An act relating to the creation of a project-based tax increment financing program

This bill establishes a new project-based tax increment financing program in Vermont that allows municipalities to apply for state funding to pay for infrastructure improvements. The program is administered by the Vermont Economic Progress Council and is designed to help communities develop projects that include affordable housing, brownfield remediation, new business creation with quality jobs, or transportation improvements. To qualify, a municipality must demonstrate that the infrastructure improvements would not have occurred without the financing and that the project aligns with local development plans. The bill also defines specific terms like "tax increment" and sets rules about how much of the generated revenue must be allocated to the Education Fund. This legislation directly affects cities, towns, and incorporated villages that seek state support for public infrastructure projects.