State House Dome: Sununu may have a different view on charity casino oligopoly

Apr. 12—LAST YEAR, Gov. Chris Sununu vetoed legislation (SB 51) that would have extended a moratorium on new charity casinos that gives existing operators an exclusive oligopoly on historic horse racing, by far the hottest new form of legal gambling in the state.

Sununu assailed a two-year extension as an affront to New Hampshire's free-market tradition.

This past week, Senate Ways and Means Committee Chairman Tim Lang, R-Sanbornton, said he has it on good information that Sununu may be having a change of heart.

"I have had discussions with the governor, and it seems he is in a favorable position for this bill," Lang told the House Ways and Means Committee.

Lang testified on his bill (SB 472), which would extend the moratorium by seven more years, to July 2031.

The moratorium is set to end June 30 this year, and charity gaming operators are lobbying furiously for Lang's bill.

Without it, they fear a proliferation of HHR machines in bars and restaurants, which could dilute the sponsoring nonprofits' 35% share of the net profit.

The 10 existing licensed charity casino gaming parlors have about 1,800 machines, Lang said.

Originally, Lang proposed a four-year extension in his bill. He said he had to go along with seven years to get his bill through the state Senate.

Some House tax committee members pushed back on Lang's proposal.

The longer moratorium will give a commission studying the future of charity casino gambling time to complete its work and make recommendations for industry reforms, Lang said.

In a related development, the House and Senate are closing in on an agreement on legislation that would outlaw charging rent to nonprofits when they have HHR dates at these charity casinos.

The operators have testified they don't oppose the change.

Candidate loan with benefits

First Congressional District Republican candidate Hollie Noveletsky's campaign said there is nothing unusual about the $65,000 personal loan she made to her own 2024 effort.

According to her most recent campaign finance report, the loan is for five years at 9.5%.

As of February, the federal funds rate was lower than that, in the range of 5.3%.

If the campaign repaid her in regular monthly payments through December 2028, she would get back nearly $82,000.

Many candidates who make loans to their campaigns pay themselves back without interest — if they pay themselves back at all.

Some who lose end up with insufficient funds to repay themselves — and no ability to hold a fundraiser to cover the shortfall.

The Federal Elections Commission has ruled that candidates can charge interest on personal loans to their campaigns at a "commercially reasonable rate."

Previous FEC rulings have given candidates pretty broad latitude in determining what that should be.

Noveletsky Campaign Manager Isaac Hadam said questions about the loan are of little import.

"It is no surprise that the DCCC (Democratic Congressional Campaign Committee) and Chris Pappas are ramping up their attacks on Hollie as they know she is in a strong position to beat Pappas in November," Hadam said.

The candidate said Noveletsky made the loan through her 401(k).

Hadam said she did not set — and had no say in setting — the interest rate being charged by Empower, a financial services company.

"This desperate attack just goes to show that Hollie is doing something right by ruffling the feathers of the D.C. establishment. She has been all over the district speaking to Granite Staters, and has been holding Pappas accountable for his weakness on illegal immigration, refusal to defend Israel, and failure to represent New Hampshire," Hadam said.

Trump camp caught in dark

Steve Stepanek, former President Donald Trump's New Hampshire campaign chair, said he knew nothing about disciplinary files released last week that revealed State Rep. Jonathan Stone had threatened in 2006 to kill the Claremont police chief and rape his wife.

"I just found out about it this morning," Stepanek told the Huffington Post. "He's been a Trump supporter for a long time, and he's been a state representative, and he had, as far as we were concerned, what looked like a great background."

Stepanek said the national campaign will decide Stone's future as Trump's Sullivan County chair.

Sununu disses DeSantis

Sununu couldn't resist a jab after the Executive Council confirmed Dr. Abigail Alexander as the state's new associate medical examiner.

She will be one of the state's highest-paid employees, making $225,000 a year for a three-year term that ends July 1, 2026.

Alexander is finishing a forensic pathology fellowship at the Broward County (Florida) Office of Medical Examiner and Trauma Services.

"Huh, she's coming to New Hampshire from Florida. Take that, (Florida Gov. Ron) DeSantis," Sununu said.

Morse releases border plan

Senate Majority Leader Sharon Carson, R-Londonderry, and House Majority Leader Joe Sweeney, R-Salem, and others joined Republican candidate for governor Chuck Morse as he outlined his border security plan.

Titled, "Fortifying Granite State Defenses: Combating Deadly Drugs, Crime, and Unlawful Border Crossings in the 603," the proposal includes supporting a ban on sanctuary city policies, continued support for the Northern Border Alliance campaign and better recruitment of law enforcement.

Morse also is backing the agenda pursued by Senate President Jeb Bradley, R-Wolfeboro, and colleagues since Morse left, that includes bills to permit property owners to post no-trespassing signs and to stiffen criminal penalties for fentanyl dealers.

The plan also opposes amnesty. Asked if voters could trust Republican gubernatorial rival Kelly Ayotte on the issue, Morse answered, "Well, I certainly wouldn't support amnesty."

While in the U.S. Senate, Ayotte backed the "Gang of Eight" immigration reform, which would have given some illegal immigrants a path to citizenship.

Ayotte spokesperson John Corbett said it's Morse who can't be trusted.

"New Hampshire would've banned sanctuary cities already if Chuck Morse hadn't deep-sixed the Republican bill in 2022," said Ayotte spokesperson John Corbett.

"Chuck's record is clear — he killed a sanctuary city ban, failed to use E-Verify at his own business, and is now trying to backpedal and cover his tracks because he is desperate and losing.

"Kelly Ayotte has never supported amnesty and never will. As a former prosecutor, Kelly is the only candidate in this race with a track record of keeping New Hampshire safe and putting criminals behind bars."

Fish and Game opening

Fish and Game Commissioner Scott Mason of Stratford announced he won't seek another term when his current one ends this August.

Mason has held the post since August 2020.

A commission search committee has been formed to make a nomination for his replacement.

State law requires the governor and council to vote on that choice.

If they refuse to support this pick, the commission will nominate someone else.

DOJ office deal OK'd

The Executive Council unanimously approved a $21.5 million deal to purchase Granite Place South in Concord, the new home for the Department of Justice.

In the last state budget trailer bill, the Legislature approved money to eventually buy what used to be part of the Lincoln Financial Insurance Co. complex in the capital city.

A firm connected to Concord developer and former Republican State Chairman Steve Duprey owns the property.

For more than a year the state leased the site.

Administrative Services Commissioner Charles Arlinghaus said the taxpayers do much better by having the state buy the building outright.

IVF deal clears hurdle

A plan to provide more access for in vitro fertility treatments cleared the state Senate on a voice vote (SB 558).

Those in both parties, including Senate President Jeb Bradley, R-Wolfeboro, helped broker this legislation, championed by Sen. Rebecca Perkins Kwoka, D-Portsmouth.

Perkins Kwoka said she knew the case still must be made in the House, but she said she was pleased how this compromise on such a sensitive issue came together.

Time capsule opened

There was no buried treasure and only $1 inside, but legislative leaders surely enjoyed themselves while opening a time capsule buried in 1958 in the foundation of the former Mechanics Bank Building in Concord.

The state later bought the building, owned by the New Hampshire Savings Bank building at the time, and converted it into DOJ headquarters.

A private demolition firm is razing the DOJ building, which will be replaced by a multi-story parking garage for state legislators.

While doing some research, Assistant Secretary of State Dean Dexter found a news clipping that made reference to the time capsule.

The late U.S. Sen. Styles Bridges had served on the bank board.

General Court Chief Operating Officer Terry Pfaff organized an opening ceremony for the time capsule Tuesday morning.

The metal box also included a newspaper clipping, a TV Guide, and letters and photographs of bank officials.

Laconia deal prospects dim

Sununu and Arlinghaus didn't sound hopeful that the Legacy at Laconia LLC will be able to secure financing for its $21 million purchase of the former Laconia State School property by the April 22 deadline.

"As soon as someone shows me a suitcase of cash, we will close that day," Arlinghaus said when pressed by Executive Councilor Ted Gatsas, R-Manchester, about whether the deal will go through.

Sununu said, "I don't think anyone is confident that this is going to close on April 22. We have given them a shot at doing it."

One curious footnote if the deal falls through:

The 2023 budget trailer bill provided that upon sale of the Laconia property, the proceeds would go toward the state's purchase of the second half of Duprey's complex, Granite Place North.

The state Administrative Office of the Courts currently rents a good-sized wing in that building.

Partial rail trail relief

Executive Councilor Joe Kenney, R-Wakefield, has been pressing hard for state support to repair the network of snowmobile trails devastated by rains and warm weather this winter.

Department of Natural and Cultural Resources Commissioner Sarah Stewart and Sununu both support directing $1 million in unspent federal American Rescue Plan Act dollars to the effort.

The agreement would erase the need to pass legislation earmarking state funds for the trail renovation effort.

Total damages to the trails exceed $2 million, Kenney noted.

"The $2 million in damages isn't going to be fixed with $1 million in ARPA," Kenney said.

Sununu said $1 million is more than generous.

"This is a very unique situation. The state is not going to take on the 100 percent cost of replacement of trails," Sununu said.

"There are other needs out there, to be sure."

Candidates tag team

The two Democratic candidates for governor, former Manchester Mayor Joyce Craig and Executive Councilor Cinde Warmington of Concord, both spoke at a Biden-Harris campaign news conference Wednesday afternoon, where they attacked Trump on abortion rights.

It proved not to be a rare joint sighting. The two showed up the next morning at a Moms Demand Action news conference promoting gun control legislation.

Kevin Landrigan is State House Bureau Chief for the New Hampshire Union Leader and Sunday News. Contact him at klandrigan@unionleader.com.