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NH Republicans Work Together to Pass State Budget, Full-Day Kindergarten

In two legislative victories for Gov. Chris Sununu, he saw Republicans unite to pass a state budget and full-day kindergarten. The New Hampshire House and Senate met Thursday for the final session of the legislative year in their respective chambers, and behind-the-scenes negotiations on the budget led to a win for the NH GOP platform. An $11.7 billion biennium budget is on its way to Sununu’s desk for his signature.

The scene was a joyous one for Sununu and Republican lawmakers in the Executive Council chambers at the State House after the budget vote. As Sununu walked into the room, cheering and applause broke out to celebrate their victory.

“Absolutely a big win, a big win for New Hampshire,” Sununu said after the vote. “People sent us to Concord to get a job done and we did it. And we did it the right way, we brought folks in and we listened and we talked, we kept working it the best we could and we came out with what I think is incredible progress for the state of New Hampshire.”

The Senate passed a committee of conference spending plan on a party-line vote of 14-9 in its Thursday morning session. About an hour later, the House passed the same budget on a roll call vote of 198-169. Only 14 Republicans voted in opposition and five Democrats supported the budget.

The margin of passage was wider than many people expected. Just a week ago, the fate of the budget in the House was uncertain, after conservatives tanked an earlier version of the budget in April. After some wheeling and dealing with Sununu and GOP Senate leadership, members of the conservative House Republican Alliance and House Freedom Caucus said while it was an imperfect budget, it was something that had some benefits for Granite Staters.

“Although the caucus as a whole is still concerned about the level of spending, there are definite benefits for the NH taxpayers,” the Freedom Caucus said in a statement. “The majority of our caucus members were able to support the budget in order to bring these benefits to our constituents.”

The business tax cuts added by the Senate were a significant factor in motivating the conservatives to vote in favor of the budget.

“There are many Republican leaders to thank for the passage of this bill — [House] Speaker [Shawn] Jasper, Senate President [Chuck] Morse, and Governor Sununu united the party in Concord and ensured passage of this Republican budget,” said NHGOP Chair Jeanie Forrester. “Republicans of all backgrounds and stripes united to pass this budget and ensure a stable and bright future for the State of New Hampshire. This shows that when Republicans are united, Republicans win and New Hampshire is better off for it.”

A companion bill that made the policy changes reflected in the budget also passed the Senate by a 14-9 margin and in the House by a vote of 212-161.

The companion bill included a phase-in of business tax cuts, elimination of the electricity consumption tax, and authorization of online lottery games. The budget will take effect on July 1, the first day of the new state fiscal year.

While Republicans claimed a win for their legislative agenda, New Hampshire Democratic Party Chairman Ray Buckley sent a fundraising email to supporters, blasting the GOP-backed spending plan.

“Gov. Sununu’s reckless and dangerous budget will take New Hampshire’s progress and turn it into disrepair,” Buckley said. “Republicans assume New Hampshire’s problems will just fix themselves. That’s not leadership, that’s ignorance. Let’s work together to make sure we have the state government we deserve in Concord.”

Later in the day, the House and Senate also passed another of Sununu’s policy priorities: funding for full-day kindergarten. The funding starts with state dollars, but after two years, it would be funded from revenue generated by newly authorized Keno.

Over the legislative session, Sununu stuck by his campaign promise to see full-day kindergarten come to fruition. He called for it in his budget, stood by his pledge after House Republicans stripped its funding from their budget, and then applauded once the Senate revitalized it as a standalone bill. He showed his flexibility when the policy and funding levels changed each time and while the final bill was not what he originally intended, he called it a “first-step.”

The House overwhelmingly passed Senate Bill 191 on a roll call of 251-111. The Senate vote was 15-8, with 12 Republicans and three Democrats in favor, and two Republicans and six Democrats opposed.

It was a difficult bill for some lawmakers to stomach tying online gambling revenue to education. For Sen. Lou D’Allesandro, D-Concord, he’s been a longtime advocate of casino-style gambling in the state, but he voted against the bill since he didn’t believe the two issues should be linked.

On the opposite end, Senate Majority Leader Jeb Bradley is not a big supporter of Keno, but he voted in favor of the bill to invest more in early education.

Still, the bill made it through the legislature and is headed to Sununu’s desk, who applauded its passage and declared that he is “the first governor” to deliver a full-day kindergarten.

“The investments made today will give New Hampshire’s children a strong foundation for tomorrow’s future,” he said. “I am proud to be the first governor to deliver a real full-day kindergarten program for communities across our state, which will close the opportunity gap and provide students, regardless of their economic status, an extra step up as they enter the first grade. Full-day kindergarten is good for children and families, and a critical tool in retaining our future workforce.”

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NH House Republicans May Have Enough Votes to Pass State Budget With Conservative Approval

After weeks of uncertainty and negotiations, it appears the Republican-controlled legislature could have enough votes to get the state budget passed Thursday, after key conservative groups indicated they intend to vote in favor of the spending plan.

Both the House and Senate are voting on an $11.7 billion, two-year spending plan negotiated by a committee of conference earlier this month. The Senate is expected to approve the compromise, but its fate is less certain in the House.

Gov. Chris Sununu, NHGOP Chair Jeanie Forrester, and House Speaker Shawn Jasper have been quietly making the rounds to appeal to the conservative caucuses in the New Hampshire House. The House Republican Alliance and House Freedom Caucus had concerns about increasing spending over the previous biennium. GOP leadership appears to have quelled those worries after business tax cuts were approved in the final version of the state budget during the conference committee between the House and the Senate.

No members from the two conservative blocs sat on the budget conference committee, which also harbored some bitter sentiments from representatives.

“While the caucus as a whole, finds the level of spending objectionable, we were able, with the cooperation of the Senate, to craft a bill that will have some positive outcomes for New Hampshire taxpayers, and businesses,” said Rep. Anne Copp, R-Danbury. “Many of these points were clear objectives for the [Freedom Caucus] when we went to House leadership in the early stages of the budget process. It is unfortunate that some of House leadership chose to exclude us from the process.”

At first, it was unclear if House GOP leadership would choose to work with the Democrats or conservatives to get a budget passed in the chamber. After anti-abortion language was added to the bill in the conference committee, Democrats said they would oppose the budget.

“What businesses need, with one of the lowest unemployment rates in the country, is a well-qualified workforce, to maintain our quality of life in the Granite State and a sound infrastructure. It isn’t a tax cut,” said House Minority Leader Steve Shurtleff at a Wednesday press conference with more than 30 other Democratic lawmakers.

With their entire caucus planning to vote against the budget, House Republicans cannot afford to lose more than 25 to 30 votes within their own party, depending on how many of the 400 representatives show up to vote.

The conservatives led the defeat of the House’s original budget proposal in April, after 32 Republicans joined Democrats to vote against the plan. It was the first time since at least 1969, when records were first kept, that the House failed to produce a budget to pass on to the Senate.

Despite several conservative endorsements on the final version of the budget, they are not giving the credit to Jasper. The speaker and conservatives have not exactly seen eye-to-eye on many issues this legislative session. Some even blamed him for not getting a budget passed in April because Jasper didn’t give in to their demands. For the budget that came out of the conference committee, some conservatives attributed their change in position due to the governor and Senate leadership.

“The Freedom Caucus cannot thank the Governor and Senate Leadership enough for the work they have done to deliver a budget that is more fiscally responsible, often having to fight House leadership to lower spending and reduce taxes,” said Rep. John Burt, R-Goffstown. “There can be no doubt that it is a bizarre situation when the Senate President and Senate Finance Chair have to work to bring the House Republican caucus together, but that is precisely what happened, and this budget undoubtedly would have collapsed without their efforts.”

Senate Finance Chair Gary Daniels, R-Milford, said he was pleased to hear that members of the House Republican Alliance and House Freedom Caucus would vote for the budget.

“It was important to the process to have input from these legislators regarding elements they felt needed to be included in the proposed budget, and their interaction helped shape the final product,” he said. “What we achieved is a budget that is good for New Hampshire and provides resources for a strong economic future by balancing key priorities, providing personal and business tax relief and growing the state’s rainy day fund, while keeping overall state spending within responsible levels.”

There are still some conservatives that plan to vote against the budget, but whip counts total defections at no more than 25 members. Still, it’s expected to be a close vote and Sununu was optimistic, yet cautious.

“You never get anything by raising your voice and threatening,” he told New Hampshire Public Radio. “No, open positive listening. And when you bringing people in and talking to them and you are opening, and listening, it’s amazing what you can get done.”

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House Approves Full-Day Kindergarten, Democrats Claim Legislative Victory

In a win for Gov. Chris Sununu’s agenda, the New Hampshire House gave a preliminary vote of approval for full-day kindergarten. While some are calling it a bipartisan victory, the state Democratic Party is taking credit for the proposal getting passed.

Senate Bill 191 calls for providing $14.5 million during the next two fiscal years to help communities that want to implement full-day kindergarten.

In Sununu’s budget proposal, he provided $9 million a year to establish programs in the neediest communities of the Granite State. That original funding amount passed the Senate at the end of March on a 21-2 vote.

The House Education Committee changed the funding to the full $14.5 million to allow all communities, regardless of need, the opportunity to implement the program. About three-quarters of New Hampshire’s communities currently have full-day kindergarten, but the state only pays half the per-student amount for children in kindergarten. The House approved that funding on Thursday on a 247-116 vote.

“I applaud the House for taking this important step today to provide financial support to communities that choose to support and create full-day kindergarten programs,” Sununu said in a statement. “I believe strongly that this is the right thing to do and I look forward to continuing to work with the legislature as the measure moves forward.”

The roll call vote saw 87 Republicans join 160 Democrats in supporting the bill. Many education advocates cheered the bipartisan work of the House and Senate for getting the bill passed.

“With today’s vote, strong bipartisan majorities in the House and the Senate are on record supporting increased state funding for full-day kindergarten,” said Mark Shriver, president of Save the Children Action Network. “We are encouraged that lawmakers from both parties have made investing kids in the Granite State a priority.”

The New Hampshire Democratic Party framed it another way. In their own press release, chairman Ray Buckley called Sununu’s original proposal of funding full-day kindergarten at $9 million a year a “half-baked plan.” He also highlighted that no Democrats opposed the bill and a majority of Republicans (115 of 202) voted against the legislation.

“Today, Democrats held him accountable for his broken promise by finally providing every child in the state full-day kindergarten instead of ceding to his half-baked budget proposal,” he said. “Democrats carried the bill across the finish line in the House, with every single Democratic House member voting for the legislation while a majority of Republican members voted against it. Sununu’s inability to lead almost cost us full-day kindergarten. Today was another example of why we need Democrats in the State House.”

House Republicans are pretty divided over whether the state should pay for full-day kindergarten.

On the House floor, Rep. Victoria Sullivan, R-Manchester, said she opposed the bill because it removes local control from the communities and removes parental choice.

“It was never intended that 5-year-olds would be sitting at a desk for six hours per day,” she said. “We must allow districts to keep decisions regarding early childhood education as a local control issue so that we can fix Kindergarten and restore it to its intended purpose, which is to foster the individual talents and abilities of each child through exploration, creativity and movement.”

Other Republicans say the bill doesn’t mandate that schools offer full-day kindergarten, but simply allows communities access to funds to help pay for it.

“If Kindergarten is important, why don’t we fund it for everyone?” said Rep. Terry Wolf, R-Bedford. “This bill helps offset the downshifting of costs from state to local communities. Funding education makes a statement that we value education and support our communities.”

SB 191 was one to watch on Thursday because House GOP leadership did not take an official position on the bill or whip any votes. House Speaker Shawn Jasper was presiding over the session, so he didn’t cast a vote, but House Majority Leader Dick Hinch voted in favor of the legislation.

Leaders of the two conservative House caucuses voted against the bill, showing there isn’t widespread support among those factions for full-day kindergarten. Rep. Laurie Sanborn, R-Bedford, who is a leader of the House Republican Alliance, and Rep. J.R. Hoell, R-Dunbarton, who is a leader of the House Freedom Caucus, opposed the bill.

SB 191 now heads to the House Finance Committee for representatives to look at the cost since the measure uses state revenues. In an earlier session, members of the committee refused to put any money for kindergarten in its version of the state budget.

After the committee makes a recommendation, the bill returns to the full House for another vote. If the House approves funding again at the $14.5 million-a-year level, then it will go to the Senate.

The Senate could then approve the bill at that funding level or the chamber could reject it in favor of their previous $9 million-a-year plan for targeted communities. If that happens, it’s likely a committee of conferences between the two chambers would be established to negotiate a compromise.

Regardless, the House’s approval of full-day kindergarten on Thursday is a good indication that a bill at some funding level will end up on Sununu’s desk, fulfilling one of his campaign promises.

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GOP Infighting Continues: NH House Freedom Caucus to Start PAC

The budget battle is over between House Republican leadership and conservative members in the New Hampshire State House for now, but the political divide between the two factions continues to grow. The NH House Freedom Caucus announced plans Wednesday to start its own political action committee, signaling that the fight for control of the chamber is far from over.

The House Freedom Caucus, a 32-member group taking its name after a similar conservative coalition of Republicans in Congress, is pushing back against House Speaker Shawn Jasper in the next election. They are planning on using money from the PAC to support candidates who believe in “limited government and personal liberty.” The PAC will be chaired by Rep. Dan Hynes, R-Merrimack.

“Last year, Speaker Jasper utilized his PAC to target conservative Republican members in primaries,” said Rep. J.R. Hoell, R-Dunbarton, one of the leaders of the conservative group. “The NH Freedom Caucus PAC will help to protect those members and candidates who stand on principle and refuse to be dominated by a big government House leadership.”

Jasper says he has no plans to target conservative members. In 2016, his leadership PAC helped out some Republicans, but left others to fend for themselves. The main NH House GOP PAC also said it plans on supporting all Republican candidates.

Members of the House Freedom Caucus are not convinced.

“For many individuals who might consider running to serve in the House, they need to know that there will be help if they don’t immediately pay allegiance to a Speaker that is working to rapidly grow government, whether through his vote on Medicaid expansion or on budgets with 10.5 percent spending hikes,” said Rep. Greg Hill, R-Northfield, a member of the caucus.

Conservatives haven’t been supportive of Jasper in the role as speaker for a while. He won the speaker’s post in 2014 with an overwhelming majority of support coming from Democrats. Only a few dozen Republicans voted for him over former House Speaker and conservative firebrand Bill O’Brien.

In the last session, he was heavily criticized by conservatives for supporting a reauthorization of Medicaid expansion and working with Democrats to get it passed.

He also barely won the speakership in 2016 over Rep. Laurie Sanborn, R-Bedford, and a leader of the other conservative House Republican Alliance (HRA) caucus. He defeated her by a five-vote margin, 109-104, on the second ballot in December. Jasper assured lawmakers that he would unify the caucus in time to get legislation passed. That doesn’t seem to be the case so far.

The first test of the legislative session was right-to-work. Conservatives overwhelmingly supported the bill, but moderate Republicans and members of the House Republican leadership weren’t sold on it, due to their ties to unions or people they know in them. Despite the bill passing in the Senate, it failed in the House and people blamed Jasper for not trying hard enough to get it passed. The vote revealed a splintered Republican majority in the House.

The second battle between conservatives and Jasper was over the budget. Members of the House Freedom Caucus did not support the budget that came out of the House Finance Committee earlier this month. They didn’t like that spending increased over former Democratic Gov. Maggie Hassan’s budgets and that the budget lacked tax cuts.

They banded together to vote against the budget until their demands were met. Democrats were already voting against the budget to defy the Republican majority in the House from passing a budget. Conservatives essentially joined them to derail budget negotiations. What resulted was a chaotic two days and the House, for the first time since at least 1969 when they started keeping records of it, failed to pass a budget to the Senate.

Jasper didn’t mince words when he called out the House Freedom Caucus for voting against the budget.

“This is just a movement of people who, I think, are totally disconnected from their constituents and totally disconnected from the facts,” he told reporters after the vote.

It’s important to note that members of the HRA also voted against the budget and led to its defeat. Jasper took aim at their group last week, with leaders of the HRA claiming they have been denied the right to meet in the State House as punishment for their budget opposition.

Three co-chairs of the HRA received a letter stating that their “activities in the State House Complex are hereby suspended” because the organization failed to produce bylaws.

Jasper said he came to his decision on the belief that the HRA has turned into a lobbying group instead of a conservative caucus of Republican representatives, whose membership might extend to people who are not elected officials.

“Once again Speaker Jasper looks to silence the conservative caucus of the State House,” the HRA co-chairs said in a statement. “The Speaker is pathetically trying to provide himself with political cover after failing to pass a budget, something that hasn’t happened in New Hampshire since 1969.”

This was another reason the House Freedom Caucus decided to create a PAC. They don’t believe Jasper is going to spend the funds to help conservatives get elected to the House.

“Based on his recent actions of maligning conservatives in the press and banning conservative House groups from the State House meeting rooms, we have every reason to believe that he will continue to undermine conservative candidates in the next election,” Hoell said.

It’s possible Jasper could see a primary challenger in 2018 if the House Freedom Caucus is serious about padding war chests for conservative candidates. It could also make some representatives who live in relatively safe Republican districts a little nervous as well.

Former Rep. Leon Rideout said the GOP needed to work together or else Democrats could gain control next year.

The next big-item, divisive bill that comes up in the House could further expose deeper wounds within the Republican Party. The House is expected to vote on the budget again later this year, after the Senate passes its version. Who knows what will happen in round two.

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Chaos in the NH House: What Happened to the GOP State Budget?

For the first time since at least 1969, the New Hampshire House did not pass its version of a state budget. The budget is the second major issue that House Republicans had split factions on, highlighting deep and unhealed wounds within the Republican Party. While many people are putting the blame on Gov. Chris Sununu for not leading the party, he stands to gain the most from it.

House Speaker Shawn Jasper, R-Hudson, did not mince words after the House voted to adjourn and recess before a budget could be passed by the Thursday deadline. He blasted those who opposed the budget.

“They were bankrupt in terms of ideas,” said Jasper. “There were really no ideas that they had other than to say ‘somebody else needs to figure this out.’”

Thirty-two Republicans did not support Republican’s leadership trailer bill, which failed by a 177-169 vote. That came the same day that 66 Republicans rejected the leadership’s $11.9 billion budget bill, which failed by a 220-134 vote. One of the key components of the leadership budget was $50 million in property tax relief for cities and towns.

Yet, for keen political observers the ultimate failure of the state budget was predicated weeks ago, as conservative House members did not like that spending increased over former Democratic Gov. Maggie Hassan’s budget and that the budget created by the House Finance Committee lacked tax cuts.

Rep. J.R. Hoell, R-Dunbarton, is the leader of the House Freedom Caucus. He led the charge against the House Republican’s leadership budget. He tweeted about how he could “see trouble” getting the budget passed two weeks before the vote.

“The Speaker pulled me out of the budget hearing,” Hoell told New Hampshire Public Radio before the vote. “We sat in the back of the room and talked and I explained that some of us wanted to see tax cuts. There are no tax cuts in this budget. I’ve left it up to the Speaker whether he wants to play ball and make these changes or not. That’s entirely up to him.”

The comparisons between the conservatives in the New Hampshire House derailing the budget and conservatives in the U.S. House of Representatives blocking the Obamacare repeal because it didn’t go far enough are justified.

On Wednesday, the House failed to pass HB1 and HB2, which were created by the House Finance Committee and approved by the Republican leadership, by a 220-134 vote. After that budget was voted down, conservatives attempted to cobble together in an amendment their version of a budget, but that also failed on a 282-76 vote. House Democrats offered their own plan, but it lost by 34 votes, the closest any budget came to passing that day. The final vote was 196-162. The House then tabled the budget bill and recessed until Thursday morning.

A Wednesday deadline for new amendments to be brought forward to the state budget debate saw six amendments filed, yet none from House Republican leadership. They said it would be “disrespectful” to change the hard work and time the Finance Committee put in to create the budget.

When the House reconvened on Thursday, a trailer bill that accompanied the budget proposed by the finance committee failed, and the leadership saw no possible way they could get a budget passed, so they voted to recess, essentially not giving a budget to the Senate to work on.

Jasper condemned the 32-member conservative caucus who voted against the budget.

“This is just a movement of people who, I think, are totally disconnected from their constituents and totally disconnected from the facts,” he told reporters after the vote.

Yet, Jasper wanted to quell fears about the implication of the House not passing a budget.

“Don’t worry,” he said. “This is a step in the process, and while it is unusual, it really doesn’t affect anybody in the state because the Senate is going to move forward with their proposal.”

The Senate Finance Committee will begin drafting its version of a state budget on Monday, launching a weeks-long process of hearings and meetings before they present it to the full Senate for a vote. Senate GOP leaders said they will use Sununu’s budget proposal as a base and have also invited House Finance Committee members to present their plan, so they aren’t completely shut out of the process.

 

THE O’BRIEN FACTOR

There were outside groups influencing representatives before the state budget vote this week. It wasn’t the usual dark money organizations that try to sway elections. It was former House Speaker William O’Brien. Jasper defeated him in the 2014 speaker race with the help of the entire Democratic caucus. O’Brien was in contact with several conservative members ahead of the budget vote, encouraging them to vote their conscience.

“You have the critical mass to require a budget that fulfills the commitment that the NH Republican Party has made in its platform to: ‘[l]imit the growth of state spending to not more than the rate of inflation plus population growth.'” He wrote in an email to representatives. “If you ignore the threats, warnings, and ultimatums, and if you stand together and tough, you will prevail.”

After the budget failed, O’Brien sent a congratulatory email to members who voted against the budget and trailer bill.

“I don’t want to talk about individuals,” Jasper said when asked about whether O’Brien influenced the state budget vote. “But there were clearly outside influences who were ginning up members to vote no. There’s no question about that, and that’s unfortunate.”

 

JASPER SPEAKERSHIP IN JEOPARDY

With the recent budget failure, this marks the second important issue Jasper failed to get through the House. Right-to-work legislation, which Sununu called a top priority for the state, failed earlier this year in the House after moderate Republicans sided with Democrats to kill the bill.

With a 53-member majority, Jasper shouldn’t have that much of an issue getting bills passed, and if he can’t keep his party unified, there could be calls for him to resign as speaker in favor of someone else.

Rep. Laurie Sanborn, R-Bedford, challenged Jasper for the speakership in November, but lost. She’s a member of the conservative House Republican Alliance who voted against the leadership budget on Wednesday, but voted in favor of the trailer bill on Thursday.

“Unfortunately, we were shut down in many steps in the process,” she told WMUR. “I think we could have come up with a way to pass a Republican budget, and, unfortunately, that debate was shut down.”

She has no intention of challenging Jasper, but said she has heard from people who are not too happy with how Jasper is doing as speaker.

“Many folks are concerned about the leadership’s style because there’s a feeling that there hasn’t been a lot of give and take and listening, and they’d like to see more of that,” she said. “I’m hoping the speaker listens and learns from this experience so we can get together to get one Republican budget accomplished this year.”

 

DEMOCRATS BLAME SUNUNU

While fingers were pointed at Jasper for the budget failure, Democrats were quick to cast blame on Sununu for not effectively leading his party and getting a budget passed.

“[Sununu] has chosen to threaten rather than build coalitions, stay silent rather than making his opinions known, and stay distant rather making his presence felt,” said New Hampshire Democratic Party Chairman Ray Buckley in a statement. “His sense of entitlement has led him to expect support rather than work for it. Sununu was supposed to be the leader of the party; instead, the tail is wagging the dog.”

Even Jasper said he didn’t want to comment on Sununu’s involvement in getting the budget passed.

“With all due respect I’m just going to keep my thoughts on that to myself,” he said. “I have enjoyed my working relationship with the governor. He did come into our caucus twice and I’m going to leave it with that.”

Yet, in a statement from the governor’s office, it appears Sununu is putting the budget failure in the hands of House leadership.

“While I’m disappointed that House leadership couldn’t get a budget passed today, I am encouraged that the Senate has moved swiftly to take up my budget as a starting point for their deliberations,” he said.

Although Sununu is essentially the face and leader of the Republican Party, he might actually end up getting what he originally wanted.

The House version of the state budget cut his full-day kindergarten proposal, scholarship fund, and funding for the Alcohol Fund. Those were key priorities he made during his budget speech in February.

Now, the Senate said they will use his budget proposal as a starting point and they’ve already passed a number of bills on issues related to Sununu’s budget priorities, which indicates they’re more likely to include several of the governor’s wish list items.

While Democrats are trying to paint Sununu as the loser of this budget battle, he actually poises as a potential winner for not having his budget slashed…yet.

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