This bill proposes significant changes to the funding structure for an adequate education in New Hampshire. It amends RSA 198:40-a to increase the base cost of providing an adequate education from $4,100 to $7,356.01 per pupil, effective for the biennium beginning July 1, 2025. Additionally, the bill expands the definition of an adequate education under RSA 193-E:2-b to include specific resource elements such as costs for teachers, administrative staff, technology, and transportation, among others. The general court is also mandated to update the cost of an adequate education at least every two years, using evidence from actual costs from approved schools.

The fiscal impact of this bill is substantial, with an estimated increase in district adequacy grants of approximately $454.5 million in FY 2026, alongside increases in charter school grants and education freedom accounts. The bill anticipates a similar magnitude of impact in subsequent years, although specific figures for FY 2027 and beyond remain indeterminable. The funding for these changes will be sourced from the Education Trust Fund, with provisions allowing the Department of Education to draw necessary funds regardless of available resources, potentially impacting the general fund in case of deficits.

Statutes affected:
Introduced: 198:40-a, 193-E:2-b