Vermont Government Affairs Update – June 3, 2025

The Vermont Legislature was scheduled to adjourn on Friday, May 30, but that deadline has been missed. One major issue remains unresolved: school funding and a sweeping miscellaneous education bill that includes significant changes to how services are delivered.

As previously reported, the Legislature has been exploring various ways to reduce school spending without cutting essential programs for Vermont students. The goal is to curb the rising statewide education property tax, which has surged in recent years due to multiple factors.

Governor Scott’s original proposal included several major reforms: reducing the number of school districts (initially down to five); replacing the current two-tier property tax system (homestead and non-homestead) with a single rate while preserving income-based relief for lower-income residents; eliminating student weighting formulas and instead allocating a flat $13,200 per student to school districts; setting a minimum classroom size of 25 students for grades 4–12 and eliminating programs with low enrollment; ending universal school lunches; and introducing a school choice program—an idea strongly opposed by many legislative Democrats.

In contrast, House Bill H.480 sidesteps most of Governor Scott’s recommendations. Instead, it prioritizes school safety, regulating cell phone and social media use in classrooms, and imposing a moratorium on new approved independent schools. It does not directly address the rising costs that concern taxpayers.

A Facebook post from Governor Scott last week signals a likely veto:

"Since Vermonters saw significant property tax increases last year, I’ve been clear: we can’t continue with the status quo because it’s not serving our kids or taxpayers well.

Both the House and Senate passed versions of the education bill spend too much money and implement the transformation too slowly. But I believe we can find a path forward and reach a compromise.

The plan I outlined in January aimed to make Vermont’s education system more equitable, transparent and effective. It focused on student needs and efficient governance, providing better opportunities for every child in Vermont, while also creating a funding structure that is clear, affordable, and sustainable.

These will remain my objectives when evaluating a final bill when it reaches my desk."

We’ll see what happens next—and whether lawmakers are truly hearing Vermonters’ calls to get school spending under control.