Vermont Governor Phil Scott has been focusing his weekly briefings this year on his administration’s priorities for the legislative session. On Wednesday, the Republican discussed proposals to increase housing stock across the state.
Governor Scott pointed to the state’s lack of housing as a key challenge to recruiting new workers to the state. With few and unaffordable housing options, he said action must be taken by the legislature during this session.
“The bottom line is we need to make it easier and less expensive to build. One way to do that is with regulatory reform, in particular the housing appeals process to make sure objections are legitimate and have merit,” Scott said. “Last session the Legislature passed Act 181 which did include some interim exemptions that were helpful. But unfortunately these exemptions sunset in 2026 which doesn’t give builders and developers enough predictability to make the substantial investments or acquire the financing needed to build. So my team is proposing we extend the exemptions to areas that already have water and wastewater.”
Agency of Commerce and Community Development Secretary Lindsay Kurrle reviewed the $50 million Path for Vermont proposal intended to increase housing production and support infrastructure improvements.
“First we have $9.1 million to create the Vermont Infrastructure Sustainability Fund, a low interest revolving loan fund for infrastructure projects that will result in new housing units. We want to continue to support two successful programs run by our partner the Vermont Housing Finance Agency.” Kurrle explained, “Fifteen million dollars for VHFA’s rental revolving loan fund. Then we’d like to support another $15 million to go to VHFA’s middle income home ownership development program. We want to support $2 million for the manufactured home improvement and repair program and $2 million for the state Brownfields Revitalization fund.”
Also included in the Path for Vermont proposal is an initiative the Scott Administration is calling SPARC. Kurrle said it is a financing tool to help rural communities develop infrastructure and housing.
“SPARC stands for Strategic Project for Advancing Rural Communities. SPARC allows smaller towns, including those damaged by recent flooding, to work with developers to make investments in things like water, wastewater and housing,” Kurrle said. “The funding mechanism for SPARC is similar to TIF, or Tax Increment Financing, which Vermont has been using for decades. SPARC is designed for much smaller projects in municipalities that don’t have the same capacity to oversee something as complicated and arduous as TIFs.”
Scott was asked if he has any concerns should Vermont be targeted by the Trump Administration over sanctuary jurisdictions.
“It’s always a concern. It’s not the what, but the how,” noted Scott. “If these are illegal immigrants that are here and causing disruption, serious crimes, violent crimes and so forth we’ll be a willing partner in getting them removed. But if they’re here and they’re peaceful and they’re working side-by-side with us living here in our communities, I just don’t think we should be wasting our time with that. I think Congress should be working on something that they’ve kicked the can around for the last few decades. Do something about immigration reform and that’s what they should be working on.”
Scott said people should not be surprised because it is what the president campaigned on. He added what is surprising is the rapid pace, characterizing it as unhealthy and problematic.