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Governor, Legislative Leaders Strike Deal on N.H. Budget

Dan Tuohy / NHPR

After a three month stalemate, Governor Chris Sununu and top Democrats in the House and Senate have reached a compromise on a new state budget.

The deal announced Tuesday would retain the business tax rates Sununu prioritized, but current rates would increase if revenues fall below agreed upon targets.

The compromise package also includes more funding for public education and annual increases to medicaid provider rates, which were sticking points for Democrats.

Sununu vetoed the $13 billion two-year budget back in June, and the state was operating under a temporary funding plan since July 1.

Among other things, the budget would require $25 million in cuts to the Department of Health and Human Services.

To take effect, this deal will need the approval of both the House and Senate, which will meet Wednesday.

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