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NH Governor's COVID Relief Plan Faces Scrutiny

  //house-home.news-articles.net/content/2026/01/3 .. governor-s-covid-relief-plan-faces-scrutiny.html
  Published in House and Home on Friday, January 30th 2026 at 13:36 GMT by The Center Square
      Locales: New Hampshire, UNITED STATES

Concord, NH - January 30th, 2026 - A new report from the New Hampshire Fiscal Policy Institute (NHFPI) is intensifying scrutiny over Governor Thompson's plan to distribute over $750 million in remaining federal COVID-19 relief funds. The core of the controversy lies in the proposed allocation of a significant portion - estimated at over $300 million - towards property tax relief, a move the NHFPI argues prioritizes benefits for wealthier residents at the expense of more impactful, targeted assistance.

The Governor's office maintains the property tax relief is a vital measure to alleviate financial strain on all New Hampshire homeowners, citing rising property valuations and the ongoing cost of living crisis. Speaking at a press conference earlier today, Chief of Staff Eleanor Vance stated, "New Hampshire has historically maintained low taxes, and this relief is a continuation of that commitment. It puts money directly back into the pockets of our citizens, stimulating the local economy."

However, the NHFPI's report, released yesterday, paints a starkly different picture. Lead researcher Dr. Amelia Chen, argues that a universal property tax reduction inherently favors those with higher-valued properties. "While everyone receives some benefit, the dollar amount of relief is disproportionately larger for those who own more expensive homes," Dr. Chen explained. "This essentially acts as a regressive measure, exacerbating existing wealth inequalities rather than addressing the needs of the most vulnerable." The report includes detailed simulations demonstrating that the top 20% of homeowners, by property value, would receive over 60% of the total property tax relief.

The NHFPI proposes a shift in focus towards investments in areas like affordable housing, workforce development programs, and expanded access to childcare. These proposals, detailed in the report, outline specific initiatives designed to address systemic challenges and create lasting economic benefits for a broader segment of the population. For instance, the report suggests utilizing $100 million to create a dedicated affordable housing trust fund, financing the construction of new units and providing rental assistance to low-income families. Another $75 million could be allocated to expanding workforce training programs focused on high-demand sectors like healthcare and advanced manufacturing. A further $50 million earmarked for subsidized childcare would free up parents to re-enter the workforce, boosting economic productivity and family stability.

The debate highlights a fundamental tension in how governments approach crisis recovery. While broad-based tax relief can offer immediate, visible benefits, critics argue it often lacks the strategic impact of targeted investments. "The funds are finite, and we have a unique opportunity to address longstanding issues that hinder economic mobility and equity," says State Representative Marcus Bellwether (D-Manchester), a vocal critic of the Governor's plan. "Simply lowering property taxes is a short-term fix that doesn't address the root causes of economic hardship."

The situation isn't entirely new. Previous rounds of COVID-19 relief funding saw similar debates, with advocates for targeted aid often facing resistance from those prioritizing broader tax cuts. This current dispute, however, is particularly significant given the scale of the remaining funds and the long-term implications of the allocation decisions. Experts warn that misdirected funds could leave New Hampshire unprepared for future economic downturns and exacerbate existing social inequalities.

Several advocacy groups are now mobilizing to pressure lawmakers to reconsider the Governor's proposal. The New Hampshire Coalition for Affordable Housing and the Granite State Workforce Alliance have announced plans for rallies and public forums to raise awareness and advocate for alternative uses of the funds. The League of Women Voters of New Hampshire has called for a transparent public hearing process to allow for full public input before any final decisions are made.

The State House Finance Committee is scheduled to begin reviewing the Governor's plan next week, and a final vote is expected by mid-February. The coming weeks are likely to be marked by intense lobbying and political maneuvering as stakeholders vie to influence the outcome and determine how best to utilize these crucial federal resources to shape New Hampshire's future.