The bill S.39 seeks to create a State Aid for School Construction Program within Vermont's Agency of Education, aimed at providing state debt service subsidies to school districts for eligible construction projects. The program will prioritize efficient use of public funds, encourage collaborative construction efforts, and focus on meeting educational standards. The Agency of Education will be responsible for reviewing aid applications, establishing project prioritization rules, and offering technical support to districts. Additionally, a State Aid for School Construction Advisory Board will be formed to guide the implementation and criteria for project approval, with a provision for its repeal on July 1, 2035.

The legislation introduces new requirements for school construction projects, mandating that districts obtain final approval from the Secretary before starting construction. Key stipulations include the submission of a final application post-preliminary approval, securing full funding for the project, and ensuring proper supervision during construction. Projects that include playgrounds must comply with safety guidelines from the U.S. Consumer Product Safety Commission. The bill also establishes an appeals process for municipalities dissatisfied with Agency decisions, allowing appeals to the Superior Court within 30 days, and transfers rulemaking authority from the State Board of Education to the Agency of Education. The act is scheduled to take effect on July 1, 2026.