Day: January 12, 2024

This year, the annual task of adjusting the budget based on additional available funding, changes in program costs, and needs, will be different than in recent legislative sessions. With federal pandemic aid no longer in excess, discussions regarding the Budget Adjustment Act are subject to increased scrutiny and must be strategic. Funding must meet the greatest needs of Vermonters, and workforce housing is top of mind. The severe workforce shortages are exacerbated by the housing crisis and lead to recruitment and retention challenges that hinder Vermont’s economic growth. To address this, the Vermont Chamber is advocating in support of the Vermont Housing Finance Agency’s request for $25 million for the Middle-Income Homeownership Development Program. 

More needs to be done to engage with the private development community to increase the overall amount of homeownership opportunities for middle-income Vermonters. Specifically, by addressing the barriers that exist for building homes that the market can afford. The Middle-Income Homeownership Development Program has existed as a pilot program over the last two years and has successfully increased housing stock across the state. It has proven to be a prudent use of funding, making the most of programmatic dollars to create homes for 136 families to date. Support for this funding in the FY24 Budget Adjustment Act would ensure that the program continues to spur the critical work of building more middle-income housing.

Legislators discussed important land use reports this week, in the Senate Economic Development, Housing, and General Affairs Committee, the House Environment and Energy Committee, and the Rural Caucus. This session is an opportunity to craft legislation that encourages more housing to be built in viable locations, without appropriating large sums of money. In particular, the Vermont Chamber is advocating for housing solutions that incentivize new development in and around our community centers as outlined in the Vermont Natural Resources Board report on necessary updates to Act 250.

Megan Sullivan, VP of Government Affairs, was on the Steering Committee for the report, which underscores the need for strategic changes to Vermont’s land use policy. This work brought together stakeholders with diverse perspectives to reach an agreement on how to best center modernization and incentivize essential housing development in smart growth areas. Several bills have been introduced that would be vehicles for progress in this area and the Vermont Chamber will be engaged throughout the session to ensure real progress is made.