By Granite State Report
Published: September 15, 2025
New Hampshire has packed an unusual amount of policy into its first year under Gov. Kelly Ayotte. From a turbulent, down-to-the-wire state budget to sweeping changes in elections, schools, housing, health policy, and energy, 2025 has been a consequential year. This guide walks through the major new laws and why they matter, and it documents Ayotte’s key actions—what she signed, what she vetoed, and the executive moves she made along the way.
The Budget: HB 1/HB 2 and a Narrow Win
New Hampshire’s two-year budget (FY 2026–2027) passed on June 26, 2025, after weeks of brinkmanship. It arrived in two bills—HB 1 (appropriations) and HB 2 (the policy “trailer” bill)—with total spending around $15.9 billion, roughly $700 million higher than the last biennium. Gov. Ayotte praised the deal and said she would sign it; her signature followed shortly after. (New Hampshire Bulletin)
Outside analysts highlight several notable shifts. The NH Fiscal Policy Institute writes that the budget boosts special education, nursing facilities, and certain police and firefighter pensions, while reducing public higher education and some public health programs. It also introduces Medicaid work requirements and cost-sharing (pending federal approval), raises revenue with 131 fee and fine increases, and includes a statewide school “bell-to-bell” cellphone ban folded into HB 2. (InDepthNH.org)
Tax backdrop. Separately from the new budget, Granite Staters have been living with the full repeal of the state’s Interest & Dividends Tax (I&D) as of tax year 2025, a multi-year phase-out completed this year. Advisories this spring walked taxpayers through final 2024 filings and refunds. Attempts to reverse the repeal surfaced but stalled in the GOP-controlled Legislature. (CBIZ)
Elections & Voting: Absentee Rules, Voter List Audits, and Hand Counts
A late-summer signing spree cemented a raft of election-related changes:
- SB 218 tweaks absentee-ballot procedures.
- SB 221 requires annual verification of voter rolls.
- SB 287 adds a photo-ID copy requirement to absentee ballot applications.
- HB 154 lets voters request a hand count of their ballots.
- HB 464 bars certain candidates from participating in counting ballots.
- HB 67 authorizes agreements with the Secretary of State to use accessible voting systems. (InDepthNH.org)
Gov. Ayotte also used her veto pen at the margins. She vetoed HB 613, saying it conflicted with federal requirements to ensure accessible machines in federal elections, and vetoed SB 213 (electioneering by public employees) to avoid conflicts with the new absentee-ballot laws she had just signed. (InDepthNH.org)
Redistricting? Not this cycle. Despite national pressure, Ayotte ruled out reopening congressional redistricting ahead of 2026, saying the timing is wrong and the issue isn’t a voter priority. (Politico)
K-12 Education: Universal Vouchers, a Parental Rights Law, and a Statewide Cellphone Ban
1) Universal Education Freedom Accounts (EFAs)
On June 10, Ayotte signed SB 295, removing the income cap and making EFAs (the state’s voucher-style accounts) universal—with a cap and an automatic growth mechanism if applications approach the limit. Expect per-student awards to start around $4,265, with more for students with additional needs. (New Hampshire Public Radio)
2) “Parental Bill of Rights”
That same day, Ayotte signed HB 10, a package enumerating parental rights in schooling. Supporters framed it as transparency; critics warned of potential forced disclosures on sensitive student information. (New Hampshire Bulletin)
3) The school cellphone ban
Ayotte came in promising to get phones out of classrooms—and she did. A “bell-to-bell” prohibition on student cellphone use made it into HB 2, the budget trailer, and took effect July 1, 2025. Districts spent the summer adopting local policies to comply. (Ayotte had vetoed a stand-alone cellphone bill earlier, then backed language folded into the budget.) (New Hampshire Bulletin)
Coverage by NHPR and others framed the law as part of a national trend; the New Hampshire Department of Education posts guidance noting the 2025 enactment and local policy requirements. (New Hampshire Public Radio)
Other education actions Ayotte signed (selected):
- SB 97 (intra-district transfers) and HB 699 (special-education definitions). (InDepthNH.org)
- HB 235 adds “responsibility to parents” in the educator code of ethics. (InDepthNH.org)
What she vetoed:
- HB 324 (school “book ban” mechanism) plus other social-policy bills opposed by many educators, bucking part of her party. (New Hampshire Public Radio)
- HB 356 (partisan school board elections). (New Hampshire Bulletin)
Housing & Land Use: ADUs, Mixed-Use by Right, and Faster Permits
Facing a chronic housing shortage, New Hampshire moved aggressively this summer:
- HB 577 (effective July 1, 2025): expands accessory dwelling units (ADUs) by right—including detached ADUs—and updates definitions and size limits. (trackbill.com)
- HB 631 (effective July 1, 2026): requires municipalities to allow multifamily residential in commercial zones (i.e., enabling mixed-use conversions), with infrastructure guardrails. (trackbill.com)
- SB 283 clarifies how floor-area ratios are calculated under local ordinances—one of several technical fixes to reduce density barriers. (InDepthNH.org)
- SB 153 speeds driveway permits for larger residential projects—a small but meaningful time-to-permit improvement. (InDepthNH.org)
- HB 457 pares back certain zoning restrictions on dwelling units. (LegiScan)
Ayotte touted the package as a direct response to the affordability crunch, and non-profit housing groups praised the bipartisan push. (New Hampshire Governor’s Office)
Health, Reproductive Policy, and Social Services
Medicaid & public health via the budget. NHFPI’s read of the budget notes new Medicaid work requirements and premiums/co-pays, subject to federal sign-off. There are boosts to nursing facilities and some pensions, offset by cuts to public higher education and certain health programs. (InDepthNH.org)
Youth gender medicine & data reporting. In August, Ayotte signed HB 377, which tightens rules around hormone treatments and puberty blockers for minors and recognizes Children’s Environmental Health Day. On the same day, she signed HB 712, which limits certain breast surgeries for minors, updates facility licensing provisions, and requires collection and reporting of abortion statistics by providers. (InDepthNH.org)
Maternal health (“Momnibus 2.0”). Policy trackers describe a significant maternal-health package embedded in the budget—expanded home-visiting and perinatal mental-health supports among the highlights. (Stateside)
Energy & Environment: Offshore Wind, “Off-Grid” Options, Net Metering Cleanup
- HB 682 stands up an Office of Offshore Wind Industry, revives an offshore and port development commission, and adjusts the Office of Energy Innovation—a nod to the Seacoast’s offshore wind prospects. (LegiScan)
- HB 672 allows for off-grid electricity providers—a new (and controversial) frontier that will need regulatory watch-outs. (LegiScan)
- SB 232 clarifies terms and conditions in net-metering law to reduce frictions for small-scale generation. (InDepthNH.org)
- HB 658 raises the cap on reimbursements from the Oil Discharge and Disposal Cleanup Fund. (LegiScan)
Environmental bills around PFAS and related funding processes also moved during budget negotiations. (New Hampshire Fiscal Policy Institute)
Public Safety, Tech, and Consumer Protection
- HB 468 creates a new “unlawful use of drones” statute and ratchets up penalties for reckless driving over 100 mph; amendments spell out felony tiers if drones interfere with aircraft or deliver contraband into prisons. (LegiScan)
- HB 143 (after heavy amending) both updates rules for no-trespass orders on public property and adds liability for certain harmful “responsive generative communications” to minors—a first-of-its-kind nod to AI/online safety. (LegiScan)
- HB 506 requires background checks before courts return seized firearms and ammunition, and addresses out-of-state driver’s licenses issued to undocumented immigrants. (InDepthNH.org)
- HB 485 lets lottery winners remain anonymous. HB 328 creates a charitable gaming oversight commission; HB 737 expands games of chance and authorizes statewide keno. (LegiScan)
- SB 245 prohibits surprise ambulance billing and regulates ground ambulance reimbursement. (InDepthNH.org)
Property, Landlord-Tenant, and Local Government
- HB 60 clarifies termination of tenancy at lease expiration.
- HB 617 updates the homestead right.
- HB 374 revises local tax cap and budget laws, refining adoption/override procedures. (InDepthNH.org)
Municipalities also received a grab-bag of changes affecting budget ballots, public notices before reassessments, school building aid project management, and dog muzzling ordinances. (InDepthNH.org)
Executive Orders and Appointments: Ayotte’s Early Executive Footprint
Ayotte’s first months included a set of notable executive orders:
- EO 2025-01 created a Commission on Government Efficiency. (New Hampshire Governor’s Office)
- EO 2025-02 imposed a state hiring freeze, with exceptions for public safety and critical-care roles, citing budget pressures. (New Hampshire Governor’s Office)
- EO 2025-03 established a Judicial Selection Commission. (New Hampshire Governor’s Office)
On appointments, Ayotte announced she would retain Attorney General John Formella and nominated Bryan Gould to the New Hampshire Supreme Court; both drew significant press and scrutiny during Executive Council proceedings. (New Hampshire Bulletin)
A Governor Willing to Sign—and to Veto
Ayotte has been an active signer (e.g., large bill batches on July 11 and August 1), but she has also crossed her party on several controversial items:
- Vetoed HB 324 (“book ban” mechanism): Ayotte argued existing opt-out procedures suffice and warned of subjective censorship and penalties for educators. (New Hampshire Public Radio)
- Vetoed HB 356 (partisan school board elections): “no need to fix a system that is not broken.” (New Hampshire Bulletin)
- Vetoed HB 446 (parental permission for non-academic surveys), HB 358 (easier religious vaccine exemptions), HB 148 (broad “biological sex” segregation), and others—drawing headlines for “defying” hard-right Republicans. (New Hampshire Public Radio)
At the same time, she championed conservative priorities on school cellphones, parental rights, universal EFAs, election procedures, parts of criminal law, and energy policy. (New Hampshire Bulletin)
What Changed This Year That You’ll Actually Feel?
- Schools
- No phones from bell to bell (with limited exceptions); districts must adopt compliant policies. (dover.nh.gov)
- Vouchers (EFAs) open to all income levels, subject to caps. (Concord Monitor)
- A new Parental Bill of Rights governs interactions with districts. (New Hampshire Bulletin)
- Voting
- More documentation front-end for absentee applications and updated list maintenance; hand-count requests now in statute. (InDepthNH.org)
- Housing
- ADUs (including detached) now broadly permitted by right; cities and towns must open commercial zones to multifamily housing by mid-2026. Expect mixed-use redevelopment proposals to accelerate. (trackbill.com)
- Healthcare & Social Policy
- Stricter rules around youth gender-related treatments; new abortion data reporting. (InDepthNH.org)
- Potential Medicaid work requirements/premiums pending federal actions; watch implementation timelines. (InDepthNH.org)
- Energy & Bills
- Statutory groundwork for offshore wind build-out and off-grid providers; net-metering language cleaned up. (LegiScan)
- Public Safety & Tech
- New criminal exposure for dangerous drone use; sharper penalties for extreme speeding; early foray into AI-related harms to minors. (LegiScan)
Effective Dates: A Few to Circle
- HB 577 (ADUs): July 1, 2025. (trackbill.com)
- HB 631 (Multifamily in commercial zones): July 1, 2026. (trackbill.com)
- HB 154 (hand-count requests): Sept. 30, 2025. (LegiScan)
- HB 468 (drones/speeding): pieces phase in through Jan. 1, 2026. (LegiScan)
- HB 2 (cellphone ban language): July 1, 2025 (via budget trailer). (dover.nh.gov)
How We Got Here: The Politics
The Republican majority pursued long-standing goals—school choice expansion, parental rights, and election procedure changes—while making room for bipartisan housing reforms that preempt local barriers. Ayotte’s strategy has mixed clear conservative wins (EFAs, cellphone policy, election rules) with selective vetoes on divisive culture-war bills and a public commitment not to reopen redistricting maps. That combination has earned both praise (from educators on the book-ban veto, from housing advocates) and frustration (from conservatives who wanted broader social policy changes). (Politico)
Budget politics, meanwhile, were complicated by softening revenues, the final loss of I&D tax receipts, and rising costs in health and pensions—forcing fee/fine hikes and program tradeoffs. (New Hampshire Fiscal Policy Institute)
Quick Reference: Selected 2025 Laws (by theme)
- Elections: SB 218, SB 221, SB 287, HB 154, HB 464, HB 67. (InDepthNH.org)
- Education: SB 295 (universal EFAs), HB 10 (parental rights), HB 2 (cellphone ban), SB 97, HB 699. (New Hampshire Public Radio)
- Housing/Land Use: HB 577 (ADUs), HB 631 (multifamily in commercial zones), SB 283, SB 153, HB 457. (trackbill.com)
- Health & Social Policy: HB 377, HB 712; Medicaid/work requirement elements in HB 2; maternal-health initiatives. (InDepthNH.org)
- Energy/Environment: HB 682, HB 672, SB 232, HB 658. (LegiScan)
- Public Safety/Tech: HB 468 (drones/speeding), HB 143 (generative comms to minors; public property no-trespass process). (LegiScan)
- Gaming/Consumer: HB 485 (lottery anonymity), HB 328 (charitable gaming oversight), HB 737 (games of chance/keno). (LegiScan)
What to Watch Next
- Implementation details. Cellphone rules, EFA capacity caps, and absentee-ballot ID copy requirements all require districts and clerks to rewrite playbooks. Expect uneven rollouts and clarifying guidance. (dover.nh.gov)
- Federal review. Any Medicaid work requirements/premiums embedded in the budget will turn on CMS decisions and waivers. (InDepthNH.org)
- Housing pipeline. Developers have already been scouting commercial-zone sites for mixed-use conversions; ADU interest is surging. Local boards will translate state preemption into workable ordinances. (New Hampshire Bulletin)
- Courts & councils. The Judicial Selection Commission and Supreme Court nomination move Ayotte’s imprint into the judiciary. (New Hampshire Governor’s Office)
Sources & Further Reading
- Budget passage & contours: New Hampshire Bulletin (budget vote and top-line figures); NHFPI analysis (programmatic shifts; Medicaid provisions). (New Hampshire Bulletin)
- Executive orders: EO 2025-01 (Gov’t Efficiency), EO 2025-02 (Hiring Freeze), EO 2025-03 (Judicial Selection Commission). (New Hampshire Governor’s Office)
- Election law package & veto notes: InDepthNH roundup (Aug. 1 bill list and veto explanations). (InDepthNH.org)
- Cellphone policy: New Hampshire Bulletin, Dover public notice, Ballotpedia and DOE page for context; NHPR school-year preview. (New Hampshire Bulletin)
- EFA expansion & parental rights: NHPR, Concord Monitor, New Hampshire Bulletin, EdChoice. (New Hampshire Public Radio)
- Housing reforms: LegiScan/TrackBill chaptering and effective dates; NH Bulletin explainer; Governor’s highlights; Housing Action NH statements. (trackbill.com)
- Public safety & tech: HB 468 and HB 143 texts and analyses. (LegiScan)
- Veto coverage: NHPR (bill-by-bill); NEA-NH reaction to HB 324 veto. (New Hampshire Public Radio)
- Redistricting stance: Politico. (Politico)
- I&D Tax repeal context: CBIZ advisory; practitioner analysis on legislative pushback. (CBIZ)
Bottom Line
If you follow only a few threads from 2025, make them these: universal EFAs, a statewide school cellphone ban, a preemption-heavy housing package, a busy election law rewrite, and a budget that both spends more and leans on a mix of fees, program shifts, and Medicaid policy changes. Add in a governor who signs plenty, vetoes selectively, and avoids redistricting entanglements, and you have the rough shape of New Hampshire’s new political equilibrium.
Have a local angle or bill we should add to our tracker? Send tips and town-level implementation stories to the Granite State Report team.
