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 district funds. Specifically, the bill stipulates that a sum of $437,028.00 will be transferred from the Education Fund to the City of Barre by fiscal year 2026 to address overpayments made between fiscal years 2016 and 2020. Similarly, the Town of Milton will receive $184,451.00 from the Education Fund by fiscal year 2026 to compensate for overpayments from fiscal years 2017 through 2023.

The bill includes new legal language stating that these transfers are to occur notwithstanding any other provision of law, ensuring that the funds are allocated specifically for these refunds. Additionally, the act is set to take effect upon passage, allowing for prompt implementation of the refunds to both municipalities.