CONCORD, N.H. – Language within the state’s budget legislation that would have capped targeted adequate education aid for the Manchester School District will not become law until July 1, 2027. That was the outcome of Thursday’s special session of the New Hampshire House of Representatives, addressing the state’s budget for the next two years.
Coming into the special session, language related to the cap was placed within House Bill 2, the biennial legislation establishing state fees, funds, revenues and expenditures. The language limited aid to $3,750 per pupil for school districts in New Hampshire with an average daily membership in residence (ADMR) of more than 5,000. As of 2025, only Nashua and Manchester have school districts with ADMR larger than that figure.
With the cap potentially reducing the amount of adequacy aid coming into Manchester’s schools by millions of dollars each year, state leaders indicated that the language as it stood was unacceptable, part of several cuts that New Hampshire Governor Kelly Ayotte could not accept within the proposed state budget.
The language moved to House Bill 282 as part of a floor amendment that also addressed Group II retirement funding for first responders.
Manchester Mayor Jay Ruais praised Ayotte for her advocacy to delay passage of the state budget until these issues relating to Manchester were addressed.
“I want to thank Governor Ayotte and the Legislature for reaching a compromise budget agreement on two major issues that will significantly benefit the City of Manchester,” he said. “I fully recognize the difficult nature of this budget cycle and appreciate the work done to address these two critical provisions.”
After the State Senate allowed the bill to be passed over to the House with the floor amendment, the House concurred with the new language of the bill by a vote of 322-41. Among Manchester’s 32 state representatives, only Mark Warden (R-Wards 6,8,9) voted in opposition. Larry Gagne (R-Ward 6) and Pierre Dupont (R-Ward 9) did not cast votes but were excused for the day. Karen Hegner (D-Ward 2,4,5,7) also did note vote on the motion, but was not excused.
State Senator Rebecca Perkins-Kwoka (D-Portsmouth) provided the following statement on Friday to Manchester Ink Link.
“Democrats were aligned with the unions throughout the negotiations to make sure we protected (first responder) benefits. We know first responders are really important and we wanted to get this done for first responders and we know its hard to recruit and retain right now so we felt this was an important action to take. (Also) There was $12 million that was restored yesterday which was important because education freedom accounts are siphoning money away from our schools and we wanted to do what we can to support students in our two largest cities.”