Vermont S 161: An act relating to housing investments

Bill Text

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VT LEG #385000 v.4
S.161 1
Introduced by Senator Bongartz 2
Referred to Committee on 3
Date: 4
Subject: Taxation; income tax; federal tax credit; scholarships; executive 5
authority 6
Statement of purpose of bill as introduced: This bill proposes to create a 7
structure for the Governor to make a list of scholarship granting organizations 8
so that the associated federal tax credit for contributions to such organizations 9
is available for Vermont taxpayers. 10
An act relating to the Governor’s list of scholarship granting organizations 11
It is hereby enacted by the General Assembly of the State of Vermont: 12
Sec. 1. 3 V.S.A. § 24 is added to read: 13
§ 24. GOVERNOR’S LIST OF SCHOLARSHIP GRANTING 14
ORGANIZATIONS 15
(a) Annually on December 1, the Governor, or designee, may elect to 16
provide a list of organizations that satisfy the conditions of subsection (b) of 17
this section to the U.S. Secretary of the Treasury for purposes of making the 18
federal qualified elementary and secondary education scholarship tax credit 19
available for Vermont taxpayers under 26 U.S.C. § 25F. It shall be presumed 20

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VT LEG #385000 v.4
that an organization listed in the previous year will be listed in the subsequent 1
year unless the Governor finds that the organization has failed to meet the 2
requirements of this section. 3
(b) An organization shall not be listed unless the organization meets the 4
following criteria: 5
(1) it qualifies as a “scholarship granting organization” as defined under 6
26 U.S.C. § 25F(c)(5); 7
(2) it is a nonprofit organization with the core mission of providing 8
educational opportunities to economically underprivileged students through 9
afterschool, summer tutoring, and similar programs; and 10
(3) all grants and scholarships provided by the organization are to 11
students attending a public school, as defined in 16 V.S.A. § 11(7), or an 12
independent school, as defined in 16 V.S.A. § 11(8), that is also capable of 13
receiving public tuition. 14
(c) In the Governor’s discretion, the Governor may audit an organization 15
seeking placement on the list to ensure the organization meets all the 16
requirements for placement as provided by this section and applicable federal 17
law. The Governor shall not list an organization that the Governor knows is 18
not in compliance with the requirements of this section or 26 U.S.C. 19
§ 25F(c)(5). 20

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VT LEG #385000 v.4
Sec. 2. EFFECTIVE DATE 1
This act shall take effect on July 1, 2026. 2