(The Center Square) — Vermont has repealed a controversial property tax rate increase cap in a move aimed at blunting the impact of rising school costs that were projected to lead to double-digit property tax increases.
The legislation, recently signed into law by Gov. Phil Scott, repeals an often-criticized property tax cap and will allow local school boards to delay budget votes in an attempt to lower education spending and property taxes.
Scott, a Republican, said the changes “are a necessary step as Vermonters face a projected 20% increase in property tax bills, and in some communities, it could be even higher.”
“But to be clear, this bill does not solve our property tax problem,” Scott wrote in a letter to lawmakers. “These changes will only reduce rates if school boards adjust their budgets accordingly and local voters support those changes.”
The new law repeals a 5% homestead tax
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