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H 863

Vermont HouseIn House Committee

Summary

H 863, an act relating to transportation initiatives to improve equity and infrastructure, increase resiliency, and reduce emissions, was introduced in the House on Feb 3, 2026 by Rep. Mollie Burke (D) with 20 co-sponsors. It was referred to Transportation, and last saw action on Feb 3, 2026: Read first time and referred to the Committee on Transportation.


Record

Text

H 863 has 20 co-sponsors.

h863/introduced.txt
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H.863
Introduced by Representatives Burke of Brattleboro, Lalley of Shelburne,
Pouech of Hinesburg, Tomlinson of Winooski, White of
Waitsfield, Austin of Colchester, Bartholomew of Hartland,
Campbell of St. Johnsbury, Casey of Montpelier, Cina of
Burlington, Cole of Hartford, Dodge of Essex, Eastes of
Guilford, Holcombe of Norwich, James of Manchester,
Kleppner of Burlington, Logan of Burlington, McGill of
Bridport, Mrowicki of Putney, Rachelson of Burlington, and
Torre of Moretown
Referred to Committee on
Date:
Subject: Highways; motor vehicles; transportation; retail delivery fee;
gasoline; diesel fuel; local option tax; transportation program funding;
electric vehicles; electric bicycles; electric vehicle supply equipment;
electric vehicle incentive programs; electric vehicle tax credits; public
transit; school transit; vehicle miles traveled; pollinator habitat; road
salt
Statement of purpose of bill as introduced: This bill proposes to do the
following: (1) impose a fee on retail deliveries that are subject to the sales and
use tax; (2) permit municipalities to adopt a local option tax on sales of
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gasoline and diesel fuel; (3) appropriate funds to various transportation
programs; (4) amend the primary purposes for which Transportation
Alternatives Program grants will be issued; (5) require electric vehicle supply
equipment (EVSE) that is available for public use to accept credit cards for
payment; (6) require EVSE that is available for public use to make real-time
status information available to third parties; (7) establish laws to permit
property owners and tenants to install EVSE; (8) appropriate funds to support
the purchase of electric vehicles; (9) establish an income tax credit for the
purchase of certain electric vehicles; (10) require a study of potential changes
to laws and rules to enhance safety in relation to electric bicycles; (11) require
the Agency of Transportation and Agency of Natural Resources to develop a
process for calculating statewide reductions in vehicle miles traveled; (12)
require public transit agencies and school districts and supervisory unions to
meet annually to examine opportunities to provide education-related
transportation; (13) require the Agency of Transportation to create pollinator
habitat along State highways and to create best management practices for
municipalities interested in creating pollinator habitat along municipal
highways; and (14) require the Secretary of Natural Resources to update the
Vermont Local Roads curriculum with training for best management practices
for spreading salt.
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An act relating to transportation initiatives to improve equity and
infrastructure, increase resiliency, and reduce emissions
It is hereby enacted by the General Assembly of the State of Vermont:
* * * Transportation Revenues * * *
* * * Retail Delivery Fee * * *
Sec. 1. 23 V.S.A. chapter 26 is added to read:
CHAPTER 26. RETAIL DELIVERY FEE
§ 2551. DEFINITIONS
As used in this chapter:
(1) “Commissioner” means the Commissioner of Taxes.
(2) “Persons required to collect tax” has the same meaning as in
32 V.S.A. § 9701.
(3) “Retail delivery” means a delivery of tangible personal property to a
person located in Vermont as part of a retail sale by a vendor. “Retail
delivery” does not include pickup of tangible personal property at a vendor’s
place of business, including curbside pickup.
(4) “Tangible personal property” has the same meaning as in 32 V.S.A.
§ 9701, except that it does not include electricity, water, gas, steam, and
prewritten computer software.
(5) “Vendor” has the same meaning as in 32 V.S.A. § 9701.
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§ 2552. FEE ON RETAIL DELIVERIES
(a)(1) All retail deliveries by persons required to collect tax pursuant to
32 V.S.A. chapter 233 shall be subject to a delivery fee of $0.30.
(2) A vendor may elect to collect the fee imposed pursuant to this
section from the purchaser.
(3) For purposes of 32 V.S.A. chapter 233, the delivery fee imposed
pursuant to this section shall not be included in the sales price of the tangible
personal property sold as part of a retail sale and shall be separately stated on
any invoice, bill of sale, or similar document given to the purchaser.
(b) If the vendor collects the delivery fee from the purchaser, the delivery
fee must be charged in addition to any other delivery fee.
(c) The delivery fee imposed pursuant to this section shall only be charged
once per retail transaction regardless of the number of:
(1) items of tangible personal property purchased; or
(2) shipments needed to deliver the items of tangible personal property
purchased.
(d)(1) The delivery fee imposed pursuant to this section shall be
nonrefundable if any or all items of tangible personal property that were
purchased are returned to the vendor or the vendor provides a refund or credit
in an amount that is equal to or less than the purchase price of the items.
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(2) The delivery fee imposed pursuant to this section shall be refunded
to the purchaser if the retail delivery is canceled by the purchaser, vendor, or
the delivery provider.
§ 2553. RETURNS; PAYMENT OF RETAIL DELIVERY FEES
(a) A vendor shall report the amount of fees collected on a return
prescribed by the Commissioner. The return shall include any other
information that the Commissioner deems necessary for the administration of
this chapter.
(b) Returns required pursuant to this section shall be submitted to the
Commissioner on the same schedule as the vendor is required to submit sales
tax returns pursuant to 32 V.S.A. § 9775.
(c) All fees collected by a vendor for the time period covered by a return
shall be remitted to the Commissioner at the same time the vendor submits the
return.
§ 2554. ADMINISTRATION; OVERPAYMENTS; REFUNDS;
ENFORCEMENT; PENALTIES
The provisions of 32 V.S.A. chapter 233 relating to administration, refunds
of overpayments, enforcement, penalties, and appeals shall apply to this
chapter.
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§ 2555. DEPOSIT AND USE OF FEES
Retail delivery fees collected pursuant to this chapter shall be deposited into
the Transportation Fund and used to support the provision of town highway aid
pursuant to 19 V.S.A. § 306(a).
Sec. 2. 19 V.S.A. § 306 is amended to read:
§ 306. APPROPRIATION; STATE AID FOR TOWN HIGHWAYS
(a) General State aid to town highways.
(1) An annual appropriation to class 1, 2, and 3 town highways shall be
made. This appropriation shall increase over the previous fiscal year’s
appropriation pursuant to this subdivision by the same percentage change as
the following, whichever is less, or shall remain at the previous fiscal year’s
appropriation pursuant to this subdivision if either of the following are
negative or zero:
***
(3) In addition to the amounts appropriated pursuant to subdivision (1)
of this subsection, the total amount of retail delivery fees collected pursuant to
23 V.S.A. chapter 26 for the prior fiscal year shall be included in the amount
appropriated pursuant to this subsection but shall not be counted for purposes
of determining the amount by which the amounts appropriated pursuant to
subdivision (1) shall increase each fiscal year.
(4) The funds appropriated shall be distributed to towns as follows:
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***
* * * Local Option Tax on Gasoline and Diesel Fuel Sales * * *
Sec. 3. 24 V.S.A. § 138 is amended to read:
§ 138. LOCAL OPTION TAXES
(a) Local option taxes are authorized under this section for the purpose of
affording municipalities an alternative method of raising municipal revenues.
Except as provided in subsection (h) of this section, and subject to certification
by the Commissioner of Taxes, a local option tax shall be effective beginning
on the next tax quarter following 90 days’ notice to the Department of Taxes of
the imposition.
(b) If the legislative body of a municipality by a majority vote
recommends, the voters of a municipality may, at an annual or special meeting
warned for that purpose, by a majority vote of those present and voting, assess
any or all of the following:
(1) a one percent sales tax;
(2) a one percent meals and alcoholic beverages tax;
(3) a one percent rooms tax;
(4) a one percent tax upon each gallon of gasoline motor fuel sold or
delivered by a distributor;
(5) a one percent tax upon each gallon of diesel fuel sold or delivered by
a distributor.
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(c)(1) Any tax Taxes imposed under the authority subdivisions (b)(1)–(3)
of this section shall be collected and administered by the Department of Taxes,
in accordance with State law governing such State tax or taxes and subdivision
(2) of this subsection; provided, however, that a sales tax imposed under this
section shall be collected on each sale that is subject to the Vermont sales tax
using a destination basis for taxation. Taxes imposed under subdivisions (b)(4)
and (5) of this section shall be collected and administered by the Department of
Motor Vehicles in accordance with State law governing such tax. Except with
respect to taxes collected on the sale of aviation jet fuel, a per-return fee of
$5.96 shall be assessed, 75 percent of which shall be borne by the
municipality, and 25 percent of which shall be borne by the State to be paid
from the PILOT Special Fund. Notwithstanding 32 V.S.A. § 603 or any other
provision of law or municipal charter to the contrary, revenue from the fee
shall be used to compensate the Department departments for the costs of
administering and collecting the local option tax and of administering the State
appraisal and litigation program established in 32 V.S.A. § 5413. The fee shall
be subject to the provisions of 32 V.S.A. § 605.
(2) Notwithstanding any other law or municipal charter to the contrary,
if the Commissioner applicable commissioner determines that local option tax
was collected on a transaction in a municipality not authorized to impose local
option tax under this section, the Commissioner commissioner shall either
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refund the erroneously collected tax pursuant to 23 V.S.A. chapter 27 or 28, or
32 V.S.A. chapter 233 or 225 or, if the purchaser cannot reasonably be
determined, deposit the erroneously collected tax as required for State diesel
fuel and gasoline taxes pursuant to 19 V.S.A. § 11(2); State sales and use tax
pursuant to 16 V.S.A. § 4025(a)(6); or State meals and rooms tax pursuant to
10 V.S.A. § 1388(a)(4), 16 V.S.A. § 4025(a)(4), and 32 V.S.A. § 435(b)(7).
(d)(1) Except as provided in subsection (c) of this section and subdivision
(2) of this subsection with respect to taxes collected on the sale of aviation jet
fuel, of the taxes collected under this section, 75 percent of the taxes shall be
paid on a quarterly basis to the municipality in which they were collected, after
reduction for the costs of administration and collection under subsection (c) of
this section. Revenues received by a municipality may be expended for
municipal services only, and not for education expenditures. Any remaining
revenue shall be deposited into the PILOT Special Fund established by 32
V.S.A. § 3709.
(2)(A) Of the taxes collected under this section on the sale of aviation jet
fuel, on a quarterly basis, 70 percent of the taxes shall be paid to the
municipality in which they were collected, and 30 percent shall be deposited in
the Transportation Fund.
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(B) All revenues referenced in subdivision (A) of this subdivision (2)
shall be used exclusively for aviation purposes consistent with 49 U.S.C.
§ 47133 and Federal Aviation Administration regulations and policies.
(e) As used in this section, “municipality” means a city, town, or
incorporated village.
(f) Nothing in this section shall affect the validity of any existing provision
of law or municipal charter authorizing a municipality to impose a tax similar
to the local option taxes authorized in this section.
(g) If the legislative body of a municipality by a majority vote recommends
or by petition of ten 10 percent of the voters of a municipality recommends, the
voters of a municipality may at an annual or special meeting warned for that
purpose by a majority vote of those present and voting rescind any or all of the
local option taxes assessed under subsection (b) of this section.
(h)(1) The Commissioner of Taxes may limit the number of municipalities
enacting a local option tax under subsection (b) of this section to five per
calendar year. For local option taxes authorized under subdivisions (b)(4) and
(5) of this section, the Commissioner of Taxes shall consult with the
Commissioner of Motor Vehicles before acting pursuant to this subsection.
(2) The Commissioner of Taxes shall certify the first five notices from
municipalities it receives under subsection (a) of this section in each calendar
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year and those municipalities may proceed to assess a local option tax
according to subsection (a) of this section.
(3) In the Commissioner’s discretion, after receiving notice from the
fifth municipality pursuant to subsection (a) of this section in a calendar year,
the Commissioner of Taxes may delay certification, or reject further notices for
that year, if the Commissioner determines that additional certifications would
cause an undue burden on tax administration.
(i) As used in this section:
(1) “Diesel fuel” means “fuel” as defined in 23 V.S.A. § 3002.
(2) “Distributor” means “distributor” as defined in 23 V.S.A. § 3002 or
3102.
(3) “Gasoline motor fuel” means “gasoline or other motor fuel” as set
forth in 23 V.S.A. § 3101, except that it does not include aviation gasoline.
* * * Appropriations for Transportation Programs * * *
Sec. 4. APPROPRIATIONS
(a) The sum of $3,590,000.00 is appropriated from the Transportation Fund
to the Agency of Transportation in fiscal year 2027 for rural transit
administrative support.
(b) The sum of $5,740,250.00 is appropriated from the Transportation Fund
to the Agency of Transportation in fiscal year 2027 for rural transit operating
support.
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(c) The sum of $4,800,000.00 is appropriated from the Transportation Fund
to the Agency of Transportation in fiscal year 2027 to provide grant assistance
to the Green Mountain Transit Authority.
(d) The sum of $200,000.00 is appropriated from the Transportation Fund
to the Agency of Transportation in fiscal year 2027 for the Better Connections
Grant Program.
(e) The sum of $340,000.00 is appropriated from the Transportation Fund
to the Agency of Transportation in fiscal year 2027 for the Mobility and
Transportation Innovations Grant Program.
(f) The sum of $1,169,905.00 is appropriated from the Transportation Fund
to the Agency of Transportation in fiscal year 2027 for funding to support
bicycle and pedestrian facilities.
(g) The sum of $523,966.00 is appropriated from the Transportation Fund
to the Agency of Transportation in fiscal year 2027 to be deposited in the
Downtown Transportation Fund for use in the Transportation Alternatives
Grant Program.
(h) The sum of $325,000.00 is appropriated from the General Fund to the
Agency of Transportation to support the continuation of the Agency’s
partnership with Drive Electric Vermont. The monies shall be used for
programs and activities that support increased ownership and use of plug-in
electric vehicles in the State through:
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(1) stakeholder coordination;
(2) consumer education and outreach;
(3) infrastructure development; and
(4) the provision of technical assistance and support to Vermont
municipalities and Vermont businesses desiring to electrify their vehicle fleets.
* * * Transportation Alternatives Grant Program * * *
Sec. 5. 19 V.S.A. § 38 is amended to read:
§ 38. TRANSPORTATION ALTERNATIVES GRANT PROGRAM
***
(f)(1) In fiscal year 2024 2027 and thereafter, 50 80 percent of Grant
Program funds, or such lesser sum if all eligible applications amount to less
than 50 80 percent of Grant Program funds, shall be reserved for municipalities
for environmental mitigation projects relating to stormwater and highways,
including eligible salt and sand shed projects, bicycle and pedestrian facilities
and safe routes to schools, and the balance of Grant Program funds shall be
awarded for any eligible activity and in accordance with the priorities
established in subdivision (2) of this subsection.
(2) In evaluating applications for Transportation Alternatives grants, the
Agency shall give preferential weighting to projects involving as a primary
feature a bicycle or pedestrian facility. The degree of preferential weighting
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and the circumstantial factors sufficient to overcome the weighting shall be in
the complete discretion of the Agency.
***
* * * Publicly Available EV Chargers * * *
Sec. 6. 19 V.S.A. § 2908 is added to read:
§ 2908. PUBLIC EVSE; REQUIRED FORMS OF PAYMENT
All EVSE available to the public that require payment for use shall accept
credit cards for payment of all applicable charges and fees in addition to any
other form of payment accepted by the EVSE.
Sec. 7. 19 V.S.A. § 2909 is added to read:
§ 2909. PUBLIC EVSE; REAL-TIME STATUS; AVAILABILITY
All EVSE available to the public that is built or replaced on or after January
1, 2027, shall make its status, including whether it is available for use, in use,
or out of service, available in real time to the public and any entities that
aggregate information regarding the status of publicly available EVSE for the
purpose of advising potential users regarding the availability of EVSE for use.
* * * Private Electric Vehicle Supply Equipment * * *
Sec. 8. 9 V.S.A. § 4468b is added to read:
§ 4468b. ELECTRIC VEHICLE SUPPLY EQUIPMENT
(a) As used in this section:
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(1) “Electric vehicle supply equipment (EVSE)” means a device or
system designed and used specifically to transfer electrical energy to a plug-in
electric vehicle.
(2) “EVSE time-of-use (TOU) meter” means an electric meter supplied
and installed by an electric distribution utility that is separate from, and in
addition to, any other electric meter and is devoted exclusively to the charging
of plug-in electric vehicles and that tracks the TOU when charging occurs. An
EVSE TOU meter includes any wiring or conduit necessary to connect the
meter to an EVSE, regardless of whether it is supplied or installed by an
electric utility.
(b) For any rental agreement executed, extended, or renewed on and after
January 1, 2027, a landlord shall approve a written request of a tenant to install
EVSE at a parking space allotted for the tenant that meets the requirements of
this section and complies with the landlord’s procedural approval process for
modification to the property.
(c) This section does not apply to residential rental properties where:
(1) EVSE already exists for tenants in a ratio that is equal to or greater
than 10 percent of the designated parking spaces;
(2) parking is not provided as part of the lease agreement; or
(3) there are fewer than five parking spaces.
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(d) A landlord shall not be obligated to provide an additional parking space
to a tenant in order to accommodate EVSE.
(e) If the EVSE has the effect of providing the tenant with a reserved
parking space, the landlord may charge a monthly rental amount for that
parking space.
(f) The EVSE or EVSE TOU meter, or both, and all modifications and
improvements to the property shall comply with federal, State, and local law,
and all applicable zoning requirements, land use requirements, and covenants,
conditions, and restrictions.
(g) A tenant’s written request to make a modification to the property in
order to install and use EVSE shall include the tenant’s consent to enter into a
written agreement that includes the following:
(1) Compliance with the landlord’s requirements for the installation,
use, maintenance, and removal of the EVSE or both the EVSE and EVSE TOU
meter and installation, use, and maintenance of the infrastructure for the EVSE
or both the EVSE and EVSE TOU meter.
(2) Compliance with the landlord’s requirements for the tenant to
provide a complete financial analysis and scope of work regarding the
installation of the EVSE or both the EVSE and EVSE TOU meter and its
infrastructure.
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(3) Obligation of the tenant to pay the landlord all costs associated with
the landlord’s installation of the EVSE or both the EVSE and EVSE TOU
meter and related infrastructure prior to any modification or improvement
being made to the leased property. The costs associated with modifications
and improvements shall include the cost of permits, supervision, construction,
and, solely if required by the contractor and consistent with its past
performance of work for the landlord, performance bonds.
(4) Obligation of the tenant to pay as part of rent for the costs associated
with the electrical usage, whether or not through an EVSE TOU meter, of the
EVSE; costs for damage, maintenance, repair, removal, and replacement of the
EVSE or both the EVSE and EVSE TOU meter; and costs for modifications or
improvements made to the property associated with the EVSE or both the
EVSE and EVSE TOU meter.
(h) The tenant and each successor tenant shall obtain personal liability
coverage in an amount not to exceed 10 times the annual rent charged for the
dwelling unit covering property damage and personal injury proximately
caused by the installation or operation of the EVSE or both the EVSE and
EVSE TOU meter. The policy shall be maintained in full force and effect from
the time of installation of the EVSE or both the EVSE and EVSE TOU meter
until the EVSE or the EVSE and EVSE TOU meter is removed or the tenant
forfeits possession of the dwelling unit to the landlord.
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(i) Notwithstanding subsection (h) of this section, no insurance shall be
required of a tenant installing an EVSE or both an EVSE and EVSE TOU
meter if the following are satisfied:
(1) the EVSE has been certified by a Nationally Recognized Testing
Laboratory that is approved by the Occupational Safety and Health
Administration of the U.S. Department of Labor; and
(2) the EVSE and any associated alterations to the dwelling’s electrical
system are performed by a licensed electrician, and the EVSE TOU meter, if
applicable, is installed by the electric distribution utility providing service.
(j) A landlord that intentionally violates this section shall be liable to the
tenant or other party for actual damages and shall pay a civil penalty to the
tenant or other party in an amount not to exceed $1,000.00.
(k) In any action by a tenant requesting to have an EVSE installed and
seeking to enforce compliance with this section, the prevailing plaintiff shall
be awarded reasonable attorney’s fees.
Sec. 9. 27A V.S.A. § 1-204 is amended to read:
§ 1-204. PREEXISTING COMMON INTEREST COMMUNITIES
(a)(1) Unless excepted under section 1-203 of this title, the following
sections and subdivisions of this title apply to a common interest community
created in this State before January 1, 1999: sections 1-103, 1-105, 1-106, 1-
107, 2-103, 2-104, and 2-121,; subdivisions 3-102(a)(1) through (6) and (11)
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through (16),; and sections 3-111, 3-116, 3-118, 4-109, and 4-117 to the extent
necessary to construe the applicable sections. The sections and subdivisions
described in this subdivision apply only to events and circumstances occurring
after December 31, 1998, and do not invalidate existing provisions of the
declarations, bylaws, plats, or plans of those common interest communities.
***
(3) Unless excepted under section 1-203 of this title, section 3-125 of
this title shall apply to a common interest community created in this State
before January 1, 1999. Section 3-125 applies only to events and
circumstances occurring after June 30, 2026, and does not invalidate existing
provisions of the declarations, bylaws, plats, or plans of those common interest
communities.
***
Sec. 10. 27A V.S.A. § 3-125 is added to read:
§ 3-125. ELECTRIC VEHICLE SUPPLY EQUIPMENT
(a) Definitions. As used in this section:
(1) “Electric vehicle supply equipment (EVSE)” means a device or
system designed and used specifically to transfer electrical energy to a plug-in
electric vehicle.
(2) “EVSE owner” means the unit owner who applies to install an EVSE
and each successive unit owner associated with the initial application to install
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the EVSE unless there is a specific change in ownership of the EVSE, in which
case the EVSE owner shall be the owner specified in a conveying document
memorializing the change in ownership of the EVSE.
(3) “EVSE time-of-use (TOU) meter” means an electric meter supplied
and installed by an electric distribution utility that is separate from, and in
addition to, any other electric meter and is devoted exclusively to the charging
of plug-in electric vehicles and that tracks the TOU when charging occurs. An
EVSE TOU meter includes any wiring or conduit necessary to connect the
meter to an EVSE, regardless of whether it is supplied or installed by an
electric utility.
(4) “Plug-in electric vehicle” has the same meaning as in 23 V.S.A.
§ 4(85).
(5) “Reasonable restrictions” are restrictions that do not significantly
increase the cost of the EVSE or EVSE TOU meter, or both, or significantly
decrease the efficiency or specified performance of the EVSE or EVSE TOU
meter, or both.
(b) Protected uses.
(1) Any covenant, restriction, or condition contained in any deed,
contract, security instrument, or other instrument affecting the transfer or sale
of any interest in a common interest community, and any provision of a
governing document associated with a common interest community, such as a
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declaration or bylaws, that either effectively prohibits or unreasonably restricts
the installation or use of EVSE or an EVSE TOU meter, or both, within a unit
owner’s unit or in a designated parking space, including a deeded parking
space, a parking space in a unit owner’s exclusive use common element, or a
parking space that is specifically designated for use by a particular unit owner
or is in conflict with this section is void and unenforceable.
(2) This subsection shall not apply to provisions that impose reasonable
restrictions on EVSE or EVSE TOU meters, or both. However, it is the policy
of the State to promote, encourage, and remove obstacles to the use of plug-in
electric vehicles, including access to EVSE at home.
(3) The EVSE or EVSE TOU meter, or both, and all modifications and
improvements to the common interest community shall comply with federal,
State, and local law, and all applicable zoning requirements, land use
requirements, and covenants, conditions, and restrictions.
(4) If approval is required for the installation or use of EVSE or EVSE
TOU meters, or both, the application for approval shall be processed and
approved by the association in the same manner as an application for approval
of an architectural modification to the common interest community and shall
not be intentionally avoided or delayed. The approval or denial of an
application shall be in writing. If an application is not denied in writing within
60 days from the date of receipt of the application, the application shall be
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deemed approved, unless that delay is the result of a reasonable request for
additional information.
(5) If the EVSE or EVSE TOU meter, or both, is to be placed in a
common element or a limited common element, as designated in the common
interest community’s declaration, the following provisions apply:
(A) The unit owner first shall obtain approval from the association to
install the EVSE or EVSE TOU meter, or both, and the association shall
approve the installation if the unit owner agrees in writing to do all of the
following:
(i) comply with the association’s architectural standards for the
installation of the EVSE or EVSE TOU meter, or both;
(ii) engage a licensed contractor to install the EVSE and, if
necessary, to install wiring or conduit necessary to connect the EVSE to an
EVSE TOU meter;
(iii) engage the electric distribution utility providing service to
install the EVSE TOU meter, if applicable;
(iv) provide a certificate of insurance that names the association as
an additional insured under the unit owner’s insurance policy within 14 days
after approval; and
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(v) pay for both the costs associated with the installation of the
EVSE or both the EVSE and EVSE TOU meter and the electricity usage
associated with the EVSE.
(B) The unit owner and each successive owner of the EVSE or both
the EVSE and EVSE TOU meter shall be responsible for all of the following:
(i) costs for damage to the EVSE or EVSE TOU meter, or both; a
common element; or a limited common element resulting from the installation,
maintenance, repair, removal, or replacement of the EVSE or EVSE TOU
meter, or both;
(ii) costs for the maintenance, repair, and replacement of the
EVSE or EVSE TOU meter, or both, until the EVSE has been removed and for
the restoration of the common element or limited common element after
removal;
(iii) cost of electricity associated with the EVSE; and
(iv) disclosing to prospective buyers of the unit the existence of
any EVSE or EVSE TOU meters, or both, and the related responsibilities of
the unit owner under this section.
(C) The owner of EVSE, whether the EVSE is located within a unit
or within a common element or a limited common element, shall, at all times,
maintain a liability coverage policy that names the association as an additional
insured. The unit owner that submitted the application to install the EVSE or
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EVSE TOU meter, or both, shall provide the association with the
corresponding certificate of insurance within 14 days following approval of the
application. That unit owner and each successor EVSE owner shall annually
provide the association with the certificate of insurance.
(D) An EVSE owner shall not be required to maintain a homeowner
liability coverage policy for an existing National Electrical Manufacturers
Association standard alternating current power plug.
(6) Installation of EVSE or both EVSE and an EVSE TOU meter for the
exclusive use of a unit owner in a common element or limited common
element shall be authorized by the association only if installation in the unit
owner’s unit or designated parking space is impossible or unreasonably
expensive. In such cases, the association shall enter into a license agreement
with the unit owner for the use of the space in a common element or limited
common element and the unit owner shall comply with all of the requirements
in subdivision (5) of this subsection.
(7) The association may install EVSE or both EVSE and an EVSE TOU
meter in the common element or limited common element for the use of all
unit owners in the association and, in that case, the association shall develop
appropriate terms of use for the EVSE.
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(8) Subject to subdivision (3) of this subsection, an association may
create a new parking space where one did not previously exist to facilitate the
installation of an EVSE.
(9) An association that intentionally violates this subsection shall be
liable to the applicant unit owner or other party for actual damages and shall
pay a civil penalty to the applicant unit owner or other party in an amount not
to exceed $1,000.00.
(10) In any action by a unit owner requesting to have an EVSE installed
and seeking to enforce compliance with this section, the prevailing plaintiff
shall be awarded reasonable attorney’s fees.
* * * Efficient Vehicle Incentive Program Funding * * *
Sec. 11. APPROPRIATIONS FOR VEHICLE INCENTIVE PROGRAMS
(a) The sum of $3,000,000.00 is appropriated from the General Fund to the
Agency of Transportation in fiscal year 2027 for the purpose of funding the
MileageSmart Program established pursuant to 19 V.S.A. § 2903.
(b) The sum of $70,000.00 is appropriated from the General Fund to the
Agency of Transportation in fiscal year 2027 for the purpose of funding the
eBike Incentive Program established pursuant to 2021 Acts and Resolves No.
55, Sec. 28, as amended by 2022 Acts and Resolves No. 184, Sec. 23.
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* * * Electric Vehicle Tax Credit * * *
Sec. 12. 32 V.S.A. § 5830h is added to read:
§ 5830h. VERMONT ELECTRIC VEHICLE TAX CREDIT
(a) Definitions. As used in this section:
(1) “Electric vehicle” has the same meaning as “plug-in electric vehicle”
under 23 V.S.A. § 4(85).
(2) “Qualifying taxpayer” means a sole proprietorship or pass-through
entity primarily engaged in the business of selling motor vehicles at retail. For
purposes of this subdivision, “primarily” means at least 80 percent of the
taxpayer’s gross receipts are from sales of motor vehicles, as defined under
23 V.S.A. § 4(21).
(b) Credit. A qualifying taxpayer shall be entitled to a nonrefundable credit
against the tax imposed by section 5822 of this title for the taxable year. The
credit shall be for $5,000.00 for every new electric vehicle sold at retail and
$2,500.00 for every used electric vehicle sold at retail.
(c) Requirement to pass the credit on to the consumer. The credit under
this section shall only be available for electric vehicles resold in the taxable
year where the retail sales price was reduced in an amount equal to, or
exceeding, the amount of credit claimed under this section.
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Sec. 13. 32 V.S.A. § 5813 is amended to read:
§ 5813. STATUTORY PURPOSES
***
(bb) The statutory purpose of the electric vehicle tax credit in section
5830h of this title is to incentivize Vermonters to purchase new and used
electric vehicles.
* * * Study of Regulation of Electric Bicycles * * *
Sec. 14. STUDY OF REGULATION OF ELECTRIC BICYCLES; REPORT
(a) The Secretary of Transportation, in consultation with the Commissioner
of Public Safety, the Vermont League of Cities and Towns, and Local Motion,
shall study Vermont’s State laws and rules, as well as Vermont municipalities’
ordinances, related to electric bicycles and motor-assisted bicycles. In
particular, the Secretary shall examine the following in relation to electric
bicycles and motor-assisted bicycles in Vermont:
(1) the enforcement of applicable laws, rules, and ordinances, including
the rate of enforcement and challenges or barriers to enforcement;
(2) the efficacy of applicable safety-related laws, rules, and ordinances;
(3) recent trends among laws, rules, and ordinances for electric bicycles
and motor-assisted bicycles in jurisdictions outside Vermont; and
(4) potential changes to Vermont’s statutes related to electric bicycles
and motor-assisted bicycles that could enhance the safety of individuals using
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electric bicycles and motor-assisted bicycles as well as other individuals using
roadways, sidewalks, and multiuse paths.
(b) On or before December 15, 2026, the Secretary shall submit a written
report to the House and Senate Committees on Transportation with the
Secretary’s findings pursuant to subsection (a) of this section and any
recommendations for legislative action.
* * * Study of Vehicle Miles Traveled Reduction Target * * *
Sec. 15. VEHICLE MILES TRAVELED; REDUCTION; TARGET
(a) The Secretary of Transportation, in consultation with the Secretary of
Natural Resources, shall develop a process for setting annual and longer-term
targets for reducing the amount of vehicle miles traveled in Vermont. On or
before December 15, 2026, the Secretary of Transportation shall submit a
written report to the House and Senate Committees on Transportation that
outlines the process developed pursuant to this subsection and includes a
proposal for legislative action necessary to implement that process.
(b) As used in this section, “vehicle miles traveled” means the estimated
sum of all the miles traveled by motor vehicles in Vermont during a calendar
year.
* * * Education Transportation * * *
Sec. 16. 24 V.S.A. § 5095 is added to read:
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§ 5095. COORDINATION WITH SUPERVISORY UNIONS AND
SCHOOL DISTRICTS
(a) A public transit system, as that term is defined pursuant to subdivisions
5088(6)(A)–(C) of this subchapter, and the school districts and supervisory
unions within the public transit system’s area of operation shall meet at least
once every two years to examine opportunities for the public transit system and
the school district or supervisory union to coordinate transportation services to
provide more effective transportation to students enrolled in the school district
or supervisory union.
(b) The public transit system and the school district or supervisory union,
as applicable, shall specifically examine opportunities to provide students
enrolled in the school district or supervisory union with transportation:
(1) to and from school;
(2) to after-school activities; and
(3) from school to locations where students work, shop, obtain health
care, or engage in recreational or extracurricular activities.
(c) Any changes made to the public transit system’s routes or the services it
provides as a result of the meetings required pursuant to this section shall be
designed to:
(1) maintain or increase the general public’s access to the public transit
system;
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(2) increase usage of the public transit system;
(3) support or increase the financial self-sufficiency of the public transit
system;
(4) reduce the school district’s or supervisory union’s costs related to
student transportation; and
(5) comply with all applicable Federal Transit Administration
regulations for student transportation.
* * * Pollinator Habitat * * *
Sec. 17. 19 V.S.A. § 46 is added to read:
§ 46. POLLINATOR HABITAT ALONG HIGHWAYS;
IDENTIFICATION; CREATION; BEST MANAGEMENT
PRACTICES; ANNUAL REPORT
(a)(1) The Agency of Transportation shall create and maintain pollinator
habitats within State highway rights-of-way in locations selected in
consultation with the Agency of Natural Resources.
(2) Habitat locations shall be planted, to the extent possible, with native
plants.
(3) Plants chosen for a habitat location shall:
(A) provide food and nesting habitat for pollinators found in the area
of the habitat location;
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(B) be able to tolerate runoff from the highway, including salt;
(C) be adapted to growing in the soil conditions found within the
highway right-of-way; and
(D) be maintained in a manner designed to minimize disruptions to
pollinator populations.
(b) The Agency of Transportation, in consultation with the Agency of
Natural Resources and the Vermont League of Cities and Towns, shall develop
best management practices for the identification, creation, and maintenance of
pollinator habitat along municipal highways. The best management practices
shall include information regarding:
(1) identification of potential habitat locations;
(2) plant selection; and
(3) habitat maintenance, including modifications to mowing and other
routine maintenance practices.
(c) The Secretary of Transportation shall annually, on or before January 15,
report to the House and Senate Committees on Transportation regarding:
(1) the total amount of pollinator habitat that has been created within
State highway rights-of-way;
(2) any new pollinator habitat created within State highway rights-of-
way during the preceding calendar year;
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(3) any changes or updates made during the preceding calendar year to
the Agency’s best management practices for the identification, creation, and
maintenance of pollinator habitat along municipal highways; and
(4) changes in maintenance costs for unpaved portions of State highway
rights-of-way and changes in mowing practices along State highways.
* * * Municipal Salt Application; Local Roads Curriculum * * *
Sec. 18. MUNICIPAL SALT APPLICATORS; VERMONT LOCAL ROADS
CURRICULUM; AFFIRMATIVE DEFENSE
On or before November 1, 2027, the Secretary of Natural Resources, in
collaboration with the Secretary of Transportation, shall identify and make
changes to the Vermont Local Roads curriculum to create training for best
management practices for spreading salt on roads, parking lots, and sidewalks.
* * * Effective Dates * * *
Sec. 19. EFFECTIVE DATES
(a) This section shall take effect on passage.
(b) Notwithstanding 1 V.S.A. § 214, Secs. 12 and 13 (electric vehicle tax
credit) shall take effect retroactively on January 1, 2026, and shall apply to
taxable years beginning on and after January 1, 2026.
(c) The remaining sections of this act shall take effect on July 1, 2026.
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An act relating to transportation initiatives to improve equity and infrastructure, increase resiliency, and reduce emissions

Sponsors

Rep. Mollie Burke (D) sponsors H 863, and 20 members have co-sponsored it.

Committees

H 863 went before 1 committee: Transportation.

Transportation
Transportation
Referred to · Feb 3, 2026 · 57 Bills

History

H 863 has taken 1 action since Feb 3, 2026.

ChamberAction
Feb 3, 2026
House
Read first time and referred to the Committee on Transportation

Votes

H 863 has not gone to a roll call.


Source: legislature.vermont.gov · legiscan.com