Major HB1 Additions and Changes to Governor's DHHS Budget

Key Approved HB1 Budget Adds to DHHS Safety Net Budget
Division	Program	FY 2010-2011 Adds Total Funds	FY 2010-2011 Adds Gen Funds
DCYF	Youth Diversion Incentive Funds to Counties - from 3% to 4.5%	1,565,991	1,565,991
DCYF	Family Resource Centers	240,000	240,000
DFA	Pre and Post Natal Home Visiting	1,100,000	0
BEAS	Senior Companion Program	63,626	63,626
BEAS	Foster Grandparents Program	112,457	112,457
BEAS	Retired Senior Volunteers (RSVP)	146,589	146,589
BEAS	Catastrophic Illness Grants	1,194,000	1,194,000
DPH	Comprehensive Cancer Plan	2,000,000	2,000,000
DPH	Childhood Lead Program (add GF)	0	902,445
DPH	Family Planning	1,450,000	1,450,000
DPH	AIDS Service Organizations	1,000,000	1,000,000
BBH	Family Mutual Support Suicide Prevention Program	160,000	160,000
BDS	Reducing Developmental Services Waitlist for FY 2010 (nonlapsing)	16,000,000	8,000,000
OMBP	Indirect Medical Education	6,582,644	2,770,943
OMBP	Children's Hospital at Dartmouth (CHaD) Intensive Pediatric Care	7,000,000	3,500,000
DCBCS	Tobey School (FY 2010 only)	4,087,043	721,292
BDAS	Governor's Commission on Alcohol & Drug Prevention Programs	2,600,000	2,600,000
	TOTALS	45,302,350	26,427,343
	NH CARES  4-1-09

HB 1 REVENUE ESTIMATES and NEW REVENUES COMPARED TO THOSE in the GOVERNOR'S BUDGET

As Go Revenues, So Goes the DHHS Safety Net

Because of the recession and economic uncertainty, projections for existing revenues, new revenues, and changes in existing revenues are even more critical for determining whether essential DHHS safety net services for our citizens will get the minimum state funding they need to remain viable. This year for the FY 2010-2011 Budget, the House Ways and Means Committee was far more pessimistic than the Governor about how soon economic recovery in NH will come.  Further, in the relatively short time between when the Governor made his revenue estimate in January to when Ways & Means Committee made its estimates presented on March 4th, the economy continued its sharp downward trend.

House March 2009 General and Educational Fund Estimates $175m Less than the Governor's Posing a Large Threat to DHHS

The net result of this was a large and significant $175m revenue shortfall in the Governor's Budget. This means that because the Educational Trust Fund amounts are essentially fixed, that a 6% across-the-board cut in General Funds from the Governor's Budget (including DHHS) would be required using the House Revenue Estimate to make the budget balance.  (Note: The House did not change its basic projections of major revenues in HB 1.)

HB1 Made Strategic Adds to DHHS (above) and Narrowed the Revenue Gap by Reducing the Across-the-Board Cut to 1.25%,  Adding $100m in New Revenues, (Estate and Capital Gains) and Made Numerous Cuts (e.g. IT, Corrections) and Revenue Saving Measures (Increase in Employee Retirement and ARRA Stimulus Payments in Surplus Statement)

The details showing the difference between the revenues in the Governor's and HB1 passed by the House are shown in the two links below.

HB1 General and Education Fund Revenues Compared to the Governor's

Summary of Differences In HB1 and Governor's Revenues and Surplus Statement Revenue Adjustments