Karen Burnett-Kurie: State can easily provide funding for adequate education

To The Daily Sun,

In July I wrote about how the New Hampshire state government can provide funding for an adequate education without a broad base tax. In fact, it’s possible with no new sources of income, just taxes we’ve had this decade at rates we’ve had as well.

A back of the envelope calculation for the state to provide $7,500 per student (rather than the $4,200-$5,000 presently provided) would cost $1.24 billion.

In order to raise this sum the state can use: 

1. The fund balance in the Education Trust Fund at $208 million (in 2024); 

2. SWEPT property tax funds at $364 million; 

3. $100 million more by returning NH business taxes to their 2015 level; 

4. Reinstating the Interest and Dividend tax for $305 million;

5. Legalizing marijuana for an estimated $30 million; 

6. Redirecting $5 million used by the state to cover legal challenges of the court’s rulings;

7. Redirecting $100 million for vouchers. (It should be noted new voucher recipients have already reached the 10,000 cap. And this does not include previous or present voucher recipients or any additional students with disabilities who apply.) 

I then asked: “What would you suggest for raising the remaining $125 million?” Here are some options: Return the NH Meals and Rooms Tax rate, as well as the tax on hotel room and motor vehicle rentals, to 9%. They were reduced Oct. 1, 2021, from 9% to 8.5%. 

Return the NH Communication Services Tax to include internet services. In 2012, state law was updated to exclude internet services from the CST, which decreased revenue significantly.

Reinstate the electricity consumption tax. As of Aug. 11, NH repealed the electricity consumption tax effective since Jan. 1, 2019. 

These three changes should add up to more than $125 million.

Karen Burnett-Kurie

Wolfeboro