House Conferees Agree To Restore Medicaid Provider Rates, Other Senate Passed Measures

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Conference Committee is pictured meeting Monday.

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By PAULA TRACY, InDepthNH.org

CONCORD – A controversial plan in the House budget to reduce Medicaid provider rates by 3 percent is essentially dead after budget writers in a conference committee agreed to the Senate’s budget position to restore that coverage Monday.

It was among a number of important matters in which the House acceded to the Senate’s budget position.

State Rep. Jess Edwards Jr., R-Auburn, called the Senate move to restore $52 million to retain current provider rates “brilliant.”

House conferees focused on Senate Bill 2, the trailer bill Monday and also agreed to the Senate’s position on a prohibition of Diversity Equity and Inclusion language in state law, agreed to make the position of administrator of the Youth Development Center Settlement Fund appointed by governor and council rather than the current situation which is by judicial appointment, and agreed to $10 million for room and board for 300 disabled individuals who could otherwise become homeless.

The House also “acceded” to the Senate position on a work requirement for Expanded Medicaid, approved a process for expedited driveway permit processing to help with the lack of affordable housing and agreed that another $600,000 should go to the Northern Border Alliance.

Conferees also developed a list of “on hold” issues they plan to fight over in the coming days.

This includes the Group II retirement issue, whether to eliminate the State Commission on Human Rights and money for tourism marketing.

A stated House priority has to do with motor vehicle inspections and whether on board diagnostic and emissions testing should be eliminated and how often inspections should occur.

Those are battles that lie ahead of the committee which has until Thursday night to finish up their work and they plan to meet every day until then to hammer out something that can pass both Republican controlled chambers.

A copy of the document they worked from is here.

https://gc.nh.gov/lba/budget/operating_budgets/2026-2027/House_Finance/FINAL%20-%20HB%202%20SIDE%20BY%20SIDE%20-%20C%20OF%20C%20-%2006-12-25.pdf

The two sides – House and Senate – agreed to create a tax amnesty period with hopes of bringing in about $5 million in revenue the first year by removing late penalties and 50 percent of the interest owed by those who have unpaid taxes such as business taxes or inheritance taxes. The state has no sales or income tax.

The House has open enrollment in public schools and how to fund the DCYF Settlement Fund among others as big ticket items they want to hold on until the end of negotiations.

Senators want to be sure that rooms and meals tax revenues continue to go to cities and towns at 30 percent and not be capped at $137 million as the House budget would have it.

Still to be ironed out are issues related to funding the arts.

They have largely agreed to expand the Education Freedom Accounts to allow any family to qualify and the reconfiguration of the Office of the Child Advocate, but retaining it rather than the House’s version which called for it to be eliminated.

The House acceded to the Senate’s position on extending the Housing Champions program which the Democrats have had as an important issue.

Sen. James Gray, R-Rochester, told the committee that if that is not part of the budget it “pretty much guarantees” the Democrats will not support the budget at all.

GROUP II PUT THE PRESSURE ON

Rallying in front of the Legislative Office Building before they met were several hundred first responders who are in Group II and have been pushing hard to change back the terms of their retirement plan which was changed in 2011.

There are about 1,500 who are in this group.

Both Gov. Kelly Ayotte and the House agreed to fully fund a settlement at $27.5 million a year for the next 10 years but the Senate voted to delay implementation for six months to help out in a tough budget. Sen. Tim Lang, R-Sanbornton, offered the amendment which would push out payments.

Lang’s measure was opposed by several key Republicans including Senators Regina Birdsell, R-Hampstead,  Senate President Sharon Carson, R-Londonderry, and Senator James Gray, R-Rochester, who is chair of the Senate Finance Committee. 

He has suggested that the state does not have to do anything for them as they are suing New Hampshire on this issue right now in Merrimack County Superior Court.

GOVERNOR LOBBIES FOR CELL PHONE BANS IN SCHOOLS

In the midst of negotiations, Republican Gov. Kelly Ayotte issued a press release which calls on legislators to empower school districts to ban cell phones in the classroom ahead of the Committee of Conference vote on Tuesday, June 17.

“We have the opportunity to make our schools an even better place to learn, and I urge the Legislature to meet the moment and pass a bell-to-bell ban on cellphones in schools,” said Gov. Ayotte. “Screens are negatively impacting our learning environments and making it harder for teachers to do their jobs. When students park their phones for the day, they focus on learning and build stronger relationships with their peers, and teachers don’t have to worry about policing cell phone use.”

Studies from the American Academy of Pediatrics and insights from social psychologist Dr. Jonathan Haidt show excessive screen time is associated with increased rates of anxiety, depression and sleep deprivation among children and teenagers. Schools that have implemented a bell-to-bell policy see fewer distractions in the classroom, reduced instances of cyberbullying, better student engagement, and improved morale among teachers.

Stevens High School in Claremont became the first high school to ban cell phones during the entire school day in 2023. School leaders and teachers report fewer distractions, increased engagement from students, and more positive social interaction between students and their peers.

LEGISLATOR SAFETY

Senate President Carson, and Speaker of the House Sherman Packard, R-Londonderry also released a statement Monday following the weekend murder of a legislator in Minnesota and her husband and the injury of another lawmaker and his spouse.

“…we are taking the necessary precautions to keep New Hampshire lawmakers safe. Our security team has been in contact with state and local law enforcement to ensure the safety of our legislators. Right now, security is our top priority as our elected officials are finishing up their session work and we will continue to work on keeping the General Court safe for everyone,” it reads.

Over the weekend, Carson and Senate Minority Leader Rebecca Perkins Kwoka issued a joint statement saying there should not be threats of physical violence or such violence in American politics.

The conferees on House Bill 1 and 2, the budget, will pick up deliberations Tuesday at 10 a.m.

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