Committee of Conference makes partial agreements on HB 1 and HB 2; several items held for further negotiation

The Committee of Conference on HB 1 and HB 2 advanced a mix of technical fixes, appropriations and policy changes on Tuesday while leaving a number of contested items for further negotiation.

The panel, meeting in a hybrid session, largely agreed to accept or “exceed” the Senate positions on multiple technical sections and appropriations while flagging higher-profile policy items for later caucus or committee-of-conference meetings.

The committee accepted a number of technical corrections and items that the transcript shows both chambers already had passed or that address agency requests. Representative McGuire summarized one of those technical housekeeping decisions: “line 16 … was house bill 781, so we we can agree to delete that,” reflecting an agreement to remove language already enacted or otherwise resolved. Senators and representatives also agreed to accept a short, agency-requested extension — changing a 30-day implementation deadline to 120 days — for a Medicaid outpatient procedure incentive plan at the Department of Health and Human Services’ request.

Why it matters: The Committee of Conference reconciles differences between the House- and Senate-passed versions of the two main budget bills. Agreements on technical text and timing clear the path for appropriations to be implemented; unresolved items will determine final policy direction and revenue assumptions before a completed budget goes to the full Legislature and the governor.

What the committee agreed to - Technical fixes and conformity: Multiple sections that duplicate or correct provisions already passed into law were removed or conformed to the enacted language. - Education-related technical items: Members accepted several Education Trust Fund and EFA (education freedom/accounting) technical corrections and agreed, in places, to the Senate’s numbers where the chambers had previously reconciled budgeting for EFA. Senator Rosenwald noted budget pressure on EFA funding but the committee agreed to proceed after reviewing both chambers’ estimates. - Sununu Youth Services Center (YSC)/settlement funding: Members discussed previously agreed settlements totaling roughly $26–27 million over the biennium and a plan that would use proceeds from a site sale to help cover settlement payments. The committee accepted language tying the sale and transition plan together and included a statutory deadline that the sale shall be completed no later than June 30, 2027. - Staffing and operational appropriations tied to previously passed or administratively requested actions: examples include carry‑forwards or timing changes the agencies requested so projects and procurements already underway are not disrupted.

What the committee held or deferred - Opioid abatement and governor’s commission funding: The Senate reinserted language using a 5% share of gross liquor profits to fund a renamed Governor’s Commission on Addiction Treatment and Prevention and added problem gambling to its purview. Attorney General guidance reported in the meeting indicated opioid-abatement trust funds could not be used for that purpose under the master settlement; members discussed alternative dollar-based approaches and asked for an amendment and additional caucus discussion. The committee agreed to hold the specific funding decision (section cited as 3-90 in the side‑by‑side) to resolve the funding source. - Gaming and keno/local-option changes: The committee noted several Senate additions tied to gaming and local-option wagering (including elements from the bill labeled SB 60). Because House and Senate language diverged and a House committee-of-conference was scheduled for related bills, the panel left these parts for further negotiation. - Fee increases and new-fee language: Multiple department requests to raise or create fees were flagged. The committee repeatedly noted the House rule that a committee-of-conference report may not contain a new tax or fee not previously voted by the House; several proposed fee increases — including a motor‑vehicle plate fee proposal that would have raised the per‑plate fee from $4 to $6 and new communications / crisis-support funding via a telecommunications fee — were held or marked for amendment to avoid violating House procedural limits. - Human Rights Commission re‑establishment and appropriation: The Senate reinserted statutory restructuring and a budget appropriation (the side‑by‑side references a multi‑million dollar figure and a back‑of‑budget reduction). Members requested more time for the House committee with subject‑matter jurisdiction to review the detailed governance language and budget lines before final agreement. - Several insurance‑coverage items and health‑workforce provisions: The committee repeatedly deferred insurance‑related mandates (for example, biomarker coverage, certain pediatric behavioral health funding mechanisms, and prosthetics coverage) to give insurance‑policy chairs time to review and discuss; committee members requested sponsor or committee staff briefings before agreeing.

Discussion highlights and quotes - On timelines and technical fixes, Representative McGuire said the committee could “agree to delete” statutory text already resolved between the chambers. The statement was used to justify removing language duplicative of enacted bills. - On education funding and EFA estimates, Senator Rosenwald warned the committee that “the budget as proposed by the senate at least underfunds the number of students predicted,” prompting committee discussion of enrollment forecasts and agreed-to numbers. - On the Sununu Youth Services Center sale and settlements, committee members discussed moving money into the first fiscal year so settlement costs would be covered and the use of sale proceeds in the second year to complete payments.

Decisions vs. discussion vs. direction - Decisions: Numerous conforming edits, deadline adjustments, and agency-requested timing changes were accepted as committee decisions (noted in the side‑by‑side as “exceed” or “we will agree” during the meeting). - Discussion-only: Large policy choices (gaming expansion/local option, major fee authorizations, new insurance mandates) were discussed but not decided; the committee explicitly held these items. - Direction/next steps: Committee members asked staff and sponsor offices to draft amendments on several contested items (notably the liquor/commission funding language and selected fee sections) and scheduled caucus follow-ups, committee‑of‑conference meetings, or stakeholder briefings.

What’s next The panel recessed for caucus and planned follow-up meetings and committee‑of‑conference sessions. Several contested sections were left specifically for caucus discussion, for sponsor follow-up or to await related committee‑of‑conference outcomes on separate bills.

Ending note While the committee resolved a number of technical and agency‑requested items that clear the path for implementation of several appropriations, the final HB 1/HB 2 conference report will hinge on a small set of higher‑profile revenue and policy disputes: opioid‑abatement funding for the governor’s commission, gaming/local‑option proposals, several insurance mandates, and a group of fee changes that may or may not be permissible under House rule without a separate House vote.