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How will New Hampshire solve its school funding problem? part 2 of 3

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  • Daniel G. Swaine

Abstract

Ever since the New Hampshire Supreme Court decided in Claremont II that the local property tax used to fund K-12 public education was unconstitutional, policymakers have struggled to find a permanent solution to the school finance problem. In 1999, the legislature enacted an interim funding plan centered around a temporary statewide property tax. The price tag of providing New Hampshire students with an \"adequate\" education was set at $825 million in spending, but the funding plan raised revenues of only about $725 million. Thus, lawmakers were aware that they would have to revisit the funding issue. In June 2001, after a rancorous two-year public debate, and nearly four years after the Claremont II decision, policymakers enacted a second plan that makes the statewide property tax permanent and adds sufficient supplemental revenues to fund an \"adequate\" education.

Suggested Citation

  • Daniel G. Swaine, 2001. "How will New Hampshire solve its school funding problem? part 2 of 3," Fiscal Facts, Federal Reserve Bank of Boston, issue Fall, pages 1-5.
    • Handle: RePEc:fip:fedbff:y:2001:i:fall:p:1-5:n:27
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    Keywords

    New Hampshire; state finances;

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