SB 158-FN – AS INTRODUCED
2011 SESSION
06/01
SENATE BILL 158-FN
AN ACT relative to the payment of state aid grants for water and wastewater for 2009 and 2010.
SPONSORS: Sen. Gallus, Dist 1; Sen. Odell, Dist 8; Sen. D'Allesandro, Dist 20; Rep. Umberger, Carr 1; Rep. St. Cyr, Belk 5; Rep. Spang, Straf 7; Rep. Chandler, Carr 1; Rep. Kappler, Rock 2
This bill requires the commissioner of the department of environmental services to provide state aid to eligible entities with wastewater and public water supply projects, that were eligible for such aid but were not funded beginning in 2009 due to budget reductions, with any new appropriations that become available before providing such funding for any other new projects.
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
11-0986
06/01
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Eleven
AN ACT relative to the payment of state aid grants for water and wastewater for 2009 and 2010.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Wastewater and Public Water Supply Projects; Priority Given. Amend 2010, 63:1 to read as follows:
63:1 Wastewater and Public Water Supply Projects; Priority Given.
I. As new revenue or appropriations become available to fund new state aid grant projects under RSA 486 or RSA 486-A, the department of environmental services shall give priority [on a first-in, first-out basis] to [communities] eligible entities that had wastewater projects eligible under RSA 486 or public water supply projects eligible under RSA 486-A [that were not funded] and for which funding was not available in fiscal year 2009, fiscal year 2010, or fiscal year 2011, prior to funding any new projects.
II. In the event that new revenue or appropriations are not sufficient to provide the full amount of aid to all unfunded projects otherwise eligible for state aid grants under RSA 486 and RSA 486-A, the amount that is available shall be provided to all such projects by reducing all payments to these eligible entities by the same percentage. A separate priority list shall be maintained by the department of environmental services for eligible entities for which payments were not made due to unavailable funding. This list shall show the total amounts for which each entity was eligible from October 2008 through fiscal year 2013 and every fiscal year thereafter until all payments have been paid.
2 Effective Date. This act shall take effect upon its passage.
LBAO
11-0986 02/02/11
SB 158-FN - FISCAL NOTE
AN ACT relative to the payment of state aid grants for water and wastewater for 2009 and 2010.
FISCAL IMPACT:
The Department of Environmental Services states this bill may increase state general fund expenditures and local revenue by an indeterminable amount in FY 2011 and each year thereafter. There is no fiscal impact on county and local expenditures, or state and local revenue.
METHODOLOGY:
The Department of Environmental Services states this bill requires state aid be provided to wastewater and public water supply projects that are eligible for state aid and for which there was no funding available in FY 2009, FY 2010, or FY 2011. The Department states that under RSA 486:1 (aid to municipalities for water pollution control) and RSA 468-A (aid to public water systems) eligible entities can receive 20% of the annual amortization charges (principal and interest) on the original costs of eligible projects. For certain projects described in RSA 486:1 and RSA 486-A eligible entities may receive 25% or more in state aid grants for eligible projects. There are some eligible entities that pay cash for their projects and have no annual principal or interest. Practice has been to provide these entities with lump sum state aid payments over a five year period for public water systems and for water pollution control systems over $50,000. If a water pollution control systems project was $50,000 or less a one time lump sum payment is made.
The Department states most projects are financed over a 20 or 30 year period with yearly principal and interest payments due over those periods. The Department states it is unclear when an appropriation would be made or the amount of the appropriation. The Department is able to provide information on the full cost for four years of state aid for eligible projects for which there has been no funding since FY 2009:
Year 1 |
Year 2 |
Year 3 |
Year 4 | |
Wastewater Projects |
$2,917,325 |
$2,643,064 |
$2,628,810 |
$2,610,360 |
Drinking Water Projects |
141,415 |
141,415 |
141,415 |
141,415 |
Total |
$3,058,740 |
$2,784,479 |
$2,770,225 |
$2,751,775 |