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$82 million homeless care bill passes committee straw poll

Act 181 reform goes to floor next week/ School reform now ‘Act 46 2.0’?/ Local highway $$ redirected to statewide reappraisal

Rep. Francis “Topper” McFaun speaks with physical therapist visiting the State House this week

By Guy Page

A bill to spend $82 million for fiscal year 2027 for housing and care of the homeless received a ‘straw poll’ approval in the House Human Services Committee this morning. 

H.938, Vermont Homelessness Response Continuum, would “establish a continuum of supports and services to prevent or divert households from homelessness and the address the needs of Vermonters who are homeless.” 

The program would provide prevention and diversion services and several levels of shelter, including rental assistance, low-barrier shelters, specialized shelters, and hotels and motels. The hotel and motel nightly rate would be set by the Legislature. 

Only two members of the committee voted no in the straw poll – Reps. Brenda Steady (R-Milton) and Todd Nielsen (R-Brandon). 

Act 73 ‘reform’ is Act 46 2.0? – After months of sturm und drang about forcing school mergers and creating large school districts, House Education is now punting to the November, 2025 School Redistricting Task Force Plan to 1) seek voluntary school district mergers and 2) encourage sharing among existing school districts, rather than force their mergers into large mega-districts, as set forth in Act 73 last year.

Count Rep. Chris Taylor (R-Milton), vice-chair of Education, as not a fan of the new tack, which was posted on the House Education website Tuesday. He called the largely aspirational measure “Act 46 2.0,” a reference to a 2015 ‘landmark’ law intended to encourage cost-saving school mergers. It resulted in very few mergers, and school spending continued to rise. 

“I don’t think Vermont deserves another Act 46,” Taylor said. He acknowledged that sharing resources among existing supervisory unions and districts would save some money, but “I’m nervous about voluntary mergers.”

Local option taxes being snagged to pay for reappraisal, not local highway improvements – The Vermont League of Cities and Towns is crying foul over a House Ways and Means Committee plan to redirect a surplus in municipal revenue from state ‘payment in lieu of taxes’ away from improving local highways, and to funding a massive statewide reappraisal of property.

Local governments collect PILOT revenue from the State of Vermont for state property within their boundaries. With the rise of local option taxes, there’s more money being generated and VLCT suggested some of that surplus go to a state highway fund for repairing local highways. However, Ways & Means Chair Emilie Kornheiser now wants the $15 million in play to fund the required statewide reappraisal of property.

“These reappraisal and equalization payments would otherwise be paid from the General Fund,” a VLCT member alert says. “Local Option Taxes are locally approved and locally raised revenues. Voters did not approve their use to offset state costs.”

Act 181 reform goes to Senate floor next week – A bill that would push implementation of the highly controversial ‘road rule’ will go to the Senate floor next week. S.325 would (among other goals) delay until 2030 the rule that would require Act 250 oversight of any planned development on a rural lot with an adjacent road of 800 feet or more. 

Critics say this rule alone would bring development in rural Vermont to a screeching halt. A stop Act 181 Facebook page has gained about 2,000 followers in recent weeks. A senior state environmental official told VDC yesterday that he has heard from many people who have never been interested in the Legislature before taking an active interest in the road rule. 

Stay tuned…. VDC will update developments on all four of these stories in coming days. 

Barre Town Rep to retire – Rep. Topper McFaun (R-Barre Town) will retire from the Legislature in April in order to care for his ailing wife, he told the House and VDC this week. McFaun, a Boston-area native, is well-regarded on both sides of the aisle as a skilled negotiator, principled compromiser, and expert on health care. 

McFaun said his wife suffered car accident injuries over 40 years ago, and now needs more at-home care than is available. “I noticed it especially during the week off,” speaking of the Town Meeting break earlier this month. 

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