Lt. Governor John Rodgers Connects with Business Leaders at the Wellspring Forum

Lt. Governor John Rodgers Connects with Business Leaders at the Wellspring Forum

Lieutenant Governor John Rodgers connected with Vermont business leaders at the Vermont State House today for the latest installment of the Wellspring Forum series. Each event in the series brings together top business and policy leaders for a robust discussion on pressing economic issues and is moderated by Vermont Chamber President Amy Spear.

“Connecting businesses and policy leaders is a critical component of our mission to advance the Vermont economy. Vermont is at a critical juncture, and this week is particularly significant as it marks the crossover deadline,” stated Spear. “Lieutenant Governor Rodgers discussed key issues affecting Vermont’s affordability, emphasizing that we must come together to find solutions that lead us toward a prosperous and sustainable economic future—one that ensures living and doing business in Vermont remains viable.”
Lt. Governor Rodgers focused on the most urgent economic challenges facing Vermont, highlighting workforce shortages and affordability as top concerns. Business leaders stressed the need for targeted strategies to attract and retain workers and young families, underscoring the importance of keeping Vermont an attractive place to live, work, and do business.
“I believe Vermont’s strength lies in the spirit of our communities and the vitality of our local businesses,” said Lt. Governor Rodgers. “I remain dedicated to championing affordability and ensuring our economic policies pave the way for a secure future. When we set aside partisan differences and work together, we create a Vermont where every community and enterprise can thrive. Affordability isn’t just a policy goal—it should be a promise to Vermonters.”
The Wellspring Forum series is supported by NBT Bank. The event’s name draws inspiration from former Governor James H. Douglas, who once said: “I am often reminded that the wellspring of Vermont liberty flows from Main Street, not State Street.”

Lawmakers Weigh Housing Solutions to Address Affordability and Infrastructure Needs

Lawmakers Weigh Housing Solutions to Address Affordability and Infrastructure Needs

The House General and Housing Committee continued its review of strategies to address Vermont’s housing challenges while also supporting sustainable development. Legislative hearings throughout the week brought together policymakers and industry experts to examine proposals aimed at modernizing housing stock, improving rental conditions, and investing in infrastructure to bolster long-term growth.

Central to the discussion was the Vermont Rental Housing Improvement Program (VHIP), which provides grants and forgivable loans to rehabilitate or create rental units. Lawmakers highlighted its role in increasing housing opportunities for individuals exiting homelessness, participants in resettlement programs, and people with disabilities. Stakeholders also examined the Vermont Manufactured Home Improvement and Repair Program, which would direct financial assistance to manufactured homeowners and park owners to support critical repairs and improvements.

Infrastructure investment was another key focus, with the proposal to establish a Vermont Infrastructure Sustainability Fund to support municipal water, sewer, and public infrastructure projects that enable housing development. Lawmakers also discussed the formation of a Residential Universal Design Study Committee to explore statewide accessibility standards for residential construction.

Beyond funding programs, the hearing included conversations on streamlining the appeals process for housing projects, municipal appeal standing, and the potential creation of a state land bank. Additional discussions touched on virtual group net metering, efficiency utilities, and brownfield redevelopment as part of a broader effort to modernize housing policy. The path forward for project-based Tax Increment Financing (TIF) and other widely supported proposals remains uncertain.

The committee is expected to refine these proposals prior to crossover, weighing funding allocations and regulatory reforms that will shape Vermont’s housing landscape. The Vermont Chamber will continue engaging with lawmakers to ensure that any final legislation includes targeted investments and policy solutions that support housing growth while strengthening Vermont’s economy.

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Vermont Signature Events Award Winners Announced 

Vermont Signature Events Award Winners Announced

The Vermont Chamber of Commerce and the Vermont Department of Tourism and Marketing have announced the winners for the 2025/26 Vermont Signature Events program. These signature events offer experiences that fuel the Vermont visitor economy. In 2023, visitor spending contributed $4.0 billion to Vermont’s economy. 

2025/26 Vermont Signature Events: 

  • Quechee Balloon Festival (June 20-22, 2025): Vermont’s longest-running hot air balloon festival, featuring colorful balloon launches, live entertainment, and family-friendly activities in Quechee. 
  • Summer Solstice Sessions (June 21, 2025): At Jay Peak Resort, outdoor activities and live music combine with a rare summer skiing experience on preserved terrain. 
  • Lake Morey Summer Concert Series (Thursdays from June 26 – August 21, 2025): Held in Fairlee, this weekly concert series brings live music, local food vendors, and nationally acclaimed artists to the community. 
  • Best of Vermont Summer Festival (August 23-24, 2025):  In Ludlow, more than 125 vendors, live music, hot air balloons, and family-friendly activities come together to celebrate Vermont’s culture. 
  • South End Art Hop (September 5-7, 2025): Burlington’s three-day celebration features hundreds of open studios, art exhibitions, and live music in the South End Arts District. 
  • Vermont Pumpkin Chuckin’ Festival (September 28, 2025): In Stowe, pumpkin launching via trebuchets, live music, food, and a variety of activities create a fun-filled festival atmosphere. 
  • Heirloom Apple Day (October 12, 2025): Celebrate Vermont’s apple heritage with heirloom apple tastings, farm tours, and local food at Scott Farm in Dummerston. 
  • Woodstock Wassail Weekend (December 12-14, 2025): Woodstock becomes a holiday wonderland with horse-drawn carriage rides, artisan craft fairs, and festive musical performances. 
  • First Night North (December 31, 2025): In St. Johnsbury, this family-friendly arts festival offers live performances, food vendors, and a community countdown to the new year. 
  • Curds & Curling (February 2026): In Greensboro, winter festivities include cheese tasting, curling competitions, live music, and local food in a festive atmosphere. 

 The Vermont Signature Events program offers an invaluable opportunity for events to garner widespread recognition. Signature events are awarded annually and showcase the rich variety of experiences to be had in the Green Mountains. These top-rated events offer a true taste of all that is local, bringing visitors into the heart of communities and serving as an important component in the Vermont visitor economy. 

Learn more about the 2025/26 Vermont Signature Events. 

Senate Committee Weighs Labor Bill Provisions with Significant Business Impacts

Senate Committee Weighs Labor Bill Provisions with Significant Business Impacts

The Senate Economic Development, Housing, and General Affairs Committee is evaluating proposals put forward for potential inclusion in an omnibus labor bill that could introduce substantial changes to Vermont’s employment laws. The proposals range from minor technical adjustments to major shifts that may increase labor costs and regulatory obligations for employers. The Vermont Chamber is analyzing the provisions to assess their potential impact on businesses and economic growth. Some key provisions under consideration include:

  • Minimum Wage Increase – Raising the minimum wage to $18.60 per hour by January 1, 2026. This increase may lead to higher consumer prices, compressed wage differentials, and hiring challenges.
  • Overtime Expansion – Extending overtime eligibility to certain lower-salaried executive, administrative, and professional employees could increase payroll costs and limit scheduling flexibility.
  • Vacation Leave Payout – Requiring employers to compensate any departing employees for unused vacation leave may create cash flow challenges, especially for businesses with staff who accrue significant leave balances.
  • Workers’ Compensation Changes – Including health insurance in the definition of wages for workers’ compensation could result in higher insurance premiums for employers.
  • Prevailing Wage & Payroll Record Requirements – Amending prevailing wage standards for state construction projects would raise wage and benefit costs while mandating additional payroll recordkeeping and enforcement measures. These changes may disproportionately affect small contractors and subcontractors and raise concerns for migrant workers.
  • Employer Mandates & Workplace Standards – Establishing a “good cause” standard for termination may limit employer flexibility in managing their workforce and increase legal risks. Restricting noncompete agreements could make it harder for businesses to protect proprietary information and maintain workforce stability. Additionally, requiring that employers provide accommodations to sit in the workplace could necessitate new workplace modifications.

These provisions, if enacted collectively, could create significant compliance burdens, increase operational costs, and reduce employer flexibility. With rising costs, higher taxes, and significant labor law changes enacted in the last legislative biennium, lawmakers must consider the cumulative impact of these financial and regulatory pressures on Vermont businesses.  The Vermont Chamber will continue advocating for modifications to mitigate unintended consequences for Vermont businesses and is actively engaging with policymakers to ensure that any changes to labor laws support economic growth while balancing employee protections.

 

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Draft Bill Unveils Bold New Blueprint for Vermont’s Education Finance System

Draft Bill Unveils Bold New Blueprint for Vermont’s Education Finance System

Taking a step forward in efforts to modernize Vermont’s education funding, the House and Ways and Means Committee has begun reviewing newly released draft bill language outlining a comprehensive overhaul of the state’s property tax framework, based on the Administration’s proposal.

Redefining the Tax Landscape
At the heart of the proposal is a statewide education tax that applies uniformly to both homestead and non-homestead properties. Unlike the current system—which relies on a fixed base rate for non-homestead properties—the new approach ties the tax rate to an annually adjusted per-pupil “base amount” of $13,079. This shift is designed to account for forecasted revenues and ensure that education spending keeps pace with the evolving fiscal environment. Under the revised framework, the Commissioner of Taxes will calculate the appropriate rate for each municipality, and property tax bills will provide a detailed breakdown of the calculations, reinforcing a commitment to transparency.

A Closer Look at School District Funding and the State Guarantee
The draft bill introduces a “State Guarantee” mechanism intended to level the funding playing field among school districts. By comparing each district’s taxable property wealth per student to the state median, districts with lower local resources stand to receive substantial state support. The guarantee is calculated by applying a specific “State Guarantee Rate”—defined as one minus the ratio of a district’s equalized property tax grand list per-pupil to that of the median district—to the district’s approved spending. This targeted measure is designed not only to bolster districts that traditionally face fiscal challenges, but also to maintain local decision-making power in setting school budgets.

Ensuring Equity and Relief for Homeowners and Renters
The proposal further refines property tax relief by replacing the existing income-based property tax credit with a more progressive homestead exemption system. The new structure is tiered by income, promising greater relief for low- and moderate-income households. Additionally, for those with high property values relative to income, the draft includes provisions for a property tax deferral program—a model inspired by similar initiatives in states like Maine, Minnesota, and Oregon—allowing eligible homeowners to postpone a portion of their tax burden until a change in ownership occurs.

Safeguarding the Education Fund and Streamlining Administration
Revenue generated by the statewide education tax will flow into an Education Fund dedicated to covering the per-pupil base amount and the state guarantee. To ensure fiscal prudence, statutory reserve levels will be maintained at five percent, and strict administrative protocols will be enforced. Municipalities, in coordination with the Commissioner of Taxes, will play a critical role in billing, collecting, and remitting funds, all while adhering to robust penalties for any fraudulent claims.

Looking Ahead
As discussions continue, the Vermont Chamber will remain engaged in the conversation, ensuring that the impact on commercial and industrial properties is carefully balanced with the broader goals of funding a high-quality education system.

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Legislators Advance Housing Solutions to Support Economic Growth

Legislators Consider Housing Solutions to Support Economic Growth

This week, legislators continued to explore approaches to address Vermont’s housing needs while bolstering economic growth statewide. During a Senate Economic Development, Housing and General Affairs Committee session, industry experts examined offsite construction for modular housing. The hearing detailed offsite building techniques, highlighting both cost efficiencies and operational challenges, while state officials stressed the importance of land factors and ongoing housing operations. The testimony concluded by outlining potential solutions and policy reforms needed to support sustainable housing development.

Parallel discussions centered on modernizing Vermont’s housing stock and infrastructure, with the Vermont Housing Improvement Program (VHIP) at the forefront. VHIP has successfully funded the rehabilitation of more than 1,000 housing units through a combination of grants and loans. Despite challenges such as fluctuating fair market rents and high costs associated with accessory dwelling unit projects, lawmakers remain committed to refining strategies that support a robust and accessible housing market for Vermonters.

The House Commerce and Economic Development and House General and Housing Committees are evaluating proposals to modernize community development financing. Two initiatives—the Housing Infrastructure Initiative (HIT), championed by Let’s Build Homes, and the Administration’s Strategic Projects for Advancing Rural Communities (SPARC) proposal—were discussed as potential new development financing tools that compliment Vermont’s traditional financing model of Tax Increment Financing (TIF). Both proposals offer streamlined structures and enhanced technical assistance for local municipalities, aiming to better support community needs. While concerns were expressed regarding rural feasibility and impacts on local resources, proponents detailed comprehensive financing and technical assistance strategies to alleviate these challenges.

Housing committees do not appear to be taking up the Administration’s omnibus housing bill. Instead, they plan to incorporate select elements into new committee housing bills. Ensuring that any final legislation includes strategic funding, robust infrastructure support, and targeted regulatory relief is critical. As both House and Senate committees continue to refine omnibus housing bills, the Vermont Chamber will continue working with lawmakers to integrate these forward-thinking proposals that equip communities and developers with tools to address Vermont’s housing crisis.

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From Tax Credits to State Guarantees: Vermont’s Education Finance Overhaul

From Tax Credits to State Guarantees: Vermont’s Education Finance Overhaul

With a clear focus on progressivity, transparency, and local control, the Administration’s proposals address nearly every facet of the current education finance framework—from the way property tax credits are calculated to new mechanisms that directly address disparities among school districts.

A Progressive Shift in Tax Relief
The Administration has proposed reconfiguring the education portion of Vermont’s income-based property tax credit. The proposal would replace the current credit with a homestead exemption tiered by income, effective July 1, 2027. This shift is designed to address the “lag” between prior year income figures and current year tax obligations, making it easier for voters and school boards to see how budget votes translate directly into tax bills. Preliminary modeling—based on projected 2024 household income and FY25 property values—suggests that while some households may face modest increases, a range of mitigation strategies exist, such as a revamped circuit breaker credit and a property tax deferral program. These issues were discussed in a joint hearing with the Senate Finance Committee and the House Ways & Means Committee.

Recognizing that some households—especially those with high property values relative to income—might see tax increases under the new homestead exemption system, there was a focused discussion on relief through property tax deferral. Drawing on models from other states, including Maine, Minnesota, and Oregon, the proposal would allow eligible homeowners to defer a portion of their property taxes until the property is sold or ownership changes. While specifics remain under discussion, key ideas include setting deferral limits in tandem with the new homestead exemption and ensuring the program is accessible to those most in need.

Bridging the Gap
The Administration’s sweeping proposal also introduces a “State Guarantee” mechanism aimed at leveling the playing field for school districts. The mechanism calculates a “match rate” by comparing each district’s taxable property wealth per student to the state median. Districts with lower property wealth, which would traditionally struggle to fund education beyond the foundation formula, stand to receive significant state support. Meanwhile, districts with higher local resources would see little to no state guarantee. This targeted approach is intended to ensure more equitable funding while preserving local decision-making.

State Guarantee in Focus
The House Ways and Means Committee reviewed initial bill language that embeds the State Guarantee within a broader statutory reform of Vermont’s education finance system. This version provides precise definitions and detailed formulas—including adjustments to tax rates, billing procedures, and spending limits. Notably, it defines the “State Guarantee Rate” as one minus the ratio of a district’s equalized property tax grand list per pupil to that of the median district, with a floor at zero. This legislative framework also addresses related terms such as “excess spending” (spending above 118% of the statewide average) and specifies comprehensive administrative procedures to ensure accurate tax collection and fund remittance. While the legislative framework’s provisions are intended to create a more robust and enforceable education finance system, they also mean that local administrators, school districts, and taxpayers must navigate a more complex regulatory environment.

Balancing Change and Local Control
Looking ahead, education spending projections and district budgeting recommendations are aimed at improving resource allocation and operational efficiency. By aligning tax relief mechanisms with current income levels and streamlining district operations, the proposal aspires to create a more sustainable funding model while maintaining robust local control—a balance that has been at the center of Vermont’s education finance debates.

As legislators begin a careful review of these proposals, the Vermont Chamber remains committed to engaging in discussions and advocating for the Legislature to address the large-scale systemic issues crucial to reforming Vermont’s education system, ensuring both affordability and sustainability.

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26 Vermont Chamber Businesses Named as Best Places to Work in Vermont 2025

26 Vermont Chamber Businesses Named as Best Places to Work in Vermont 2025

The Vermont Chamber of Commerce congratulates our members who have been named to the 2025 Best Places to Work in Vermont list! This recognition is a testament to the commitment of Vermont businesses to creating positive and supportive work environments for their employees. This year, a total of 65 Vermont businesses were recognized, including 26 Vermont Chamber members.

The Best Places to Work in Vermont program is a statewide initiative that recognizes companies that create positive work environments for their employees. The selection process is based on an evaluation of company policies, practices, and employee surveys.

Vermont Chamber members that were named to the 2025 list include:

Small Businesses (15-99 employees)

  • Co-operative Insurance Companies
  • Davis & Hodgdon Advisory Group
  • Encore Renewable Energy
  • Green Mountain Surgery Center
  • Heritage Aviation
  • Instrumart
  • Junapr
  • NDI
  • Open Approach
  • Primmer Piper Eggleston & Cramer PC
  • Prolytix
  • ReArch Company
  • Redstone
  • Saba Marine
  • Vermont Economic Development Authority

Medium Businesses (100-249 employees)

  • Chroma Technology Corp.
  • Concepts NREC
  • DEW Construction
  • Downs Rachlin Martin PLLC
  • NorthCountry Federal Credit Union
  • The Richards Group
  • Union Mutual Fire Insurance Company
  • Vermont Federal Credit Union

Large Businesses (250+ employees)

  • Acrisure
  • NBT Bank
  • Vermont Mutual Insurance Group

These businesses are setting the standard for workplace excellence in Vermont. They are committed to creating cultures that are not only productive, but also enjoyable and rewarding for employees. The final rankings will be announced at the awards presentation on April 2.

Congratulations again to our members who were named to the 2025 Best Places to Work in Vermont list!

The Vermont Economic Action Plan: Advocating for a Future of Abundance Rather than Scarcity

The Vermont Economic Action Plan: Advocating for a Future of Abundance Rather than Scarcity

This week, Vermont Futures Project Executive Director, Kevin Chu, testified before the House General and Housing Committee and the Senate Economic Development, Housing, and General Affairs Committee, presenting key insights from the Vermont Economic Action Plan. Testimony brought forth conversations about actionable steps to address the root cause of many challenges impacting Vermont businesses, focusing on a future of abundance rather than scarcity.

To advance Vermont’s economic future and improve affordability, Chu emphasized that Vermont must focus on increasing its population to 802,000 by 2035 through recruitment and retention of working-age people. Attracting new people such as remote workers, military retirees, and international professionals, will strengthen the workforce, support business success, and broaden the tax base. Additionally, Vermont should aim to increase the labor force participation rate to 70% by 2035 by aligning education with employer needs and reducing barriers to employment.

The ability to grow businesses in Vermont ties directly to housing availability and infrastructure. The plan sets a target of 350,000 non-seasonal homes by 2035 and calls for reduced development timelines alongside 40% reductions in regulatory costs. Legislators engaged with the presentation content and discussed the intersections of growth and migration with infrastructure and transportation improvements.

The Vermont Futures Project’s testimony reinforced the urgent need to solve problems, quantified the scale of action needed, and outlined incremental steps to improve affordability. The testimony demonstrates the critical need for policy to be informed by data. The Vermont Chamber will continue working with lawmakers to advance policies that support business growth, streamline regulations, and improve economic opportunities across the state.

Access the full Economic Action Report here.

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Education Finance Overhaul Takes Center Stage at the State House

Education Finance Overhaul Takes Center Stage at the State House

This week, legislators began a detailed review of Governor Scott’s proposed “Foundation Formula” for education finance, though actual bill language has yet to be seen. The foundation formula, which sets a base per-pupil amount of $13,200, adds weighted allocations for special education, English Language Learners, and career and technical education. While the plan aims to centralize services and encourage district efficiencies, legislators requested further clarification—particularly around local control and how these changes would roll out over time.

The Joint Fiscal Office also presented findings on moving from a property-tax-based education funding model to an income-tax-based system. The Vermont Chamber maintains that an income-based education tax would not address the root causes of rising education costs. Instead, it would impose greater volatility, administrative complexities, and potentially higher marginal rates on families and businesses already managing significant tax burdens.

As Vermont remains third in the nation for tax collections per capita, refining the existing property tax structure, paired with targeted relief mechanisms such as the property tax credit, is a more prudent and balanced approach to ensuring equitable funding while preserving housing affordability and economic vitality. The Chamber will continue to advocate for the Legislature to address the large-scale systemic issues crucial to reforming Vermont’s education system, ensuring both affordability and sustainability.

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