This bill introduces several key provisions regarding carbon sequestration and timber tax revenue in New Hampshire. It defines "pre-sequestration timber tax revenue" as the average timber tax revenue received by municipalities over the five years prior to a landowner's commitment to a carbon sequestration program. Additionally, it establishes a new payment option for landowners, allowing them to make a payment in lieu of taxes that equals the difference between the pre-sequestration timber tax revenue and the actual timber tax paid. The bill also enacts a moratorium on carbon sequestration contracts for land parcels over 500 acres, prohibiting any new agreements until the completion of a study commission.

The bill creates a Carbon Sequestration Programs Study Commission tasked with examining the impacts of carbon sequestration on state and local tax revenue, forest management, and the logging industry. The commission will consist of various stakeholders, including legislative members, state officials, and representatives from relevant associations. It is required to report its findings and recommendations by November 1, 2027. The bill repeals certain existing provisions related to payments in lieu of taxes and the study commission, with the new regulations taking effect on July 1, 2025, and the repeal effective November 1, 2027.

Statutes affected:
Introduced: 79:5
As Amended by the House: 79:1, 79:3
As Amended by the Senate: 79:1
Version adopted by both bodies: 79:1
CHAPTERED FINAL VERSION: 79:1