As the dust from crossover settles, we now have a better picture of what bills have a chance of advancing in 2025. We are particularly excited that the House Government Operations Committee has taken up H. 233, the state grants bill, that Common Good Vermont and nonprofits serving Vermonters on behalf of the State are advocating for.
Outside of the State House, Common Good Vermont interviewed two nonprofit leaders, Rhoni Basden of Vermont Works for Women, and Shabnam Nolan of King Street Center, about federal actions impacting their organizations and the communities they serve. Watch it here.
Legislative Updates:
H. 233 – State Grants Bill
On Thursday 3/27, the House Government Operations Committee took up H. 233, after a brief introduction earlier in the session. They had a walk-through of the bill with legislative council and heard compelling testimony from nonprofits:
- Emma Paradis, Common Good Vermont Manager of Policy and Strategic Initiatives, United Way of Northwest Vermont
- Daniel Franklin, Executive Director, Vermont Association for Mental Health and Addiction Recovery
- Olivia Sharrow, Executive Director, Vermont’s Free and Referral Clinics (VFRC)
- Russell Bradbury-Carlin, Executive Director, Interaction Vermont
- Ken Schatz, Interim CEO, Lund Center
- Timothy Keefe, Chief Financial Officer, Lund Center
Testimony highlighted widespread challenges nonprofits face due to delayed payments, underfunded contracts, and outdated indirect cost rates.
You can watch the full testimony HERE.
Or, watch this short video:
On Wednesday 4/2, the committee heard from the Administration. The Agency of Administration testified first, largely in opposition to the bill pointing to several changes that have been made over the past year to improve grant processes and the additional strain bill requirements would put on agencies and departments. See their slides here. While these changes may be an improvement, it is not clear that they are being widely implemented or adhered to. The Committee then heard from the Forest, Parks, and Recreation Department, who used the example of a one-time project grant to an all volunteer organization to explain the grant process – a unique situation that is quite different from the experience of many nonprofits who are providing services under the same grants for years.
You can watch their testimony here.
The committee will continue to take testimony on the bill, hearing from the Regional Planning Commissions today (4/4).
Budget Bills
Budget Adjustment Act
The Budget Adjustment Act (BAA) is still in limbo. Governor Scott vetoed the first version of the bill passed by the Legislature on the premise of concerns about increased spending and the inclusion of a 3-month extension to the motel voucher program that provides shelter to unhoused families and individuals. The House passed a new version of the bill last Friday that removed additional funding but maintained the motel program. Also last Friday, the Governor issued an executive order that would extend the motel program through June but only for families with children and those “medically vulnerable,” which legislative council called unconstitutional. On Thursday 4/3, the Senate concurred with the House bill that would extend the program for all. It is expected to be vetoed again by the Governor.
View a summary of the BAA here.
Budget “The Big Bill”
The House passed the budget bill, H. 493, last Friday, 3/28. The $9 billion budget assumes that federal funding, accounting for hundreds of millions of dollars, will still be available. It is very likely that a significant portion of these funds will be lost as Republicans in Congress work towards advancing the Trump Administration’s agenda that includes tax cuts for the wealthy and corporations funded by spending cuts to essential government programs like SNAP and Medicaid.
To account for this, the House included a provision that allows the Joint Fiscal Committee to make changes to the budget if there is more than a 1% decrease in federal funding when the legislature is not in session. The Joint Fiscal Committee “is made up of ten members, five from each branch. Four are the money chairs by virtue of their position. The other six members – three from each branch include one from each major political party and one other member appointed in the Senate by the Committee on Committees and in the House by the Speaker” (JFO).
What’s in the House-passed budget:
Housing & Homelessness
Emergency Housing Bill – H. 91
From Vermont Business Magazine: The Vermont House of Representatives on Wednesday passed H.91, An act relating to the Vermont Homeless Emergency Assistance and Responsive Transition to Housing Program, legislation that reforms the emergency housing program away from a hotel/motel focused program to a prevention and supportive service-based model. The strong bi-partisan vote reflects months of hard work, deep collaboration amongst state and community partners, and thoughtful input from Vermonters. The bill calls for a $10 million appropriation. READ MORE.
House & Senate Housing Bills
By Jemma Hoko, Common Good Vermont Policy Intern
Last Thursday, March 27th, bill H. 479, an act relating to housing, passed in the House and now moves to the Senate. Key components of the House omnibus housing bill include:
- Creation, expansion, and funding of housing programs such as:
- Expansion of the Vermont Rental Housing Improvement Program
- Increases grant and loan limits
- Requires landlords to prioritize tenants who are homeless, in immigrant/refugee programs, and disabled
- Establishes 5-year and 10-year forgivable loans with rent affordability requirements
- Funds Vermont Manufactured Home Improvement and Repair Program
- Home repairs, new slab placement, and infrastructure upgrades
- Creation of Vermont Infrastructure Sustainability Fund
- Fund within the Vermont Bond bank that supports water, sewer, and public infrastructure expansions for housing development
- Offers low-interest loans for housing projects
- VHFA First-Generation Homebuyer and Down Payment Assistance Program
- Expands tax credits for homeownership assistance and provides annual tax credits for up to 5 years for first-generation homebuyers
- Expansion of the Vermont Rental Housing Improvement Program
- Procedural changes:
- Establishes the Universal Design Study Committee to assess universal design standards for residential buildings
- Committee includes legislators, builders, architects, housing organizations, and disability advocates
- Tax Department Housing Data Access
- Requires the transmission of property tax data to the State and creates a public database with landlord information and rental unit statistics
- Land Bank Report
- Directs the Department of Housing and Community Development to examine examine and suggest a legal framework for state and local land banks
- Assesses funding options and the most suitable for Vermont communities
- Changes to the Housing Appeals Process
- Ensure housing-related cases are granted priority in environmental court dockets
- Requires those who challenge housing appeals to prove harm to their personal interests and that the proposed housing violates zoning laws
- Strikes rule of “20 persons”
- Brownfield Property Cleanup
- Prioritizes state support for brownfield sites that facilitate housing development and mandates a report on improving efficacy in brownfield redevelopment
- Landlord Certificate requirements
- Must submit rental property data to the State
- Establishes the Universal Design Study Committee to assess universal design standards for residential buildings
- Appropriations
- $250,000 for an Off-Site Construction Report to reduce housing costs
- Various housing program appropriations funding:
- New state housing positions
- Vermont housing and Conservation board
- Department of Housing and Community Development
- Expanding Support and Services at Home program
- Vermont State Colleges for HVAC workforce development
- Associated General Contractors of Vermont for construction training
- Support for recovery residences
- Further changes
- Act 250 Appeals Study
- Moves delivery date up from January 2026 to November 2025
- Requires evaluation of whether appeals of permit decisions under Act 250 should be moved to the Board or remain with the Environmental Division of the Superior Court.
- Permission for 1% tax on short term rental properties
- Act 250 Appeals Study
More details on H.479 can be found here: Vermont Biz Overview
Last Friday, March 28th, bill S.127, an act relating to housing and housing development, passed in the Senate and now moves to the House. This bill is similar to H.479, but here are a few key differences:
- Vermont Infrastructure Sustainability Fund administered by Vermont Bond Bank
- H.479 – $15M appropriation
- S.127 – $9.1M appropriation
- Brownfields
- H.479 – $4M appropriation
- S.127 – No additional appropriation
- Appropriations
- H.479 – Allocates $45.7M for housing programs
- S.127 – Allocates $41.7M for housing programs
- Community Housing Infrastructure Program
- S.127 particularly allows municipalities to use TIF for housing-related infrastructure projects with affordability conditions
For more details on both bills and a comparison between them, see this chart comparing H.479 and S.127 by section.
Workforce & Employment
Economic & Workforce Development Bill
The Senate passed S. 122, An act relating to economic and workforce development last week. This omnibus bill incudes appropriations to several programs including VTPOC, Vermont Arts Council, and the Vermont Sustainable Jobs Fund. It also creates a taskforce to explore the feasibility of creating a convention center or performance venue. You can read more here: S.122: Fiscal Note .
Unpaid Leave
The House passed H. 461, An act relating to expanding employee access to unpaid leave. The bill’s intent is “to align Vermont’s family leave policies with inclusive and equitable standards, ensuring that LGBTQ+ families, workers with low income, and individuals in nontraditional family structures have equal access to caregiving leave without undue burden.” Read more here.