HB 747-FN - AS INTRODUCED

2025 SESSION

25-0032

02/08

HOUSE BILL 747-FN

AN ACT establishing a program for enrichment scholarships for gifted students and making an appropriation therefor.

SPONSORS: Rep. Cordelli, Carr. 7; Rep. Hill, Merr. 2; Rep. Mooney, Hills. 12; Rep. Noble, Hills. 2; Rep. Popovici-Muller, Rock. 17; Rep. Terry, Belk. 7; Sen. Ward, Dist 8

COMMITTEE: Education Funding

-----------------------------------------------------------------

ANALYSIS

This bill creates an enrichment scholarship program for gifted students to pay for qualifying education expenses to enrich their education.

- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

25-0032

02/08

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Twenty Five

AN ACT establishing a program for enrichment scholarships for gifted students and making an appropriation therefor.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1  New Chapter; Enrichment Scholarships.  Amend RSA by inserting after chapter 194-F the following new chapter:

CHAPTER 194-G

ENRICHMENT SCHOLARSHIPS

194-G:1 Definitions.  

In this chapter:

I. "Adequate education grant" means the grant calculated under RSA 198:41.

II. "Curriculum" means the lessons and academic content taught in a specific course, program, or grade level.

III. "Department" means the department of education.

IV. "Enrichment Scholarship" means a scholarship awarded to the parents of an eligible student to pay for qualifying education expenses to enrich the education of a student under this chapter.  

V. "Scholarship service provider" means a person or organization that receives payments enrichment scholarships to provide educational goods and services to eligible students.

VI. "Eligible student" means a student who is a resident of this state, is attending a public elementary or secondary school and is a gifted student.

VII. "Gifted student" means an eligible student who is between the ages of 5 and 18 whose aptitude or competence in abilities, talents, and potential for accomplishment in one or more domains are so exceptional or developmentally advanced that they require special provisions to meet their educational programming needs. Gifted students include gifted students with disabilities (i.e. twice exceptional) and students with exceptional abilities or potential. Gifted students are capable of high performance, exceptional production, or exceptional learning behavior by virtue of any or a combination of these areas of giftedness:

(a) General or specific intellectual ability.

(b) Specific academic aptitude.

(c) Creative or productive thinking.

(d) Leadership abilities.

(e) Visual arts, performing arts, musical or psychomotor abilities.

VIII. "Parent" means a biological or adoptive parent, legal guardian, custodian, or other person with legal authority to act on behalf of an eligible student.

IX. "Program" means the enrichment scholarship program established in this chapter which shall be available to local public school and chartered public school eligible students.  

194-G:2 Program.

I. There is established in the department a program for enrichment scholarships to be awarded to gifted students pursuant to this chapter.

II. Scholarships of up to $1,000 annually shall be awarded by the department to eligible students.

III. Parents of a program student shall use the funds deposited in their student's account only for the following qualifying expenses:

(a) Fees for transportation paid to a fee-for-service transportation provider for the student to travel to and from a scholarship service provider.

(b) Tuition and fees for online learning programs.

(c) Tutoring services provided by an individual or a tutoring facility.

(d) Tuition for individual classes and curricular activities and programs at a district public school, chartered public school, public academy, or independent school.

(e) Textbooks, curriculum, or other instructional materials, including, but not limited to, any supplemental materials or associated online instruction required by either a curriculum or a scholarship service provider.

(f) Computer hardware, Internet connectivity, or other technological services and devices, that are primarily used to help meet the student's educational needs.

(g) Educational software and applications.

(h) Tuition and fees for summer education programs and specialized education programs.

(i) Educational services and therapies, including, but not limited to, occupational, behavioral, physical, speech-language, and audiology therapies.

(j) Any other educational expense approved by the department.

IV. Scholarship funds shall not be refunded, rebated, or shared with a parent or student in any manner. Any refund or rebate for goods or services purchased with scholarship funds shall be refunded to the department.

V. Parents may make payments for the costs of educational goods and services not covered by the scholarship funds.  

VI. Funds deposited in a scholarship account shall not constitute taxable income to the parent or student.

194-G:3 Application for an Enrichment Scholarship.

I. A parent may annually apply to the department to obtain an enrichment scholarship for an eligible student.  

II. The department shall develop a standard application form that parents can submit to establish their student's eligibility for the program and shall make the application publicly available. The form shall be made available on the department website and be provided to all school districts and chartered public schools.

III. The department shall establish a review panel to review applications, determine eligibility, and determine scholarship award amounts based upon the enrichment goods and services requested.

IV. The review panel shall include at least one person trained in gifted identification and programming.

V. Determination of eligibility will be based upon collection of data for a body of evidence that includes, but is not limited to, assessment results from multiple sources and multiple types of data including the statewide assessment administered pursuant to RSA 193-C:6 (i.e. qualitative and quantitative data about achievement, cognitive ability, performance, parent and teacher input, motivation and observations of gifted characteristics/behaviors). The body of evidence shall contain data to identify the strength area defined in the definition of gifted children and determine appropriate services.  

VI. A determination letter or email will be sent to all applying parents and to the resident school for the student file describing the decision of the review panel, and area(s) of giftedness if the student is found to have exceptional abilities.  

VII. Parents whose child is to be awarded an enrichment scholarship shall sign an agreement with the department to:  

(a) Maintain an annual record of educational enrichment as documented by a certified teacher or a teacher currently teaching in a nonpublic school, who is selected by the parent, to evaluate the student's educational progress.

(b) Use scholarship funds only for qualifying expenses pursuant to RSA 194-G:2.

(c) Comply with the rules and requirements of the program.

194-G:4 Authority and Responsibilities of the Department.

The department shall have the following additional duties, obligations, and authority:

I. The department shall maintain an updated list of scholarship service providers and shall ensure that the list is publicly available through various sources, including the Internet.

II. The department shall provide parents with a written explanation of the allowable uses of scholarship funds, the responsibilities of parents, the duties of the department, and the role of any financial management firms that the department may contract with to administer any aspect of the program.

III. The department may implement a commercially viable system for payment of services from the program to scholarship service providers by electronic or online funds transfer.

(a) The department shall disburse funds through direct payments to scholarship service providers. Notwithstanding the requirements under this paragraph, the department may, at the commissioner's discretion, pre-approve requests for reimbursements to parents for qualifying expenses.

(b) The department may contract with a private institution or organization to develop the payment system.

IV. The department may conduct or contract for the auditing of individual accounts, and shall at a minimum conduct random audits of student accounts on an annual basis.

V. The department shall make any parent and student ineligible for the program in the event of intentional and substantial misuse of program funds.  

(a) The department shall refer suspected cases of intentional and substantial misuse of program funds to the attorney general for investigation if evidence of fraudulent use of program funds is obtained.

(b) A parent of an eligible student may appeal the department's decision to deny eligibility for the program to the state board of education pursuant to RSA 21-N:11, III.

VI. The department may bar a scholarship service provider from accepting payments from the program if the department determines that the scholarship service provider has:

(a) Intentionally and substantially misrepresented information or failed to refund any overpayments in a timely manner.

(b) Routinely failed to provide students with promised educational goods or services.

VII. If the department bars a scholarship service provider from receiving payments from the program, it shall notify parents and students of its decision as quickly as possible.

VIII. The department may accept grants from any source to cover administrative costs, to inform the public about the program or to fund additional scholarships.

IX. The department shall not exclude, discriminate against, or otherwise disadvantage any scholarship service provider with respect to programs or services under this section based in whole or in part on the provider's religious character or affiliation, including religiously based or mission-based policies or practices.

194-G:5 Requirements for Scholarship Service Providers.

I. The department may approve scholarship service providers on its own initiative, at the request of parents, or by notice to the department provided by prospective scholarship service providers.

II. A prospective scholarship service provider that wishes to receive payments from the program shall:

(a) Submit notice to the department that it wishes to receive program payments;

(b) Agree not to refund, rebate, or share scholarship funds with parents or students in any manner, except that funds may be remitted or refunded to a scholarship account in accordance with procedures established by the department; and

(c) Comply with all state and federal anti-discrimination laws.

194-G:6 Independence of Scholarship Service Providers.  

I. Nothing in this chapter shall be deemed to limit the independence or autonomy of a scholarship service provider or to make the actions of a scholarship service provider the actions of the state government.

II. The department shall grant scholarship service providers maximum discretion to provide for the needs of students in compliance with this chapter.

III. Nothing in this chapter shall be construed to expand the regulatory authority of the state, its officers, or any school district to impose any additional regulation of scholarship service providers beyond those necessary to enforce the requirements of the program.

IV. Any scholarship service provider that accepts payment from the program under this chapter is not an agent of the state or federal government.

V. A scholarship service provider shall not be required to alter its creed, practices, admissions policy, or curriculum in order to accept payments from the program.

194-G:7 Legal Proceedings.

I. In any legal proceeding challenging the application of this chapter to a scholarship service provider, the state bears the burden of establishing that the law is necessary and does not impose any undue burden on the scholarship service provider.

II. No liability shall arise on the part of the department or the state or of any public school or school district based on the award of or use of a scholarship pursuant to this chapter.

III. If any part of this chapter is challenged in a state court as violating either the state or federal constitutions, parents of eligible students shall be permitted to intervene as of right in such lawsuit for the purposes of defending the program's constitutionality. However, for the purposes of judicial administration, a court may require that all parents file a joint brief, so long as they are not required to join any brief filed on behalf of any named state defendant.

IV. If any provision of this chapter, or the application thereof to any person or circumstances, is held invalid, such invalidity shall not affect other provisions or applications of this chapter which can be given effect without the invalid provision or application, and to this end the provisions of this chapter are declared to be severable.

194-G:8 Rules.

The department shall make rules under RSA 541-A relative to establishing procedures:

I.  For approving applications under RSA 194-G:3.

II.  To ensure that a fair process exists to determine whether an intentional and substantial misuse of program funds has occurred pursuant to RSA 194-G:4, V.

III.  To ensure that a fair process exists to determine whether a scholarship service provider may be barred from receiving payments from the program pursuant to RSA 194-G:4, VI.

2  New Section; Enrichment Scholarship Program; Administrator.  Amend RSA 21-N by inserting after section 7-a the following new section:

21-N:7-b  Enrichment Scholarship Program; Administrator.

There is established a position within the division of education analytics and resources which shall be a classified employee at no less than the level of administrator II.  The enrichment scholarship program position shall be qualified to hold such position by reason of education and experience.  The position shall be subject to any other employment requirements as determined by the department.  The position shall coordinate and provide technical assistance to guide students and parents.  The enrichment scholarship program position shall:

I.  Coordinate and provide technical assistance to students, parents, and educators.

II.  Serve as a lead participant in department review panel to award scholarships.

III.  Implement policies and procedures at the department related to the enrichment scholarship program.

IV.  Serve as a resource for administrators, educators, families, and policymakers across the state.

3  Department of Education; Enrichment Scholarship; New Position and Contracted Services; Appropriation.  

I.  The sum of $115,000 for the fiscal year ending June 30, 2026 is hereby appropriated to the department of education, division of education analytics and resources, for the enrichment scholarship program position established in RSA 21-N:7-b.  

II.  The sum of $75,000 for the fiscal year ending June 30, 2026 is hereby appropriated for contracted services to aid in the eligibility determination process and provision of scholarships.  The governor is authorized to draw a warrant for said sum out of any money in the treasury not otherwise appropriated.

4  Department of Education; Enrichment Scholarship; Appropriation.  There is appropriated the sum of $1,000,000 to the department of education for the enrichment scholarship program for the fiscal year ending June 30, 2026 and the sum of $1,000,000 to department of education for the enrichment scholarship program for the fiscal year ending June 30, 2027 for the payments of scholarships awarded by the department pursuant to RSA 194-G.  The governor is authorized to draw a warrant for said sum out of any money in the treasury not otherwise appropriated.

5  Effective Date.  This act shall take effect July 1, 2025.

LBA

25-0032

1/4/25

HB 747-FN- FISCAL NOTE

AS INTRODUCED

AN ACT establishing a program for enrichment scholarships for gifted students and making an appropriation therefor.

FISCAL IMPACT:   

The Office of Legislative Budget Assistant is unable to provide a complete fiscal note for this bill, as introduced, as it is awaiting information from the Department of Education. The Department was originally contacted on 10/16/24 for a fiscal note worksheet. When completed, a revised fiscal note will be forwarded to the House Clerk's Office.

METHODOLOGY:

This bill creates an enrichment scholarship program for gifted students to pay for qualifying education expenses, establishes a position within the Department of Education, and provides general fund support as follows:

It is unknown whether the appropriations provided by this bill will be sufficient for the Department to administer this program, or how much in scholarships in each fiscal year may be awarded.

AGENCIES CONTACTED:

Department of Education