevant municipality at least 7 days before the meeting is held. (b) An annual accounting and report of the activities of the retained general funds shall be presented to the school board of the district and published in the annual report. III. The legislative body of the city of Manchester, upon recommendation of the school committee, may authorize, indefinitely until specific rescission, the school district to retain year-end unassigned general funds. Source. 1965, 123:4. 1998, 389:12, eff. Oct. 1, 1998. 2012, 221:1, eff. Aug. 12, 2012. 2014, 190:6, eff. Sept. 9, 2014. 2020, 38:25, eff. Sept. 27, 2020.

RSA 198:4-c Building Trades Fund.

198:4-c. Building Trades Fund. Any school district may appropriate money to establish a revolving fund to aid instruction in the building construction trades. The fund shall be used to pay necessary costs of construction projects which are carried out as part of the instructional program, including the purchase of real estate. No project shall be undertaken unless the fund contains enough money to cover the proposed budget. When the building is completed it shall be sold and the money received put into the fund for use in another construction project. Source. 1981, 164:1, eff. June 2, 1981.

RSA 198:4-d Reports Required; Cities, School Districts, and School Administrative Units.

198:4-d. Reports Required; Cities, School Districts, and School Administrative Units. The governing body of each city, school district, chartered public school, and school administrative unit shall submit to the commissioner of the department of education in a searchable electronic format the following reports pursuant to rules adopted under RSA 541-A by the commissioner of revenue administration which establish the form and content of such reports: I. A report filed by the governing body of each city, school district, and chartered public school shall certify the appropriations voted by the meeting of the appropriate legislative body, whether city council, mayor and council, or mayor and board of aldermen, or by each annual or special school district meeting, along with estimated revenues. This report shall be filed within 20 days of the close of the meeting. II. A report filed by the governing body of each city, school district, and chartered public school shall revise all the estimated revenues for the year. This report shall be filed by September 1 of each year. The revised estimates by school districts for the adequate education grants calculated under RSA 198:41 shall be considered the most accurate within 5 percent of the amount estimated pursuant to RSA 198:40-a. III. A financial report for each city, school district, and chartered public school shall be filed showing the summary of receipts and expenditures, according to uniform classifications, during the preceding fiscal year, and a balance sheet showing assets and liabilities at the close of the year. This report shall be submitted on or before September 1 of each year. Each statistical report submitted under this section shall include a certification signed by the chairperson of the school district's governing body or the chairperson of the board of trustees of approved public academies that states: "I certify, under the pains and penalties of perjury, to the best of my knowledge and belief, that all of the information contained in this document is true, accurate and complete." IV. The department of education and the department of revenue administration together shall develop and maintain school accounting standards which shall be used by districts, chartered public schools, and school administrative units for financial reporting purposes. V. The budget committee in school districts operating under the municipal budget law shall file the budget within 20 days of the close of the annual or special meeting. VI. Chartered public schools, school administrative units, and cities or school districts not audited under RSA 671:5, shall be audited by an independent public accountant in accordance with RSA 21-J:19, II. VII. If a city or school district is audited under RSA 671:5, the procedures in RSA 41:31-a through 41:31-d shall be followed. VIII. Audit reports created under paragraphs VI and VII shall include balance sheets; a breakdown of revenue sources; an itemized list of all employees or staff on payroll and their pay, benefits, other post-employment benefits and pension liabilities; and an itemized list of assets, debts, bonds, lease agreements, and capital improvement investment projects. The audit report for the last completed fiscal year shall be submitted to the department within 9 months of the end of the fiscal year. The commissioner of the department of education shall verify that the report appears complete within 3 months of receipt, comparing it against those submitted in prior years. The department may grant extensions as needed to address any disputed items. Deficiencies shall be corrected no later than 12 months from the date of the submission. The commissioner shall withhold state grant funding, not including RSA 198:40-a funding, allocated to any non-compliant city, school district, chartered public school, or school administrative unit until the audit or financial report is completed and submitted to the department, and any questions are answered to the commissioner's satisfaction. IX. The department of education and reporting entities shall make reports filed under this section available to the public on their websites in a searchable electronic format. Source. 1989, 357:4. 1998, 389:3, 4, eff. Oct. 1, 1998. 2010, 262:3, eff. Sept. 4, 2010. 2012, 198:7, eff. July 1, 2012. 2016, 8:12, eff. Mar. 16, 2016. 2021, 44:5, eff. May 17, 2021. 2025, 141:401, eff. July 1, 2025. 2026, 272:1, eff. July 1, 2026.

RSA 198:4-f Penalty for Failure to File Report.

198:4-f. Penalty for Failure to File Report. I. A school district, city, chartered public school, or public academy shall file the reports due under RSA 198:4-d, III no later than September 1 of each year. II. For just cause, the commissioner of the department of education, or designee, may grant a school district, city, or chartered public school up to a 30-day extension to such reporting deadline. The commissioner, or designee, may further extend the deadline when unusual or unforeseen circumstances prevent a school district, city, or chartered public school from submitting the required reports under paragraph I before the expiration of such extension. III. The commissioner shall notify the governing body of the school district, city, or chartered public school that all state aid to education shall be withheld until complete and accurate information is submitted. In the case of a chartered public school which fails to comply with the reporting requirements by the established deadlines for 2 consecutive years, the commissioner may request the state board of education to revoke the enabling charter. Source. 1989, 357:4. 2003, 314:4, eff. July 22, 2003. 2021, 44:1, eff. May 17, 2021. 2024, 50:1, eff. Aug. 13, 2024; 332:1, eff. Oct. 1, 2024.

RSA 198:5 Assessment.

198:5. Assessment. The selectmen of the town, in their next annual assessment, shall assess upon the taxable property of the district a sum sufficient to meet the obligations above enumerated, with such alterations thereof as may be voted by the district, and shall pay the same over to the district treasurer as the school board shall require for the maintenance of schools. Source. RS 72:2. CS 76:2. GS 77:2. GL 85:2. PS 88:2. 1909, 52:1. 1915, 68:1. 1919, 106:21. 1921, 85, VI:4. PL 121:5. 1927, 20:1. RL 140:5.

RSA 198:6 Assessment on Ward's Property.

198:6. Assessment on Ward's Property. When a guardian and ward reside in the same town the selectmen shall assign the tax assessed upon the ward's personal property to the school district in which the ward lives and has a home. Source. 1852, 1308:1. CS 76:5. GS 77:5. GL 85:5. PS 88:5. 1921, 85, VI:8. PL 121:6. RL 140:6. 1996, 195:4, eff. Aug. 2, 1996.

RSA 198:7 Neglect to Assess, Etc.

198:7. Neglect to Assess, Etc. If the selectmen neglect to assess, assign or pay over the school money as aforesaid they shall pay for each neglect a sum equal to that so neglected to be assessed, assigned or paid over, to be recovered by action of debt, in the name and for the use of the district by the school board. Source. RS 72:5. CS 76:6. GS 77:6. GL 85:6. PS 88:6. 1921, 85, VI:8. PL 121:7. RL 140:7.

RSA 198:15-a Grant for School Construction.

198:15-a. Grant for School Construction. I. To aid local school districts and chartered public schools under RSA 194-B in meeting the costs of school buildings, the department of education shall, from funds appropriated by the general court to carry out the provisions of this subdivision, pay to the school districts and chartered public schools of the state, sums in accordance with the provisions of this subdivision, RSA 198:15-b, I(b) or the alternative school building aid provisions under RSA 198:15-u through RSA 198:15-w. I-a. For purposes of this subdivision, "school district" means any school district duly organized, any city maintaining a school department within its corporate organization, any cooperative school district as defined in RSA 195:1, any receiving district operating an area school as defined in RSA 195-A:1, or any receiving district providing an education to pupils from one or more sending districts under a contract entered into pursuant to RSA 194:21-a or RSA 194:22. II. Beginning with construction authorized by a local school district or chartered public school on or after July 1, 2013, office facilities for school administrative units and the purchase or lease-purchase of temporary space for any purpose, including, but not limited to modulars, trailers, or other similar structures to be used as classroom, office, or storage space shall not be eligible for school building aid grants. II-a. Any chartered public school building to be improved or constructed using school building aid shall be owned by the chartered public school and in the event of a voluntary or involuntary dissolution shall be subject to a plan for the disposition of the chartered public school's assets, pursuant to RSA 194-B:3, II(z), as approved by the state board of education. III. Facilities constructed using school building aid grants shall be used as instructional facilities for kindergarten through grade 12 for at least 20 years. A school district or chartered public school that discontinues the use of the facilities within 20 years shall be required to repay the state 100 percent of the state grant received. Upon a showing of good cause by the school district or chartered public school, the commissioner of the department of education may waive this penalty in whole or part on a case by case basis. IV. Beginning July 1, 2013, and every fiscal year thereafter, school building aid grants for construction or renovation projects approved by the department of education shall not exceed $50,000,000 per fiscal year less any debt service payments owed in the fiscal year, unless otherwise provided by an act of the general court. School building aid grants shall be funded from appropriations in the state operating budget and no state bonds shall be authorized or issued for the purpose of funding such school building aid grants. V. The department of education shall develop and maintain a 10-year school facilities plan of potential school building grant projects. Potential projects shall include, but not be limited to, criteria pursuant to RSA 198:15-c, II(b). The 10-year plan is intended to create a method to identify and enhance school facilities in a safe, healthy, and efficient manner while providing adequate learning environments for New Hampshire's students. The 10-year plan shall be updated every biennium to provide the department a summary of projects and school facility capital expenditures that are anticipated for the next 10 years. The plan shall identify new construction, renovation, and emergency projects, and describe the overall condition of projects contained in the plan. In support of the 10-year plan, it is recommended that each district have in place and provide the department a long-range capital improvement program that identifies school facility goals, provides projected expenditures, and outlines procedures and guidelines to be followed to accomplish goals. Each district is encouraged to review and update the district's anticipated school facility capital improvement plan on a 2-year recurring basis or as needed. The department shall use this information to better plan, prioritize, and project new anticipated capital construction and renovation expenditures relative to the state building aid program. The state board of education shall adopt rules pursuant to RSA 541-A relative to this paragraph. Source. 1955, 335:9, par. 14-a. 1967, 449:2. 2003, 296:1; 306:1. 2005, 180:1, eff. Aug. 29, 2005. 2009, 144:12, eff. July 1, 2009. 2012, 275:1, eff. Aug. 18, 2012. 2021, 91:314, eff. July 1, 2021. 2023, 5:1, eff. June 25, 2023; 35:2, eff. July 1, 2023. 2024, 47:1, eff. July 1, 2024.

RSA 198:15-b Amount of Grant.

198:15-b. Amount of Grant. I. (a) For construction authorized by a school district on or before July 1, 2013, the amount of the annual grant to any school district shall be the grant amount approved by the department of education at the time of final approval of the project. (b)(1) For construction authorized by a school district after July 1, 2013, the amount of grant to the school district shall be calculated based on the criteria set forth in RSA 198:15-u through RSA 198:15-w. (2) The state board of education shall approve the disbursement of 80 percent of the eligible grant amount upon approval of the application for school building aid grants by the state board of education, and shall disburse the balance of the grant amount upon completion of the construction and verification of the final cost of construction by the department of education. (3) The amount of the grant to any chartered public school established in accordance with RSA 194-B:3-a shall be 30 percent of the eligible cost of construction. For chartered public school construction projects, the amount of the annual grant to any chartered public school shall be a sum equal to 5 percent of the eligible grant amount each year for 20 years upon approval of the application for school building aid grants by the state board of education. Not more than 10 percent of the eligible grant amount shall be disbursed until the completion of the construction and verification of the final cost of construction have been made by the department of education. (4) Funds received from federal grants or grants from other state programs shall be subtracted from total project costs when computing grants under this paragraph. II. For the purposes of this subdivision, "eligible school construction projects" shall mean a project designed to be energy efficient and include any one or more of the following for the construction of instructional facilities: (a) Construction of a new school building, including land acquisition and development of a site. (b) Construction of an addition to an existing building, including land acquisition and development of a site. (c) Substantial renovations approved by the commissioner of education. (d) Purchase and renovation of existing buildings, including land acquisition and development of a site. (e) Purchase or lease-purchase of mechanical, structural, or electrical equipment, including the cost of installation of such equipment, which is designed to improve energy efficiency or indoor air quality in school buildings. All grant amounts awarded under this subparagraph shall be returned to the state if such equipment is removed from the school building by the vendor due to the school district's failure to comply with the terms of the lease-purchase agreement. Lease-purchase agreements shall be subject to the requirements of RSA 33:7-e. III. The provisions of this paragraph shall apply to any school building aid grants made pursuant to RSA 198:15-a through RSA 198:15-w. (a) The department of education shall issue annually maximum eligible cost standards for the eligible school construction projects, qualifying for a school building aid grant. These standards shall take into account the type, size, and location of the school and shall be based on an appropriate construction cost index developed or adopted by the department which shall reflect cost differences in the several regions of the state. Maximum cost standards shall be computed and published annually and expressed as a maximum cost per square foot. (b) The state board of education shall adopt rules pursuant to RSA 541-A relative to the maximum eligible size standards for the construction of school buildings qualifying for a school building aid grant. These standards shall take into account the type and size of the school and shall be based on the minimum size appropriate for the construction of a school. Maximum size standards shall be expressed as a maximum gross square footage per pupil. Space determined by the department to be excessive or unnecessary to fulfill educational needs shall not be eligible for state building aid grants. (c) The state board of education shall adopt rules pursuant to RSA 541-A relative to the maximum usable site size for land purchases qualifying for a school building aid grant. These standards shall take into account the type and size of the school and shall be based on the minimum site size appropriate for the construction of a school. (d) For the purpose of calculating the total school building aid grants made under RSA 198:15-a through RSA 198:15-w, the final approved cost for an eligible school construction project shall not exceed the cost that would result if the project conformed to the maximum cost and size standards. The provisions of this section shall not preclude an eligible applicant from exceeding the maximum standards provided, however, the cost of the portion of the facilities which exceed the maximum standards shall not be eligible for school building aid grants. (e) The commissioner of the department of education shall have the authority to waive eligible cost and size standards for an eligible school construction project for good reason shown. IV. All school building aid grants shall be deposited into an established school district expendable trust created pursuant to RSA 198:20-c, with unused building aid grant funds remaining invested at all times. School construction project funds maintained in the expendable trust shall not be commingled with non-project funds of the district. All interest accrued shall be used for operation and maintenance cost or capital improvement projects for the related school facility. Source. 1955, 335:9, par. 14-b. 1957, 301:1. 1963, 277:3. 1965, 150:2. 1967, 362:4; 399:1; 449:3. 1969, 347:4. 1971, 452:1. 1975, 447:1. 1979, 208:1; 459:4. 1981, 568:84. 1983, 469:63, 148, 149. 1998, 214:1. 2000, 215:2, 3. 2003, 296:3, 4; 306:1. 2004, 124:1. 2005, 180:2; 208:1, 2; 228:1. 2006, 131:1, eff. May 19, 2006. 2010, 327:2, eff. Sept. 18, 2010. 2012, 275:2, eff. Aug. 18, 2012. 2013, 226:2, eff. Sept. 13, 2013 at 12:01 a.m.; 239:1, eff. Sept. 13, 2013. 2023, 35:1, eff. July 1, 2023. 2024, 47:2, eff. July 1, 2024; 226:2, 3, eff. Sept. 17, 2024.

RSA 198:15-c Approval of Plans; Specifications, and Costs of Construction or Purchase.

198:15-c. Approval of Plans; Specifications, and Costs of Construction or Purchase. I. (a) A school district maintaining approved schools, desiring to avail itself of the grants herein provided shall submit schematic design plans, cost estimates, and other items determined by the department of education for an eligible school construction project prior to the start of the construction. Projects with approval from the school district's legislative body to construct, not subject to receiving building aid, are not eligible. (b) Beginning January 1, 2025 and each year thereafter, to be considered for a school building aid grant, the complete building aid application shall be submitted no later than April 1 of the fiscal year that immediately precedes the fiscal year in which the school desires to seek the district's legislative body's or chartered public school board of trustees' approval for construction. The application shall include at a minimum, schematic design plans, cost estimates, educational needs assessment, existing facility conditions assessment including, but, not limited to a review of the mechanical, electrical, plumbing, and structural components of the building, proof of an annual school budget to support good maintenance, and other documentation as required by the department and identified in the department's school building construction rules. (c) As deemed appropriate, emergency projects that are recommended by the commissioner of education shall be addressed on a case-by-case basis by the state board of education at any time during the school year. A school construction project requiring the replacement of all or a significant portion of a school facility which is declared uninhabitable or is identified as an imminent danger or substantial risk by the state fire marshal or a state or federal agency, and which results from an unanticipated and sudden natural or human disaster, shall qualify as an emergency project. II. (a) The commissioner shall accept school building aid grant applications based upon completeness and submit a preliminary school building aid grant list, with applications ranked in accordance with subparagraph II(b) and rules of the department, to the school building authority established pursuant to RSA 195-C by August 1 each year. The school building authority shall verify the ranking submitted by the commissioner and submit a list in descending rank order to the state board of education for approval. If the ranking submitted to the school building authority differs from the preliminary school building aid grant list, the school building authority shall justify the new ranking using the same criteria in subparagraph II(b) and in rules of the department. The school building authority shall submit the school building aid rank order listing with written report of findings to the state board no later than October 15, each year. The state board of education shall verify the ranking submitted by the school building authority. If the ranking submitted to the state board of education differs from the preliminary school building aid grant list submitted by the commissioner, the state board of education shall justify the new ranking using the same criteria in subparagraph II(b) and rules of the department. The state board of education shall approve and publish the descending rank order list of approved eligible school construction projects by November 15 each year. School districts and chartered public schools which have projects approved for funding shall be notified by the department of education of the projected amount to be funded within 10 days of approval. The project rating system and criteria used to rate project applications which shall include an administrative review process for appeal of a school district's or chartered public school's project point rating, shall be developed by the department of education and approved by the state board of education. (b) The commissioner of the department of education shall accept school building construction proposals based upon completeness. The department of education shall consider and score each proposal based on the following criteria: (1) Unsafe conditions. (2) Facilities not in compliance with the Americans With Disabilities Act, or obsolete, inefficient, or unsuitable facilities or mechanical and building systems. (3) Overcrowding and associated influences to instructional areas and programming. (4) Enrollment projections and population shifts. (5) A school district's or chartered public school's fiscal capacity based on measurable criteria such as the percentage of pupils eligible for free and reduced price meals. (6) School security design and integration of security systems. (7) The project contributes to operational cost efficiencies, consolidation, or reduced property taxes. (8) High performance of design that provides environments that are energy and resource efficient. Energy and resource efficient designs are those that improve indoor air quality, air temperature, or water quality; reduce heating costs; provide better lighting; and increase average attendance. (9) Any other criteria that the state board of education may determine are necessary. (c) Except as provided in subparagraph (d), applications on the approved ranked list the previous fiscal year, including the school construction projects on the descending rank order list approved by the state board of education on November 10, 2022, but did not receive a grant due to insufficient funds in the previous fiscal year, shall be ranked ahead of any application that was not on the list in the previous fiscal year provided that construction of the project has not started. (d) Applications with critical needs pursuant to subparagraph II(b) and substantial deficiencies, as defined by the department of education's school construction rules, may be ranked ahead of applications received in the prior fiscal year. (e) Projects that did not receive approval from the school district's legislative body or chartered public school board of trustees may resubmit those projects to the department for future consideration. III. A school district or chartered public school that accepts school building aid for construction shall engage the services of an owner's project manager for construction or reconstruction/renovation projects of $1,250,000 or more, unless the commissioner waives such requirement as unnecessary. The owner's project manager shall have his or her own comprehensive liability and auto insurance, workers' compensation coverage, and professional liability coverage. The state board of education shall adopt rules pursuant to RSA 541-A relative to the required services, responsibilities, and qualifications for the owner's project manager to ensure the project owner's best interests are carried out. Source. 1955, 335:9, par. 14-c. 1967, 362:5; 399:2. 1989, 357:3. 2003, 306:1. 2005, 228:2, eff. Sept. 9, 2005. 2010, 327:3, eff. Sept. 18, 2010. 2012, 275:3, eff. Aug. 18, 2012. 2013, 239:2, eff. Sept. 13, 2013. 2016, 72:1, eff. July 18, 2016. 2019, 290:1, eff. Sept. 27, 2019. 2023, 35:1, eff. July 1, 2023. 2024, 47:3, eff. July 1, 2024; 226:4, eff. Sept. 17, 2024. 2025, 280:4, eff. Sept. 30, 2025.

RSA 198:15-d Time of Computation of Grant.

198:15-d. Time of Computation of Grant. As of January 1 in each year, the department of education shall cause to be computed the amount of the annual grants for school building aid to be paid to eligible school districts and chartered public schools in the succeeding fiscal year. The computation shall be based upon the total of eligible costs of construction of school buildings approved by the legislative body of the school district or chartered public school board of trustees and the department of education for which loans are outstanding for the fiscal year in which the computations are made. Source. 1955, 335:9, par. 14-d. 1957, 301:2. 1991, 169:4. 2003, 306:1, eff. Sept. 16, 2003. 2008, 289:3, eff. Aug. 26, 2008. 2024, 47:4, eff. July 1, 2024.

RSA 198:15-e Proration and Unexpended Funds.

198:15-e. Proration and Unexpended Funds. In any fiscal year, the amount appropriated for distribution as school building grants in accordance with the version of RSA 198:15-b in effect prior to July 1, 2012 shall first be awarded to a school district for an eligible project funded before July 1, 2012. If the amount appropriated is insufficient the appropriation shall be prorated proportionally among the districts entitled to a grant. If the amount appropriated exceeds the amount necessary to fully fund grants to a school district for eligible construction projects funded before July 1, 2012, the remaining amount of the appropriation shall be awarded to a school district for an eligible new proposal in the ranked order developed pursuant to RSA 198:15-c, II(a) and II(b). Such a district shall receive a grant equal to 100 percent of the eligible amount of the request until the amount appropriated has been exhausted. A partial grant may be awarded to the extent that funds are available. If a school district declines a full or partial grant, a grant shall be made to the next ranked school district until the amount appropriated has been exhausted. Any amounts not distributed in the first year of any biennium may be distributed in the second year if required to distribute the maximum amount permissible under RSA 198:15-a. Source. 1955, 335:9, par. 14-e. 2008, 289:4, eff. Aug. 26, 2008. 2012, 275:4, eff. Aug. 18, 2012.

RSA 198:15-g Federal School Building Aid.

198:15-g. Federal School Building Aid. The department of education is hereby designated as the agency of the state of New Hampshire for the receipt and distribution of federal funds in aid of school building construction and is hereby given such authority in connection therewith as it may be required to possess by any federal act relating thereto in order to receive and distribute such funds, and it is hereby authorized to cooperate with the federal government or any agency thereof in the development of plans for the distribution of federal funds in aid of the construction of school buildings and to receive and expend in accordance with such plans all funds made available to it or the state of New Hampshire by the federal government or any of its agencies; provided, however, to the extent permitted by any federal act relating thereto, the department of education, in formulating plans for the distribution of federal funds, may give consideration to the effort made by any local school district in providing school buildings, its financial ability to pay for school buildings, the encouragement of cooperative school districts and the amounts received or to be received by school districts as state aid to school buildings under the provisions of this chapter as now or hereafter amended. Source. 1957, 301:3. 1986, 41:23, eff. April 3, 1988.

RSA 198:15-hh Annual Grant for Leased Space.

198:15-hh. Annual Grant for Leased Space. I. The amount of the annual grant for a lease to any school district duly organized, any city maintaining a school department within its corporate organization, any cooperative school district as defined in RSA 195:1, or any receiving district operating an area school as defined in RSA 195-A:1, shall be a sum equal to 30 percent of the amount of the annual payment of the lease incurred, for the cost of leasing permanent space in a building or buildings not owned by the school district or school administrative unit which is used for the operation of a high school vocational technical education program, to the extent approved by the state board of education. For the purposes of this section, the amount of the annual grant for a lease to a vocational technical education center shall be calculated in the same manner as a cooperative school district. The amount of the annual grant for a chartered public school authorized under RSA 194-B:3-a shall be a sum equal to 30 percent of the annual lease payment incurred for the cost of leasing space; provided that no annual grant for leased space provided to a chartered public school in accordance with this section shall exceed $50,000 in any fiscal year. The total amount of grants to schools pursuant to this section shall not exceed the state appropriation for leased space. If the amount appropriated is insufficient therefor, the appropriation shall be prorated proportionally among the schools eligible for a grant. Such lease agreements shall be eligible for grants under this section, provided all of the following conditions apply: (a) A school district, city, cooperative school district, joint maintenance agreement, receiving district operating an area school as defined in RSA 195-A:1, or chartered public school authorized under RSA 194-B:3-a, which receives grants under this section shall remain eligible to apply for, receive, and expend moneys from other state or federal sources made available for the purpose of purchasing new equipment, materials, or supplies necessary for the operation of the program. Moneys received from such other state or federal sources shall not be used to make permanent upgrades or renovations to the leased space. (b) A lease agreement for permanent space shall be adopted in the same manner as required by law for the passage of construction bonds in the school district, city, cooperative school district, joint maintenance agreement, or receiving district operating an area school as defined in RSA 195-A:1. A lease agreement for a chartered public school shall be approved by the chartered public school board of trustees pursuant to RSA 194-B:5, III(c). (c) An initial lease agreement for a term of 10 years or less shall be eligible to receive grants under this section. Upon renewal, a lease agreement may remain eligible to receive grants, provided the commissioner of the department of education determines that the lease agreement represents an efficient use of state and local resources. (d) In any fiscal year where the state pays a pro rata share of school building aid grants, the state shall pay the same pro rata share for lease agreements approved under this section. II. Lease agreements for the use of portable or modular classroom space shall not be eligible for grants. III. A school district, city, cooperative school district, joint maintenance agreement, receiving district operating an area school as defined in RSA 195-A:1, or chartered public school authorized under RSA 194-B:3-a shall submit details of the lease arrangement, including a copy of the proposed lease agreement, in writing to the state board of education on such forms as the state board may prescribe. Grant applications for leased space shall be submitted before January 1 of each year in order to be eligible for grants in the fiscal year following the year of submittal. The state board of education shall, no later than March 1, 2004, adopt rules pursuant to RSA 541-A, relative to procedures for grant applications for leased space. IV. Any state aid for leased space pursuant to this section shall require a separate appropriation, and shall not be included in the state appropriation for school building aid. Source. 2003, 296:5, eff. July 1, 2003. 2011, 193:1, 2, eff. Aug. 13, 2011. 2012, 275:9, eff. Aug. 18, 2012. 2019, 346:56, eff. July 1, 2019. 2021, 91:313, eff. July 1, 2021. 2023, 35:4, eff. July 1, 2023.

RSA 198:15-r Kindergarten Construction Program Established.

198:15-r. Kindergarten Construction Program Established. I. There is established in the department of education a kindergarten construction program to provide certain construction grants which shall be available to eligible school districts that currently do not operate a public kindergarten program. These grants shall be available until all school districts in the state operate a kindergarten program within an approved public school. Such eligible districts shall receive, at their election, either: (a) A construction grant to cover 75 percent of the actual cost of construction of kindergarten facilities, exclusive of site acquisition and core facilities; or (b) A construction grant to cover 100 percent of the actual cost of the design and construction of a basic code compliant kindergarten facility, but shall not include site acquisition and core facilities. In this subparagraph, "basic code compliant kindergarten facility" means a new building or an addition to an existing building that the commissioner of the department of education determines satisfies the minimum standards for school approval for a kindergarten program and all applicable building code standards. The commissioner shall establish specifications pursuant RSA 198:15-s, IV for such a basic code compliant facility. II. A school district that displaces pupils from an existing classroom space in order to use such space to provide a kindergarten program shall be eligible for a construction grant under subparagraphs I(a) or (b) to cover the costs incurred in constructing or renovating new classroom space for the displaced pupils. III. Grants under subparagraphs I(a) or (b) shall also cover the cost of initial furniture, fixtures, and equipment needed to operate a kindergarten program. IV. [Repealed.] V. A school district may contract with another school district to provide a public kindergarten program that meets or exceeds the minimum standards for school approval as adopted by the department of education. VI. The provisions of RSA 32:8 and RSA 32:11 shall not apply to costs incurred by a school district under this section. VII. Nothing in this subdivision shall prohibit the inclusion of the site and related facilities that are not eligible for funding by the state under this subdivision as part of kindergarten construction costs from being included in a regular building aid funding request as provided in RSA 198:15-b. However, no school district which receives any funding under this subdivision shall be eligible to receive school building aid under RSA 198:15-b for the same project. VIII. Kindergarten facilities constructed under this subdivision shall be the property of the school district or the city maintaining a school department. IX. A district shall not be deemed ineligible from receiving the full amount of a construction or transition grant for which it is otherwise eligible as a result of the district already expending funds for construction or transition costs related to providing a kindergarten program beginning in the 2008-2009 or 2009-2010 school years. Source. 1997, 348:5. 2001, 287:1, 2. 2003, 319:136. 2005, 164:3. 2006, 198:1, eff. July 1, 2006. 2008, 384:1, eff. July 11, 2008; 384:6, II, eff. July 1, 2013.

RSA 198:15-s Eligibility; Administration.

198:15-s. Eligibility; Administration. I. [Repealed.] II. [Repealed.] III. A kindergarten construction grant request shall contain, at a minimum, the following information: (a) A set of educational specifications, prepared by district staff. (b) Construction plans and cost estimates, prepared by a licensed architect. Construction plans and cost estimates shall comply with the following: (1) To be eligible for reimbursement pursuant to RSA 198:15-r, kindergarten construction shall be approved by the school district's legislative body on or before June 30, 2013. (2) The number of classrooms shall be based upon the largest projected kindergarten enrollment in the first 5 years following construction, based on a minimum of 20 students per half-day kindergarten class. (3) Classrooms shall be no larger than 1,000 square feet in size including restrooms and storage space. (4) Costs shall be limited to the annual maximum eligible cost standards in accordance with RSA 198:15-b, unless waived by the commissioner of the department of education for good cause. (5) Classroom furniture and equipment purchased for temporary classrooms pursuant to RSA 198:15-r, IV shall be relocated to permanent classrooms or replaced at district expense. (c) An assurance signed by the superintendent and the chair of the school board that facilities constructed under this subdivision will be used for a public kindergarten program. IV. The department of education shall administer the kindergarten construction program and shall be responsible for the following: (a) Providing technical assistance relative to kindergarten construction to school districts. (b) Developing and maintaining a kindergarten construction guide, including a list of recommended furnishings and equipment for kindergarten classrooms. (c) Establishing forms and procedures for school districts to use for the development and submission to the department of education of kindergarten construction grant requests. (d) Reviewing grant requests, including educational specifications, kindergarten construction plans, and cost estimates, and forwarding them to the commissioner of education with recommendations relative to their adequacy, educational appropriateness, and cost effectiveness. (e) Distributing kindergarten construction grant payments to eligible districts in accordance with the payment schedule specified by the commissioner of education in the district's grant approval notification. (f) Assuring that the facilities are used as specified in the grant request. Source. 1997, 348:5. 2001, 287:6, I, eff. July 1, 2001. 2008, 384:6, III, eff. July 11, 2008. 2011, 224:331, eff. July 1, 2011. 2012, 275:5, eff. Aug. 18, 2012.

RSA 198:15-t Penalty.

198:15-t. Penalty. If, within 20 years of the completion of kindergarten facilities constructed under this subdivision, a school district or city maintaining a school department discontinues the kindergarten program or uses these classrooms for other than kindergarten, it shall be required to pay back to the state 100 percent of the kindergarten construction grant payments received under RSA 198:15-s, IV(e). Upon a showing of good cause by the school district, the commissioner of education may waive this penalty in whole or part on a case by case basis. Source. 1997, 348:5, eff. July 1, 1997.

RSA 198:15-u Definitions.

198:15-u. Definitions. As used in this subdivision: I. "Median family income" means that income for each municipality using the most recent data available from the United States Bureau of the Census. II. "Equalized valuation per pupil" means the average equalized valuation within the school district over the most recent 5 years divided by the current number of pupils within the school district expressed as an average from the most recent 5 years of available data collected by the department of education. Source. 2003, 296:2, eff. July 1, 2005.

RSA 198:15-v Alternative School Building Aid Grants.

198:15-v. Alternative School Building Aid Grants. I. The amount of the annual grant to any school district duly organized, any city maintaining a school department within its corporate organization, any cooperative school district as defined in RSA 195:1, or any receiving district operating an area school as defined in RSA 195-A:1, shall be determined as follows: (a) Determine each municipality's equalized valuation per pupil by dividing the municipality's equalized valuation by the average daily membership in residence within each municipality. Assign each municipality a rank beginning with the municipality having the lowest equalized valuation per pupil ranked as number one, and continuing therefrom. (b) Determine each municipality's median family income, and assign each municipality a rank beginning with the municipality having the lowest median family income ranked as number one and continuing therefrom. (c) Add the rankings assigned in subparagraphs I(a) and I(b) and divide the sum by 2 to yield the building aid factor. II. (a) The amount of the annual grant in this subdivision shall be a sum equal to a percentage of the amount of the annual payment of principal on all outstanding borrowings of the school district, city, cooperative school district, joint maintenance agreement, or receiving district, for all approved costs of construction or purchase of school buildings and school administrative unit facilities, for grants approved on or before July 1, 2013 according to the following table: Building Aid Factor Single District Preexisting District in a Cooperative School District, Area School, or Joint Maintenance Agreement 0-59 60 percent 60 percent 60-69 55 percent 60 percent 70-89 45 percent 55 percent 90-114 40 percent 50 percent 115 or greater 30 percent 40 percent (b) For projects approved after July 1, 2013, the amount of the grant to any school district, city, cooperative school district, joint maintenance agreement, or receiving district shall be a sum equal to the percentage of all approved costs for construction or purchase of school buildings according to the following table: Building Aid Factor Building Aid Grant 0-59 60 percent 60-69 55 percent 70-89 45 percent 90-114 40 percent 115 or greater 30 percent III. A cooperative school district, receiving district operating an area school, or joint maintenance agreement grant amount shall be determined by calculating the percentage of the average daily membership in residence represented by each municipality which has entered into the agreement and multiplying this percentage by each municipality's percentage of annual building aid eligibility under paragraph II of this section. This product shall be multiplied by the projected cost of the building project. The sum of the resulting products shall be the annual building aid grant for the cooperative school district, area school, or joint maintenance agreement. Source. 2003, 296:2, eff. July 1, 2005. 2012, 275:6, eff. Aug. 18, 2012.

RSA 198:15-w Alternative School Building Aid Grants; Procedures.

198:15-w. Alternative School Building Aid Grants; Procedures. The provisions of RSA 198:15-c through 198:15-h shall apply to any grant made under this subdivision. Source. 2003, 296:2, eff. July 1, 2005.

RSA 198:15-y Public School Infrastructure Fund.

198:15-y. Public School Infrastructure Fund. I. The general court recognizes that there is a need to provide funding for infrastructure projects for public preschools, elementary, and secondary schools. Therefore, it is the intent of this chapter to designate certain surplus funds in the 2016-2017 biennial budget to provide grants to fund select school infrastructure projects in accordance with this chapter. II. There is hereby established in the office of the state treasurer the public school infrastructure fund which shall be kept distinct and separate from all other funds and which shall be administered by the department of education. After transferring sufficient funds to the revenue stabilization reserve account to bring the balance of that account to $100,000,000, the state treasurer shall transfer the remainder of the general fund surplus for fiscal year 2017, as determined by the official audit performed pursuant to RSA 21-I:8, II(a), to the fund. Any earnings on fund moneys shall be added to the fund. All moneys in the fund shall be nonlapsing and continually appropriated. The department of education may retain up to 3 percent of the total annual appropriation of the public school infrastructure fund on or after July 1, 2019, to be used to administer the public school infrastructure program. III. The public school infrastructure commission may authorize the department of education to fund expenditures for the following purposes: (a) A school building or infrastructure proposal in which the condition of such school building or portion thereof constitutes a clear and imminent danger to the life or safety of occupants or other persons and requires remediation as soon as practicable. (b) A school building or infrastructure proposal in which a structural deficiency in the function or operation of a school building or portion thereof presents a substantial risk to the life or safety of the occupants or other persons and is more than a technical violation of the fire code, and requires remediation as soon as practicable. (c) Support of fiber optic connections for schools to enhance and improve reliance on Internet technology tools, provided matching funds are available. (d) Funding for the department of safety, division of homeland security and emergency management's school emergency readiness program to improve security in public schools, after the completion of a security assessment, and in consultation with municipal officials. (e) A school building or infrastructure proposal which is necessary to comply with Americans with Disabilities Act (ADA) regulations. (f) School buses or other vehicles used for transportation of students. (g) Other school building or infrastructure needs the governor, in consultation with the public school infrastructure commission, may identify, except for school building aid projects that are otherwise prohibited by law. (h) Enhance public school emergency readiness with critical incident mapping technology to allow emergency response personnel and internal teams to operate from a unified understanding of site-specific nomenclature and other place characteristics associated with building infrastructure and grounds. IV. In order for a school to be eligible for a grant from the public school infrastructure fund, the public school infrastructure commission in consultation with the department of education shall determine that the school has a need unmet by federal stimulus funds for the project. Source. 2017, 156:67, eff. June 30, 2017. 2019, 27:1, eff. May 15, 2019; 346:318, 319, eff. July 1, 2019. 2021, 91:62, eff. July 1, 2021. 2024, 66:1, eff. Aug. 13, 2024; 226:5, eff. Sept. 17, 2024. 2025, 141:274, eff. July 1, 2025. 2026, 38:1, eff. April 22, 2026.

RSA 198:15-z Public School Infrastructure Commission Established.

198:15-z. Public School Infrastructure Commission Established. I. There is hereby established the public school infrastructure commission, which shall advise the governor on proposals for expenditures from the public school infrastructure fund established in RSA 198:15-y. The commission shall consist of the following members: (a) Two members of the house of representatives, appointed by the speaker of the house of representatives. (b) Two members of the senate, appointed by the president of the senate. (c) The director of the division of homeland security and emergency management, department of safety, or designee. (d) The commissioner of the department of education, or designee. (e) The chairperson of the New Hampshire school building authority, or designee. (f) The chairperson of the state board of education, or designee. II. Members of the commission shall serve at the pleasure of their appointing authority. III. Members of the commission shall serve without compensation, except that legislative members shall receive mileage at the legislative rate when attending to the duties of the commission. IV. The members of the commission shall elect a chairperson from among the members. The first meeting of the commission shall be called by the first-named house member. The first meeting of the commission shall be held within 45 days of the effective date of this section. The commission shall provide a report on or before November 30 of each year to the general court with information on fund expenditures for the year, projects begun or completed during the previous year, the balance in the public school infrastructure fund, and any other information the commission deems appropriate. V. The commission shall review the work and projects funded by the public school infrastructure fund during the previous year. Source. 2017, 156:67, eff. June 30, 2017. 2019, 27:2, eff. May 15, 2019. 2024, 226:6, eff. Sept. 17, 2024.

RSA 198:16 Unincorporated Towns and Unorganized Places.

198:16. Unincorporated Towns and Unorganized Places. I. By August 1, 1989, the department of education shall certify to county commissioners of each county responsible for unincorporated towns, unorganized places, and towns where by act of the legislature the school districts have been abolished, the amount of money deemed necessary to be raised by taxation to pay the costs of education for school children from such towns and places. II. The certified amount shall be assessed under RSA 81 on the taxpayers of each unincorporated town, unorganized place, and town where by act of the legislature the school district has been abolished on a pro rata basis based upon the actual number of school children who reside in each town or place. III. The county commissioners shall, following receipt of the taxes collected under this section, pay them to the county treasurer. From time to time, as deemed advisable by the department of education, it shall submit to the county commissioners bills for payment for the costs of education of the children from such unincorporated towns, unorganized places, and towns where by act of the legislature the school districts have been abolished and the education of the children made the responsibility of the state. IV. The unexpended proceeds of any balance in the fund created under RSA 198:16 prior to October 1, 1989, shall be transferred to the county treasurers of counties with unincorporated towns, unorganized places, and towns where by act of the legislature the school districts have been abolished on a pro rata basis according to the number of school children who reside in each county. The pro rata distribution shall be based on the number of school children who resided in each unincorporated town and unorganized place, or town where by act of the legislature the school districts have been abolished at the close of the 1988-89 school year. The distribution shall be made prior to December 1, 1989. Source. 1919, 106:23. 1921, 85, VI:6. PL 121:15. RL 140:15. RSA 198:16. 1955, 224:2. 1963, 147:2. 1973, 544:8. 1989, 262:1, eff. May 26, 1989; 266:33, eff. July 1, 1989.

RSA 198:18 Cooperative School District Aid.

198:18. Cooperative School District Aid. I. As an incentive to the pre-existing districts which, heretofore or hereafter, undertake the obligations of a cooperative school district, the state board shall, from funds appropriated by the general court to carry out the provisions hereof, pay annually to each cooperative school district sums in accordance with the following schedule: For each pupil from a pre-existing district who attends a cooperative school located in another pre-existing district in average daily membership in the preceding school year, in a cooperative elementary school, $45; in a cooperative junior high school or equivalent program, $60; and in a cooperative high school, $75. II. As of June 30 in each year the state board shall cause to be computed the amount of annual grants to be paid to cooperative school districts in the succeeding fiscal year based upon average daily memberships in the preceding fiscal year. If in any year the amount appropriated for distribution hereunder is insufficient therefor, the available appropriation shall be apportioned proportionately among the several cooperative school districts. Any available appropriation not fully distributed in the first year of any biennium may be distributed in the second year if required to meet the formula established in paragraph I. Source. 1963, 277:2, eff. July 1, 1964.

RSA 198:19 Area School Aid.

198:19. Area School Aid. I. As an incentive to receiving and sending districts which undertake the obligations of an area school, the state board shall, from funds appropriated by the general court to carry out the provisions of this chapter, pay annually to each receiving district sums in accordance with the following schedule: For each pupil from a sending district in average daily membership in the preceding school year; in an area elementary school, $ 45; in an area junior high school or equivalent program, $ 60; and in an area high school, $ 75. II. As of June 30 in each year, the state board shall cause to be computed the amount of annual grants to be paid to eligible receiving districts for use as provided in area plans approved hereunder, in the succeeding fiscal year, based upon average daily membership from sending districts in the preceding fiscal year. If, in any year, the amount appropriated for distribution hereunder is insufficient therefor, the available appropriation shall be distributed proportionately among the receiving districts entitled to such grant. Any available appropriations not fully distributed in the first year of any biennium may be distributed in the second year if required to meet the formula established in paragraph I. Source. 1969, 104:12, eff. June 24, 1969.

RSA 198:20 Closing of Nonpublic Schools.

198:20. Closing of Nonpublic Schools. Whenever a nonpublic school, or a portion thereof, closes and any of its pupils become enrolled in the public schools, the state board in determining eligibility for any form of state aid computed wholly or in part on the basis of average daily membership of pupils may count these newly enrolled pupils as though they had been in average daily membership at the public schools of the district during the preceding school year. Source. 1969, 104:14. 1971, 211:1, eff. Aug. 17, 1971.

RSA 198:20-a Payment of Governmental Moneys Prohibited in Nonpublic School Without Program Approval by the Board of Education for Disabled Children.

198:20-a. Payment of Governmental Moneys Prohibited in Nonpublic School Without Program Approval by the Board of Education for Disabled Children. No state moneys or moneys raised and appropriated by any political subdivision of the state or any federal moneys administered by the state or any political subdivision thereof shall be paid or granted to a nonpublic school for the education and training of disabled children as defined by RSA 186-C:2, I which has not been approved by the state board of education pursuant to those policies adopted under the provisions of RSA 186:11, XXIX. Source. 1974, 28:2. 1990, 140:2, X, eff. June 18, 1990.

RSA 198:20-b Appropriation for Unanticipated Funds Made Available During Year.

198:20-b. Appropriation for Unanticipated Funds Made Available During Year. I. Notwithstanding any other provision of law to the contrary, any school district at an annual meeting may adopt an article authorizing indefinitely, until specific rescission of such authority, the school board to apply for, accept and expend, without further action by the school district, unanticipated money from a state, federal or other governmental unit or a private source which becomes available during the fiscal year. The following shall apply: (a) Such warrant article to be voted on shall read: "Shall the school district accept the provisions of RSA 198:20-b providing that any school district at an annual meeting may adopt an article authorizing indefinitely, until specific rescission of such authority, the school board to apply for, accept and expend, without further action by the school district, unanticipated money from a state, federal or other governmental unit or a private source which becomes available during the fiscal year?" (b) If a majority of voters voting on the question vote in the affirmative, the proposed warrant article shall be in effect in accordance with the terms of the article until such time as the school district votes to rescind its vote. II. Such money shall be used only for legal purposes for which a school district may appropriate money. No funds disbursed from the education trust fund pursuant to RSA 198:42 shall, under any circumstances, emergency or otherwise, be deemed to be unanticipated money under the provisions of this section. All funds made available during the year and not disclosed in the annual report pursuant to RSA 198:4 shall be deemed to be unanticipated money under the provisions of this section. III. (a) For unanticipated funds in the amount of $20,000 or more, the school board shall hold a prior public hearing on the action to be taken. Notice of the time, place, and subject of such hearing shall be published in a newspaper of general circulation in the relevant municipality at least 7 days before the meeting is held. Such notice shall contain the title or other identifier of the fund, as well as a summary of any obligations incurred by accepting the unanticipated funds, or state that there are no obligations incurred. (b) A school board may establish the amount of unanticipated funds required for notice under this subparagraph, provided such amount is less than $20,000. For unanticipated funds in an amount less than $20,000, the school board shall post notice of the funds in the agenda and shall include notice in the minutes of the school board meeting in which such funds are discussed. The minutes of the school board meeting shall contain the title or other identifier of the fund, a summary of any obligations incurred by accepting the unanticipated funds, or state that there are no obligations incurred. The acceptance of unanticipated funds under this subparagraph shall be made in public session of any regular school board meeting. IV. Action to be taken under this section shall: (a) Not require the expenditure of other school district funds except those funds lawfully appropriated for the same purpose; and (b) Be exempt from all provisions of RSA 32 relative to limitation and expenditure of school district moneys. Source. 1981, 167:1. 1991, 329:1. 1993, 176:12, 13. 2000, 201:1. 2005, 188:1, eff. Aug. 29, 2005. 2023, 38:1, eff. July 18, 2023. 2026, 130:2, eff. Aug. 11, 2026.

RSA 198:20-c Trust Funds Created for Specific Purposes; Expenditures; Administration.

198:20-c. Trust Funds Created for Specific Purposes; Expenditures; Administration. I. The school district may at any annual or special meeting appropriate such sums of money as it deems necessary to create expendable trust funds for specific purposes for the maintenance and operation of schools and for any other public purpose that is not foreign to the school district's institution or incompatible with the objects of their organization. The school board may be named agents to expend such trust funds. Expenditure from such trust funds shall be made only for the purpose for which the trust fund was established. II. School district trust funds created pursuant to this section shall be held in custody by the trustee named pursuant to RSA 31:22 of trust funds of the town wherein the school district lies, or in the case of school districts embracing 2 or more towns, by the trustees of trust funds of that town which the voters of the school district may elect at the annual school district meeting. In order to expend such funds, the school board shall hold a public hearing prior to the expenditure to be made. Notice of the time, place, and subject of such hearing shall be published in a newspaper of general circulation in the relevant municipality at least 7 days before the meeting is held. III. A trust fund created under the provisions of this section that is established for the purpose of maintaining health insurance funds for the benefit of employees and retired employees of any school district, including an OPEB trust established pursuant to paragraph VII, shall be exempt from the provisions of paragraph II, and when so established, the school district may name its own trustees who may expend any funds in the trust for the payment of health claims or health insurance premiums for the benefit of any employees or retired employees of the school district. An annual accounting and report of the activities of the trust shall be presented to the school board of the district and published in the annual report. IV. Trust funds created pursuant to this section shall be revocable by majority vote of the legal voters present and voting at any annual meeting, unless the vote creating the trust expressly provides that the trust shall be irrevocable, and upon revocation the trustees of trust funds holding the account for said trust shall pay all the moneys in such funds to the school treasurer. V. Notwithstanding any other provision of law, any trust fund created under this section shall be subject to the same provisions concerning custody, investment, expenditure, change of purpose and audit as are reserve funds established under RSA 35:1 or 35:1-c. The legal validity of such a fund properly established shall not be affected by its designation as a "trust," "reserve," "capital reserve," or any other designation. A trust fund established for maintaining health insurance funds as set forth in paragraph III shall be exempt from the provisions of RSA 35:8. VI. The district may authorize the acceptance of privately-donated gifts, legacies and devises to be utilized for the same purpose as a trust fund created under this section; provided, however, that such gifts, legacies or devises shall be invested and accounted for separately from, and not commingled with, amounts appropriated under paragraph I, and shall be subject to the custody and investment provisions applicable to trust funds accepted under RSA 31:31. VII. (a) A school district that created, on or before January 1, 2012, an actuarial liability to pay other post-employment benefits (OPEB) to employees or officers after their termination of service may establish an irrevocable trust to pay those benefits. In this paragraph, the term "other post-employment benefits" means employee benefits other than pensions that are received after employment ends, and may include such medical, disability, or other health benefits, as are covered by Statement No. 45 of the Governmental Accounting Standards Board (GASB). The term "trust" means a trust qualified under GASB Statement No. 43. (b) Deposits to any fund under such a trust and any earnings on those deposits shall be irrevocable and shall be held in trust for the exclusive benefit of retirees and their beneficiaries in accordance with the terms of the plans or programs providing other post-employment benefits, except that funds governed by the trust may be withdrawn for other purposes only when an employer's liability owed to former officers or employees for other post-employment benefits has been satisfied or otherwise eliminated pursuant to subparagraph (d)(2). The assets of any trust created pursuant to this paragraph or in which a school district participates pursuant to this paragraph shall be exempt from taxation and execution, attachment, garnishment, or any other process. No public officer, employee, or agency shall divert, use, or authorize the use of such funds for any purpose other than as provided in law for other post-employment benefits covered by the trust and administrative expenses. (c) The trustees of any trust created pursuant to this paragraph shall have the full power to invest, reinvest, and manage the assets of the trust. The trustees shall invest the assets of the trust with the care, skill, prudence, and diligence under the circumstances then prevailing that a prudent person acting in a like capacity and familiar with such matters would use in the conduct of an enterprise of a like character and with like aims. The trustees shall also diversify such investments so as to minimize the risk of large losses unless under the circumstances it is clearly prudent not to do so. The trustees may engage a trust administrator, investment consultants, or other qualified professionals to assist with management and investment of the funds of the trust and may pay for these services out of the funds of the trust. (d) The school district may withdraw money from the funds of a trust created pursuant to this paragraph only: (1) As needed to pay other post-employment benefits owed to former officers and employees; or (2) When all other post-employment benefits liability owed to former officers or employees of the employing entity has been satisfied or otherwise defeased. Source. 1991, 329:2. 1993, 176:14, 15. 1995, 20:8, eff. June 11, 1995. 2012, 219:2, 3, eff. July 1, 2012.

RSA 198:20-d Reimbursement Anticipation Notes.

198:20-d. Reimbursement Anticipation Notes. Notwithstanding any other provision of law to the contrary, a school district or a city with a dependent school district may incur debt in anticipation of reimbursement under RSA 186-C:18 and under RSA 198:42. The governing body, after notice and public hearing, may elect to borrow such funds and to recognize the proceeds of the borrowing as revenue for property tax rate setting purposes by providing written notification to the commissioner of the department of revenue administration stating the specific amount of borrowing to be recognized as revenue. Note proceeds shall only be used for the same purpose as the anticipated funds. Any borrowing under this section shall be exempt from the provisions of RSA 33, relative to debt limits. Source. 1992, 238:4. 1994, 337:3. 1998, 243:2. 1999, 17:43, eff. April 29, 1999; 17:44, eff. at 12:01 a.m., July 1, 1999; 303:9, eff. at 12:02 a.m., July 1, 1999. 2026, 133:1, eff. June 12, 2026.

RSA 198:21 Grants.

198:21. Grants. I. Any school district which has in operation an approved dual enrollment agreement under the provisions of RSA 193:1-a shall be granted for the first school year that such agreement is in operation the full operational costs of implementing such agreement, exclusive of any part of the cost and carrying charges of any capital improvements; and for the next succeeding school year, if such operation is then continued, 1/2 of such costs. II. Application for any such grant shall be submitted by a district to the state board of education no later than the July 1 preceding the start of the school year for which it shall be applicable, provided that the board may, for good cause shown, accept any such application up to but no later than the start of the applicable school year. III. The board shall determine what costs shall be allowed in computing the amount of any grant, and shall make payments of such grants from the funds appropriated therefor. IV. In the event that for any year insufficient sums are available to pay grants in full as provided by this section to all qualified applying school districts the state board of education shall prorate such grants so that all such districts receive the same proportion. V. No pupil counted by any school district for the purpose of calculating the amount of a grant to be paid pursuant to this section shall for the same school year by the same district be counted for the purposes of grants pursuant to RSA 198:22. Source. 1970, 51:2. 1999, 17:48, eff. April 29, 1999.

RSA 198:22 Grants.

198:22. Grants. I. Any school district which is providing any child benefit service pursuant to the authority of RSA 189:49 and 50 shall be granted the following proportion of the costs, exclusive of any part of the cost and carrying charges of any capital improvements, of providing such service to any student who regularly attends a nonpublic school within the district for more than 1/2 each school day: (a) Not more than 70 percent of such cost of any such service. II. Application for any such grant shall be submitted by a district to the state board of education no later than the July 1 preceding the start of the school year for which it shall be applicable, provided that the board may, for good cause shown, accept any such application up to but no later than the start of the applicable school year. Payment of said grant shall be made upon submission of certified expenses prior to the end of the applicable fiscal year. III. The board shall determine what costs shall be allowed in computing and the amount of any grant, and shall make payments of such grants from the funds appropriated therefor. IV. In the event that for any year insufficient sums are available to pay grants in full as provided by this section to all qualified applying school districts the state board of education shall prorate such grants so that all such districts receive the same proportion thereof. V. No pupil counted by any school for the purpose of calculating the amount of a grant to be paid pursuant to this section shall for the same school year by the same district be counted for the purpose of grants pursuant to RSA 198:21. Source. 1970, 51:4. 1973, 501:2. 1999, 17:49, eff. April 29, 1999.

RSA 198:23 Tuition Paid to School District.

198:23. Tuition Paid to School District. When a child has been placed in a home by the children and youth services division of the department of health and human services or by a licensed child-placing agency, the school district in which said home is located shall be entitled to the funds provided under the provisions of this subdivision. Source. 1973, 277:1. 1983, 291:1, I, eff. July 1, 1985.

RSA 198:24 Amount of Payment.

198:24. Amount of Payment. I. Each school district shall be entitled to receive an amount not to exceed $200 per year for each foster child who attends a school in such district. If more than one school district is involved during any school year, the amount of payment to any one district will be distributed in accordance with RSA 198:26. II. If the sums appropriated to the foster children tuition fund established by 1975, 505:1.06, 03, 03, 01, 21 is not totally expended for the purpose of paragraph I, then any amount remaining unexpended shall be divided equally between the following 2 categories: foster children placed in a program or school for persons with disabilities and foster children placed in a group home or nonprofit institution which averages 6 or more foster children annually. Each category shall be entitled to receive an equal share of this division; and, within each category, the amount so appropriated shall be distributed on a per capita basis based upon the number of children within the category. Source. 1973, 277:1. 1977, 340:1. 1990, 140:2, III, eff. June 18, 1990.

RSA 198:25 Proration.

198:25. Proration. If, in any year, the number of children entitled to receive benefits in accordance with RSA 198:24 shall exceed the amount appropriated for such purpose, the amount shall be prorated proportionally among the districts entitled to the tuition payments. In carrying out the proration, all sums appropriated to the foster children tuition fund established by 1975, 505:1.06, 03, 03, 01, 21 which have not been expended or encumbered on August 30, 1977, shall be divided equally between foster children placed in a program or school for persons with disabilities and foster children placed in a group home or nonprofit institution which averages 6 or more foster children annually. After this division between foster home groups and disabled foster children programs, said sums shall be disbursed on a pro rata basis for each disabled foster child up to 100 percent of actual costs and on a pro rata basis for each foster child in group foster homes. In subsequent years, this same pro rata distribution shall be made of these foster children tuition funds. Source. 1973, 277:1. 1977, 340:2. 1990, 140:2, III, X, eff. June 18, 1990.

RSA 198:26 Time of Computation.

198:26. Time of Computation. As of June 30 in each year, the state board shall cause to be computed the amount of annual grants to be paid eligible districts in the succeeding fiscal year as provided herein. If the foster home is located in a pre-existing district within a cooperative district, any aid paid under this subdivision shall be credited to said pre-existing district. Any available appropriation not fully distributed among the districts in the first year of any biennium may be distributed in the second year if required to meet the formula established. Source. 1973, 277:1. 1977, 340:3, eff. Aug. 30, 1977.

RSA 198:38 Definitions.

198:38. Definitions. In this subdivision: I. (a) "Average daily membership in attendance" or "ADMA" means the average daily membership in attendance, as defined in RSA 189:1-d, III, of pupils in kindergarten through grade 12, in the determination year. ADMA shall only include pupils who are legal residents of New Hampshire pursuant to RSA 193:12 and educated at school district expense which may include public academies or out-of-district placements. For the purpose of calculating funding for municipalities, the ADMA shall not include pupils attending chartered public schools, but shall include pupils attending a charter conversion school approved by the school district in which the pupil resides. (b) For the purpose of calculating ADMA, each pupil who is home educated in compliance with RSA 193-A and who is enrolled in a school board approved public school academic course in grades 7 through 12 shall count as an additional 0.15 pupil for each such academic course taken in a public school. In this subparagraph, "public school" shall have the same meaning as "standard school" as defined in RSA 189:24. I-a. (a) "Average daily membership in residence" or "ADMR" means the average daily membership in residence, as defined in RSA 189:1-d, IV, of pupils in kindergarten through grade 12, in the determination year. ADMR shall only include pupils who are legal residents of New Hampshire pursuant to RSA 193:12 and educated at school district expense which may include public academies or out-of-district placements. For the purpose of calculating funding for municipalities, the ADMR shall not include pupils attending chartered public schools, but shall include pupils attending a charter conversion school approved by the school district in which the pupil resides. (b) For the purpose of calculating ADMR, each pupil who is home educated in compliance with RSA 193-A and who is enrolled in a school board approved public school academic course in grades 7 through 12 shall count as an additional 0.15 pupil for each such academic course taken in a public school. In this subparagraph, "public school" shall have the same meaning as "standard school" as defined in RSA 189:24. II. "Commissioner" means the commissioner of the department of education. III. "Department" means the department of education. IV. "Determination year" means the school year immediately preceding the school year for which aid is determined. Unless otherwise indicated, determination year data shall be used to calculate aid. V. "Pupil receiving special education services" means a pupil with a disability as defined in RSA 186-C:2, I. VI. "English language learner" means a pupil who has a predominant language other than English or who is educationally disadvantaged by a limited English proficiency, and who participated in the annual assessment of English language proficiency required of such pupils by the Elementary and Secondary Education Act, 20 U.S.C. section 6311 (b)(7). VI-a. "Municipality" means a city, town, or unincorporated place. VII. "Pupils eligible for a free or reduced-price meal" means pupils in kindergarten through grade 12 who are eligible for the federal free or reduced-price meal program. No pupil or school shall be required to participate in the federal free or reduced price meal program. VIII. "School district" means school district as defined in RSA 194:1 and shall include cooperative school districts as defined in RSA 195:1, I. Source. 1999, 17:41; 65:1; 281:12. 2002, 260:1. 2003, 241:3, 6. 2004, 200:3. 2005, 257:5. 2006, 191:3, eff. July 29, 2006. 2008, 173:4, eff. July 1, 2009. 2011, 258:10, eff. July 1, 2011. 2012, 198:1, 2, eff. July 1, 2012. 2015, 251:1, eff. Sept. 11, 2015. 2016, 8:1, eff. Mar. 16, 2016. 2019, 346:232, eff. July 1, 2019 at 12:01 a.m. 2022, 175:3, eff. July 1, 2022. 2024, 99:1, eff. Sept. 1, 2024.

RSA 198:39 Education Trust Fund Created and Invested.

198:39. Education Trust Fund Created and Invested. I. The state treasurer shall establish an education trust fund in the treasury. Moneys in such fund shall not be used for any purpose other than: (a) To distribute adequate education grants to municipalities' school districts pursuant to RSA 198:42. (b) To distribute grants to municipalities school districts and to approved chartered public schools pursuant to RSA 194-B:11. (c) To distribute kindergarten grants to municipalities' and school districts pursuant to RSA 198:48-c. (d) To provide low and moderate income homeowners property tax relief under RSA 198:56-198:61. (e) To distribute funds to scholarship organizations approved under RSA 77-G, that administer and implement RSA 194-F. (f) To distribute phase-out grants to school districts under RSA 194-F:10. (g) To fund costs necessary to provide the statewide assessment program required under RSA 193-C. (h) To fund department of education operating costs for a state student data collection and reporting system, within budgeted appropriations. (i) To fund department of education costs for administering programs funded by the education trust fund, within budgeted appropriations, plus any additional funding authorized pursuant to paragraph III. (j) To distribute school building aid to school districts pursuant to RSA 198:15-b. (k) To distribute tuition and transportation funds to school districts for students attending career and technical education programs pursuant to RSA 188-E:9. (l) To distribute special education aid to school districts pursuant to RSA 186-C:18. (m) To distribute payments to education service providers on behalf of school districts for children with disabilities in certain court ordered placements pursuant to RSA 186-C:19-b. (n) To distribute payments to providers for costs of special education and education services related to an episode of treatment pursuant to RSA 193:27, VII. (o) To distribute grants for leased space to approved chartered public schools pursuant to RSA 198:15-hh. (p) To fund grants from the public school infrastructure fund under RSA 198:15-y. (q) To fund department of education operating costs, as authorized under RSA 198:39, III. II. The state treasurer shall deposit into the education trust fund immediately upon receipt: (a) Funds certified to the state treasurer by the commissioner of revenue administration pursuant to RSA 77-A:20-a, relative to business profits taxes. (b) Funds certified to the state treasurer by the commissioner of revenue administration pursuant to RSA 77-E:14, relative to business enterprise tax. (c) Funds collected and paid over to the state treasurer by the commissioner of revenue administration pursuant to RSA 78-A:26, II, relative to the tax on motor vehicle rentals. (d) Funds collected and paid over to the state treasurer by the department of revenue administration pursuant to RSA 78:24, relative to tobacco taxes. (e) Funds certified to the state treasurer by the commissioner of revenue administration pursuant to RSA 78-B:13, relative to real estate transfer taxes. (f) Funds collected and paid over to the state treasurer by the department of revenue administration pursuant to RSA 83-F:7, I, relative to the utility property tax. (g) All moneys due the fund in accordance with RSA 284:21-j, relative to sweepstakes and the lottery. (h) Tobacco settlement funds in the amount of $40,000,000 or, for any year in which the total tobacco settlement funds received by the state is less than $40,000,000, the total amount of tobacco settlement funds received by the state. (i) The school portion of any revenue sharing funds distributed pursuant to RSA 31-A:4 which were apportioned to school districts in the property tax rate calculations in 1998. (j) Funds collected and paid over to the state treasurer by the lottery commission pursuant to RSA 284:44, RSA 284:47, and RSA 287-I. (k) Any other moneys appropriated from the general fund. III. If required expenditures to administer programs funded by the education trust fund, pursuant to paragraph I, exceed amounts appropriated, the commissioner of education may request the fiscal committee of the general court authorize additional funding. Amounts requested under this paragraph shall be a charge to the education trust fund. For funds requested and approved, the governor is authorized to draw a warrant from any money in the treasury not otherwise appropriated. IV. The education trust fund shall be nonlapsing, except for at the close of each biennium, any surplus in excess of $20,000,000, as determined by the official audit performed pursuant to RSA 21-I:8, II(a), shall be transferred by the comptroller to the general fund. The state treasurer shall invest that part of the fund which is not needed for immediate distribution in short-term interest-bearing investments. The income from these investments shall be returned to the fund. Source. 1999, 17:41; 338:8. 2004, 97:3; 200:4. 2005, 257:4, 15. 2006, 301:2. 2007, 272:2, eff. July 3, 2007. 2011, 258:9, IV, eff. July 1, 2011. 2017, 229:3, eff. July 1, 2017. 2019, 178:9, eff. Jan. 1, 2020; 215:3, eff. July 12, 2019. 2021, 91:60, 114, eff. July 1, 2021. 2023, 79:138, eff. July 1, 2023. 2025, 141:79, 80, eff. July 1, 2025.

RSA 198:40-a Cost of an Opportunity for an Adequate Education.

198:40-a. Cost of an Opportunity for an Adequate Education. I. For the biennium beginning July 1, 2023, the annual cost of providing the opportunity for an adequate education as defined in RSA 193-E:2-a shall be as specified in paragraph II. The department shall adjust the rates specified in this paragraph in accordance with RSA 198:40-d. II. (a) A cost of $4,100 per pupil in the ADMR, plus differentiated aid as follows: (b) An additional $2,300 for each pupil in the ADMR who is eligible for a free or reduced price meal anytime during the determination year; plus (c) An additional $800 for each pupil in the ADMR who is an English language learner anytime during the determination year; plus (d) An additional $2,100 for each pupil in the ADMR who is receiving special education services anytime during the determination year. III. The sum total calculated under paragraph II shall be computed toward the cost of an adequate education, defined in RSA 193-E:2-a, including all differentiated aid. The department shall determine the cost of an adequate education, as defined in RSA 193-E:2-a, for each municipality based on the ADMR of pupils who reside in that municipality. Source. 2005, 257:6, eff. July 1, 2005 at 12:02 a.m. 2008, 173:5, eff. July 1, 2009. 2011, 258:2, eff. July 1, 2011. 2012, 198:4-6, eff. July 1, 2012. 2016, 8:2, eff. Mar. 16, 2016. 2017, 100:2, eff. Aug. 7, 2017. 2022, 175:4, eff. July 1, 2022. 2023, 79:150, eff. July 1, 2023. 2026, 19:3, eff. May 26, 2026.

RSA 198:40-d Annual Adjustment.

198:40-d. Annual Adjustment. Beginning July 1, 2026, and every year thereafter, the department of education shall adjust the following with an increase of 2 percent annually, rounded up to the nearest whole dollar: I. Per pupil costs in RSA 198:40-a, II; and II. Chartered public school additional grants under RSA 194-B:11, I(b)(1)(A) and (B). Source. 2008, 173:8, eff. July 1, 2011. 2011, 258:8, eff. July 1, 2011 at 12:01 a.m. 2016, 8:3, eff. Mar. 16, 2016. 2022, 175:5, eff. July 1, 2022. 2023, 79:151, eff. July 1, 2023. 2025, 141:223, eff. July 1, 2026.

RSA 198:40-f Extraordinary Need Grants.

198:40-f. Extraordinary Need Grants. I. In addition to aid for the cost of the opportunity for an adequate education provided under RSA 198:40-a, each year the commissioner shall calculate an extraordinary need grant for schools and provide that amount of aid to a municipality's school districts as follows: (a) A municipality with an equalized valuation per pupil eligible to receive a free or reduced-priced meal of $1,697,933 or less shall receive $11,730 per pupil eligible to receive a free or reduced-price meal in the municipality's ADMR. (b) A municipality with an equalized valuation per pupil eligible to receive a free or reduced-price meal between $1,697,934 and $7,003,972 shall receive a grant equal to $0.00221069 for each dollar of difference between its equalized valuation per pupil eligible to receive a free or reduced-price meal and $7,003,972 for each pupil eligible to receive a free or reduced-price meal in the municipality's ADMR. (c) A municipality with an equalized valuation per pupil eligible to receive a free or reduced-price meal of $7,003,973 or more shall not receive an extraordinary need grant. II. In this section: (a) "Grant floor" means $1,697,933 in equalized valuation per free or reduced-price meal pupil. (b) "Grant ceiling" means $7,003,973 in equalized valuation per free or reduced-price meal pupil. (c) "Factor" means $0.00221069 for each dollar difference between equalized valuation per free or reduced-price meal pupil. (d) "Maximum grant" means $11,730 per free or reduced-price meal pupil. III. The extraordinary needs grants shall be calculated using the formula described in paragraph I, however, beginning July 1, 2027, and every year thereafter, the grant floor, grant ceiling, and maximum grant shall be increased by 2 percent. The factor shall be readjusted by taking the newly adjusted maximum grant and dividing by the difference between the grant floor and grant ceiling. Source. 2022, 318:1, eff. July 1, 2022. 2023, 79:153, eff. July 1, 2023; 79:154, eff. July 1, 2025. 2025, 141:224, eff. July 1, 2026.

RSA 198:40-g Fiscal Capacity Disparity Aid.

198:40-g. Fiscal Capacity Disparity Aid. I. In addition to aid for the cost of the opportunity for an adequate education provided under RSA 198:40-a, each year the commissioner shall calculate a fiscal capacity disparity aid grant for schools and provide that amount of aid to a municipality's school districts as follows: (a) A municipality with an equalized valuation per pupil of $1,000,000 or less shall receive $1,250 per pupil eligible in the municipality's ADMR. (b) A municipality with an equalized valuation per pupil between $1,000,001 and $1,599,999 shall receive a grant equal to $0.00208333 for each dollar of difference between its equalized valuation per pupil and $1,599,999, for each pupil the municipality's ADMR. (c) A municipality with an equalized valuation per pupil of $1,600,000 or more shall not receive a fiscal capacity disparity aid grant. II. In this section: (a) "Grant floor" means $1,000,000 in equalized valuation per pupil. (b) "Grant ceiling" means $1,600,000 in equalized valuation per pupil. (c) "Factor" means $0.00208333 for each dollar difference between equalized valuation per pupil. (d) "Maximum grant" means $1,250 per pupil. III. The fiscal capacity disparity aid grants shall be calculated using the formula described in paragraph I, however, beginning July 1, 2027, and every year thereafter, the grant floor, grant ceiling, and maximum grant shall be increased by 2 percent. The factor shall be readjusted by taking the newly adjusted maximum grant and dividing by the difference between the grant floor and grant ceiling. Source. 2025, 141:225, eff. July 1, 2026.

RSA 198:41 Determination of Education Grants.

198:41. Determination of Education Grants. I. Except for municipalities where all school districts therein provide education to all of their pupils by paying tuition to other institutions, the department of education shall determine the total education grant for the municipality as follows: (a) Add the per pupil cost of providing the opportunity for an adequate education for which each pupil is eligible pursuant to RSA 198:40-a, I-III, and from such amount; (b) Subtract the amount of the education tax warrant to be issued by the commissioner of revenue administration for such municipality reported pursuant to RSA 76:8 for the next tax year; [Paragraph I(c) effective until July 1, 2027; see also paragraph I(c) set out above and below.] (c) Add the municipality's extraordinary need grant pursuant to RSA 198:40-f; and [Paragraph I(c) effective July 1, 2027; see also paragraph I(c) set out above.] (c) Add the municipality's extraordinary need grant pursuant to RSA 198:40-f. [Paragraph I(d) effective until July 1, 2027; see also paragraph I(d) set out below. (d) Add the municipality's fiscal capacity disparity aid grant pursuant to RSA 198:40-g. [Paragraph I(d) effective July 1, 2027; see also paragraph I(d) set out above.] (d) Add the municipality's fiscal capacity disparity aid grant pursuant to RSA 198:40-g; and [Paragraph I(e) effective July 1, 2027.] (e) For municipalities with a total ADMR of 5,000 or more, subtract the amount necessary to limit the total additional targeted aid to $3,750 per pupil in the municipality's ADMR. For the purpose of this paragraph, additional targeted aid shall be the sum of a municipality's extraordinary needs grant and fiscal capacity disparity aid grant. I-a. For municipalities where all school districts therein provide education to all of their pupils by paying tuition to other institutions, the department of education shall determine the total education grant for each municipality as the lesser of the 2 following calculations: (a) The amount calculated in accordance with paragraph I of this section; or (b) The total amount paid for items of current education expense as determined by the department of education minus the amount of the education tax warrant to be issued by the commissioner of revenue administration for such municipality reported pursuant to RSA 76:8 for the next tax year. II. For fiscal year 2024 and fiscal year 2025, the department of education shall distribute a hold harmless grant equal to any amount in which a municipality's adequacy grant is less than 104 percent of the fiscal year 2024 preliminary estimate for the adequacy grant as of November 15, 2022. No municipality with a current adequacy grant amount that exceeds the fiscal year 2024 preliminary estimate shall receive a hold harmless grant. No hold harmless grant shall be distributed to any municipality in which the municipality's education property tax warrant pursuant to RSA 76:8 exceeds the total cost of an adequate education. III. Beginning in fiscal year 2026, the hold harmless grant calculated under paragraph II shall decrease as a percent of the amount awarded under the following schedule: (1) 80 percent of the calculated fiscal year 2025 hold harmless grant shall be awarded for fiscal year 2026 and fiscal year 2027. (2) 60 percent of the calculated fiscal year 2025 hold harmless grant shall be awarded for fiscal year 2028 and fiscal year 2029. (3) 40 percent of the calculated fiscal year 2025 hold harmless grant shall be awarded for fiscal year 2030 and fiscal year 2031. (4) 20 percent of the calculated fiscal year 2025 hold harmless grant shall be awarded for fiscal year 2032 and fiscal year 2033. (5) No hold harmless grant shall be awarded for fiscal year 2034 and each year thereafter. IV. The department shall use the best available data and methods to estimate ADMR and education grants by November 15 of the year preceding the school year for which aid is determined. V. The department shall produce a revised estimate of grants using actual determination year data for the purpose of settling municipal tax rates. A municipality's grant estimate shall not be less than 95 percent of the estimate reported pursuant to paragraph IV. The commissioner of the department of education shall provide the estimate for the current fiscal year to the commissioner of the department of revenue administration no later than October 1 of each year. VI. The department shall make a final determination of grant amounts by October 1. A municipality's grant estimate shall not be less than 95 percent of the estimate reported pursuant to paragraph IV. The department shall adjust the April grant disbursement required pursuant to RSA 198:42 so that the total amount disbursed for the fiscal year shall match the final grant determination. VI-a. The final determination of the grant amount can be modified after October 1 after a vote in the affirmative by the state board under the following conditions: (a) The department or a school district petitioned the state board to modify the October 1 grant determination prior to January 15 of the same fiscal year and the state board votes in the affirmative to accept the petition by February 15; (b) The change being considered within the scope of the petition shall have a total adequacy dollar impact greater than $10,000 for at least one municipality; and (c) The petition specifically identifies the municipality or municipalities requiring change in the final grant amount and the amount being modified. VII. Reports of grant determinations for municipalities required pursuant to paragraphs IV- VI shall be available to the public by the date specified in paragraphs IV- VI, and the department shall make available a report for multi-town school districts and municipalities with multiple school districts. The department of education shall provide the department of revenue administration the information needed to set tax rates. [Paragraph I(c) effective until July 1, 2027; see also paragraph I(c) set out above and below.] [Paragraph I(c) effective July 1, 2027; see also paragraph I(c) set out above.] [Paragraph I(d) effective until July 1, 2027; see also paragraph I(d) set out below. [Paragraph I(d) effective July 1, 2027; see also paragraph I(d) set out above.] [Paragraph I(e) effective July 1, 2027.] Source. 1999, 17:41; 338:10. 2003, 241:7. 2004, 200:8; 244:4. 2005, 257:7, 8. 2006, 6:1, 2. 2007, 270:3, eff. June 29, 2007. 2008, 173:9, eff. July 1, 2009; 173:17, I, eff. June 30, 2009; 173:17, III, eff. July 1, 2011. 2011, 258:3, eff. July 1, 2011. 2013, 4:1, eff. Mar. 18, 2013; 144:120, eff. July 1, 2013. 2015, 276:139, eff. July 1, 2015; 276:140, eff. July 1, 2017. 2016, 8:4, 5, eff. Mar. 16, 2016; 85:9, eff. July 18, 2016. 2019, 346:235, eff. July 1, 2020; 346:236, III, eff. July 1, 2021; 346:238, eff. July 1, 2019. 2021, 91:57, eff. July 1, 2021. 2022, 175:7, eff. July 1, 2022; 318:2, eff. July 1, 2022. 2023, 79:156, eff. July 1, 2023. 2024, 332:2, eff. Oct. 1, 2024. 2025, 141:83, eff. July 1, 2025; 142:2, eff. July 1, 2026; 142:3, eff. July 1, 2027.

RSA 198:42 Distribution Schedule of Adequate Education Grants; Appropriation.

198:42. Distribution Schedule of Adequate Education Grants; Appropriation. I. The adequate education grant determined in RSA 198:41 shall be distributed to each municipality's school district or districts 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. II. For the fiscal year beginning July 1, 2005, and every fiscal year thereafter, the amount necessary to fund the grants under RSA 198:41 is hereby appropriated to the department from the education trust fund created under RSA 198:39. The governor is authorized to draw a warrant from the education trust fund to satisfy the state's obligation under this section. Such warrant for payment shall be issued regardless of the balance of funds available in the education trust fund. If the balance in the education trust fund, after the issuance of any such warrant, is less than zero, the comptroller shall transfer sufficient funds from the general fund to eliminate such deficit. The commissioner of the department of administrative services shall inform the fiscal committee and the governor and council of such balance. This reporting shall not in any way prohibit or delay the distribution of adequate education grants. III. The department of education shall certify the amount of each grant to the state treasurer and direct the payment thereof to the school district or municipality. Source. 1999, 17:41; 65:3; 303:11. 2003, 319:159. 2004, 200:9. 2005, 257:9. 2006, 301:5. 2007, 270:3, eff. June 29, 2007. 2008, 274:31, eff. July 1, 2008; 354:1, eff. Sept. 5, 2008. 2011, 224:153, eff. July 1, 2011. 2012, 198:3, eff. July 1, 2012. 2013, 144:61, eff. July 1, 2013. 2016, 8:6, eff. Mar. 16, 2016. 2017, 156:153, eff. July 1, 2017.

RSA 198:43 Additional Education Expenditures.

198:43. Additional Education Expenditures. School districts are authorized to develop educational programs beyond those required for an adequate education and to raise and appropriate amounts necessary for such programs. Source. 1999, 17:41. 2005, 257:15. 2007, 270:3, eff. June 29, 2007.

RSA 198:43-a Severability.

198:43-a. Severability. If any provision of RSA 198:38 through RSA 198:43 or the application thereof to any person or circumstances is held invalid, such invalidity shall not affect other provisions or applications of RSA 198:38 through RSA 198:43 which can be given effect without the invalid provision or application, and to this end, such provisions are declared to be severable. Source. 2011, 258:4, eff. July 1, 2011.

RSA 198:45 Submission of Data.

198:45. Submission of Data. The governing body of every school district, city, joint maintenance agreement, chartered public school, or approved public academy shall submit all records, data, or other information required under this subdivision in accordance with the provisions of RSA 189:28. Source. 1999, 17:41. 2003, 314:3. 2005, 189:3, eff. Aug. 29, 2005. 2008, 354:1, eff. Sept. 5, 2008. 2014, 247:1, eff. Sept. 19, 2014. 2016, 8:7, eff. Mar. 16, 2016.

RSA 198:48 Maintenance of Local Control.

198:48. Maintenance of Local Control. Distributions under RSA 198:42 are based on adequate education costs determined in RSA 198:41 and are independent of how the municipalities decide to spend the distributions or other funds they may raise for education. Notwithstanding any other provision of law, nothing in this subdivision is intended in any way to limit or control how school districts operate or spend their budgets except that adequate education grants must be expended for educational purposes. Adequate education grants shall not be considered unanticipated funds under RSA 198:20-b. Source. 1999, 17:41; 338:11. 2000, 201:2. 2004, 200:12. 2005, 257:19. 2007, 270:3, eff. June 29, 2007.

RSA 198:48-a Alternative Kindergarten Programs.

198:48-a. Alternative Kindergarten Programs. I. A school district that currently does not operate a kindergarten program within an approved public school maintained by the local district or currently does not contract with another established public kindergarten program for the education of its resident kindergarten pupils, may submit to the commissioner of the department of education a local plan for an alternative kindergarten program based upon contractual arrangements with one or more nonpublic, non-sectarian schools or facilities. An alternative kindergarten program shall be: (a) Offered immediately preceding the other elementary grades. (b) Designed primarily for 5-year-olds. (c) Available at district expense to all kindergarten-aged children who reside in the district. II. An alternative kindergarten program shall satisfy the same criteria established for public kindergarten programs in the New Hampshire standards for school approval. III. A local plan for an alternative kindergarten program shall be approved by the school board. A local plan for an alternative kindergarten program shall be submitted to the commissioner of the department of education at times established by the commissioner. IV. A local plan shall contain the following information: (a) A description of the alternative kindergarten program. (b) A list of the nonpublic, non-sectarian schools or facilities to be utilized. (c) Evidence that the alternative kindergarten program satisfies the same criteria established for public kindergarten programs in the New Hampshire minimum standards for the approval of schools. (d) Procedures for coordinating and articulating curriculum, instruction, and support services provided under the alternative kindergarten program with curriculum, instruction, and support services provided in the other elementary grades. (e) An explanation of how students will be transported to and from the schools or facilities to be utilized. V. The plan shall be reviewed by the department of education for compliance with statutory requirements. VI. If an approved alternative kindergarten program utilizes more than one school or facility, the school board or the superintendent or other administrative officer designated by the school board may take into consideration parental preference when assigning students to schools or facilities. VII. (a) Upon the effective date of this paragraph, and for each fiscal year through June 30, 2003, an adequate education grant of $1,200 per pupil shall be distributed to school districts, from the education trust fund created in RSA 198:39, for the education of its resident kindergarten pupils enrolled in an approved alternative kindergarten program established under this section. (b) Once pupils enrolled in an approved alternative kindergarten program have been counted in the average daily membership in residence, school districts shall receive, for each such pupil, an adequate education grant calculated in accordance with RSA 198:41 through RSA 198:42. VIII. Notwithstanding the provisions of this section, alternative kindergarten programs which were approved and in effect prior to April 29, 1999 may continue to operate and shall continue to receive per pupil adequate education grant amounts in accordance with RSA 198:41 through RSA 198:42. Source. 2000, 289:1. 2001, 158:36. 2005, 257:20. 2007, 270:3, eff. June 29, 2007. 2008, 384:4, eff. July 11, 2008. 2017, 63:8, eff. Aug. 1, 2017.

RSA 198:48-b Kindergarten Adequate Education Grants.

198:48-b. Kindergarten Adequate Education Grants. Notwithstanding any provision of law to the contrary: I. A school district which operates a full-day kindergarten program in any school year in which the adequate education grant provided pursuant to RSA 198:42 does not include a count of the full-day kindergarten students, shall receive an additional adequate education grant based on the number of pupils attending kindergarten in the district as of the beginning of the school year. II. The per pupil amount of the additional education grant provided in this section shall be 50 percent of the amount distributed under RSA 198:40-a, II(a), based on the number of pupils enrolled and present on the first day of school in the current year in a full-day kindergarten program in the district. Once pupils enrolled in an approved kindergarten program have been counted in the average daily membership, school districts shall receive, for each such pupil, an adequate education grant calculated in accordance with RSA 198:40-a, II. III. For the fiscal year ending June 30, 2021, and every fiscal year thereafter, the amount necessary to fund the grants under this section is hereby appropriated to the department from the education trust fund established in RSA 198:39. If the balance in the education trust fund is less than zero, the governor is authorized to draw a warrant for sufficient funds to eliminate such deficit out of any money in the treasury not otherwise appropriated. The commissioner of the department of administrative services shall inform the fiscal committee and the governor and council of such balance. This reporting shall not in any way prohibit or delay the distribution of kindergarten adequate education grants. Source. 2008, 384:2, eff. July 11, 2008. 2020, 38:2, eff. July 29, 2020. 2021, 91:315, eff. June 30, 2021.

RSA 198:48-c Kindergarten Grants.

198:48-c. Kindergarten Grants. I. (a) For fiscal year 2019, in addition to any funds received pursuant to RSA 198:40-a, in the first year that a school district or chartered public school that operates an approved full-day kindergarten program, the commissioner of the department of education shall calculate and distribute a grant of $1,100 per kindergarten pupil based on the enrollment number of eligible full-day kindergarten pupils on the first day of the school year. The superintendent, or designee, shall certify the enrollment number of kindergarten pupils to the commissioner. (b) For fiscal year 2019, once pupils enrolled in an approved full-day kindergarten program have been counted in the school district's average daily membership in attendance as defined in RSA 198:38, I, a school district, or a chartered public school based on its kindergarten average daily membership enrollment number, shall receive, in addition to any funds received pursuant to RSA 198:40-a, an additional grant of $1,100 per kindergarten pupil attending a full-day kindergarten program. The commissioner shall certify the amount of the grant to the state treasurer and direct the payment thereof from the education trust fund established in RSA 198:39 to the school district or chartered public school. (c) Grants shall be disbursed to a school district pursuant to the distribution schedule in RSA 198:42 and to a chartered public school pursuant to the distribution schedule in RSA 194-B:11, I(c). (d) The amount necessary to fund the grants under this section is hereby appropriated to the department from the education trust fund. The governor is authorized to draw a warrant from the education trust fund to satisfy the state's obligation under this section. II. A school district or chartered public school that operates an approved full-day kindergarten program for which it receives funding under this section shall permit a pupil to attend kindergarten for a half-day. III. [Repealed.] Source. 2017, 229:4, eff. July 1, 2017. 2019, 346:233, eff. July 1, 2019 at 12:01 a.m.

RSA 198:56 Definitions.

198:56. Definitions. In this subdivision: I. "Commissioner" means the commissioner of the department of revenue administration. II. "Homestead" means the dwelling owned by a claimant or, in the case of a multi-unit dwelling, the portion of the dwelling which is owned and used as the claimant's principal place of residence and the claimant's domicile for purposes of RSA 654:1. "Homestead" shall not include land and buildings taxed under RSA 79-A or land and buildings or the portion of land and buildings rented or used for commercial or industrial purposes. In this paragraph, the term "owned" includes: (a) A vendee in possession under a land contract; (b) One or more joint tenants or tenants in common; or (c) A person who has equitable title, or the beneficial interest for life in the homestead. III. "Household income" means the sum of the adjusted gross income for federal income tax purposes of the claimant and any adult member of the claimant's household who resides in the homestead for which a claim is made. "Household income" shall also include all income of any trust through which the claimant holds equitable title, or the beneficial interest for life, in the homestead. IV. "Tax relief" means the low and moderate income homeowners property tax relief provided in this subdivision. V. "New Hampshire household" means any person filing a federal income tax return as head of household or 2 or more adults who jointly share the benefit of the homestead. "New Hampshire household" shall not include those adults who share the homestead under a landlord-tenant relationship. VI. "Dependent" means a person residing in a homestead who is claimed as a dependent for federal income tax purposes. Source. 2001, 158:80, eff. July 1, 2002.

RSA 198:57 Low and Moderate Income Homeowners Property Tax Relief.

198:57. Low and Moderate Income Homeowners Property Tax Relief. I. Pursuant to the provisions of this subdivision, eligible claimants shall be granted tax relief following the effective date of this subdivision. II. Residents shall apply to the department of revenue administration for such tax relief. III. An eligible tax relief claimant is a person who: (a) Owns a homestead or interest in a homestead subject to the education tax; (b) Resided in such homestead on April 1 of the year for which the claim is made, except such persons as are on active duty in the United States armed forces or are temporarily away from such homestead but maintain the homestead as a primary domicile; and (c) Realizes total household income of: (1) $37,000 or less if a single person; (2) $47,000 or less if a married person or head of a New Hampshire household. IV. All or a portion of an eligible tax relief claimant's state education property taxes, RSA 76:3, shall be rebated as follows: (a) Multiply the total local assessed value of the claimant's property by the percentage of such property that qualifies as the claimant's homestead; (b) Multiply $220,000 by the most current local equalization ratio as determined by the department of revenue administration; (c) Multiply the lesser of the amount determined in subparagraph (a) or (b) by the education tax rate as shown on the tax bill under RSA 76:11-a; (d) Multiply the product of the calculation in subparagraph (c) by the following percentage as applicable to determine the amount of tax relief available to the claimant: (1) If a single person and total household income is: (A) less than $23,100, 100 percent; (B) $23,100 but less than $27,800, 60 percent; (C) $27,800 but less than $32,400, 40 percent; or (D) $32,400 but less than or equal to $37,000, 20 percent. (2) If a head of a New Hampshire household or a married person and total household income is: (A) less than $29,400, 100 percent; (B) $29,400 but less than $35,300, 60 percent; (C) $35,300 but less than $41,100, 40 percent; or (D) $41,100 but less than or equal to $47,000, 20 percent. (e) The amount determined by subparagraph (d) is the allowable tax relief in any year. V. If a homestead is owned by 2 or more persons as joint tenants or tenants in common, and one or more of such joint owners do not principally reside at such homestead, tax relief applies to the proportionate share of the homestead value that reflects the ownership percentage of the claimant. Only one claim may be filed for a single homestead. VI. (a) Complete applications for state tax relief shall be filed with the department of revenue administration between May 1 and June 30 following the due date of the final tax bill as defined in RSA 76:1-a for state education property taxes. (b) The commissioner may accept late filed, but complete, applications filed on or before November 1, under the following circumstances: (1) The claimant satisfies the commissioner that the claimant was prevented from timely filing the application due to accident, mistake or misfortune. (2) The claimant or other adult member of the household requested an extension of time to file his or her federal income tax return. VII. Each claimant shall provide a copy of his or her federal income tax return and a copy of the federal income tax return for each adult member of the claimant's household for the corresponding tax period. Claimants and adult household members who were not required to file a federal tax return for the immediately prior tax period may submit an affidavit to such effect in lieu of a tax return which document shall include the affiant's social security number. A claimant or any other adult member of the household, who requested an extension to file his or federal income tax return, shall attach a copy of the federal extension to the claim. A claimant who asserts ownership in a homestead because he or she holds equitable title, or the beneficial interest for life, in the homestead shall also submit a copy of the document creating such interest and a copy of the federal tax return, if any, for the immediately prior tax period, of the trust holding legal title to the homestead. Any documents submitted shall be considered confidential, and protected under RSA 21-J:14. VIII. The provisions of RSA 359-C shall not apply to the documents required to be submitted under this section. Source. 2001, 158:80. 2004, 238:6. 2005, 257:12, 13, eff. July 1, 2005 at 12:02 a.m. 2008, 173:15, eff. July 1, 2009. 2021, 95:1, eff. Aug. 30, 2021.

RSA 198:58 Rulemaking; Forms; Notice.

198:58. Rulemaking; Forms; Notice. I. The commissioner shall adopt rules, under RSA 541-A, relative to the administration of the tax relief provisions of this subdivision. II. The commissioner shall approve and provide forms relative to the administration of this subdivision. III. Claim forms shall include the following: (a) Instructions on completing and filing the form; (b) Sections for information concerning the claimant, the claimant's household, the property for which tax relief is sought, and such other information as is reasonably necessary to determine the accuracy of the claim; (c) Instructions on appeal procedure and time limits relative to such appeals; and (d) A place for the claimant's signature with a certification by the claimant that the claim is made in good faith and that the facts contained in the claim are true. IV. The commissioner shall publicize notice of the tax relief provisions in a suitable manner. Source. 2001, 158:80, eff. July 1, 2002.

RSA 198:59 Penalties; Assessment of Erroneous Claims.

198:59. Penalties; Assessment of Erroneous Claims. I. Any person who files a claim for tax relief under this subdivision with fraudulent intent and any person who assisted in the preparation or filing of the claim or supplied information upon which the claim was prepared shall be guilty of a misdemeanor. I-a. The commissioner shall have the authority to audit any claim for relief filed under this subdivision to determine whether the claim has been granted erroneously. Any such audit shall commence within 3 years after the claim has been granted. Any assessment made by the commissioner shall be subject to appeal in accordance with RSA 198:60, I. II. The commissioner may assess and collect the amount of any sums granted for property tax relief relative to a fraudulent or erroneously paid claim for tax relief including interest provided under RSA 21-J:28 and an additional penalty of 25 percent for the erroneous amount of such claim or an additional penalty of the greater of 25 percent or $1,000 for a fraudulent claim. Source. 2001, 158:80. 2004, 238:7, eff. June 15, 2004.

RSA 198:60 Appeals.

198:60. Appeals. I. Whenever the commissioner refuses to grant a claimant tax relief, or after an audit, assesses an amount against the claimant for property tax relief granted including interest and applicable penalties for an erroneously paid claim, the claimant may appeal in writing within 30 days of notice of such refusal or assessment to the board of tax and land appeals. II. The board of tax and land appeals may reverse or affirm, in whole or in part, or modify the decision appealed from when there is an error of law or when the board finds the commissioner's action to be arbitrary or unreasonable. Source. 2001, 158:80. 2004, 238:8, eff. June 15, 2004.

RSA 198:61 Refund of Tax Claims.

198:61. Refund of Tax Claims. The department of revenue administration shall review a claim for tax relief filed with it and, if such claim is determined to be valid, shall certify such amount to the state treasurer within 120 days who shall pay such claims from funds in the education trust fund. Such sums are hereby appropriated and the governor is authorized to draw a warrant from the education trust fund to satisfy the state's obligation under this section. Such warrant for payment shall be issued regardless of the balance of funds available in the education trust fund. If the balance in the education trust fund, after the issuance of any such warrant, is less than zero, the commissioner of the department of revenue administration shall inform the fiscal committee and the governor and council of such balance. This reporting shall not in any way prohibit or delay the payment of valid claims. The department shall notify a claimant whose claim is rejected in whole or in part of such determination within 90 days of the department's receipt of the claim and all required documentation. Source. 2001, 158:80. 2004, 238:11, eff. June 15, 2004.
Source: New Hampshire General Court (gc.nh.gov)URL: https://gc.nh.gov/rsa/html/NHTOC/NHTOC-XV-198.htmFetched: 10/20/2026

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