Sponsor urges gold‑and‑silver legal‑tender bill as hedge; state groups and businesses urge caution

Representative Juliet Harvey Bolia told the Commerce and Consumer Affairs Committee she introduced House Bill 721 to classify gold and silver as legal tender in New Hampshire, describing the measure as a bipartisan way to offer residents an alternative store of value and a hedge against inflation and emerging central bank digital currencies.

“This is a bipartisan economic‑justice bill,” Rep. Juliet Harvey Bolia said. She told the committee the bill would let residents transact in gold and silver via contemporary platforms — phone apps and cards that let customers spend a gold‑backed balance — and said she envisions carve‑outs if the state ever adopted a sales tax.

Harvey Bolia cited examples from other states, including Utah and Florida, where legislative measures and studies have created state depositories or defined treatment of precious metals in state law. She described modern tools — custodial accounts and cards linked to gold reserves — that make spending small amounts of gold or silver practical.

But municipal and business groups urged caution. S. Robert Cohen of the New Hampshire Municipal Association told the committee that if gold or silver become legal tender, towns could be forced to accept coins or bars at town offices and would be unprepared to secure, verify and convert them. “Municipalities aren’t set up for security for gold and silver, nor are they set up to be metallurgists,” Cohen said.

Natch Grama of the Business and Industry Association warned that businesses that operate across state lines would be forced to convert gold‑or‑silver payments into dollars to meet payroll and supplier obligations. She said the uncertainty over conversion and whether small retail purchases would be treated as taxable transactions creates a compliance burden for enterprises doing interstate commerce.

Others questioned how the measure would interact with federal tax rules; Rep. Sullivan pressed whether private transactions in gold or silver are already lawful and whether state recognition would change federal tax consequences. Representatives noted existing apps that let customers spend precious metals balances through familiar card networks.

Several committee members said the bill deserves subcommittee study to refine definitions and address practical questions about municipal acceptance, taxation, private custody and anti‑money‑laundering safeguards. The sponsor agreed the measure could be narrowed or amended to address municipal, enforcement and taxation concerns.

Ending: The committee closed the public hearing and signaled it will likely refer the bill to subcommittee to work through technical issues including municipal operations, tax treatment and whether the state should create any custody or depository mechanisms.