UPDATE 1-New Englander dies as U.S. meat recalled

* One dead in New Hampshire from beef with E. coli

* Two others in the state sickened

* Illness connected to recalled of Fairbank Farms beef (Updates with statement from New Hampshire health officials and other information)

WASHINGTON, Nov 2 - A New Hampshire resident died and two others were hospitalized after consuming ground beef that may have been tainted by bacteria that can cause diarrhea, dehydration and kidney failure.

The death was connected to the recall of 545,699 lbs (248,450 kg) of ground beef products by Fairbank Farms, of Ashville, New York. The U.S. Agriculture Department said it became aware the meat might be tainted by E. coli O157:H7 bacteria during an investigation of a cluster of food-borne illnesses in New England.

New Hampshire officials announced the death on Saturday but did not release information about the victim. Two other New Hampshire residents have been hospitalized, they said.

USDA said it worked with health officials and "determined that there is an association between the fresh ground beef products subject to recall and illnesses in Connecticut, Maine and Massachusetts."

A string of food-borne safety scares led the U.S. House of Representatives to pass legislation this summer to require more inspections and oversight of food manufacturers and would give the government new authority to order recalls.

Fairbank Farms announced the recall on Saturday. The beef was produced in mid-September and probably was labeled for sale before the end of the month, said USDA. It went to retailers in eight states including Trader Joes, Price Chopper, Lancaster and Wild Harvest, Shaw's, a unit of Supervalu, BJ's, Ford Brothers and Giant, a unit of Ahold.

A complete list of products is available by clicking:

http://link.reuters.com/vyx27f

The beef was produced Sept. 14-16, and the company urged consumers to check their freezers for products listed in the recall. Labels of the recalled packages will say EST 492 inside the USDA seal.