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bill proposes a temporary income tax surcharge of one and one-half percent on income exceeding $500,000, which will be repealed in 2031. The bill emphasizes the importance of ensuring adequate access to safe and affordable housing for all Vermonters, especially those from historically marginalized communities.

Key provisions of the bill include the creation of the Land Access and Opportunity Revolving Fund, which will provide grants and loans for various housing-related activities, such as purchasing buildings and land for affordable housing, renovating multi-unit housing, and developing transitional housing for disadvantaged communities. The Board will prioritize projects that foster self-sufficient neighborhoods and support individuals facing barriers to housing. Additionally, the bill mandates a report by the Department of Taxes by July 1, 2026, to evaluate tax incentives and penalties related to affordable housing preservation. The bill also includes amendments to existing tax laws, specifically repealing the personal income tax surcharge and adjusting the General Fund composition accordingly.

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