Vermont Legislative Update May 27, 2026

We were told adjournment for the 2026 Vermont Legislative session would be Friday, May 22nd but those dates sometimes change. Almost a week later the legislature is still working its way through some must pass bills including the state budget and the yield bill which creates the state property tax rate for school funding. Legislators are eager to adjourn for personal endeavors and to begin working on their campaigns.

Bill S.325, which relates to land use which originated in the Senate to make some correctional changes to Act 250 and tiered land development has just left a conference committee. The bill was amended by the House to repeal significant changes made in Act 181 in prior years. The repeals included the Tier 3 land use area and the "road rule". Both of those policies were hotly opposed by a large contingent of lobbyists and landowners as a "land grab" by politicians. The conference committee made some changes to the House amendment but kept the spirit of the repeals. The changes will likely be agreed to by the full legislature and make the changes to law.

The state budget and school yield bills are moving through conference committees as well to be voted out this week. Last week a potential compromise was made between Governor Scott and the majority in the legislature to make some changes to school programming including whether and how to close unused schools in Vermont. The compromise was likely in response to a veto threat to the state budget which could cause a state government shutdown. It's likely the bills will pass and session adjourn, but a veto is still possible.

As of this writing, the last week of the session, ABC NH/VT is proud to announce we have accomplished our goals in the legislature this year. We successfully opposed many bills that would negatively impact contractors and businesses while at the same time helping good bills related to technical education and workforce come to pass. A detailed report of the session will be released in the coming weeks.

Lastly, ABC NH/VT will be launching a political action committee (PAC) with members who volunteer over the next month. The purpose of the PAC will be to raise funds to promote candidates in the 2026 election that champion the needs of contractors. Watch out for more news on this topic. Contact Matt Musgrave, Vermont Regional Director matt@abcnhvt.org, if you are interested in participating.