The bill H.178 proposes to refund education property tax overpayments made by the City of Barre and the Town of Milton due to miscalculations regarding the retention of tax increment from their respective tax increment financing (TIF) district funds. Specifically, it mandates the transfer of $437,028 from the Education Fund to the City of Barre and $184,451 to the Town of Milton, both to be completed by fiscal year 2026. These amounts are intended to compensate for overpayments made during the fiscal years 2016 through 2020 for Barre and 2017 through 2023 for Milton.

Additionally, the bill includes new legal language stating that these transfers shall occur notwithstanding any other provision of law, ensuring that the funds are allocated specifically for these refunds. The act is set to take effect upon passage, streamlining the process for addressing the identified overpayments and providing financial relief to the affected municipalities.