Sen. Morse warns Gov. Hassan is over inflating MET revenues

Says bad estimates likely to create a $200 million hole in next budget

CONCORD, NH -- Senate Finance Chairman Chuck Morse, R-Salem, has taken a closer look at revenue projections in Gov. Maggie Hassan's budget relating to the Medicaid Enhancement Tax (MET), and is voicing concerns today. Morse says his analysis reveals her MET estimates, combined with a federal match, are overinflated by over $200 million.  The MET is a 5.5 percent tax paid by all hospitals in the state on their net patient revenues.

     Morse urged caution over the inclusion of unrealistic revenues to balance the next state budget for 2014-2015.  For 2014, Hassan estimates MET revenues will be $232 million, a 19% increase over 2013. In 2015, her total is $250 million which is

8% more than the previous year. The two years put together equal $112 million more in anticipated revenues.    

     “We have hard data on what the MET tax raised in 2012 and 2013,” Morse said. “It is fiscally irresponsible to include revenue projections that anticipate $112 million in growth over what the MET tax is expected to raise in the current budget. Combined with a federal match, this one area inflates Gov. Hassan's budget over $200 million.”

     Morse added, “We continue to peel back the layers of this budget without the benefit of HB2 which is the written explanation of how all of the numbers in HB1 work.  Despite this obstacle that the governor has created, I will remain focused on building a budget in the Senate that is based on realistic and reliable revenue projections." 

NHDP - Chair Ray Buckley's Statement on NHGOP's Frivolous Budget Complaint

Concord, NH - New Hampshire Democratic Party Chair Ray Buckley released the following statement on the New Hampshire Republican Party's frivolous budget complaint.

"The NH GOP is proving once again that they have no ideas to offer the people of New Hampshire to create jobs and move our economy forward," said Buckely. "Instead of reevaluating their far right stances to actually appeal to voters, the state GOP has decided to focus on a pathetic political ploy that will cost Granite Staters by wasting the time of our Justice Department."

"Having suffered historic losses at all levels this past November, the New Hampshire Republican Party is reduced to political grandstanding while Democrats pursue policies that will help the lives of hundreds of thousands of Granite State citizens."

"This state's Republican party is so bereft of ideas to move New Hampshire forward that they are reduced to filing frivolous lawsuits in a Justice Department already overworked as a result of the draconian cuts imposed on it by Chairwoman's Horn's mentor Bill O'Brien," said Buckley.  "Franky, I think if any deadlines should be on Chairwoman Horn's mind, it should be the deadline that her taxes are due on."

NHGOP RESPONSE TO GOV HASSAN'S EXCUSES FOR NOT SUBMITTING BUDGET DOCUMENTS

Concord - New Hampshire Republican State Committee Communications Director Meg Stone released the following statement in response to Governor Maggie Hassan's attempt to make excuses for not following the law and submitting important budget documents to the legislature on time. Governor Hassan responded during a conference call from Washington to a complaint filed by NHGOP Chairman Jennifer Horn with Attorney General Michael Delaney regarding her attempts to undermine New Hampshire law:

"The law is the law, and Granite Staters expect Governor Hassan to follow it and submit a responsible and balanced plan to the legislature by the required deadlines. Instead, Maggie Hassan has failed to provide responsible leadership, and for the first time in New Hampshire history a governor has proposed a reckless budget that is built on non-existent and illegal sources of revenue. Her lack of transparency is raising serious questions about what details she is trying to hide from our legislators as they review her proposal. It is time for the governor to stop making excuses, return to New Hampshire, and outline a “Plan B” to address a potential deficit that could be created by her careless budget."

NHGOP STATEMENT ON HASSAN'S STILL MISSING BUDGET DOCUMENTS

Concord, NH- New Hampshire Republican State Committee Chairman Jennifer Horn released the following statement today regarding Governor Hassan's failure at meeting the deadline for HB2: 

"Governor Hassan is now a full week over due in releasing the budget documents that, according to New Hampshire State Law (RSA 9:3 III), were due on February 15th. The irresponsible lack of fiduciary attention is unacceptable from the Chief Executive Officer of our state. Instead of hobnobbing in Washington, DC with President Obama, who, coincidentally, has not passed a budget since his first year in office, Gov. Hassan should be in Concord doing the important work of providing a reasonable, balanced budget. 

"The governor has already started out the budget process on shaky ground by relying on $80 million dollars in non-existent casino licensing revenue to balance New Hampshire's books. Her unwillingness to meet deadlines and provide basic documents for her proposal is raising serious questions about her weak leadership and feeble fiscal stewardship that must be addressed."

Josiah Bartlett Center - The Incomplete Budget, RGGI, and Housing Data

Weekly Update from the
Josiah Bartlett Center

Keeping you up to date on our latest research
on the issues impacting New Hampshire

The Governor's Budget is Incomplete but Worrisome

The governor’s budget address last week, while surprisingly incomplete, did reveal some troubling trends as well as a few pieces of good news. There are a lot of details we can’t figure out until she finishes the budget detail (which was due last Friday) but we do have a sense of the priorities she has set.

The governor is required by law to present a budget no later than February 15 of her first year in office. The components of that budget are spelled out by law but they boil down to one document which is the numbers – a sort of giant spreadsheet – that becomes House Bill 1 and a second document which includes all the explanations and legal language – a narrative document that explains the spreadsheet – that becomes House Bill 2... Click here to keep reading.

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NHOpenGov

The State's Checkbook Online

Ever wonder how and where New Hampshire spends your tax dollars? Look no further than NHOpenGov.org, an open government project of the Center. We now have more than 3.5 Million transactions detailing how every last dollar was spent from the past 4 1/2 years. Help us find government waste! Click here to start looking.

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Changes in Greenhouse Gas Program are All About Money

Lowering the Cap About Money, not the Environment

Five years in, the Regional Greenhouse Gas Initiative isn’t working out the way its supporters said it would, and they want to make drastic changes to the program in order to get state revenues flowing again... Click here to keep reading.

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The NH Housing Market in January

Slight Uptick in Foreclosures, Sales Fall

According to the foreclosure tracking firm RealtyTrac, 512 New Hampshire residential properties received foreclosure notices in January. While this is an increase from the 405 in December, the number of filings seen last month is substantially lower than the 2012 monthly average. Click here to keep reading.