Labrie: When The State Pays More, Taxpayers Pay More

By Brian Labrie, NH Journal

Whenever a school district needs more money, a familiar argument follows: the state should pay more.

But before asking Concord for another dime, we should ask two questions. How much are taxpayers already paying, and why aren’t local school districts being held more accountable for managing the money they have?

For those not in the know, the state isn’t a magical entity with an endless supply of cash. It is funded by taxpayers. Every dollar spent in Concord comes from taxpayers like you, and every new spending commitment carries a cost.

As a Republican who believes in limited government, fiscal responsibility, and local control, I believe New Hampshire should not automatically respond to every school budget shortfall with more state aid. We should first expect districts to manage their existing resources responsibly.

Local control must mean more than the authority to spend. It must also mean responsibility for the bill.

Consider the numbers. According to the New Hampshire Fiscal Policy Institute, local property taxes accounted for approximately 70% of public school district revenue in the 2023-24 school year. Meanwhile, state adequate education aid averaged approximately $5,280 per student in state fiscal year 2025.

Those figures demonstrate the substantial role of local taxpayers and the state’s existing contribution. Whether more state funding is justified should depend on demonstrated needs, affordability, and results, not an automatic assumption that more money is always the answer.

Enrollment makes this discussion even more important. New Hampshire public schools served approximately 45,000 fewer students in 2023-24 than in 2002-03, according to the New Hampshire Fiscal Policy Institute.

When enrollment declines, districts should examine their budgets accordingly. Are staffing levels aligned with enrollment? Are buildings being used efficiently? Can districts share services, consolidate operations, or find savings in administration and transportation?

School costs do not fall dollar for dollar with every student departing. Buildings still need maintenance, and special education services can be expensive. But declining enrollment makes careful budgeting more important, not less.

Private businesses make difficult financial decisions every day. The public sector needs to learn how to do the same.

When a business faces rising costs or declining demand, it cannot simply expect someone else to cover the difference. Owners review expenses, evaluate staffing, find efficiencies, and reconsider priorities. They must distinguish between what they want to provide and what they can afford.

School districts have different legal responsibilities, including educating every student and meeting special education requirements. But those obligations do not eliminate the need for fiscal discipline. If enrollment falls while spending rises, taxpayers deserve a clear explanation and a plan for keeping costs sustainable.

In the private sector, failing to adapt can threaten a business. In government, failing to adapt can mean higher taxes for families and businesses that are already struggling with their own budgets. A lack of fiscal discipline isn’t fair to taxpayers.

Yet too often, the conversation jumps straight to how much more money the state should provide. Local officials make decisions about staffing, contracts, facilities, and programs, while taxpayers statewide are asked to help cover the bill.

State aid is not free money. Sending more through Concord does not make the underlying cost disappear. Nor does additional state aid guarantee an equivalent reduction in local property taxes.

I am not suggesting every district is wasteful or that additional funding is never justified. Some communities face genuine challenges, and the state must meet its legal education obligations. But those responsibilities do not excuse districts from examining spending, measuring results, and making difficult choices.

Local control should mean that communities have meaningful authority over their schools. It should also mean that elected school boards answer to local taxpayers for their decisions. That includes explaining budget increases, scrutinizing recurring costs and considering less expensive alternatives.

New Hampshire families and small businesses make these trade-offs every day. They cannot continually spend more without considering their income and other obligations. Government should be held to the same basic standard of financial discipline.

Our schools matter. Students matter. And the property tax burden on New Hampshire residents matters, too.

Before asking taxpayers statewide for another dollar, let’s make sure local budgets reflect local needs, current enrollment, and responsible spending decisions.

Local control means local decisions. Local decisions mean local accountability. And accountability means making hard choices before asking taxpayers for more.

To borrow the vibe from President Kennedy’s famous words delivered in 1961: “Ask not what more the state can give our schools, but what our schools can accomplish with the taxpayer dollars they already receive.”

New Hampshire taxpayers deserve nothing less!

State Rep. Brian Labrie represents Bedford in the New Hampshire House. He owns multiple small businesses, which together employ more than 40 New Hampshire residents. He wrote this for NHJournal.com.

This story was originally published by the NH Journal, an online news publication dedicated to providing fair, unbiased reporting on, and analysis of, political news of interest to New Hampshire. For more stories from the NH Journal, visit NHJournal.com.