This bill amends the procedure for overriding local tax caps by requiring a supermajority vote of the legislative body. Specifically, it repeals and reenacts RSA 32:5-b, III, which now stipulates that when a proposed appropriation exceeds the local tax cap, voting must occur by ballot. A 3/5 majority or a supermajority, as defined by local charter, is necessary for the appropriation to be approved. The bill also clarifies that only affirmative or negative votes will be counted in this calculation. Additionally, if the operating budget exceeds the tax cap and does not receive the required majority, the budget will be reduced to comply with the cap.
Furthermore, the bill mandates that school districts place the warrant article for the School Administrative Unit (SAU) budget at the beginning of their warrant. It ensures that the provisions apply to local tax caps adopted before the bill's effective date without requiring local amendments. The act is set to take effect 60 days after its passage, with an effective date of September 13, 2025.