The bill H.445 aims to establish the Land Access and Opportunity Revolving Fund, which will be managed by the newly created Land Access and Opportunity Board. This fund is intended to support community-based affordable housing initiatives in Vermont, particularly in the wake of challenges posed by the COVID-19 pandemic, polysubstance abuse, and climate disasters. To finance the fund, the bill proposes a one and one-half percent income tax surcharge on individuals earning over $500,000, which will be repealed in 2031. The bill also includes provisions for the Board to prioritize funding for projects that foster self-sufficient communities and support historically marginalized groups.

Key amendments in the bill include the creation of the Land Access and Opportunity Revolving Fund and the establishment of specific criteria for funding eligibility, such as the purchase and renovation of affordable housing and the development of sustainable housing infrastructure. Additionally, the bill mandates a report from the Department of Taxes by July 1, 2026, evaluating tax incentives and penalties related to affordable housing preservation. The bill's provisions regarding the income tax surcharge and the General Fund allocation will take effect retroactively on January 1, 2025, while the repeal of the surcharge will be effective from January 1, 2031.

Statutes affected:
As Introduced: 32-435(b), 32-435, 32-5822, 10-15, 32-5822(a)(7), 32-5822(a), 32-435(b)(5)