More change than usual is coming to NH’s Legislature this fall as Gov. Chris Sununu is not seeking reelection after four terms. Additionally, two of the longest serving state senators are retiring.
Senate President Jeb Bradley is leaving public service after 32 years overall, the last 16 in the Senate. Sen. Lou D’Allesandro is closing out a 50-plus-year legislative career, including 13 consecutive Senate terms. And Former House Speaker Steve Shurtleff is also retiring after 20 years as a state representative. Many more lawmakers are not seeking reelection.
Change brings opportunities, and that makes this election especially important. The fall includes both the presidential and NH’s two congressional district races. At the state level, the governor’s race can influence down ballot races including the Senate, House of Representatives and Executive Council.
The state primary is Sept. 10, and the gubernatorial field includes two major candidates each for Republicans and Democrats. On the GOP side, former U.S. Sen. Kelly Ayotte faces former state Senate President Chuck Morse. Democrats will choose between Executive Councilor Cinde Warmington and former Manchester Mayor Joyce Craig. The Business & Industry Association of NH met with each candidate to share our view on how the next governor can champion a pro-job and business-friendly agenda.
New Hampshire is a great place to live, work and play. Our economy is strong, but challenges must be solved for continued prosperity for all Granite Staters. Many factors can determine the success or failure of businesses, but the lack of affordable housing for young workers and families is perhaps the biggest challenge. Business leaders continue to tell us their ability to attract and retain talented employees is made more difficult by NH’s housing market, which set three consecutive monthly median sales price records this spring, hitting $525,000 in May.
The challenges are broad and the solutions are complex, but NH needs more moderately priced housing options. We increasingly see a collective finger pointed at overly restrictive local zoning as one of the biggest problems. We don’t need to tell the candidates how important local control is to Granite Staters. The next governor must push for solutions and incentivize communities to remove barriers to development so the free market can respond to the demand for more housing.
Businesses often tell us NH could improve the future worker pipeline by promoting career opportunities in the state’s modern high-tech manufacturing industry; this includes the burgeoning bio-med and bio-fabrication sector. Skilled trade workers are also needed, and these careers can be highly lucrative. There is a lot of work being done to better align our state’s educational system with career opportunities, and it’s critical for the next governor to expand these efforts.
Investing in higher education is a critical part of a strong state economy. For years, NH has ranked last nationally in state support for higher education. Too many high school students leave the state for college and don’t return, and cost is a top reason. Our universities and colleges, partnering with industry leaders, can adapt to meet the ever-changing skills of future workforces, but they need financial support to do so.
New Hampshire’s high energy costs are another threat. New England’s regional costs for industrial and commercial users is second highest in the nation, behind the Alaska-Hawaii region, per the U.S. Energy Information Administration. New Hampshire has the third-highest costs among New England states for both sectors. Lowering costs within a regional-based grid is challenging, but supporting and even incentivising additional generation in NH is the best way to overcome that. Granite State businesses with large energy requirements, such as manufacturers and corporate campuses, are invested in NH and want to stay here, but relocation risks are real as some states have costs less than half of NH’s.
If these complex challenges aren’t enough, the next governor could see tighter revenue during their term. Investments require revenue raised through taxation. Business taxes, along with the rooms and meals tax, contribute 49% of the unrestricted revenue in the General and Education Trust Funds. A pragmatic, balanced approach is fundamental as businesses rely on long-term planning, and stable tax and regulatory structures are a key part of successful operations.
Michael Skelton is president and CEO of the Business & Industry Association. Visit BIAofNH.com.
Current Issue - October 2024