§ 3440. Statement of policy [Effective July 1, 2026]
It is the intent of this chapter to encourage the efficient use of public funds to
modernize school infrastructure in alignment with current educational needs. School
construction projects supported by this chapter should be developed taking consideration
of standards of quality for public schools under section 165 of this title and prioritizing cost, geographic accessibility, 21st century education facilities
standards, statewide enrollment trends, and capacity and scale that support best educational
practices. Further, it is the intent of this chapter to encourage the use of existing
infrastructure to meet the needs of Vermont students. Joint construction projects
between two or more school districts and consolidation of buildings within a district
where feasible and educationally appropriate are encouraged. (Added 2025, No. 73, § 12, eff. July 1, 2026.)
§ 3441. Facilities Master Plan Grant Program; report [Repealed effective June 30, 2029]
(a) Intent. It is the intent of the General Assembly that the Facilities Master Plan Grant Program
established pursuant to this section shall enable supervisory unions and independent
career and technical education districts to develop a supervisory union level vision
for all school buildings that meets the educational needs and goals of the supervisory
union. The goal of a facilities master plan shall be to facilitate an evaluation of
the capacity of existing facilities to deliver on identified 21st century educational
goals. A facilities master plan shall also enable and require supervisory unions to
engage in intentional and robust conversations with the larger community that will
hopefully lead to the successful passage of bonds needed to support the renovation
or construction needs of the supervisory union. It is the intent of the General Assembly
that awards shall be granted in accordance with this section and in a manner that
allows a maximum number of supervisory unions and independent career and technical
education districts to successfully complete facilities master plans.
(b) Definition. As used in this section, “supervisory union” has the same meaning as in subdivision 11(a)(23) of this title and includes supervisory districts and independent career and technical education
districts.
(c) Establishment. There is established the Facilities Master Plan Grant Program to be administered by
the Agency of Education, from funds appropriated for this purpose to supervisory unions
and independent career and technical education districts to support the development
of educational facilities master plans. Grant funds may be used to hire a consultant
to assist in the development of the master plan with the goal of developing a final
master plan that complies with State construction aid requirements.
(d) Standards for the disbursement of funds. The Agency shall develop standards for the disbursement of grant funds in accordance
with the following:
(1) Grants shall be awarded to applicants with the highest facilities needs. The Agency
shall develop a prioritization formula based on an applicant’s poverty factor and
average facilities condition index score. The Agency shall develop or choose a poverty
metric to use for the prioritization formula. The Agency may give priority to applications
with a regionalization focus that consist of more than one supervisory union or independent
career and technical education district that apply as a consortium.
(2) Award amounts shall be commensurate with the gross square footage of buildings located
within the applicable supervisory union or career and technical education district.
(3) The Agency shall develop minimum requirements for an educational facilities master
plan, which shall include, at a minimum, the following elements:
(A) a description of the educational mission, vision, and goals of the supervisory union;
(B) a description of educational programs and services offered by the supervisory union;
(C) the performance of a space utilization assessment;
(D) the identification of new program needs;
(E) the development of enrollment projections;
(F) the performance of a facilities assessment; and
(G) information regarding the various design options explored to address the supervisory
union’s identified needs.
(e) Report. Annually on or before December 31, the Agency shall submit to the House and Senate
Committees on Education a written report with information on the implementation of
the grant program created in this section. (Added 2023, No. 149 (Adj. Sess.), § 1, eff. July 1, 2024; repealed by 2023, No. 149 (Adj. Sess.), § 2, eff. June 30, 2029.)
§ 3441. Repealed. 2023, No. 149 (Adj. Sess.), § 2, eff. June 30, 2029.
(Added 2023, No. 149 (Adj. Sess.), § 1, eff. July 1, 2024; repealed by 2023, No. 149 (Adj. Sess.), § 2, eff. June 30, 2029.)
§ 3442. State Aid for School Construction Program [Effective July 1, 2026]
The Agency of Education shall be responsible for implementing the State Aid for School
Construction Program according to the provisions of this chapter. The Agency shall
be responsible for:
(1) reviewing all preliminary applications for State school construction aid and issuing
an approval or denial in accordance with section 3445 of this chapter;
(2) adopting rules pursuant to 3 V.S.A. chapter 25 pertaining to school construction and capital outlay, including rules to specify
a point prioritization methodology and a bonus incentive structure aligned with the
legislative intent expressed in section 3440 of this title;
(3) including as part of its budget submitted to the Governor pursuant to subdivision 212(21) of this title its annual school construction funding request;
(4) developing a prequalification and review process for project delivery consultants
and architecture and engineering firms specializing in prekindergarten through grade
12 school design, renovation, or construction and maintaining a list of such prequalified
firms and consultants;
(5) providing technical assistance and guidance to school districts and supervisory unions
on all phases of school capital projects;
(6) providing technical advice and assistance, training, and education to school districts,
supervisory unions, general contractors, subcontractors, construction or project managers,
designers, and other vendors in the planning, maintenance, and establishment of school
facility space;
(7) maintaining a current list of school construction projects that have received preliminary
approval, projects that have received final approval, and the priority points awarded
to each project;
(8) collecting, maintaining, and making publicly available quarterly progress reports
of all ongoing school construction projects that shall include, at a minimum, the
costs of the project and the time schedule of the project;
(9) recommending policies and procedures designed to reduce borrowing for school construction
programs at both State and local levels;
(10) conducting a needs survey at least every five years to ascertain the capital construction,
reconstruction, maintenance, and other capital needs for all public schools and maintaining
such data in a publicly accessible format;
(11) developing a formal enrollment projection model or using projection models already
available;
(12) encouraging school districts and supervisory unions to investigate opportunities for
the maximum utilization of space in and around the district or supervisory union;
(13) collecting and maintaining a clearinghouse of prototypical school plans, as appropriate,
that may be consulted by eligible applicants;
(14) retaining the services of consultants, as necessary, to effectuate the roles and responsibilities
listed within this section; and
(15) notwithstanding 2 V.S.A. § 20(d), annually on or before December 15, submitting a written report to the General Assembly
regarding the status and implementation of the State Aid for School Construction Program,
including the data required to be collected pursuant to this section. (Added 2025, No. 73, § 13, eff. July 1, 2026.)
§ 3443. State Aid for School Construction Advisory Board [Repealed effective July 1, 2035]
(a) Creation. There is hereby created the State Aid for School Construction Advisory Board, which
shall advise the Agency on the implementation of the State Aid for School Construction
Program in accordance with the provisions of this chapter, including the adoption
of rules, setting of statewide priorities, criteria for project approval, and recommendations
for project approval and prioritization.
(b) Membership.
(1) Composition. The Board shall be composed of the following eight members:
(A) four members who shall serve as ex officio members:
(i) the State Treasurer or designee;
(ii) the Commissioner of Buildings and General Services or designee;
(iii) the Executive Director of the Vermont Bond Bank or designee; and
(iv) the Chair of the State Board of Education or designee; and
(B) four members, none of whom shall be a current member of the General Assembly, who
shall serve four-year terms as follows:
(i) two members, appointed by the Speaker of the House, each of whom shall have expertise
in education or construction, real estate, or finance and one of whom shall represent
a supervisory union; and
(ii) two members, appointed by the Committee on Committees, each of whom shall have expertise
in education or construction, real estate, or finance and one of whom shall be an
educator.
(2) Members with four-year terms.
(A) A member with a term limit shall serve a term of four years and until a successor
is appointed. A term shall begin on January 1 of the year of appointment and run through
December 31 of the last year of the term. Terms of these members shall be staggered
so that not all terms expire at the same time.
(B) A vacancy created before the expiration of a term shall be filled in the same manner
as the original appointment for the unexpired portion of the term.
(C) A member with a term limit shall not serve more than two consecutive terms. A member
appointed to fill a vacancy created before the expiration of a term shall not be deemed
to have served a term for the purpose of this subdivision (C).
(c) Duties. The Board shall advise the Agency on the implementation of the State Aid for School
Construction Program in accordance with the provisions of this chapter, including:
(1) rules pertaining to school construction and capital outlay;
(2) project priorities;
(3) proposed legislation the Board deems desirable or necessary related to the State Aid
for School Construction Program, the provisions of this chapter, and any related laws;
(4) policies and procedures designed to reduce borrowing for school construction programs
at both State and local levels;
(5) development of a formal enrollment projection model or the consideration of using
projection models already available;
(6) processes and procedures necessary to apply for, receive, administer, and comply with
the conditions and requirements of any grant, gift, appropriation of property, services,
or monies;
(7) the collection and maintenance of a clearinghouse of prototypical school plans that
may be consulted by eligible applicants and recommended incentives to utilize such
prototypes;
(8) the determination of eligible cost components of projects for funding or reimbursement,
including partial or full eligibility for project components for which the benefit
is shared between the school and other municipal and community entities;
(9) development of a long-term vision for a statewide capital plan in accordance with
needs and projected funding;
(10) collection and maintenance of data on all public school facilities in the State, including
information on size, usage, enrollment, available facility space, and maintenance;
(11) advising districts on the use of a needs survey to ascertain the capital construction,
reconstruction, maintenance, and other capital needs for schools across the State;
and
(12) encouraging school districts and supervisory unions to investigate opportunities for
the maximum utilization of space in and around the district or supervisory union.
(d) Meetings.
(1) The Chair of the State Board of Education shall call the first meeting of the Board
to occur on or before September 1, 2025.
(2) The Board shall select a chair from among its members at the first meeting.
(3) A majority of the membership shall constitute a quorum.
(4) The Board shall meet not more than six times per year.
(e) Assistance. The Board shall have the administrative, technical, and legal assistance of the Agency
of Education.
(f) Compensation and reimbursement. Members of the Board shall be entitled to per diem compensation and reimbursement
of expenses as permitted under 32 V.S.A. § 1010 for not more than six meetings per year.
(g) Report. On or before December 15, 2025, the Board shall submit a written report to the House
Committees on Education and on Ways and Means and the Senate Committees on Education
and on Finance on recommendations for addressing the transfer of any debt obligations
from current school districts to future school districts as contemplated by Vermont’s
education transformation. (Added 2025, No. 73, § 14, eff. July 1, 2025; repealed by 2025, No. 73, § 15, eff. July 1, 2035.)
§ 3444. School Construction Aid Special Fund [Effective July 1, 2026]
(a) Creation. There is created the School Construction Aid Special Fund, to be administered by the
Agency of Education. Monies in the Fund shall be used for the purposes of:
(1) awarding aid to school construction projects under section 3445 of this title;
(2) awarding grants through the Facilities Master Plan Grant Program established in section 3441 of this title;
(3) funding administrative costs of the State Aid for School Construction Program; and
(4) awarding emergency aid under section 3445 of this title.
(b) Funds. The Fund shall consist of:
(1) any amounts transferred or appropriated to it by the General Assembly; and
(2) any interest earned by the Fund. (Added 2025, No. 73, § 16, eff. July 1, 2026.)
§ 3444a. Repealed. 1999, No. 29, § 52(a).
§ 3445. Approval and funding of school construction projects [Effective July 1, 2026]
(a) Construction aid.
(1) Preliminary application for construction aid. A school district eligible for assistance under section 3447 of this title that intends to construct or purchase a new school, or make extensive additions or
alterations to its existing school, and desires to avail itself of State school construction
aid shall submit a written preliminary application to the Secretary. A preliminary
application shall include information required by the Agency by rule and shall specify
the need for and purpose of the project.
(2) Approval of preliminary application.
(A) When reviewing a preliminary application for approval, the Secretary shall consider:
(i) regional educational opportunities and needs, including school building capacities
across school district boundaries, and available infrastructure in neighboring communities;
(ii) economic efficiencies;
(iii) the suitability of an existing school building to continue to meet educational needs;
and
(iv) statewide educational initiatives.
(B) The Secretary may approve a preliminary application if:
(i)(I) the project or part of the project fulfills a need occasioned by:
(aa) conditions that threaten the health or safety of students or employees;
(bb) facilities that are inadequate to provide programs required by State or federal law
or regulation;
(cc) excessive energy use resulting from the design of a building or reliance on fossil
fuels or electric space heat; or
(dd) deterioration of an existing building; or
(II) the project results in consolidation of two or more school buildings and will serve
the educational needs of students in a more cost-effective and educationally appropriate
manner as compared to individual projects constructed separately;
(ii) the need addressed by the project cannot reasonably be met by another means;
(iii) the proposed type, kind, quality, size, and estimated cost of the project are suitable
for the proposed curriculum and meet all legal standards;
(iv) the applicant achieves the level of “proficiency” in the school district quality standards
regarding facilities management adopted by rule by the Agency; and
(v) the applicant has completed a facilities master planning process that:
(I) engages robust community involvement;
(II) considers regional solutions;
(III) evaluates environmental contaminants; and
(IV) produces a facilities master plan that unites the applicant’s vision statement, educational
needs, enrollment projections, renovation needs, and construction projects.
(3) Priorities. Following approval of a preliminary application and provided that the district has
voted funds or authorized a bond for the total estimated cost of a project, the Agency,
with the advice of the State Aid for School Construction Advisory Board, shall assign
points to the project as prescribed by rule of the Agency so that the project can
be placed on a priority list based on the number of points received.
(4) Request for legislative appropriation. The Agency shall submit its annual school construction funding request to the Governor
as part of its budget pursuant to subdivision 212(21) of this title. Following submission of the Governor’s recommended budget to the General Assembly
pursuant to 32 V.S.A. § 306, the House Committee on Education and the Senate Committee on Education shall recommend
a total school construction appropriation for the next fiscal year to the General
Assembly.
(5) Final approval for construction aid.
(A) Unless approved by the Secretary for good cause in advance of commencement of construction,
a school district shall not begin construction before the Secretary approves a final
application. A school district may submit a written final application to the Secretary
at any time following approval of a preliminary application.
(B) The Secretary may approve a final application for a project provided that:
(i) the project has received preliminary approval;
(ii) the district has voted funds or authorized a bond for the total estimated cost of
the project;
(iii) the district has made arrangements for project construction supervision by persons
competent in the building trades;
(iv) the district has provided for construction financing of the project during a period
prescribed by the Agency;
(v) the project has otherwise met the requirements of this chapter;
(vi) if the proposed project includes a playground, the project includes a requirement
that the design and construction of playground equipment follow the guidelines set
forth in the U.S. Consumer Product Safety Commission Handbook for Public Playground
Safety; and
(vii) if the total estimated cost of the proposed project is less than $50,000.00, no performance
bond or irrevocable letter of credit shall be required.
(C) The Secretary may provide that a grant for a high school project is conditioned upon
the agreement of the recipient to provide high school instruction for any high school
pupil living in an area prescribed by the Agency who may elect to attend the school.
(D) A district may begin construction upon receipt of final approval. However, a district
shall not be reimbursed for debt incurred due to borrowing of funds in anticipation
of aid under this section.
(6) Award of construction aid.
(A) The base amount of an award shall be 20 percent of the eligible debt service cost
of a project. Projects are eligible for additional bonus incentives as specified in
rule for up to an additional 20 percent of the eligible debt service cost. Amounts
shall be awarded annually and are subject to an annual appropriation for the purposes
of the program.
(B) As used in subdivision (A) of this subdivision (6), “eligible debt service cost” of
a project means the product of the lifetime cost of the bond authorized for the project
and the ratio of the approved cost of a project to the total cost of the project.
(b) Emergency aid. Notwithstanding any other provision of this section, the Secretary may grant aid for
a project the Secretary deems to be an emergency in the amount of 30 percent of eligible
project costs, up to a maximum eligible total project cost of $300,000.00. (Added 2025, No. 73, § 17, eff. July 1, 2026.)
§ 3446. Appeal [Effective July 1, 2026]
Any municipal corporation as defined in section 3447 of this title aggrieved by an order, allocation, or award of the Agency of Education may, within
30 days, appeal to the Superior Court in the county in which the project is located. (Added 2025, No. 73, § 18, eff. July 1, 2026.)
§ 3447. School building construction; State bonds; city as school district
The State Treasurer may issue bonds under 32 V.S.A. chapter 13 in such amount as may from time to time be appropriated to assist incorporated school
districts, joint contract schools, town school districts, union school districts,
regional career technical center school districts, and independent schools meeting
education quality standards that serve as the public high school for one or more towns
or cities, or combination thereof, and that both receive their principal support from
public funds and are conducted within the State under the authority and supervision
of a board of trustees, not less than two-thirds of whose membership is appointed
by the selectboard of a town or by the city council of a city or in part by such selectboard
and the remaining part by such council under the conditions and for the purpose set
forth in sections 3447-3456 of this title. A city shall be deemed to be an incorporated school district within the meaning
of sections 3447-3456 of this title. (Added 1995, No. 185 (Adj. Sess.), § 71, eff. May 22, 1996; amended 2001, No. 8, § 14; 2001, No. 33, § 5; 2011, No. 129 (Adj. Sess.), § 6, eff. May 11, 2012; 2015, No. 23, § 28.)
§ 3448. Approval and funding of school construction projects; renewable energy [Repealed effective
July 1, 2026]
(a) Construction aid.
(1) Preliminary application for construction aid. A district or independent school eligible for assistance under section 3447 of this title that intends to construct or purchase a new school, or make extensive additions or
alterations to its existing school, and desires to avail itself of State school construction
aid shall submit a written preliminary application to the Secretary. A preliminary
application shall include information required by the State Board by rule and shall
specify the need for and purpose of the project.
(2) Approval of preliminary application.
(A) When reviewing a preliminary application for approval, the Secretary shall consider:
(i) regional educational opportunities and needs, including school building capacities
across school district boundaries, and available infrastructure in neighboring communities;
(ii) economic efficiencies;
(iii) the suitability of an existing school building to continue to meet educational needs;
and
(iv) statewide educational initiatives and the strategic plan of the State Board of Education.
(B) The Secretary may approve a preliminary application if:
(i) the project or part of the project fulfills a need occasioned by:
(I) conditions that threaten the health or safety of students or employees;
(II) facilities that are inadequate to provide programs required by State or federal law
or regulation;
(III) excessive energy use resulting from the design of a building or reliance on fossil
fuels or electric space heat; or
(IV) deterioration of an existing building;
(ii) the need addressed by the project cannot reasonably be met by another means; and
(iii) the proposed type, kind, quality, size, and estimated cost of the project are suitable
for the proposed curriculum and meet all legal standards.
(3) Priorities. Following approval of a preliminary application and provided that the district has
voted funds or authorized a bond for the total estimated cost of a project, the State
Board shall assign points to the project so that the project can be placed on a priority
list based on the number of points received. Once a project receives points, if it
does not receive funding in a given year, it shall not lose points in subsequent years
and, pursuant to rule of the Board and provided the scope of the project remains the
same, it shall gain points due to length of time on the list and may gain points for
any other reason. The points shall be assigned in the following priority:
(A) First priority is given to emergency projects in excess of $100,000.00 that address
threats to the safety and health of students or employees created by unanticipated
circumstances or events.
(B) Second priority is given to construction projects in excess of $10,000.00 that address
a need occasioned by deterioration of an existing building or equipment pursuant to
subdivision (2)(A) of this subsection (a) and that extend the useful life of the building
but that do not make additions or extensive alterations to existing school facilities
in which students are provided services. Examples of projects given priority under
this subdivision (B) are replacement, addition, or repair to utilities; projects that
address environmental quality issues; repair of a roof; replacement of an existing
space-heating, water-heating, cooling, or refrigeration system; and replacement or
upgrading of mechanical equipment.
(C) Remaining projects are given priority based on consideration of the relative degree
of need pursuant to subdivision (2)(A) of this subsection (a).
(4) Request for legislative appropriation. By January 15 of each year, the State Board shall present the House Committee on Corrections
and Institutions and the Senate Committee on Institutions with its annual capital
construction funding request. Following receipt of the request, the Committees shall
recommend a total school construction appropriation for the next fiscal year to the
General Assembly. The General Assembly shall not revise the order of the project priorities
presented by the State Board. The funding request to the Committees shall be in the
form of separate line items as follows:
(A) a list of projects that have been assigned points in their order of priority, including
the voted funds or authorized bond amount for each project;
(B) the cost of emergency projects that the State Board has approved but not yet reimbursed
due to insufficient funds, as well as the estimated cost of those that might be approved
in the coming year under subsection (d) of this section;
(C) the cost of projects to extend the life of a building that the State Board has approved
but not yet reimbursed due to insufficient funds, as well as the estimated cost of
those that might be approved by the State Board in the coming fiscal year under subdivision
(3)(B) of this subsection (a).
(5) Final approval for construction aid.
(A) Unless approved by the Secretary for good cause in advance of commencement of construction,
a school district shall not begin construction before the State Board approves a final
application. A school district may submit a written final application to the State
Board at any time following approval of a preliminary application.
(B) The State Board may approve a final application for a project provided that:
(i) the project has received preliminary approval;
(ii) the district has voted funds or authorized a bond for the total estimated cost of
the project;
(iii) the district has made arrangements for project construction supervision by persons
competent in the building trades;
(iv) the district has provided for construction financing of the project during a period
prescribed by the State Board;
(v) the project has otherwise met the requirements of sections 3447-3456 of this title;
(vi) if the proposed project includes a playground, the project includes a requirement
that the design and construction of playground equipment follow the guidelines set
forth in the U.S. Consumer Product Safety Commission Handbook for Public Playground
Safety; and
(vii) if the total estimated cost of the proposed project is less than $50,000.00, no performance
bond or irrevocable letter of credit shall be required.
(C) The board of trustees of an independent school may submit a written final application
to the State Board for a project for which a preliminary application has been approved
by the Secretary, provided that each municipality represented on the board of trustees
has voted funds or authorized a bond issue for 100 percent of the municipality’s estimated
share of the project in an amount determined by the Secretary under this section.
(D) The State Board may provide that a grant for a high school project is conditioned
upon the agreement of the recipient to provide high school instruction for any high
school pupil living in an area prescribed by the Board who may elect to attend the
school.
(E) A district may begin construction upon receipt of final approval. However, a district
shall not be reimbursed for debt incurred due to borrowing of funds in anticipation
of aid under this section.
(6) [Repealed.]
(7) Award of construction aid.
(A) Except as provided in other subdivisions of this subdivision (7) and elsewhere in
law, the amount of an award shall be 30 percent of the approved cost of the project.
(B) The amount of an award for the incremental costs associated with the installation
of a space-heating, water-heating, cooling, or refrigeration system that uses biomass,
a geothermal ground-source, wind, or solar energy as the primary heating or cooling
source shall be 75 percent of the approved cost of those elements of the project specifically
related to the renewable fuel source being used, provided that those elements may
include the costs of necessary equipment, a chimney, air quality technology, and additional
square footage necessary to house the heating unit and fuel, and further provided
that those elements shall not include the costs of staff areas, site improvements
relating to fuel delivery, and other ancillary costs as determined by the Secretary.
(C) The amount of an award shall be 50 percent of the approved cost of a project or applicable
portion of a project that results in consolidation of two or more school buildings
and that will serve the educational needs of students in a more cost-effective and
educationally appropriate manner as compared to individual projects constructed separately.
A decision of the Secretary as to eligibility for aid under this subdivision (C) shall
be final. This subdivision (C) shall apply only to a project that has received preliminary
approval by June 30, 2013.
(8) Eligible construction cost.
(A) Space and cost parameters. Only those portions of a project shall be eligible for construction aid that meet
space and cost parameters adopted by the State Board. The parameters shall define
maximum square footage costs, maximum gross square footage per student by grade range
and school size, and minimum and maximum square footage allowances per student for
programs and services.
(B) Eligible costs. Construction costs eligible for State aid may include the cost of a preliminary land
test on an approved project as required under 10 V.S.A. chapter 151 and any expenditures of federal funds for retrofitting to conserve energy or for
asbestos abatement. Expenditures of federal funds for any other purpose shall not
be eligible for reimbursement by State aid under this chapter. Expenditures of funds
borrowed under subdivision 563(21) of this title shall not be eligible for reimbursement by State aid.
(9) Payment. Upon satisfactory evidence that a project approved under subdivision (5) of this subsection
(a) is under construction or has been constructed, and upon appropriation of funds
sufficient to fund the State aid due under this section, the State Board shall certify
an award for the project to the Commissioner of Finance and Management who shall issue
a warrant for the payment of one-half of the award, or the entire award if the project
is complete. After a project has been completed according to approved plans and specifications
and the cost thereof has been audited by the Agency, the Secretary shall certify the
remainder of the award due for the project to the Commissioner of Finance and Management
who shall issue a warrant for the payment. Provided, however, if a project that is
included on a prioritized list, for which list the General Assembly has appropriated
funds in any year, is not eligible to be certified for one-half of the award or for
the entire award, and if another project of lesser priority is eligible for certification,
nothing in this section shall preclude the State Board from certifying an award for
the lesser priority project prior to the higher priority project.
(b) Refund upon sale. Upon the sale by a district of any item, building, or unit that may be relocated,
for which State construction aid was awarded under this title, the district shall
refund to the State a percentage of the sale price equal to the percentage of construction
aid received. In no event shall the sum refunded be in excess of the amount of the
original State aid received for the purchase of the item, building, or unit. All refunds
shall be deposited with the State Treasurer and used for school construction aid awards.
(c) Repayment as a condition of general aid. No school district shall receive any State general aid unless the school district
complies with subsection (b) of this section.
(d) Emergency aid. Notwithstanding any other provision of this section, the Secretary may grant aid pursuant
to subdivision (a)(7) of this section for a project the Secretary deems to be an emergency,
up to a maximum total project cost of $100,000.00.
(e) Rules. The State Board shall adopt rules pertaining to school construction and capital outlay.
(f) Aid in excess of statutory percentages. Notwithstanding any provision of law to the contrary, no approved school construction
project deemed eligible by the Secretary for State construction aid in excess of the
percentages set forth in subdivision (a)(7) of this section shall be guaranteed such
additional funding until the additional funding is approved by the General Assembly. (Added 1995, No. 185 (Adj. Sess.), § 72, eff. May 22, 1996; amended 1997, No. 60, § 36, eff. July 1, 1998; 1999, No. 29, § 51; 2001, No. 61, § 60, eff. June 16, 2001; 2001, No. 149 (Adj. Sess.), §§ 60, 66, eff. June 27, 2002; 2003, No. 121 (Adj. Sess.), §§ 52, 59, eff. June 8, 2004; 2005, No. 147 (Adj. Sess.), §§ 41-43, eff. May 15, 2006; 2007, No. 52, §§ 33-35, eff. May 28, 2007; 2007, No. 82, § 20; 2007, No. 200 (Adj. Sess.), § 43; 2009, No. 161 (Adj. Sess.), § 39, eff. June 4, 2010; 2011, No. 40, § 42, eff. May 20, 2011; 2013, No. 92 (Adj. Sess.), § 217, eff. Feb. 14, 2014; 2015, No. 93 (Adj. Sess.), § 1; 2015, No. 93 (Adj. Sess.), § 3, eff. July 1, 2020.)
§ 3448. Repealed. 2025, No. 73, § 20(a), eff. July 1, 2026.
(Added 1995, No. 185 (Adj. Sess.), § 72, eff. May 22, 1996; amended 1997, No. 60, § 36, eff. July 1, 1998; 1999, No. 29, § 51; 2001, No. 61, § 60, eff. June 16, 2001; 2001, No. 149 (Adj. Sess.), §§ 60, 66, eff. June 27, 2002; 2003, No. 121 (Adj. Sess.), §§ 52, 59, eff. June 8, 2004; 2005, No. 147 (Adj. Sess.), §§ 41-43, eff. May 15, 2006; 2007, No. 52, §§ 33-35, eff. May 28, 2007; 2007, No. 82, § 20; 2007, No. 200 (Adj. Sess.), § 43; 2009, No. 161 (Adj. Sess.), § 39, eff. June 4, 2010; 2011, No. 40, § 42, eff. May 20, 2011; 2013, No. 92 (Adj. Sess.), § 217, eff. Feb. 14, 2014; 2015, No. 93 (Adj. Sess.), § 1; 2015, No. 93 (Adj. Sess.), § 3, eff. July 1, 2020; repealed by 2025, No. 73, § 20(a), eff. July 1, 2026.)
§ 3448a. Appeal [Repealed effective July 1, 2026]
Any municipal corporation or independent school as defined in section 3447 of this title aggrieved by an order, allocation, or award of the State Board of Education may,
within 30 days, appeal to the Superior Court in the county in which the project is
located. (Added 1995, No. 185 (Adj. Sess.), § 73, eff. May 22, 1996; amended 2019, No. 131 (Adj. Sess.), § 111.)
§ 3448a. Repealed. 2025, No. 73, § 20(b), eff. July 1, 2026.
(Added 1995, No. 185 (Adj. Sess.), § 73, eff. May 22, 1996; amended 2019, No. 131 (Adj. Sess.), § 111; repealed by 2025, No. 73, § 20(b), eff. July 1, 2026.)
§§ 3448b-3448d. Repealed. 1995, No. 185, § 7a, eff. May 22, 1996.
§ 3448e. Construction of career technical education facilities; approval and funding
(a) Definitions. For the purposes of this section:
(1) “Construction” includes the purchase of career technical education facilities.
(2) “School district” means, unless otherwise provided:
(A) a school district that manages a regional career technical center or a comprehensive
high school; or
(B) a regional career technical center school district authorized under subchapter 5A
of chapter 37 of this title.
(3) “Career technical education facilities” means regional technical centers and those
portions of comprehensive high schools that are designed to provide State board-approved
career technical education programs and services.
(b) Application of chapter. Except as otherwise provided in this section, the provisions of chapter 123 of this
title shall apply to the construction of career technical education facilities.
(c) Approval of regional advisory board. The Secretary may approve a preliminary application for a project involving career
technical education facilities if, in addition to meeting the other requirements of
this chapter, the project has received the approval of the regional advisory board
as defined under section 1542 of this title. This subsection shall not apply to a project proposed by a regional career technical
center school district authorized under subchapter 5A of chapter 37 of this title.
(d) Involvement of the Department of Buildings and General Services. The Department of Buildings and General Services shall be available to consult with
and share its expertise with the school district regarding the design and construction
of any new career technical education facility or any alterations to existing career
technical education facilities and for the analysis of any lease or lease-purchase
proposal.
(e) Award of construction aid. The amount of an award shall be 50 percent of the approved cost of the project. Where
the construction of career technical education facilities is undertaken in conjunction
with the construction of noncareer technical education facilities, the approved costs
of the project shall be allocated as determined by the Secretary. (Added 2001, No. 149 (Adj. Sess.), § 61, eff. June 27, 2002; amended 2005, No. 147 (Adj. Sess.), § 48, eff. May 15, 2006; 2013, No. 92 (Adj. Sess.), § 218, eff. Feb. 14, 2014.)
§ 3448f. Energy performance contracting; authorization; State aid
(a) Definitions. As used in this section:
(1) “Cost-saving measure” means any facility improvement, repair, or alteration or any
equipment, fixture, or furnishing to be constructed or installed in any facility that
is designed to reduce energy consumption and operating costs or to increase the operating
efficiency of facilities for their appointed functions, that is cost effective, and
that is further defined by State Board rule.
(2) “District” means a district or independent school eligible for assistance under section 3447 of this title.
(3) “Energy and operational cost-savings” means any expense that is eliminated or decreased
on a long-term basis as a result of any cost-saving measure, but does not include
shifting personnel costs or similar short-term cost-savings.
(4) “Performance contract” means a contract for the valuation, recommendation, and implementation
of one or more cost-saving measures for the purpose of realizing energy and operational
cost-savings where payment by the district is contingent on energy or operational
cost-saving results.
(b) Authorization. Notwithstanding any provision of law to the contrary, a district may enter into a
performance contract pursuant to this section for a period not to exceed 20 years.
Cost-saving measures implemented under the contract shall comply with all State and
local building codes.
(c) Selection of qualified contractor.
(1) Request for proposals. The district shall issue a request for proposals from individuals or entities interested
in entering into a performance contract (who shall become the “contractor”), shall
consider the proposals, and shall select a qualified contractor to engage in final
contract negotiations. In developing the request for proposals and in selecting a
qualified contractor, the district should make use of any assistance available from
Efficiency Vermont, the School Energy Management Program of the Vermont Superintendents
Association, and other similar entities. Factors to be considered in the final selection
shall include contract terms, comprehensiveness of the proposal, comprehensiveness
of cost-saving measures, experience of the contractor, quality of technical approach,
and overall benefits to the district.
(2) Financial grade audit. The person selected pursuant to this subsection shall prepare a financial grade energy
audit that, upon acceptance by the district, shall be part of the final performance
contract executed with the district. If after preparation of the financial grade energy
audit the district decides not to execute a performance contract with the contractor,
the district shall pay the qualified contractor for costs incurred in preparing the
financial grade energy audit. If, however, the district decides to execute a performance
contract with the contractor, the costs of the financial grade energy audit shall
be part of the costs of the performance contract.
(3) [Repealed.]
(d) Installment payment and lease-purchase agreements. A district may enter into a performance contract structured as an installment payment
contract or lease-purchase agreement for the purchase and installation of cost-saving
measures. Financing implemented through the contractor or a person other than the
contractor is authorized.
(e) Payment schedule and savings. Each performance contract shall provide that all payments between parties, except
obligations on termination of the contract before its expiration, shall be made over
time, and that the objective of the performance contract is implementation of cost-saving
measures and energy and operational cost-savings.
(f) State funding for energy conservation measures.
(1) Application for construction aid. A district that intends to construct or install cost-saving measures under a performance
contract and wishes to receive State school construction aid in connection with those
measures shall submit a written application to the Secretary that:
(A) specifies the need for and purpose of the project, including details of the cost-saving
measure or measures proposed;
(B) provides details concerning the qualifications of the person with whom the district
has entered or intends to enter into a performance contract and concerning the district’s
adherence to the selection process required by subsection (c) of this section, including
detailed information regarding the assistance received from Efficiency Vermont, the
School Energy Management Program, and similar entities;
(C) provides detailed information concerning the energy and operational cost-savings projected
to result from the proposed cost-saving measures;
(D) provides detailed information concerning the amount and schedule of payments to be
made under the terms of the performance contract; and
(E) provides any other information the Secretary deems necessary for consideration of
the application.
(2) Approval of application. After consultation with the Department of Buildings and General Services and any other
expert resources that may be available, including Efficiency Vermont and the School
Energy Management Program, the Secretary may approve a complete application.
(3) Priorities. Following approval of a district’s application, the State Board shall assign points,
established by Board rule, to the project so that the project can be placed on a priority
list distinct from but similar to the list established under section 3448 of this title, based on the number of points received. Once a project receives points, if it does
not receive funding in a given year, it shall not lose points in subsequent years
and, pursuant to Board rule and provided the scope of the project remains the same,
it shall gain points due to the length of time on the list and may gain points for
any other reason. Prioritized projects under this section shall be included in the
State Board’s request for legislative appropriation as a separate and distinct line
item under section 3448 of this title. Any legislative appropriation made to fund the line item for performance contracts
shall not exceed 20 percent of the appropriation made in the same year to fund State
aid for school construction under section 3448.
(4) Award of State aid. A district shall not be reimbursed for debt incurred due to borrowing funds in anticipation
of aid under this section. The total amount of an award shall be 20 percent of the
approved total cost of the project, provided the total award shall not exceed the
total payment that would be due from the district, less interest.
(5) Eligible costs. A project or portions of a project under this section shall be eligible for aid pursuant
to criteria established by State Board rule.
(6) Payment. Upon completion of the construction or installation of the cost-saving measure, determination
by the Department of Buildings and General Services that implementation of the cost-saving
measures is expected to result in energy and operational cost-savings, and legislative
appropriation sufficient to fund the State aid due under this section, the State Board
shall certify an award for the project to the Commissioner of Finance and Management
who shall issue a warrant for the payment of the award. A district awarded State aid
under this section shall use the State aid solely for the purpose of paying all or
a portion of the obligation due under the performance contract at the time the award
is received.
(g) Refund upon sale. Upon the sale by a district of any energy-saving measure or building in which an energy-saving
measure was constructed or installed, for which State aid was awarded under this section,
the district shall refund funds equal to the aid received. All refunds shall be deposited
with the State Treasurer and used for awards under this section and section 3448 of this title. No district shall receive any State general aid unless the district complies with
this subsection. (Added 2003, No. 121 (Adj. Sess.), § 58, eff. June 8, 2004; amended 2013, No. 92 (Adj. Sess.), § 219, eff. Feb. 14, 2014; 2021, No. 20, § 65; 2025, No. 72, § 14, eff. June 27, 2025.)
§ 3449. Repealed. 2013, No. 56, § 15(8), eff. May 30, 2013.
§ 3450. Repealed. 1995, No. 185, § 7a, eff. May 22, 1996.
§§ 3451, 3452. Repealed. 1963, No. 213, § 6, eff. June 29, 1963.
§ 3453. Repealed. 1999, No. 29, § 52(b).
§ 3453a. Emergency operation centers and shelters
Any school building that may be designated as a local, regional, or State emergency
operation center or shelter shall be designed for use as an emergency operations center
or shelter. For this purpose, the proposed project shall include the installation
of a wiring harness capable of being connected to emergency electric power generation
to provide for emergency heating, lighting, and communications. The wiring installation
cost to upgrade emergency facilities shall be included in the budgets submitted to
the General Assembly for capital funding pursuant to 32 V.S.A. § 309. The State shall pay 100 percent of such costs, which shall at the Agency level be
itemized and accounted for separately from those costs in which the State only shares
in the project cost. The State shall not pay for the costs of purchasing the generator. (Added 1999, No. 29, § 43, eff. May 19, 1999; amended 2009, No. 43, § 47, eff. May 27, 2009; 2021, No. 20, § 66.)
§ 3454. Deferred maintenance
No State school construction aid shall be available under this title for any proposed
project or construction if the Secretary finds the need for the project or construction
has arisen in whole or in part from significant deferred maintenance. The State Board,
by rule, shall define “significant deferred maintenance.” (Added 1995, No. 185 (Adj. Sess.), § 75, eff. May 22, 1996; amended 2013, No. 92 (Adj. Sess.), § 220, eff. Feb. 14, 2014.)
§ 3455. Repealed. 1999, No. 29, § 52(c).
§ 3455a. Computer aided design
Whenever a school district or independent school makes final application for construction
aid pursuant to subdivision 3448(a)(5) of this title, the district or school shall submit to the Secretary copies of site plans and building
plans either in computer-aided design (CAD) format, if used, or, if not, in the form
submitted by the architect or engineer to the school board or board of trustees. (Added 1995, No. 185 (Adj. Sess.), § 77, eff. May 22, 1996; amended 2013, No. 92 (Adj. Sess.), § 221, eff. Feb. 14, 2014.)
§ 3456. Limit of indebtedness
The amount of indebtedness of an incorporated school district, town school district,
or union school district incurred to finance any project approved under sections 3447-3456 of this title shall not be considered a part of the indebtedness of such local district for the
purpose of determining its debt limit, as provided by 24 V.S.A. § 1762, or otherwise. (Added 1953, No. 256, § 10; amended 1955, No. 266, § 2; 2013, No. 92 (Adj. Sess.), § 222, eff. Feb. 14, 2014.)
§§ 3457, 3457a. Repealed. 1995, No. 62, § 60, eff. April 26, 1995.
§ 3458. Repealed. 1967, No. 134, § 5, eff. April 17, 1967.
§ 3458a. Repealed. 1997, No. 60, § 35, eff. July 1, 1998.
§ 3458b. Repealed. 1977, No. 105, § 20(a).
§ 3459. Repealed. 1967, No. 134, § 5, eff. April 17, 1967.
§ 3459a. Repealed. 1977, No. 105, § 20(a).
§ 3460. Repealed. 1967, No. 134, § 5, eff. April 17, 1967.
§ 3460a. Repealed. 1997, No. 60, § 35, eff. July 1, 1998.
§ 3461. Repealed. 1967, No. 134, § 5, eff. April 17, 1967.
§ 3461a. Repealed. 1997, No. 60, § 35, eff. July 1, 1998.
§ 3461b. Repealed. 1997, No. 60, § 35, eff. July 1, 1998.
§§ 3462, 3463. Repealed. 1967, No. 134, § 5, eff. April 17, 1967.
§§ 3464-3466. Repealed. 1969, No. 65, § 7.
§ 3467. Repealed. 1977, No. 105, § 20(a).
§ 3468. [Reserved for future use.]
§§ 3469-3471. Repealed. 1981, No. 170 (Adj. Sess.), § 10, eff. April 19, 1982.
§ 3472. Repealed. 1997, No. 60, § 35, eff. July 1, 1998.
§§ 3473, 3474. Repealed. 1987, No. 84, § 11(2).
§ 3475. Repealed. 1997, No. 60, § 35, eff. July 1, 1998.
§ 3476. Repealed. 1987, No. 84, § 11(2).
§§ 3477-3479. [Reserved for future use.]
§§ 3480, 3481. Repealed. 1997, No. 60, § 35, eff. July 1, 1998.
§§ 3482-3485. [Reserved for future use.]
§ 3486. Repealed. 1985, No. 71, § 9, eff. Jan. 1, 1992.
§ 3487. Redesignated. [Transferred]
§§ 3488-3490. [Reserved for future use.]
§§ 3491-3499. Repealed. 1997, No. 60, § 35, eff. July 1, 1998.