#nhhouse Democrats Applaud the Defeat of #CACR6-constitutional tax policy-PR attached

New Hampshire

House of Representatives

Concord, NH

House Democratic Office

FOR IMMEDIATE RELEASE                                 CONTACT: Eileen Kelly

June 06, 2012                                                              603-271-2136

Democrats Applaud Defeat of Constitutional Amendment Requiring a Super-Majority Vote for a Tax or Fee Increase

CONCORD, NEW HAMPSHIRE – New Hampshire House Democratic Leader Terie Norelli and Representative William Hatch, who serves on the House Ways & Means Committee, issued the following statements regarding the failure of CACR 6, a constitutional amendment that would have required a 60% super-majority to pass any new tax or fee increase.

“CACR 6 is not sound fiscal policy; it would have constrained the ability of future legislatures to adapt to changing economic circumstances,” stated Representative Terie Norelli.  “It would have led to greater reliance on one-time fixes to future budget shortfalls and would have led to higher borrowing costs for the state. A supermajority requirement is, at best, unnecessary and at worst, harmful to the state's long term fiscal health.” 

“CACR 6 would have paralyzed New Hampshire’s legislative process in the same way that the federal government has been log-jammed because the U.S. Senate has the same 3/5ths rule for agreement,” stated Representative William Hatch.  “In turn, that can have the same negative effect on a bond rating for NH that occurred at the federal level. There is a reason why AARP is against CACR6. It’s because they recognize the downshifting that can occur at the local level when the NH Legislature is not responsive to the needs of the citizens of the state.”

CACR 6 was defeated by a vote of 220 to 132, having failed to gain the necessary 2/3rds needed to pass a constitutional amendment.

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