H 177 proposes replacing Vermont’s education property tax with a new education income tax starting in fiscal year 2027. It would tax all Vermont residents’ income (both homeowners and renters) using progressive rates based on income brackets, with rates adjusted per school district according to local education spending. The bill eliminates the homestead property tax benefit for homeowners while continuing the renter credit and updating property tax credits to provide broader relief for taxpayers by 2026. This directly affects all Vermont residents through their state income tax filings, shifting the funding mechanism for public education from property-based to income-based.
This bill (H 443) proposes a new tax on residential and commercial properties that remain vacant for extended periods. It directly affects property owners who leave buildings empty, requiring them to pay an additional tax based on the property's value. The key provision creates a specific tax rate for vacant properties, aiming to encourage property use and generate local revenue. The bill is currently under review by the Committee on Ways and Means.
H 445 creates the Land Access and Opportunity Revolving Fund to support affordable housing for historically marginalized communities in Vermont. It is funded by a 1.5% income tax surcharge on earnings above $500,000 (repealed in 2031), administered by a new Land Access and Opportunity Board. The fund provides grants or loans for tenant-owned housing purchases, multi-unit renovations, cooperative housing development, and transitional housing projects with priority for marginalized groups. Projects must align with community resource integration, sustainable design, and support for those facing homelessness, disabilities, or justice system involvement.
This bill requires Vermont's Environmental Division of the Superior Court to hear housing permit appeals within 30 days of filing and issue decisions within 120 days after the hearing. It directly affects housing developers and municipalities seeking faster resolution on permit disputes under Chapter 117 of state law. The bill adds one new judge and one new law clerk to the Environmental Division, with $300,000 in funding for fiscal year 2026 to support these positions. The changes take effect July 1, 2025, aiming to expedite housing-related legal processes.
H 227 creates a two-bed residential peer respite facility in southern Vermont to provide short-term support for people experiencing mental health crises, avoiding hospitalization. The facility will offer two types of stays: one bed for up to four weeks and another for up to two weeks, operated by a provider selected through a state contract. The bill appropriates $515,000 for fiscal year 2026 to fund this facility, requiring the Department of Mental Health to contract with an eligible provider by January 1, 2026. It aims to expand access to peer-supported care in southern Vermont, reducing reliance on emergency hospital settings for crisis care. The facility will become operational on July 1, 2025.
H.297 creates the Free Degree Promise Grant Program to provide free associate’s degrees at Vermont’s Community College of Vermont (CCV) for eligible students. It directly affects Vermont students who completed CCV’s Early College program (earning 20+ credits), require full-time enrollment (12+ credits), and meet income thresholds. The program covers remaining tuition/fees after other aid and provides $500-$1,000 per semester for books/supplies based on household income, with support for up to five semesters or degree completion. This aims to address equity gaps in college access, particularly for low-income, first-generation, and historically underserved students.
This bill, H 493 (the "BIG BILL - Fiscal Year 2026 Appropriations Act"), provides funding for all Vermont state government operations and capital projects for fiscal year 2026 (July 1, 2025-June 30, 2026). It directly affects all state agencies, departments, and commissions by requiring them to operate within the specified budget limits, including restrictions on new positions and mandatory staffing adjustments. Key provisions include categorizing funds for "operating expenses" (like salaries and utilities) versus "capital appropriations" (for major projects like buildings), and directing that federal funds accepted by the Governor must align with the purposes of this bill. The bill serves as the primary funding reference for state operations during FY2026, with no new policy changes beyond budget allocation.
This bill exempts U.S. military retirement income and survivor benefit payments from Vermont income tax for eligible residents. It adds these income types to Vermont’s list of excluded income in the tax code (specifically amending 32 V.S.A. § 5811), meaning military retirees and surviving spouses won’t pay state tax on these payments. The change applies retroactively to tax years beginning January 1, 2026. It directly affects Vermont taxpayers who receive military retirement or survivor benefits, providing them tax relief on this specific income source.
H.165 proposes creating an Inclusive Schools Protection Fund to replace lost federal funding for inclusive programs in Vermont schools. The bill would directly fund school districts to support LGBTQ+ student programs, antidiscrimination efforts, inclusive curricula, and educator training on equity. It also protects existing resources like student gender/sexuality alliances, school equity coordinators, and mental health programs for marginalized students. The Agency of Education must annually report on the fund's effectiveness, and the bill directs the state to develop new revenue sources to sustain the fund.
This bill increases taxes on fossil fuels (heating oil, propane, and natural gas) to fund Vermont's Home Weatherization Assistance Program. It expands eligibility to households earning up to 80-125% of the area or state median income (whichever is higher) and requires 15% annual salary increases for weatherization workers starting in 2026. The bill also mandates partnerships with workforce programs to recruit and train new workers, while requiring utilities to provide free weatherization services to eligible low-income households. These changes aim to accelerate home energy efficiency upgrades, reduce fossil fuel dependence, and address workforce shortages in the weatherization sector.
