This bill amends RSA 189:11-a to allow school boards to raise the eligibility threshold for free meals to 200 percent of the federal poverty level. It mandates that meals served to students who meet federal income eligibility guidelines will continue to be reimbursed according to federal law, while meals not covered by federal reimbursement will be reimbursed by the state at a rate covering 50 percent of the difference between the federal rates for free and reduced-price meals or paid meals. The Department of Education is required to adopt rules ensuring that school districts provide both online and physical applications for free meals and will offer administrative assistance to districts establishing online applications. The bill also includes appropriations of $107,000 for administrative costs and $250,000 for reimbursements to school districts for the biennium ending June 30, 2026, although there is a noted technical error regarding the timing of these appropriations.

Additionally, the bill proposes changes to the current USDA process for providing administrative and technical assistance to schools in establishing online systems for free or reduced-price meal applications. It includes provisions for hiring two miscellaneous business operator specialists, with estimated costs of $109,000 in FY 2027, $114,000 in FY 2028, and $119,000 in FY 2029, assuming a start date of July 1, 2025. However, due to a technical error in the appropriation section, no funding is currently allocated for these personnel positions. The fiscal impact of the bill is indeterminate, as it depends on how many school boards choose to raise eligibility for free meals, with potential reimbursement costs estimated at around $7 million annually. The bill also includes a provision for a 10% meal reimbursement for students below 200% of the poverty line, which would increase the general fund for districts, but the $250,000 appropriation for software to establish an online application system is not available due to the technical mistake.

Statutes affected:
Introduced: 189:11-a
SB517 text: 189:11-a