H 232

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 2025  Page 1 of 3
1H.232
2 Introduced by Representative Waszazak of Barre City
3 Referred to Committee on
4 Date:
5 Subject: Municipal and county government; Vermont Municipal Response and
6Recovery Special Fund
7 Statement of purpose of bill as introduced: This bill proposes to create the
8 Vermont Municipal Response and Recovery Special Fund to provide direct
9 assistance to municipalities for flood response, prevention, and resiliency
10 projects. This act also proposes to require the State Treasurer to report to the
11 General Assembly on or before December 1, 2025 concerning
12 recommendations for the distribution of monies from the Fund and any
13 potential amendments to current programs that would enable flood-impacted
14 communities to have priority access to State assistance.
15    An act relating to creating the Vermont Municipal Response and Recovery
16    Special Fund
17 It is hereby enacted by the General Assembly of the State of Vermont:
18 Sec. 1. 20 V.S.A § 49a is added to read:
19 § 49a. VERMONT MUNICIPAL RESPONSE AND RECOVERY SPECIAL
20FUND
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1    (a) There is created the Vermont Municipal Response and Recovery
2 Special Fund that shall be managed in accordance with 32 V.S.A. chapter 7,
3 subchapter 5. Annually, 0.5 percent of General Fund revenue shall be
4 deposited and credited to the Special Fund. Notwithstanding 32 V.S.A.
5 § 588(3), all interest earned on Special Fund balances shall be credited to the
6 Special Fund. The State Treasurer may accept gifts, donations, and grants
7 from any source, public or private, to be dedicated for deposit into the Special
8 Fund. Monies in the Special Fund shall be used solely for direct support and
9 assistance to qualifying municipalities for flood response, recovery, and
10 resiliency projects and for necessary costs incurred in administering the Fund.
11    (b) Monies in the Special Fund shall not be disbursed prior to July 1, 2026.
12 Sec. 2. STATE TREASURER; REPORT ON USE OF VERMONT
13MUNICIPAL RESPONSE AND RECOVERY SPECIAL FUND
14    On or before December 1, 2025, the State Treasurer shall submit a written
15 report to the House Committee on Government Operations and Military
16 Affairs and the Senate Committee on Government Operations concerning:
17(1) proposed uses and limitations for the Vermont Municipal Response
18 and Recovery Special Fund;
19(2) guidelines on how Special Fund monies may be distributed to
20 achieve geographic equity and a balance between flood response and
21 mitigation projects;
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 2025  Page 3 of 3
1(3) any recommendations for legislation to amend current programs,
2 such as the Community Resilience and Disaster Mitigation Grant Program, to
3 authorize direct assistance from the Special Fund to qualifying municipalities
4 for flood recovery projects;
5(4) any recommendations for other State programs that could be
6 amended to provide priority access to State funds for flood-impacted
7 communities; and
8(5) any recommendations for legislation to simplify the application
9 process for all State grants that may support municipal flood recovery and
10 resilience projects.
11 Sec. 3. EFFECTIVE DATE
12    This act shall take effect on July 1, 2025.
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