Consider it a new form of appeal. In March, a judge found that a proposed tax cap in Concord was against state law, so proponents of the tax cap are trying to change the law.

The New Hampshire Advantage Coalition has worked with legislators on an amendment to a House bill that would specifically allow cities and towns to adopt a tax or spending cap.

"This isn't so much about allowing a tax cap; this is a voting rights issue," said Matt Murphy, director of the New Hampshire Advantage Coalition. "Whether people in communities should be able to amend their charter through citizens' initiatives and be able to vote on those amendments."

The House bill amendment was sponsored by state Rep. Ken Hawkins, a Bedford Republican, and added to a bill that Hawkins was already sponsoring. The original bill, which passed in the House and is now in a Senate committee, would repeal a law authorizing selectmen to remove certain town employees whom the selectmen judge to be insane or incapacitated.

Hawkins said he decided to attach the tax cap amendment in light of the judge's ruling in Concord. "I think it's good for the taxpayers," he said. "If the voters decide they want to limit the rise in spending . . . they should have that ability."

But some say using an amendment is an inappropriate way to handle what could be a controversial political issue.

"I thought it was highly unusual that individuals felt it necessary to bring a nongermane amendment in on this bill," said state Sen. Betsi DeVries, a Manchester Democrat and chairwoman of the Senate's Public and Municipal Affairs Committee, which is considering the bill. "I think they were looking more for the political statement than they were to have something passed."

DeVries said the coalition should have found other legislation that was more applicable to the topic or should have put in new legislation that would have had a fully noticed public hearing.

"I was very concerned there was no notice for this amendment," DeVries said. "Though I granted them the benefit of speaking to it, other individuals had no idea it was coming in and had no opportunity to come in and speak. That's not good government."

The amendment states that any city charter may "provide for limitations on the growth of . . . the annual city budget, the annual school budget if the school district is contained entirely within the city, or taxes raised by the city." Any city charter that adopts these limitations must also authorize the governing body to override the limitations with a two-thirds vote.

The amendment also applies to any town whose charter has established a town council, town meeting or ballot form of government. In those cases, two-thirds of the governing body would still need to vote for an override - whether it be the town council or the town voters.

The proposed legislation is a response to a ruling by Merrimack County Superior Court Judge Diane Nicolosi. In March, Nicolosi determined that a proposed tax cap, which was to go on the Concord ballot in November, "is in violation of the New Hampshire Constitution and the general laws of the state."

The Concord tax cap, if implemented, would prevent the city council from raising the tax rate by more than the annual increase in the U.S. Consumer Price Index, a national measure of inflation. Nicolosi ruled that the cap would prevent the city manager from presenting a budget based on the city's needs. She also wrote that state law does not allow a charter amendment that legislates, and the proposed amendment would give voters input not given to them by state law.

"What the judge said is the Legislature has total control over establishing what it is municipalities can and cannot do," said attorney Rick Lehmann, who represents the New Hampshire Advantage Coalition. "This says municipalities with charters can enact tax caps."

Lehmann said that if passed, the legislation would have no immediate impact on any city or town.

"All this is, is enabling legislation," Lehmann said, meaning it gives voters the power to enact a tax cap if they choose to do so. "The thing the judge found to be a hurdle will no longer be in the way."

Murphy said he hopes support for the amendment will be bipartisan, since he sees it as an issue of voting rights and government accountability.

"This bill adds another level of government accountability to local taxpayers," he said.

Seven cities and towns have tax caps in place. Nicolosi's ruling does not automatically affect those municipalities but could be used as precedent if someone challenges the cap. Manchester voters will vote on a cap in November. Voters in Somersworth and Claremont are going through the process to put a cap on the ballot.

In Concord, it is unclear whether the cap will be placed on the ballot. Concord City Solicitor Paul Cavanaugh said if the judge's ruling is not appealed, the proposal would be considered unconstitutional in Concord and would not be voted on.

"I'd assume it would be taken off the ballot because we'd have a court decision that it's not legal," Cavanaugh said.

But Murphy and Lehmann said that even if it is not enforceable, the people must still be given a chance to vote, if only to express their opinions to elected officials.

"Since they followed the process, even though it's not binding, it does have to be placed on ballot," Murphy said.

Of the five state senators on the Public and Municipal Affairs Committee, the New Hampshire Advantage Coalition said it has received the support of Sens. Sheila Roberge and Jack Barnes, both Republicans.

Roberge said she likes the idea of a spending cap because it is a means to control taxes.

"We should be controlling spending, and as a result, you don't have to raise the money," she said. "I think in this time when people are losing jobs, are out of work, it's inappropriate to be raising taxes."

The legislation does not change the status of any existing tax caps, nor does it add new ones.

"It's enabling," Roberge said. "If the town doesn't want it, they don't have to take it."

DeVries said she has concerns about the process of proposing an amendment unrelated to the original legislation, and she is not sure that she will support the underlying legislation either.

"I can't say I'm looking to pass the amendment or to find other legislation for it," DeVries said.

After the committee makes a recommendation, the bill will go to the full Senate. If it passes the bill with the amendment, it will go back to the House for a vote on the amendment. If it passes the House, it will go to the governor.