This bill proposes several significant changes to current law, primarily focusing on taxation, healthcare premiums, and funding for higher education. It raises the tobacco tax from $1.78 to $2.80 per pack of 20 cigarettes or little cigars, as indicated by the insertion of $2.80 and the deletion of $1.78 in RSA 78:2, I. Additionally, the bill appropriates $18 million annually to the University System of New Hampshire, as established in the new section 187-A:2-d, which aims to restore higher education funding to 2024 budget levels. Furthermore, the bill repeals the collection of certain healthcare premiums, specifically those related to the children’s health insurance program and the New Hampshire granite advantage health care program, as noted in the repeals of RSA 126-A:3, IX and RSA 126-AA:2-a. The fiscal impact of these changes is expected to increase state general fund expenditures by $18 million annually for the university system, while the repeal of the healthcare premiums is projected to increase expenditures by approximately $16 million each year. The bill is set to take effect on July 1, 2026.

Statutes affected:
Introduced: 78:2
HB1596 text: 78:2