New Hampshire’s Push for Portsmouth Naval Shipyard Control

A New Hampshire legislator has reignited a long-standing border dispute with Maine over the Portsmouth Naval Shipyard. Republican Rep. Joseph Barton has introduced legislation urging Congress to recognize the Piscataqua River and Portsmouth Harbor as part of New Hampshire. The proposal also requests President Trump to designate the shipyard’s duty stations as New Hampshire territory. This move aims to alleviate tax burdens on New Hampshire residents employed at the shipyard, who currently pay Maine income taxes.

Tax Implications and Local Concerns

The primary motivation behind Barton’s legislation is the tax status of shipyard employees. New Hampshire does not impose a state income tax, while its residents working at the Portsmouth Naval Shipyard are subject to Maine taxes. Barton argues that shifting the shipyard into New Hampshire would provide tax relief to over 3,100 New Hampshire residents employed there. He stated, “We won’t get more tax revenue. The citizens will get more tax relief.”

However, this shift could have significant financial implications for Maine. If New Hampshire residents no longer pay state taxes to Maine, the state could lose a portion of its income tax revenue. The exact amount remains unclear due to taxpayer confidentiality laws. Kittery Town Manager Kendra Amaral has raised concerns about potential traffic issues if New Hampshire assumes control of the shipyard. The shipyard has two access points, both located in Kittery, which could lead to increased congestion and infrastructure challenges for the town.

The jurisdictional dispute is not new. In 2001, the U.S. Supreme Court ruled in favor of Maine, affirming that the boundary between the two states lies in the middle of the Piscataqua River. Despite this, Barton’s resolution claims that New Hampshire has complete dominion over the river and its submerged lands. The resolution is currently under review and must pass through the House and Senate before being signed by Governor Kelly Ayotte, whose stance on the matter remains unknown.

Source: https://www.pressherald.com

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