Issue Updates from the State House | Week of January 6, 2026

Issue Updates from the State House

Week of January 6, 2026

A weekly snapshot of key legislative activity impacting Vermont’s business community. 

  • Groundwater: The Legislative Committee on Administrative Rules approved a rule change tightening groundwater enforcement standards for certain PFAS chemicals. The new rules exclude wastewater, stormwater, and sewage, but stricter standards could affect businesses with indirect discharge permits or other PFAS-related discharges.
  • Electricity Storage: The Legislative Committee on Administrative Rules approved a new rule establishing guidelines for energy storage.
  • Budget Adjustment Act: Legislators heard testimony as part of the annual Budget Adjustment Act process, an annual mid-year adjustment to the current budget. In a letter to House and Senate Appropriations committees, the Governor emphasized preserving as much of the $75 million surplus as possible to help offset a projected 12 percent property tax increase in the upcoming budget cycle.
  • Noncompete: The House Commerce and Economic Development committee reviewed findings from the Non-Compete Agreements Study Committee, which concluded that non-compete agreements are appropriate for high-wage employees with access to proprietary information. The Vermont Chamber will work to ensure any legislation preserves employers’ ability to protect sensitive business information.
  • Franchisors: The House Commerce and Economic Development Committee heard testimony on potential regulation of franchisors. Vermont lacks data on the number and structure of franchises operating in the state, making it difficult to assess the scope or justify a new regulatory program.
  • Event Ticket Marketing: The House Commerce and Economic Development committee resumed testimony on H.512, a bill aimed at reining in the marked-up resale of event tickets. The Vermont Chamber will continue to closely monitor this issue as the bill develops.
  • Rural Health Care: The House Health Care Committee heard testimony on the federal Rural Health Transformation Program grant, which will provide Vermont with $195 million annually for the next five years. The funding will support rural hospital improvements, bolster the rural health workforce, and modernize rural health systems.
  • Convention Center Task Force: The House Commerce and Economic Development and Senate Economic Development Housing, and General Affairs committees reviewed the Convention Center Task Force report, which identified Burlington as the most feasible location for a convention center after input from industry stakeholders. Securing a viable funding model remains a significant challenge.
  • Transportation Fund: The House Ways and Means and House Transportation Committees heard testimony on growing shortfalls in the Transportation Fund. Without increased funding, Vermont risks losing federal match dollars, and over 50 percent of state-maintained roads are projected to fall into poor or worse condition within the next five years.
  • Community and Housing Infrastructure Program (CHIP): The House Commerce and Economic Development and House General and Housing Committees heard testimony on the rollout of the Community and Housing Infrastructure Program (CHIP), established last session. The program allows municipalities and qualified sponsors to invest in infrastructure that supports housing development, with applications set to open at the end of the month.

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Megan Sullivan

she/her

Vice President of Government Affairs

802-522-6316

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State of the State

State of the State

Governor Phil Scott’s State of the State on January 7 focused on education and Vermont’s affordability challenge, highlighting a growing disconnect between rising costs and student outcomes. With one-time federal funds exhausted and federal uncertainty looming, the Governor emphasized fiscal discipline, accountability, and implementation, particularly in education, as essential to restoring affordability and predictability. The message was clear: Vermont can no longer sustain rising costs without corresponding improvements in outcomes. 



 

As the Vermont Chamber has shared with members and communities statewide, the Vermont Chamber supports policy that leads to strategic growth of people and places. As the state’s largest business advocacy organization, we focus on turning planning into policy and policy into progress. Through the Vermont Economic Action Plan and a data-informed, member-driven legislative agenda, the Chamber continues to advance affordability, opportunity, and long-term economic resilience. 

 

Rising public costs, especially in education, show up in immediate and tangible ways for businesses. Higher property taxes, constrained housing supply, intensified workforce pressures, and increased difficulty planning for the future are now common challenges. The Governor’s call to complete education transformation aligns directly with the Chamber’s first legislative priority, Economic Abundance Through Fiscal Stewardship, recognizing that bending the cost curve frees up resources for housing, infrastructure, and tax relief. 

 

The State of the State made clear that achieving those outcomes will not be easy or smooth. The Governor underscored that completing Act 73, last year’s education reform law, requires meaningful structural change, including district mapping and governance reform. He emphasized that the current system was built for a Vermont that no longer exists and signaled a willingness to use veto authority if reforms stall. 

 

House Democratic leadership, speaking at a press conference, reinforced a shared focus on affordability, housing, health care, and public education, while signaling a more cautious approach to implementation. Speakers emphasized transparency, data review, and continued engagement with Vermonters, noting that many details remain under consideration as the session begins. 

 

Legislative leaders, while reaffirming support for Act 73 and education quality, offered responses that suggested less alignment on timelines and tools. Questions around district mapping, spending thresholds, and property tax relief highlighted early tension with the Administration’s insistence that maps be treated as an essential next step, rather than a longer-term consideration. 

 

While there is broad agreement that change is required, success this session will depend on moving beyond shared diagnosis to shared execution. Education costs ripple through property taxes, housing affordability, workforce availability, and long-term competitiveness, underscoring the Chamber’s priorities around workforce and housing alignment and industry competitiveness. 

 

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Setting the Stage for Vermont’s Tax Decisions 

Setting the State for Vermont's Tax Decisions

This week’s tax hearings and briefings at the State House were largely foundational, but they set the stage for the most consequential fiscal debates of the session. With federal support uncertain, budget constraints tightening, and cost pressures continuing to build, lawmakers are beginning to confront a central reality. Without meaningful cost containment, tax policy will once again become the primary tool for closing budget gaps. 

Several interconnected tax issues were discussed this week, including federal conformity, education finance, and Vermont’s existing tax structures. Together, they set the context for a session where fiscal discipline will determine whether Vermont strengthens affordability or compounds existing pressures. Data from the Vermont Competitiveness Dashboard shows that affordability pressures tied to taxes, housing, and workforce availability are already constraining business growth and labor force participation. How lawmakers respond this session will influence whether Vermont closes or widens those gaps relative to peer states. 

Federal Tax Policy, Vermont Choices 

This week’s joint hearing of House Ways and Means and Senate Finance focused on H.R.1 and the fiscal impacts of its tax provisions. Vermont conforms to the federal tax code selectively, not universally. Changes that affect the calculation of federal taxable income itself generally flow through unless Vermont explicitly decouples, while changes that occur below the line, create new deductions or credits outside taxable income, or are structured differently may not flow through at all without state action. Understanding how and where federal changes apply is central to the tax discussion this session, as lawmakers weigh affordability, predictability, and revenue impacts. 

Fiscal analysts noted that accelerated deductions reduce near-term state revenue, prompting discussion about selective decoupling. Provisions such as research and development expensing, interest deductibility, and accelerated depreciation were highlighted because of their fiscal impact.  

For businesses, the risk of focusing solely on short-term revenue is significant. Decoupling would raise the cost of investment, increase complexity, and weaken incentives for innovation and expansion at a time when employers are already facing higher interest rates, workforce shortages, and rising costs. Dashboard indicators show that states with stronger investment and productivity growth are better positioned to grow wages, retain workers, and stabilize tax bases over time. 

Federal conformity provides predictability and aligns Vermont’s tax policy with national investment signals. Moving away from that alignment would introduce uncertainty and place Vermont at a competitive disadvantage. How lawmakers approach these decisions will be a defining test of whether tax policy this session supports affordability, predictability, and long-term economic growth. 



Education Transformation and Vermont’s Tax Outlook 

The Governor’s State of the State reinforced a central reality shaping Vermont’s tax outlook. Education spending remains the single largest driver of property tax pressure and broader affordability challenges. Education costs now exceed $2.5 billion annually, a sharp increase over the past decade, with current projections pointing to another significant rise next year. Education is funded not only through property taxes, but also through substantial diversions from sales, meals, rooms, and other taxes. As those costs grow, they increasingly limit the state’s ability to invest in housing, workforce development, infrastructure, and broad-based affordability. 

This week also marked the start of formal legislative review of Act 73, the education transformation law passed last session. Committees focused on understanding the structure and fiscal mechanics of the new system, laying the groundwork for more substantive policy discussions in the weeks ahead. Act 73 represents a meaningful structural shift in education finance intended to improve equity and long-term sustainability. Whether it delivers on affordability will depend on disciplined implementation and sustained follow-through. 

The December 1 letter provided the baseline for these discussions and formally begins the annual process of setting education property tax rates. While the letter is a forecast rather than a final decision, it shows continued upward pressure on property taxes driven by rising education spending and declining enrollment. For businesses, the key takeaway is that the Yield Bill is where forecasts become tax rates. Decisions about how costs are allocated, whether one-time funds are used, and how nonresidential taxpayers are treated will directly affect employers and shape predictability for the year ahead. 

Short-term fixes and one-time funds may soften immediate impacts, but they do not change the underlying cost trajectory. That is why education transformation and cost containment are now central to every tax conversation at the State House and to Vermont’s long-term affordability and economic competitiveness. 

The Bottom Line 

This week made one thing clear. Vermont is entering a session where tax outcomes will be shaped less by new ideas and more by whether the state can control costs, align with federal policy, and avoid short-term decisions that undermine long-term stability. The Competitiveness Dashboard makes clear that Vermont’s economic challenges are interconnected, and this week’s hearings confirmed that tax policy sits at the center of those dynamics. The Vermont Chamber will continue to engage policymakers with data-informed analysis to ensure tax policy supports affordability, predictability, and a competitive environment for businesses across the state. 

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Amy Spear

President

Fiscal Policy, Taxation, Tourism and Hospitality, Workforce Development

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Housing at the Top of the Agenda: What’s Working and What’s Next 

Housing at the Top of the Agenda: What’s Working and What’s Next

In the first week of the session, the House Committee on General and Housing came out of the gate with a sharp focus. The housing crisis is real, state dollars are limited, and lawmakers are seeking clear answers on what is working, what is not, and what comes next. The Vermont Chamber of Commerce testified with firsthand insights from businesses, builders, and communities struggling with housing shortages that directly affect workforce recruitment and retention. Other organizations reinforced these themes, pointing to both effective tools and persistent barriers.

 

Several state housing programs are demonstrating real results. The Vermont Housing Improvement Program (VHIP) in particular is accelerating unit creation while also bringing new builders into the market, including small, local, and first-time developers who are critical to expanding housing production statewide. Programs such as VHIP, the Middle-Income Homeownership Development Program, and the Rental Revolving Loan Fund are stretching limited funding and lowering per-unit costs, outcomes that are especially important as resources tighten.

 

Testimony also made clear that regulatory and implementation challenges are limiting the full potential of these investments. Issues with the rollout of Act 181 and HOME act, persistent challenges with exclusionary zoning as well as restrictive deed covenants and bylaws, and increasing regulatory gatekeeping are adding cost, delay, and uncertainty to projects. These hurdles reduce the return on public investment and make it harder for developers to move housing projects forward.



 

These concerns mirror what Vermont employers are reporting. The 2025 Vermont Business Climate Survey found that housing availability and affordability remain among the top barriers to hiring and business growth, with many employers linking workforce shortages directly to housing constraints. The Chamber’s testimony reinforced that without addressing regulatory and implementation barriers, even strong programs will struggle to deliver housing at the scale Vermont needs.

Housing is economic infrastructure and central to Vermont’s long-term growth. The Vermont Economic Action Plan identifies housing production as a foundational strategy for supporting workforce growth, affordability, and economic resilience. The Vermont Chamber will continue working with lawmakers to protect and scale what is working, improve implementation where it is falling short, and ensure state policy supports the housing supply Vermont’s businesses, workers, and communities depend on.

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Healthcare Costs and Affordability in Vermont

Healthcare Costs Remain a Central Affordability Challenge for Vermont Employers

As lawmakers prepare for the upcoming legislative session, healthcare affordability remains one of the most significant pressures facing Vermont’s economy. At a recent Legislative All Member Healthcare Briefing, state leaders, regulators, providers, and stakeholders reviewed the current state of Vermont’s healthcare system, which now totals $2.5 billion and accounts for nearly 30 percent of the state budget when federal dollars are included.

The briefing reinforced the reality employers know well. Vermont’s healthcare system is under strain, and costs continue to rise faster than both wages and national trends. Hospitals and insurers remain financially fragile, community-based care gaps are pushing patients into higher cost emergency and inpatient settings, and access challenges persist across the state. Presenters emphasized that Vermont’s comparatively modest premium increase last year was achieved through one-time interventions, including premium buydowns, drug price caps, and budget reductions. These tools cannot be relied on again.

The Vermont Chamber presented on behalf of the business community, underscoring healthcare costs are now among the top competitiveness challenges for employers statewide. Since 2018, health insurance premiums have increased 10 to 15 percent annually, with the average silver plan rising 169 percent. These sustained increases make long term planning difficult and limit employers’ ability to invest in growth, wages, and workforce benefits.

The Chamber also highlighted that Vermont spends 19.6 percent of personal income on healthcare, the highest share in the nation. This cost burden directly affects hiring, retention, and business expansion, reinforcing concerns raised consistently by employers through the Vermont Business Climate Survey.

The following day, the Health Care Reform Oversight Committee met to examine next steps for reform. Discussions focused on regionalization and coordination as tools to reduce duplication, preserve essential services, and improve efficiency through shared purchasing, aligned clinical design, and modernized data systems. Hospitals outlined commitments to significant cost reductions by 2028 while acknowledging persistent workforce shortages and burnout that continue to challenge care delivery.

As Vermont faces impending federal subsidy changes and Medicaid eligibility shifts, there is growing consensus that incremental, structural reforms are needed to stabilize the system over time. The Vermont Chamber will remain actively engaged to ensure that healthcare reforms advance affordability and access while avoiding further cost shifts onto employers and workers who are already carrying a disproportionate share of the burden.

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Megan Sullivan

she/her

Vice President of Government Affairs

802-522-6316

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Education Property Taxes and Affordability in Vermont

Education Property Taxes and Vermont’s Affordability Challenge

Vermont’s education property taxes are projected to rise by approximately 12 percent in 2026, driven by continued growth in school spending and the expiration of last year’s tax buydowns. This increase comes at a time when affordability pressures are already weighing heavily on households, employers, and communities across the state.

Last year’s buydown was adopted with a clear understanding that it would provide temporary relief while lawmakers and the administration addressed the underlying cost drivers in Vermont’s education funding system. That commitment now hangs in the balance. Student enrollment has declined by more than 30 percent over the past two decades, yet education spending continues to rise, pushing per-pupil costs sharply higher.

Gov. Phil Scott has proposed using nearly $75 million in surplus tax revenues for another buydown in the coming year. It’s not yet clear if lawmakers will approve that use of Vermont’s much-needed surplus funds. There is an urgent need for durable, structural reforms.

Without them, cost pressures will continue to shift onto property taxpayers, including Vermont’s employers.

For the business community, these trends are deeply concerning. Employers are being asked to absorb higher tax burdens in a system that is delivering lower outcomes for fewer students. Vermont’s reading and math performance has slipped from among the strongest in the region to the middle of the pack, with recent assessments showing significant declines in key grades. These outcomes raise serious questions about cost-effectiveness, accountability, and long-term workforce readiness.

The business climate data reinforces this concern. According to the 2025 Vermont Business Climate Survey, employers rate the state’s overall business climate just 2.86 out of 5. Respondents cite rising costs, regulatory uncertainty, workforce availability, housing affordability, and taxes as the top constraints on growth. Rising education property taxes directly exacerbate these challenges.

Higher commercial property taxes increase operating costs and rents, tightening margins for small businesses and complicating decisions around expansion and investment. Housing affordability, already identified as a major barrier to recruitment and retention, worsens as property taxes rise, making it harder for employers across all industries to attract and retain workers.

As discussions continue around a “student-first” approach, it is important to ground reform efforts in data and outcomes. Improving educational results, strengthening accountability, and ensuring long-term sustainability must go hand in hand. An education system that serves students well also supports the broader conditions that shape their futures, including a strong economy, housing affordability, access to health care, and a competitive cost of living.

Some proposals would shift more of the education tax burden toward higher income taxes without addressing spending pressures. Without structural reform, these approaches risk further eroding Vermont’s affordability and competitiveness, particularly for skilled and mobile workers.

Last year, the business community successfully opposed a proposed business-only property tax classification that would have shifted costs disproportionately onto employers. As the Legislature revisits education funding, the Vermont Chamber will be watching closely to ensure businesses are not once again singled out to stabilize a system in need of reform.

The Vermont Chamber of Commerce continues to advocate for sustainable, data-informed reforms that address education spending pressures, improve outcomes for students, and protect Vermont’s business climate. Advancing affordability, strengthening the workforce pipeline, and supporting long-term economic vitality must remain central to any education funding solution.

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Amy Spear

President

Fiscal Policy, Taxation, Tourism and Hospitality, Workforce Development

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Choosing Progress: Vermont Chamber’s 2026 Legislative Priorities

Choosing Progress: A Unified Path Toward Affordability and Economic Resilience

Vermont can no longer admire the problem. It must act, guided by data, employers, and long-term planning.

Each year, the Vermont Chamber of Commerce sets legislative priorities grounded in one core objective: advancing the Vermont economy. As we enter the 2026 session, Vermont stands at a defining moment. Affordability pressures, demographic decline, and rising operating costs are converging just as our state needs more workers, more housing, and greater predictability to sustain economic growth.

Our work toward long-range strategy began with the Vermont Economic Action Plan, a statewide blueprint shaped by more than 5,000 Vermonters. The plan established a clear vision for a stronger and more affordable future, grounded in data, pairing community insight and measurable targets. It also signaled a pivotal shift in how Vermont approaches economic decision-making. Instead of reacting to problems as they arise, we now have a long-term framework that can guide policy choices and align efforts across the public and private sectors.

This alignment is urgently needed. The Vermont Futures Project’s Competitiveness Dashboard shows Vermont trailing most states in economic outlook, cost competitiveness, and regulatory efficiency. Vermont ranks 49th in Economic Outlook and continues to struggle with slow economic growth, high costs of doing business, and a demographic profile that strains employers and public systems. Results from this year’s Business Climate Survey reinforce this landscape. Employers identified taxes, regulation, labor shortages, healthcare costs, and housing challenges as the most significant barriers to growth.

Many employers voiced concern that the state’s policy direction is disconnected from Vermont’s economic reality, and that they do not feel heard in Montpelier. Business leaders shared examples of policy decisions advancing without a clear understanding of operational impacts. This sentiment reflects a growing disconnect at the same moment Vermont needs alignment around affordability, stability, and long-term economic strategy. It also underscores the essential role the Vermont Chamber plays in bringing employer perspectives to the policy and regulatory tables and ensuring economic policy aligns with economic reality. Addressing Vermont’s challenges requires a sustained commitment to coordinated, data-informed action.


Many employers voiced concern that the state’s policy direction is disconnected from Vermont’s economic reality, and that they do not feel heard in Montpelier. Business leaders shared examples of policy decisions advancing without a clear understanding of operational impacts. This sentiment reflects a growing disconnect at the same moment Vermont needs alignment around affordability, stability, and long-term economic strategy. It also underscores the essential role the Vermont Chamber plays in bringing employer perspectives to the policy and regulatory tables and ensuring economic policy aligns with economic reality. Addressing Vermont’s challenges requires a sustained commitment to coordinated, data-informed action.



How confident or concerned are you about Vermont’s elected officials understanding of the economic pressures facing businesses?
A post on Datawrapper provided by: https://datawrapper.de

While there is difficult work ahead, progress was made last year on housing infrastructure, workforce programming, and slowing the growth of healthcare costs. While these advances were important, they are not enough on their own. Vermont must shift from episodic decision-making to a consistent, long-range economic strategy. The Economic Action Plan provides that roadmap. Paired with disciplined and transparent leadership, it offers a path toward measurable improvements for both families and employers.

Our 2026 legislative agenda reflects this approach and focuses on four core areas aligned with statewide priorities and employer needs:

Economic Abundance Through Fiscal Stewardship
Vermont must adopt predictable fiscal practices that control cost growth and strengthen affordability for families and employers. With state spending up more than three billion dollars in five years, the need for disciplined decision making is clear.

Regulatory Modernization and Predictability
A modernized regulatory system must support timely housing and economic development. Streamlined permitting and clearer rules will reduce costs, shorten timelines, and restore Vermont’s competitiveness.

Workforce and Housing Alignment
Employers report that workforce pressures and housing shortages remain among their highest concerns. Strengthening recruitment and retention requires connecting training strategies, talent attraction, and coordinated housing solutions.

Industry Competitiveness
Manufacturing, tourism, healthcare, technology, and small businesses all face rising pressures. Strategic investments in infrastructure, innovation, and cost containment will strengthen these key sectors.

As we begin the 2026 session, Vermont faces a choice. We need to shift from a scarcity mindset to an abundance mindset. The path forward requires courage, collaboration, and a commitment to measurable progress. Employers are ready to be partners in this work. Policymakers must be equally ready to align decisions with long-term strategy and economic reality.

Vermont’s future is not predetermined. It is shaped by the choices we make together. The Vermont Chamber stands ready to partner in this work and ensure our state’s economic story continues toward resilience, prosperity, and opportunity for all.

CONNECT WITH OUR TEAM

Megan Sullivan

she/her

Vice President of Government Affairs

802-522-6316

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2025 Vermont Business Climate Survey Results Released

2025 Vermont Business Climate Survey Results Released

The Vermont Futures Project has released the 2025 Vermont Business Climate Survey Findings Report, offering a detailed look at how employers across Vermont are experiencing the state’s economic environment. With responses from one hundred and thirty nine employers representing every major industry and all fourteen counties, this report provides an important snapshot of the conditions shaping Vermont’s economic future.

 

The findings show what many Vermont businesses continue to experience every day. Workforce shortages remain the most pressing challenge, affecting the ability of employers to meet demand and plan for growth. Housing availability and affordability continue to limit recruitment, retention, and mobility. Operating costs, including healthcare expenses and taxes, are placing growing pressure on budgets. Employers also express concern about regulatory predictability and whether their perspectives are reflected in statewide policy conversations.

 

These insights closely align with the priorities of the Vermont Economic Action Plan, which outlines the long term strategies needed to grow the workforce, expand housing supply, strengthen affordability, and create a more competitive and resilient future for the state. The survey results help clarify where progress is needed and where Vermont has the greatest opportunity to support long term economic stability.

 

The Vermont Chamber of Commerce appreciates the leadership of the Vermont Futures Project in producing this comprehensive analysis. Data informed insights like these are essential for shaping policy conversations in Montpelier and guiding collaborative work with the business community. The report provides a grounded understanding of the challenges employers face and reinforces the need for long term, thoughtful solutions.

 

Vermont businesses, policymakers, and community partners are encouraged to explore the full report and use this information to support planning, decision making, and collective action.

 

Read the full 2025 Business Climate Survey Findings Report

Vermont Chamber Announces Winners of the Coolest Thing Made in Vermont Awards

Vermont Chamber Announces Winners of the Coolest Thing Made in Vermont Awards

BETA Technologies’ ALIA Aircraft and Hannaford Career Center’s Tiny House on Wheels Named 2025 Winners

The Vermont Chamber of Commerce has announced the winners of the 2025 Coolest Thing Made in Vermont Awards, recognizing the state’s most innovative manufacturers and the next generation of technical talent. The awards were presented during the annual Vermont Manufacturing Summit, the state’s premier gathering for manufacturers from across Vermont, New England, and Canada.

 

2025 WINNERS
Coolest Thing Made in Vermont
BETA Technologies – ALIA Aircraft: BETA Technologies was selected for its groundbreaking all-electric ALIA aircraft, capable of both conventional takeoff and landing (CTOL) and vertical takeoff and landing (VTOL). Designed and built in Vermont, ALIA represents a fully integrated approach to the future of aviation—from advanced propulsion systems to charging infrastructure. The aircraft embodies BETA’s commitment to safety, sustainability, and innovation, reflecting the global impact of Vermont-grown manufacturing excellence.

 

“On behalf of our nine hundred plus member team at BETA, we are completely humbled to receive this recognition. Thank you. Katie and I grew up here and knew this is where we wanted to build our business. It took twelve years of pitching the idea of BETA before the first person said yes. At that moment, we decided our strategic advantage would be to be highly vertically integrated and to do it as sustainably as possible. These things echo our Vermont advantage. That is the advantage of thinking differently about how we do things and setting the bar high. We are thrilled to be here, doing all of that for electric aviation with our team here in Vermont,” said Kyle Clark, Chief Executive Officer of BETA Technologies.

 

Coolest Thing Made by a Career Technical Education or STEAM Program
Patricia A. Hannaford Career Center – Tiny House on Wheels: Students from the Patricia A. Hannaford Career Center received top honors for designing and building a fully functional Tiny House on Wheels, crafted to provide affordable housing for a local resident. The project showcases applied learning, craftsmanship, sustainability, and the community-minded spirit that defines Vermont’s Career Technical Education programs.

 

“This event highlights the power of CTE in the lives of students, and the importance of CTE for Vermont. The innovation of these kids demonstrates what young people can do when given access to Career Technical Education. CTE is not just a leg up for their future goals, it is a launchpad,” said Nicole MacTavish, Ed.D., Superintendent and Director of the Patricia A. Hannaford Regional Technical School District.

 

More than sixty submissions were entered by manufacturers and student teams across the state, an impressive reflection of the innovation, creativity, and technical skill that fuel Vermont’s manufacturing sector. From aerospace and advanced engineering to adaptive technology and community driven housing solutions, this year’s entries highlight the sector’s powerful contributions to Vermont’s economic vitality.

 

“The Vermont Chamber is proud to champion Vermont’s manufacturers, industries that make living, working, and thriving in Vermont possible,” said Amy Spear, President of the Vermont Chamber of Commerce. “The Coolest Thing awards celebrate not only remarkable products, but the skilled workforce, ingenuity, and partnerships that strengthen Vermont’s economy. We are honored to recognize the leaders and students who are shaping the future of manufacturing in our state.”

 

FINALISTS (HONORABLE RECOGNITION)
Made in Vermont Finalists

  • Rothspeed – Splitray Supercar: A carbon-fiber reimagining of a vintage Corvette, blending classic design with advanced engineering. Built in Milton, the Splitray showcases world-class performance and the artistry of Vermont’s precision manufacturing.
  • WheelPad L3C – SuitePAD: A 200-square-foot modular bedroom and bathroom suite that can be attached to an existing home in weeks, providing accessible, dignified housing for those facing mobility challenges. SuitePAD reflects the power of design, compassion, and rural economic resilience.

Career Technical Education or STEAM Program Finalists

  • Green Mountain Robotics – “Champ”: A competitive 140-pound robot built by FRC Team #9101, demonstrating the strength of Vermont’s growing STEM talent pipeline.
  • Lyndon Institute – Bridge Barrier: A custom steel safety barrier fabricated by welding students to protect the historic 1878 Miller’s Run Covered Bridge—an example of applied learning and community stewardship.
  • North Country Career Center – Air Blow Off System: A student-engineered automated air system designed to reduce downtime and operational costs for a local manufacturer.
  • Patricia A. Hannaford Career Center – Mobility Device for Disabled Children: A student-created adaptive mobility device that transforms a toy car into life-changing technology for a local child.

Celebrating Vermont Manufacturers at the Summit
The Vermont Manufacturing Summit brings together leaders from across the region for two days of global supply-chain matchmaking, policy discussions, workforce innovation, and advanced manufacturing collaboration. The Coolest Thing awards are a cornerstone of the Summit, honoring both the products that strengthen Vermont’s economy today and the students and educators building tomorrow’s workforce.

 

“Manufacturing is one of Vermont’s most essential economic sectors,” Spear noted. “From aerospace to outdoor recreation to custom fabrication, these employers fuel statewide innovation, create high-wage jobs, and anchor communities. The Summit and the Coolest Thing awards underscore our commitment to supporting this critical sector through advocacy, community, and resources.”

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Turning Point for Vermont Housing: Why Funding Alone Isn’t Enough

Turning Point for Vermont Housing: Why Funding Alone Isn’t Enough

The House Committee on General and Housing and the Senate Committee on Economic Development, Housing, and General Affairs convened this week for an out-of-session hearing to assess how federal housing cuts affecting Vermont families and communities. The impacts are both immediate and long term, affecting families who rely on rental subsidies today and limiting the state’s ability to finance new housing through federal tax dollars and credits in the years ahead.

 

Testimony from the Vermont State Housing Authority made clear that federally funded voucher programs are stretched to their limit. For the first time, the payment assistance fund for housing authorities no longer has any reserves, and by January, public housing authorities may be unable to make voucher payments for hundreds of households. Representatives from Vermont’s federal delegation also highlighted steep reductions to Community Development Block Grants, stalled HUD programs due to the federal shutdown, and growing uncertainty in critical housing initiatives.

 

The loss of federal funding is felt especially hard in Vermont, where construction is already among the most difficult and expensive in the nation. The extremely state’s extremely limited supply of affordable and available housing leaves a growing number of Vermonters dependent on subsidies simply to live in their own communities. Overlapping regulations, complex program requirements, and slow permitting processes continue to make drive up costs and create uncertainty for developers. While these systems sustain a network of programs and agencies, they too often divert energy away from what matters most: building homes that all Vermonters can afford.

 

The Vermont Chamber has long maintained that while funding is essential, Vermont cannot spend its way out of the housing crisis. Real progress depends on policy changes that simplify systems, reduce costs, and prioritize housing over bureaucracy. To truly put housing first, Vermont must make it faster and less expensive to build across income levels and for all types of developers, not just large nonprofit entities.

 

Looking ahead to the 2026 session, lawmakers discussed a slate of housing priorities that will shape Vermont’s path forward. Central to that effort will be continued permit and appeals reform, along with cleanup from the 2024 Act 250 bill, which are critical steps toward lowering costs and shortening development timelines. Additional areas of focus include landlord-tenant and short-term rental reform, streamlining tax sales for abandoned properties, expanding off-site construction, and strengthening programs such as the Vermont Rental Housing Investment Program (VHIP) and the Community Housing Investment Program (CHIP).

 

Lawmakers also raised the idea of creating a new permanent tax to fund affordable housing, but with Vermonters and businesses already stretched to the affordability brink, it remains unclear where such funding would come from. Senator Randy Brock closed the hearing by urging committees to reduce the time it takes to build, improve accountability in program operations, and create a lean, efficient approach that prioritizes building housing over building bureaucracy.

 

The Vermont Chamber will continue to advocate for reforms that lower costs, accelerate development, and ensure every public and private dollar invested translates into more homes for Vermonters.

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