THURSDAY, MAY 22, 1997
At ten o’clock in the forenoon the Speaker called the House to order.
Devotional exercises were conducted by the Speaker.
Pledge of Allegiance
Page Martha Coe of Craftsbury led the House in the Pledge of Allegiance.
Bill Referred to Committee on Ways and Means
S. 158
Senate bill, entitled
An act relating to miscellaneous changes to Vermont’s transportation statutes;
Appearing on the Calendar, affecting the revenue of the state, under the rule, was referred to the Committee on Ways and Means.
Bill Referred to Committee on Appropriations
S. 156
Senate bill, entitled
An act relating to restrict minors’ access to tobacco products;
Appearing on the Calendar, carrying an appropriation, under rule 35a, was referred to the Committee on Appropriations.
Joint Resolution Adopted
J.R.H. 76
Joint resolution, entitled
Joint resolution relating to family week;
Was taken up and adopted on the part of the House.
House Resolution Adopted
H.R. 20
Rep. Keenan of St. Albans City offered a House resolution, entitled
House resolution congratulating Louella Kittell on her centennial birthday;
Whereas, Louella Kittell has resided throughout her long and energetic life in Franklin County, and
Whereas, although a native of Sheldon, Vermont, she has been a leading citizen of St. Albans City for over half a century, and
Whereas, after completing her own education at the University of Vermont, Louella Kittell remained in the classroom where she helped to polish the written expressive skills and enticed the literary appetites of thousands of youngsters during a 50-year career as an English teacher in Derby Line, North Calais and St. Albans City, and
Whereas, since retiring from the teaching profession, she has assumed the full-time responsibility of managing the Kittell Guest House where her family first greeted and boarded visitors in 1935, and
Whereas, the board of trustees of the First Congregational Church in St. Albans City is proudly honoring one of its most illustrious parishioners, by establishing the Louella Kittell Scholarship Fund to financially assist individuals, regardless of age, who are pursuing a career in the teaching profession, and
Whereas, in honor of this much beloved and sprightly young woman who has an optimistically forward looking perspective on life, Louella Kittell’s many friends are gathering to celebrate her life’s achievements on May 22, 1997, at Taylor Park in St. Albans City on the occasion of her centennial birthday, now therefore be it
Resolved by the House of Representatives:
That the members of this legislative body are pleased to extend very special 100th birthday wishes to Louella Kittell, and be it further
Resolved: That the Clerk of the House be directed to prepare a copy of this resolution for presentation to Louella Kittell at her 100th birthday celebrationin St. Albans City on May 22, 1997.
Which was read and adopted.
Joint Resolutions Adopted in Concurrence
The Speaker placed before the House the following Joint resolutions, which were read and adopted on the part of the House.
J.R.S. 49
Joint resolution, entitled
Joint resolution relating to thanking the Williston Historical Society for its gift of a bronze statue of Vermont’s first Governor, Thomas Chittenden, and directing the Joint Fiscal Committee to accept it on behalf of the State of Vermont;
J.R.S. 50
Joint resolution, entitled
Joint resolution relating to weekend adjournment.
Report of Committee of Conference Adopted;
Action Messaged to Senate and Delivered to Governor Forthwith
H. 57
The Speaker placed before the House the following Committee of Conference report:
To the Senate and House of Representatives:
The Committee of Conference to which were referred the disagreeing votes of the two Houses upon House bill, entitled
An act relating to health insurance for mental health and substance abuse disorders;
Respectfully report that they have met and considered the same and recommend that the House accede to the Senate’s proposal of amendment and that the bill be further amended In Sec. 2., by adding new subdivisions (3) and (4) to read as follows:
(3) When a health insurance plan offers choices for treatment of mentalhealth and substance abuse conditions as provided by 8 V.S.A. §4089b(d), an analysis and comparison of those choices in regard to level of access, choice and financial burden.
(4) Identification of any segments of the population of Vermont that may be excluded from access to treatment for mental health and substance abuse conditions at the level provided by this act, including an estimate of the number of Vermonters excluded from such access under health benefit plans offered or administered by employers who receive the majority of their annual revenues from contract, grants or other expenditures by state agencies.
Sen. Helen Riehle Rep. Ann D. Pugh
Sen. Cheryl Hooker Rep. Karen K. Steele
Sen. John Bloomer, Jr. Rep. Elaine Alfano
Committee on the Part of the Senate Committee on the Part of the House
Which was considered and adopted on the part of the House.
On motion of Rep. Freed of Dorset, the rules were suspended and action on the bill was ordered messaged to the Senate forthwith and the bill delivered to the Governor forthwith.
Report of Committee of Conference Adopted;
Action Messaged to Senate and Delivered to Governor Forthwith
H. 530
The Speaker placed before the House the following Committee of Conference report:
To the Senate and House of Representatives:
The Committee of Conference to which were referred the disagreeing votes of the two Houses upon House bill, entitled
An act relating to the state’s transportation capital program and project development plan;
Respectfully report that they have met and considered the same and recommend that the House accede to the second, fourth, fifth, eighth, ninth, tenth, thirteenth, eighteenth, and twentieth Senate proposals of amendment, that the Senate recede from its first, third, sixth, seventh, eleventh, twelfth, fourteenth, fifteenth, sixteenth, seventeenth and nineteenth proposals of amendment, and that the bill befurther amended as follows:
First: In Sec. 1, page 5, after line 4, by inserting the following:
(14) Transportation project Brighton (Island Pond Village) STP Bike (14)S (pedestrian bridge over St. Lawrence & Atlantic Railroad in Island Pond Village) is added to the development and evaluation portion of the bicycle and pedestrian program.
(15) Notwithstanding any other provision of law, for fiscal year 1997, $1,488,300.00 is appropriated from the transportation fund to the agency of transportation for the Milton transportation improvement project. The Milton project funds shall be used:
(A) to design a bridge over Arrowhead Mt. Lake; and
(B) to make necessary improvements to North Road.
Second: By striking Sec. 5(c) on page 6 and inserting in lieu thereof new subsections (c) and (d) to read as follows:
(c) Manual on uniform traffic control devices. The agency of transportation is directed to study the impact of the Federal Highway Administration’s "Manual on Uniform Traffic Control Devices" (MUTCD) on the state of Vermont, including the following: (1) references to the MUTCD in Vermont statutes; (2) the extent to which MUTCD compliance is required as a condition of receiving federal aid highway funds; (3) interpretation of the MUTCD by federal, state and local authorities; (4) the impact of the MUTCD on enforcement of speed limits, weight limits and other motor vehicle laws, regulations and ordinances; and (5) the impact of the MUTCD on the tort liability exposure of the state and municipalities. The agency of transportation shall report its findings, including any recommendations for changes in state law, to the house and senate committees on transportation by December 15, 1997.
(d) Traffic light at middle road. Because of extraordinary safety concerns and the necessity of complying with permit requirements in a timely manner, notwithstanding 23 V.S.A. § 1025, the agency of transportation is directed to permit the installation of a traffic light at the intersection of US 7 and Middle Road to accommodate the new Middlebury Union Junior High School.
Third: On page 7, by adding a new Sec. 6b to read:
Sec. 6b. US 4 RECONSTRUCTION
Notwithstanding 19 V.S.A. § 309a, should the town of Woodstock decide and notify the agency of transportation by July 1, 1997, not to proceed with the project to reconstruct the segment of US 4 that is a class 1 town highway, the agency of transportation shall pay 100 percent of the project costs incurred through the date it receives such notification from the town.
Fourth: On page 7, by adding a new Sec. 6c to read:
Sec. 6c. 19 V.S.A. § 2(f) is added to read:
(f) There shall be a section within the agency dedicated to assisting municipalities and regions in the development and implementation of locally managed transportation projects.
Fifth: By adding a new Sec. 19b to read:
* * * Relocation of AOT District #5 Maintenance Facility * * *
Sec. 19b. RELOCATION OF DISTRICT #5 MAINTENANCE FACILITY
The sum of $100,000.00 is appropriated from the transportation fund to the department of buildings and general services to be used to secure the services of a qualified consultant to assist in the development of site evaluations and conceptual plans needed for securing options and necessary permits for one or more sites for relocation of the agency of transportation district #5 maintenance facility now located at Fort Ethan Allen. The criteria for identifying an appropriate site or sites shall include the need to minimize time lost while equipment and employees move to and return from work sites throughout the district. The department of buildings and general services shall take steps toward securing the appropriate option for a site or sites, and report the results to the house and senate committees on transportation by January 15, 1998.
Sixth: By adding a new Sec. 19c to read:
* * * Vermont Design Standards; Rulemaking * * *
Sec. 19c. VERMONT DESIGN STANDARDS; RULEMAKING
The agency of transportation, following the procedures set forth in the Administrative Procedure Act, 3 V.S.A. chapter 25, shall proceed with adoption of the proposed "Vermont State Standards for the Design of Transportation Construction, Reconstruction and Rehabilitation on Freeways, Roads and Streets" as formal agency rules.
Seventh: By adding a new Sec. 19g to read:
Sec. 19g. INTERSTATE 89 INFORMATION CENTERS; REST AREAS AND WELCOME CENTERS
(a) For fiscal year 1998, the commissioner of the department of buildings and general services is directed to:
(1) commence to take the necessary steps to pipe the sewage from the Georgia and Fairfax rest areas to the sewage treatment facility in St. Albans; and
(2) prior to reopening the Georgia rest area, have an agreement with the local chamber of commerce to help staff the Georgia and Fairfax facilities. The commissioner shall report to the chairs of the Senate and House committees on transportation by January 15, 1998, on this project.
(b) The commissioner of the department of buildings and general services is authorized to enter into agreements with local information service providers which would allow those providers to offer local and regional tourist information under guidelines established by the commissioner.
(c) The commissioner of the department of buildings and general services is authorized to enter into agreements with, and grant funds to, local or regional chambers of commerce, or both, to provide staffing and operations of state-owned welcome centers, rest areas and information centers under guidelines established and enforced by the commissioner.
Which was considered and adopted on the part of the House.
Sen. Richard Mazza Rep. Richard Pembroke
Sen. Robert Ide Rep. Matt Dunne
Sen. Cheryl Rivers Rep. William Aswad
Committee on the Part of the Senate Committee on the Part of the House
On motion of Rep. Freed of Dorset, the rules were suspended and action on the bill was ordered messaged to the Senate forthwith and the bill delivered to the Governor forthwith.
Senate Proposal of Amendment Not Concurred in;
Committee of Conference Requested and Appointed
and Messaged to Senate Forthwith
H. 208
The Senate proposes to the House to amend House bill, entitled
An act relating to child support;
First: By striking out Sec. 6 in its entirety and inserting in lieu thereof a new Sec. 6 to read as follows:
Sec. 6. 15 V.S.A. § 606(b) is amended to read:
(b) Any support payment or installment shall become a judgment on the date it becomes due*[ for the purpose of calculating interest]*.
Second: By adding a new Sec. 6a to read as follows:
Sec. 6a. 15 V.S.A. § 656(e) is added to read:
(e) Incarcerated person. A noncustodial parent incarcerated within the confines of a correctional facility or prohibited from being employed by a condition imposed by court order or by the department of corrections for a continuous period of greater than one month shall have his or her income calculated on the basis of the person’s change in income as a result of the incarceration.
Third: In Sec. 7, § 658(d) of 15 V.S.A., by striking out the first and second sentences and inserting in lieu thereof the following:
The family court judge or magistrate may order a noncustodial parent who is in default of a child support order or a custodial parent who is unemployed or underemployed, to participate in employment, educational, or training related activities if the court finds that participation in such activities would assist in addressing the causes of the default, unemployment or underemployment. The court may also order *[the]* either parent to participate in substance abuse or other counseling if the court finds that such counseling may assist the parent to achieve stable employment.
and at the end of the section by inserting the following:
No court order concerning work requirements under this section shall be made for any custodial parent participating in the Aid to Needy Families with Children program prior to termination of the welfare restructuring demonstration project on June 30, 2001.
Fourth: By adding a new Sec. 7a to read as follows:
Sec. 7a. 15 V.S.A. § 659(a)(11) is added to read:
(11) The household expenses actually incurred by the noncustodial parent and custodial parent, after taking into consideration contributions from other members of the household.
Fifth: By striking out Sec. 9 in its entirety and inserting a new Sec. 9 to read as follows:
Sec. 9. 15 V.S.A. § 781 is amended to read:
§ 781. WITHHOLDING WAGES UPON ISSUANCE OR MODIFICATION OF SUPPORT ORDER AFTER JULY 1, 1990
*[(a)]* All orders for child support made or modified on or after July 1, 1990 shall include an order for immediate wage withholding in an amount equal to the support obligation and any obligation to pay support arrearages, unless the court finds good cause not to order immediate wage withholding or the parties have entered into an alternative arrangement by written agreement which is affirmatively stated in the order. In determining good cause, the court may consider a history of financial responsibility toward the family and the absence of any threat by the obligor to withhold financial support from the family.
*[(b) If the court does not include an order for immediate wage withholding, the court shall order wage withholding to take effect under the expedited procedure set out in section 782 of this title.]*
Sixth: In Sec. 10, 15 V.S.A. § 782(f), by striking out the following:
or if any amount due has been 14 or more days late on three or more occasions within a calendar year
Seventh: By adding a new Sec. 10a to read as follows:
Sec. 10a. 15 V.S.A. § 782(g) is added to read:
(g) The office of child support shall hold any payments received from an employer in escrow unless:
(1) the obligor agrees the withholding is proper;
(2) the obligor has not contested the withholding within 20 days of the notice sent pursuant to subsection (f) of this section; or
(3) any timely contest to the withholding has concluded.
Eighth: In Sec. 13, 15 V.S.A. § 789, in subsection (g), after the words "tocontest the withholding" by inserting the following: pursuant to 33 V.S.A. § 4108
Ninth: In Sec. 14, 15 V.S.A. § 791(a), in subdivision (3), at the end of the first sentence after the words "challenging the lien" and before the period, by inserting the following: pursuant to 33 V.S.A. § 4108
Tenth: By adding a new Sec. 14a to read as follows:
Sec. 14a. 15 V.S.A. § 791(h) is added to read:
(h) This state shall accord full faith and credit to liens that arise in another state, where the proceedings are substantially similar to the proceedings in this state, for overdue support owed by a noncustodial parent who resides or owns property in this state when such liens are recorded in accordance with the procedure in subdivision (a)(3) of this section.
Eleventh: By striking out Sec. 15 in its entirety and inserting in lieu thereof a new Sec. 15 to read as follows:
Sec. 15. 15 V.S.A. § 793 is amended to read:
§ 793. CREDIT REPORTING
(a) Information regarding the amount of arrearages owed by an obligor may be made available by the office of child support to any consumer credit bureau organization upon the request of the organization, only if the amount of the arrearages is at least *[$1,000.00]* one-quarter of the annual support obligation and the office of child support has notified the obligor by first class mail or other means likely to give actual notice *[has been notified]* of the proposed action and given a period not to exceed 20 days to contest the accuracy of the information with the office of child support. In computing the amount of an arrearage, any arrearage accumulated after a motion to modify has been filed shall not be included.
(b) *[At such time as the obligor has reduced the amount of arrearages to less than $1,000.00 or is in full compliance with a repayment plan approved by the office of child support or agreed to by the parties, the]* The office of child support shall immediately notify each credit bureau organization to which information has been furnished of any increases or decreases in the account balance.
Twelfth: In Sec. 16, 15 V.S.A. § 795, in subsection (b), in the first sentence, after the words "Every applicant for a license" by inserting the following: ,except a license to hunt, fish, or trap,
Thirteenth: By adding a new Sec. 17a to read as follows:
Sec. 17a. 15 V.S.A. § 799 is added to read:
§ 799. TRUSTEE PROCESS
(a) As used in this section, "trustee" means any person, institution, or entity, holding any money, personal property or real property which belongs to or is owed to the obligor, including judgments, settlements, lotteries, funds held in financial institutions, and any voluntary contributions to public and private retirement funds.
(b) Upon noncompliance with a child support order, the office of child support may, under this section, seek to attach assets owned by an obligor and held by a trustee if a child support delinquency in excess of one-quarter of the annual support obligation exists. Prior to attaching assets held by a trustee, the office of child support shall notify the obligor of the delinquency and provide the obligor with an opportunity to contest the claimed delinquency pursuant to 33 V.S.A. § 4108. If, after notification, the obligor fails to contest the claimed delinquency, or upon a determination of a delinquency by the office of child support after an administrative hearing, the office of child support may issue a notice to a trustee as provided in subsection (c) of this section.
(c) After the office of child support has provided the obligor notice, an opportunity to contest the claim, and upon a determination of nonpayment of child support equal to or greater than one-quarter of the annual support obligation, the office of child support may issue one or more notices to the trustee. The sum of the amounts for which the goods, effects or credits of the obligor are attached on trustee process shall not exceed the amount determined to be delinquent under subsection (b) of this section. The office of child support shall also serve on the trustee and the obligor a disclosure form and list of exemptions. If at any time the office finds the outstanding arrearage has been satisfied in whole or in part, the office shall cancel any notice which is outstanding or reduce the amounts for which the goods, effects or credits of the obligor are attached so the sum of all amounts does not exceed the amount that remains unsatisfied. The office shall promptly notify the trustee of the change.
(d) In the event the obligor or other aggrieved person contests the notice to the trustee pursuant to 33 V.S.A. § 4108 or appeals the proposed action to the family court within 20 days of the notice and is found not to be in arrears by more than one-quarter of the annual support obligation on the date the notice to the trustee issued or the obligor or other aggrieved person is determined not to be a delinquent obligor, the office, within two business days, shall notify the trustee to release the assets to the obligor. In addition, the office shall pay to the obligor orother aggrieved person the sum of $500.00.
(e) Upon receipt of a notice, the trustee shall secure and hold the assets in its possession up to the amount specified in the notice. Upon the expiration of 20 days of receiving a notice under subsection (c) of this section, the trustee shall either tender to the office of child support the assets of the obligor in its possession or serve a disclosure under oath to the office of child support indicating any reason for not tendering the property as directed in the notice. If the trustee fails or refuses to tender the property as directed, the office of child support may file an action with the family court to determine the trustee’s liability, if any.
(f) Any trustee who improperly fails to secure and forward assets as directed shall be liable to the obligee in the amount specified in the notice to the trustee. A trustee shall not be liable to the obligor for honoring in good faith a notice issued by the office of child support.
(g) Upon notifying a trustee to attach voluntary retirement funds, the office shall give the obligor an opportunity to have the attachment removed by making alternate payment arrangements satisfactory to the office within 30 days of issuance of the notice.
Fourteenth: By adding a new Sec. 19a to read as follows:
Sec. 19a. 21 V.S.A. § 1314(e)(5)(A) is amended to read:
(5)(A) The department of employment and training shall disclose*[, upon request,]* to officers or employees of the Federal Parent Locator Service (FPLS) or National New Hire Directory any employment, wage and unemployment compensation claim information which is contained in its records *[with respect to an identified individual]* useful in locating an absent parent or the parent's employer for purposes of administering the child support enforcement provisions of Title IV of the Social Security Act.
Fifteenth: By adding a new Sec. 19b to read as follows:
Sec. 19b. 23 V.S.A. § 2001(7) is amended to read:
(7) "Security interest" means an interest in a vehicle reserved or created by agreement and which secures payment or performance of an obligation. The term includes the interest of a lessor under a lease intended as security. The term also includes a nonpossessory attachment issued by a court of competent jurisdiction within this state. The term also includes liens obtained by the commissioner of taxes pursuant to the provisions of Title 32. Notwithstanding subdivision 2041(2)of this title, the term also includes arrearage liens obtained by the office of child support pursuant to the provisions of Title 15. A security interest is "perfected" when it is valid against third parties generally, subject only to specific statutory exceptions.
Sixteenth: By striking out Sec. 22 in its entirety and inserting in lieu thereof a new Sec. 22 to read as follows:
Sec. 22. 33 V.S.A. § 115 is added to read:
§ 115. ACCESS TO FINANCIAL RECORDS OF DEPOSIT ACCOUNTS OF INDIVIDUALS WHO OWE OVERDUE CHILD SUPPORT
(a) As used in this section:
(1) "Depositor" means an owner of an account in a financial institution and includes "share account holders" of credit unions.
(2) "Financial institution" means a trust company, savings bank, industrial bank, commercial bank, savings and loan association or credit union organized under the laws of this state or authorized to do business in this state.
(3) "Match" means an automated comparison by name, Social Security number, and, if available, date of birth of a list of obligors provided to a financial institution by the office and a list of depositors of a financial institution.
(4) "Obligor" means a person who owes child support.
(5) "Office" means the office of child support.
(6) "Overdue support" means a debt of one-quarter of the annual support obligation or more for maintenance and support of a child or children and the obligor had prior notice of the debt and a prior opportunity to contest the amount owed. "Overdue support" includes spousal support or alimony being collected in conjunction with child support.
(b) Upon written request from the director of the office of child support and provided the institution has the technological capacity to perform a match, a financial institution shall perform a match of obligors who owe overdue child support. The office shall make its computerized information necessary for a match available in a form that is compatible with the technology used by the financial institution that will perform the search. A financial institution shall not be required to perform a match under this section more often than once every quarter.
(c) After completing a match requested under subsection (b) of this section, a financial institution shall notify the office of child support. The notification shall contain the following information, if available, to the financial institution through its matching procedure, for each account identified:
(1) The full name, date of birth, and address of the obligor.
(2) The Social Security number of the obligor.
(3) The obligor’s account number.
(4) The amount of deposits contained in the obligor’s account.
(d) A financial institution shall send a match list compiled under this section to the office at the address designated by the office.
(e) The financial institution shall not provide notice in any form to a depositor contained in a match list submitted to the office under subsection (d) of this section. Failure to provide notice to a depositor shall not constitute a violation of the financial institution’s duty of good faith to its customers.
(f) A financial institution may charge the office a fee for services provided under this section; provided that the fee shall not exceed the actual costs incurred by the financial institution.
(g) The information provided by the office to a financial institution under this section shall be confidential and shall be used only for the purpose of carrying out the requirements of this section.
Seventeenth: By striking out Sec. 25 in its entirety and inserting in lieu thereof a new Sec. 25 to read as follows:
Sec. 25. 33 V.S.A. § 4106(a) is amended to read:
(a) When an assignment of the right to support is in effect pursuant to section 3902 of Title 33 or pursuant to this section, or when payments are being made through the registry, the custodial parent shall be considered to have appointed the director of the office of child support as his or her attorney in fact to perform the specific act of endorsing over to the registry all drafts, checks, money orders, or other negotiable instruments for support of the child or to transfer any payments received by the registry to the registry of another state after a written request is received from the obligee or the other state on behalf of the obligee or under an assignment of rights.
Eighteenth: By striking out Sec. 27 in its entirety and inserting in lieu thereof a new Sec. 27 to read as follows:
Sec. 27. 33 V.S.A. § 4108 is amended to read:
§ 4108. GRIEVANCE PROCEDURE
(a) The office of child support shall adopt rules in accordance with the procedures set forth in chapter 25 of Title 3, the Administrative Procedure Act, to establish and implement a grievance procedure to contest decisions of the office of child support.
(b) The office of child support shall make widely available to the public information about its grievance procedure, including grievance forms, pamphlets explaining the procedure, and explanations of grievance rights.
(c) Upon issuing a wage withholding order, the office of child support shall notify the obligor pursuant to section 788 of Title 15 of the amount of the past due child support, the consequences of failing to meet a court ordered child support obligation, and the procedure for contesting the office’s claim under this section. If the obligor does not contest the notice within 20 days, the office may retain any wages held in escrow pursuant to section 782(g) of Title 15.
(d) All final decisions of the office of child support are appealable de novo to the family court magistrate.
(e) If the obligor contests the withholding within 20 days of the notice and is found not to be in arrears by more than two-twelfths of the annual support obligation on the date the notice is issued, the office, within two business days, shall return to the obligor the wages held in escrow pursuant to section 782(g) of Title 15 and notify the employer to cease withholding. In addition, the office shall pay to the obligor three times the amount erroneously withheld.
Nineteenth: In Sec. 28, § 4110(b) of Title 33, in subdivision (4), after the words "to be withheld" and before the period, by inserting the following: but not more than $500.00
Twentieth: By adding a new Sec. 29 to read as follows:
Sec. 29. 10 V.S.A. § 4254(e)(10) is added to read:
(10) That each sporting license application prepared by the department shall clearly state that providing the applicant’s Social Security number on the application is voluntary.
Twenty first: By striking out Sec. 30 (Effective Date) in its entirety
Twenty-second: By adding a new Sec. 30 to read:
Sec. 30. JOINT COMMITTEE TO STUDY THE STATUS OF PARENTS AND CHILDREN AFTER DIVORCE
(a) A joint legislative committee to study the status of parents and children after divorce and related domestic relations issues is created. It shall consist of four members of the Senate, appointed by the Committee on Committees and four members of the House, appointed by the Speaker of the House.
(b) The committee shall inquire into issues related to:
(1) CHILD SUPPORT. How child support guidelines are developed, maintained, and used, whether or not the existing law and practice are practical, realistic, enforceable, in the best interests of the children, and duly respectful of the relationship between parents and their children.
(2) PARENT-CHILD CONTACT. Whether adequate parent-child contact is provided for by family court decrees, whether parent-child contact rights are adequately protected, and whether existing legal remedies for violation of such rights in fact result in relief for parents and children who believe their rights have been violated.
(3) CHILD SUPPORT OMBUDSPERSON. The establishment of an office of ombudsperson to deal with child support and other domestic relations issues.
(4) PARENTAL RIGHTS AND RESPONSIBILITIES. Whether current law and practice are in the best interests of children and whether current law and practice are conducive to the rights and well-being of both parents.
(5) OTHER DOMESTIC RELATIONS ISSUES. Other domestic relations issues relating to parents and children after divorce.
(c) The committee may request and shall receive assistance from any public or private agency in order to carry out its responsibilities under this section.
(d) The members of the committee shall be entitled to reimbursement of expenses and compensation for services as provided in 2 V.S.A. § 406 for eight meetings and shall have the assistance of the staff of the legislative council.
(e) The committee shall prepare appropriate legislation to implement any proposal recommended by the committee.
(f) The committee’s report shall consist of draft legislation that it deems necessary to implement any recommendation by the committee. The committee shall submit its report to the General Assembly on January 15, 1998.
And by renumbering the sections of the bill to be numerically correct.
Pending the question, Will the House concur in the Senate proposal of amendment? Rep. Little of Shelburne moved that the House refuse to concur and ask for a Committee of Conference, which was agreed to, and the Speaker appointed as members of the Committee of Conference on the part of the House:
Rep. Little of Shelburne
Rep. Costello of Brattleboro
Rep. Voyer of Morristown
On motion of Rep. Freed of Dorset, the rules were suspended and the bill was ordered messaged to the Senate forthwith.
Senate Proposal of Amendment Not Concurred in;
Committee of Conference Requested and Appointed
and Messaged to Senate Forthwith
H. 492
The Senate proposes to the House to amend House bill, entitled
An act relating to sewage plant inspections, phosphorus discharges, and septage treatment at wastewater treatment plants;
By striking out Secs 1 through 3 in their entirety and by renumbering the remaining section of the bill to be numerically correct.
The Senate further proposes to the House to amend the title to read as follows:
AN ACT RELATING TO MUNICIPAL ORDINANCES PERTAINING TO SEWAGE SYSTEMS.
Pending the question, Will the House concur in the Senate proposal of amendment? Rep. Rose of Williston moved that the House refuse to concur and ask for a Committee of Conference, which was agreed to, and the Speaker appointed as members of the Committee of Conference on the part of the House:
Rep. Coleman of Londonderry
Rep. Deen of Westminster
Rep. Rose of Williston
On motion of Rep. Freed of Dorset, the rules were suspended and the bill was ordered messaged to the Senate forthwith.
Proposal of Amendment Agreed to; Third Reading Ordered
S. 189
Rep. Bohi of Hartford, for the Committee on Local Government, to which had been referred Senate bill, entitled
An act relating to voter registration;
Reported in favor of its passage in concurrence with proposal of amendment as follows:
First: In Sec. 1, on page 2, by striking lines 1 and 2 and inserting in lieu thereof the following:
local agencies designated by the secretary may include: the departments of taxes and unemployment
Second: In Sec. 4, on page 6, line 15, after the word "title" by inserting the following: and space for the applicant to provide the information necessary for the board of civil authority to determine eligibility, including the applicant’s town of residence, street address and, if the applicant’s mailing address is different from his or her street address, the mailing address
Third: In Sec. 4, on page 7, by striking lines 10 and 11 and inserting the following: (b) Except for forms included as part of a department of motor vehicle license application, the registration application form shall be in four copies. One copy shall be retained by the applicant; three copies shall be forwarded to the town clerk. In the case of applications received at voter registration agencies, three copies shall be forwarded to the secretary of state who shall forward the copies to the town clerk of the applicant’s town of residence. In the case of forms included as part of a department of motor vehicle license application, the form shall be a one-part form which shall be forwarded to the secretary of state who shall forward the form to the town clerk of the applicant’s town of residence.
Fourth: In Sec. 5, on page 9, line 18, after the word "title" by inserting thefollowing: for a primary or general election
Fifth: In Sec. 6, on page 10, line 12, after the word "title" by inserting the following: for a primary or general election
Sixth: In Sec. 6, on page 10, by striking lines 19 through 21 and inserting in lieu thereof the following: forms, unless the applicant refuses such assistance. If an agency provides services to a person with a disability at the person’s home, the agency shall provide the services described in subsection (a) of this section at the person’s home.
Seventh: In Sec. 8, on page 12, by striking line 20 and inserting in lieu thereof the following: area covered by a different polling place within the same municipality, the voter shall,
Eight: In Sec. 9, on page 13, by striking line 20 and inserting in lieu thereof the following: completed at least 90 days before an election.
Ninth: Sec. 9, on page 18, line 1, by striking the following: "and (C)" and inserting in lieu thereof the following: (C) the total number of new registrations occurring during the period between general elections, (D) the total number of persons removed from the checklist during the period between the general election, and (E)
Tenth: In Sec. 11, on page 19, line 7 by striking the word "terms" and inserting in lieu thereof the following: term
Eleventh: By adding a new Sec. 12 to read:
Sec. 12. INFORMATIONAL PAMPHLET
The secretary of state shall prepare an informational pamphlet which clearly explains the procedures and requirements for voter registration and purging of checklists imposed by this act. The secretary shall distribute this pamphlet to department of motor vehicles agencies, voter registration agencies and town clerks.
The bill, having appeared on the Calendar one day for notice, was taken up, read the second time, report of the Committee on Local Government agreed to and third reading ordered.
Proposal of Amendment Agreed to; Third Reading Ordered
S. 73
Rep. Winters of Williamstown, for the Committee on Agriculture, to which had been referred Senate bill, entitled
An act relating to rbST labeling;
Reported in favor of its passage in concurrence with proposal of amendment by striking all after the enacting clause and inserting in lieu thereof the following:
Sec. 1. 6 V.S.A. chapter 151, subchapter 5 is added to read:
Subchapter 5. rbST Labeling
§ 2760. SUBSTANTIAL STATE INTEREST
(a) Role of state government. The Vermont general assembly finds, as does the U.S. Food and Drug Administration, that the states under our federal system of government have traditionally undertaken the role of overseeing milk production. The Vermont general assembly also finds that the intent of the U.S. Food and Drug Administration is to rely primarily on state governments to validate rbST labeling claims regarding milk and dairy products and to ensure that such claims are truthful and not misleading.
(b) State policy. It is the policy of this state:
(1) that Vermont citizens should have an opportunity to choose to consume milk or dairy products which have not had rbST used in their production ("rbST-free"), based on truthful and nonmisleading product labeling;
(2) that Vermont dairy product manufacturers who want to test the market in Vermont and out-of-state for rbST-free products should be able to do so, based on a state sanctioned process for certifying rbST-free labeling claims;
(3) that the economic health and vitality of the Vermont dairy industry is critical to the health of the overall Vermont economy, which depends in part on the high reputation of Vermont farmers and their dairy products, and the associated good will toward other Vermont enterprises, and that this economic asset should not be jeopardized by consumer doubts about the integrity of Vermont milk or dairy products caused by false, misleading or unverifiable rbST-free labeling claims; and
(4) to support the right of Vermont dairy farmers to choose to use rbST, and of rbST manufacturers and suppliers to sell their product to Vermont dairy farmers.
(c) Substantial state interest. Therefore, the Vermont general assembly:
(1) finds a substantial state interest in ensuring the availability of milk and dairy product labeling information that is accurate and nonmisleading, and in which Vermont and out-of-state consumers can place their confidence; and
(2) seeks to serve this interest through this subchapter by:
(A) authorizing a program of voluntary labeling of milk and dairy products which have not had rbST used in their production; and
(B) providing for the verification of claims that rbST has not been used in the production of milk or dairy products offered for sale in Vermont; but
(C) without unduly intruding into the businesses of Vermont dairy farmers who choose to use rbST, or of rbST manufacturers or suppliers who choose to sell their product to Vermont dairy farmers.
§ 2761. DEFINITIONS
For the purpose of this subchapter:
(1) "Commissioner" means the commissioner of agriculture, food and markets.
(2) "Milk and dairy products" means cow’s milk as defined by section 2672 of this title, and butter, cheese, cream, buttermilk, powdered milk, infant formula, ice cream, yogurt, and other dairy products identified by rule by the commissioner.
(3) "Milk handler" or "handler" means the collector and transporter of milk and the processor or manufacturer of milk or dairy products for sale within or without the state of Vermont, and as otherwise defined by section 2672 of this title.
(4) "Milk producer" or "producer" means the party who owns or controls one or more cows and offers for sale the milk produced by the cows, and as otherwise defined by section 2672 of this title.
(5) "rbST" means recombinant bovine somatotropin, a recombinant bovine growth hormone used with lactating dairy cows to increase the production of marketable milk, which is also known as rbGH.
§ 2762. PRODUCER AFFIDAVIT; VOLUNTARY LABELING
(a) Labeling. A milk handler may claim in the label on a container or package of milk or of a dairy product offered for retail sale in Vermont, or in a written display at the point of sale of such milk or dairy product, that the milk or dairy product is derived from cows not treated with rbST, provided that:
(1) Producer affidavit. Each milk producer supplying the handler with milk to be so identified shall, by affidavit, notify the handler that milk sold to the handler is from cows which are not, and have not been within 90 days prior to the notification, treated with rbST, and swears that he or she will notify his or her handler at least 90 days before using rbST in the production of milk by such cows.
(2) Handler affidavit. The milk handler shall, by affidavit, notify the commissioner of the handler’s practices adopted to assure that milk from cows not treated with rbST is kept separate from other milk throughout the collection, transportation and processing steps until the finished milk or dairy product is in final packaged form in a labeled container, and swears that he or she will notify the commissioner at least 90 days before ceasing use of such practices.
(3) Context statement. The label or point of sale display shall contain a clear and conspicuous statement such as, "the U.S. Food and Drug Administration has not found a significant difference to exist between milk derived from rbST-treated and non-rbST-treated cows", or such other truthful and nonmisleading statement conveying reasons, other than safety and quality, for choosing to use milk or dairy products which have not had rbST used in their production.
(4) Advertisement; point of sale display. A handler whose affidavit claims:
(A) That all milk or dairy products marketed under a given brand name are derived from cows not treated with rbST, may state in an advertisement or in a point of sale display that the entire line of milk or dairy products with this brand name is derived from cows not treated with rbST.
(B) That some milk or dairy products marketed under a given brand name are derived from cows not treated with rbST, but makes no such claim regarding other milk or dairy products with this brand name, shall in any advertisement of rbST free milk or dairy product, or in a point of sale display, identify the specific milk or dairy product or products with this brand name derived from cows not treated with rbST.
(b) Inspection. The commissioner may conduct random inspections of dairyfarm operations to determine whether evidence exists that rbST is or has been used in the production of milk, which may include inspection of a milking herd, historical milk production records, or medicine storage places. If an inspection finds evidence contradicting the claim of a producer made under subsection (a) of this section, the commissioner shall immediately so notify the attorney general and the handler concerned.
(c) Fee. A milk handler shall pay the commissioner a fee of $50.00 when initially notifying the commissioner pursuant to subsection (a) of this section and annually thereafter until ceasing use of the practices therein prescribed.
§ 2763. COMMISSIONER’S VERIFICATION
(a) The commissioner is authorized to investigate when he or she deems appropriate, and the commissioner shall at least annually review, the business operations of any milk handler who claims pursuant to this subchapter that rbST has not been used in the production of milk or dairy products offered for retail sale in Vermont, for the purpose of verifying such claims. An investigation or an annual review may be made, if the commissioner deems appropriate, of claims of non-rbST use in the production in other states or countries of milk or dairy products offered for retail sale in Vermont, pursuant to section 2768 of this title.
(1) An investigation or a review may include the examination of a milk handler's collection, transportation, processing or manufacturing equipment, methods and historical records, including records of milk pickups and deliveries.
(2) An investigation or a review may be conducted by employees of the commissioner or by consultants under contract with the commissioner for this purpose.
(b) The commissioner may annually prepare a list of each milk handler, and of each milk or dairy product of the handler concerned, whose claim pursuant to section 2762 of this title has been validated. The list shall be available to the public upon request.
(c) If the commissioner determines that the claims of a milk handler pursuant to section 2762 of this title cannot be verified, the commissioner shall immediately so notify the attorney general and the handler concerned.
§ 2764. ENFORCEMENT; PENALTY
(a) A violation under this subchapter may give rise to a civil enforcement action under chapter 63 of Title 9, an administrative action under section 15(a)(10) ofTitle 6, or a false claim action under section 3016 of Title 13.
(b) The commissioner may seek search warrants and accept assurances of discontinuance under sections 12 and 13 of Title 6, or may suspend or revoke the license issued to a milk handler under this title who violates this subchapter.
§ 2765. MILK PURCHASE REFUSAL
If the attorney general commences an enforcement action against a milk producer for a false affirmation, claim or affidavit pursuant to this subchapter, the charge shall be a matter of public record, and a handler purchasing milk from the producer may immediately refuse to purchase and accept milk from that producer, notwithstanding the provisions of section 2752 of this title.
§ 2766. CONFIDENTIALITY
Any identifying information contained in any reports, records or other record of information regardless of format in which it is created and maintained obtained by the commissioner, the attorney general or a handler pursuant to this subchapter shall be kept confidential and shall not be disclosed to any person, except:
(1) as necessary to enable enforcement of this subchapter;
(2) as provided by section 2765 of this title; and
(3) to enable the commissioner to perform his or her duties under this subchapter, which may include preparation of public information and public reports on the provisions of this subchapter and its implementation provided that such information and reports are presented in a form which does not disclose the identity of individual persons or individual milk producers about whose activities or products are the subject of the information.
§ 2767. rbST SPECIAL FUND
Fees imposed by this subchapter shall be deposited in a rbST special fund created for use by the commissioner in administering this subchapter. The fund shall be subject to the provisions of subchapter 5 of chapter 7 of Title 32.
§ 2768. RECIPROCITY
A person may offer for retail sale in this state milk and dairy products from other states and countries, the label of which displays the claim that rbST has not been used in the production of the milk or dairy products, if the milk or dairy products are identified by the commissioner:
(1) as from a state or country which has a law comparable to this subchapter and the milk or dairy products are labeled in compliance with the law of that state or country; or employs other methods administered by the state or country acceptable to the commissioner for verifying claims that rbST has not been used in milk production and processing;
(2) is provided by a handler which employs a method acceptable to the commissioner for verifying claims that rbST has not been used in milk production and processing; or
(3) is from a state or country with a law or laws precluding the use of rbST in the production of milk.
§ 2769. RULES
The commissioner may adopt rules to implement this subchapter.
Sec. 2. EFFECTIVE DATE
This act shall take effect on July 1, 1997, except that the milk handler labeling requirements of section 2762 of Title 6 provided in Sec. 1 of this act shall take effect on January 1, 1998. However, nothing in this act shall prevent a milk handler before January 1, 1998 from labeling and advertising its milk or dairy products as derived from cows not treated with rbST.
Rep. Freidin of New Haven, for the Committee on Ways and Means, reported that the House Committee on Agriculture proposal of amendment be amended as follows:
First: In Sec. 1, statutory section 2760 of Title 6, subsection (b), subdivision (2), by striking subdivision (2) in its entirety and inserting in lieu thereof a new subdivision (2) as follows:
(2) that Vermont dairy product manufacturers who want to sell rbST-free products in Vermont or out-of-state should be able to do so, based on a state sanctioned process certifying rbST-free labeling claims;
Second: In Sec. 1, statutory section 2762 of Title 6, subsection (c), by striking subsection (c) in its entirety
Third: In Sec. 1, statutory section 2767 of Title 6, by striking section 2767 in its entirety, and renumbering the remaining statutory sections to be numerically correct
Thereupon, the bill was read the second time and the reports of the committees on Agriculture and Ways and Means agreed to and third reading ordered.
Proposal of Amendment Agreed to; Third Reading Ordered
S. 165
Rep. Schiavone of Shelburne, for the Committee on Transportation, to which had been referred Senate bill, entitled
An act relating to over dimension truck permits;
Reported in favor of its passage in concurrence with proposal of amendment as follows:
First: In Sec. 2, statutory § 1402(f) of 23 V.S.A., by adding before the period in the first sentence the following: "but does not exceed 75 feet" and by adding a new sentence at the end of the subsection to read as follows: The report shall also contain a list of those permittees who have been fined for third offenses under section 1434(a) and (b) of this title.
Second: In Sec. 5, statutory § 1434(b) of 23 V.S.A. by striking the figure "$300.00" and by inserting in lieu thereof the figure "$150.00" and by striking the figure "$600.00" and by inserting in lieu thereof the figure "$300.00"
Rep. Perry of Richford for the committee on Ways and Means, reported that they have considered the same and recommend that the bill ought to pass in concurrence when amended as recommended by the committee on Transportation.
Thereupon, the bill was read the second time and the reports of the committees on Transportation and Ways and Means agreed to and third reading ordered.
Bill Ordered to Lie
H. 419
House bill, entitled
An act relating to sales of farm equipment and trade areas;
Was taken up and pending reading of the committee report, on motion of Rep. Sinnott of Bennington, the bill was ordered to lie.
Recess
At twelve o’clock noon , the Speaker declared a recess until one o’clock andthirty minutes in the afternoon.
Afternoon
At one o’clock and forty minutes in the afternoon, the Speaker called the House to order.
House Resolution Adopted
H.R. 18
Rep. Palmer of Pownal, for the Committee on Appropriations, to which had been referred House resolution, entitled
House resolution authorizing the House Committee on Judiciary to meet during the 1997 interim to construct legislative proposals to address the issues associated with impaired driving on Vermont’s highways;
Reported in favor of its passage when amended as follows:
In the first resolved clause by striking the figure "12" and inserting in lieu thereof the figure 6
Thereupon, Rep. Palmer of Pownal asked leave to withdraw the report of the committee on Appropriations.
Pending the question, Shall the House grant Rep. Palmer of Pownal leave to withdraw the report of the committee on Appropriations? Rep. Fox of Essex demanded the Yeas and Nays, which demand was sustained by the Constitutional number. The Clerk proceeded to call the roll and the question, Shall the House grant Rep. Palmer of Pownal leave to withdraw the report of the committee on Appropriations? was decided in the affirmative. Yeas, 88. Nays, 52.
Those who voted in the affirmative are:
Alberico of Rutland City
Alfano of Calais
Allard of St. Albans Town
Aswad of Burlington
Bjerke of Burlington
Blanchard of Essex
Bohi of Hartford
Brady of Bennington
Bristol of Brattleboro
Brooks of Montpelier
Buchdahl of Georgia
Campbell of Rockingham
Carmolli of Rutland City
Casavant of Winooski
Cillo of Hardwick
Coleman of Londonderry
Corren of Burlington
Costello of Brattleboro
Darrow of Newfane
Darrow of Dummerston
Deen of Westminster
Deuel of West Rutland
Doyle of Richmond
Dunne of Hartland
Edwards of Swanton
Emmons of Springfield
Flaherty of South Burlington
Fox of Essex
Freidin of New Haven
Gretkowski of Burlington
Heath of Westford
Howard of Rutland Town
Howrigan of Fairfield
Hummel of Underhill
Keenan of St. Albans City
Kehler of Pomfret
Kenyon of Bradford
Kitzmiller of Montpelier
Klopchin of Clarendon
Koch of Barre Town
Krasnow of Charlotte
Kreitzer of Rutland City
Kristensen of Guilford
Lafayette of Burlington
Lindgren of Springfield
Lippert of Hinesburg
Little of Shelburne
Mackinnon of Sharon
Maslack of Poultney
Mazzariello of Rutland City
McNamara of Burlington
Miller of Shaftsbury
Moore of Rutland City
Murphy of Ludlow
Nuovo of Middlebury
Osman of Plainfield
Palmer of Pownal
Paquin of Fairfax
Parizo of Essex
Pembroke of Bennington
Perry of Richford
Poirier of Barre City
Pugh of South Burlington
Rose of Williston
Rusten of Halifax
Scribner of Middlesex
Seibert of Norwich
Sinnott of Bennington
Smith of Sudbury
Snyder of Pittsford
Starr of Troy
Steele of Waterbury
Sullivan of Burlington
Sweaney of Windsor
Symington of Jericho
Tracy of Burlington
Valsangiacomo of Barre City
Vincent of Waterbury
Vinton of Colchester
Voyer of Morristown
Waite of Pawlet
Walker of Brownington
Weiss of Northfield
Westman of Cambridge
Wisell of Bristol
Woodward of Johnson
Yarnell of Colchester
Zuckerman of Burlington
Those who voted in the negative are:
Angell of Randolph
Baker of Randolph
Barbieri of Wallingford
Barney of Highgate
Bourdeau of Hyde Park
Bouricius of Burlington
Brunelle of Winooski
Buckland of Newport Town
Clark of St. Johnsbury
Crawford of Burke
Dominick of Starksboro
Dwyer of Thetford
Freed of Dorset
Fyfe of Newport City
Gervais of Enosburg
Ginevan of Middlebury
Grant of Groton
Gray of Barre Town
Hathaway of Barton
Helm of Castleton
Hill of Milton
Hoag of Woodford
Holmes of Bethel
Houston of Ferrisburg
Hyde of Fayston
Kinsey of Craftsbury
Knox of Northfield
LaBarge of Grand Isle
Larrabee of Danville
Lehman of Hartford
Marron of Stowe
McGrath of Ferrisburg
Milne of Washington
Molloy of Arlington
Morrissey of Bennington
Nelson of Ryegate
Peaslee of Guildhall
Pike of Mendon
Ranney of Castleton
Richardson of Weathersfield
Robb of Swanton
Schiavone of Shelburne
Sheltra of Derby
Sherman of St. Johnsbury
Simpers of Colchester
Suchmann of Chester
Sweetser of Essex
Towne of Berlin
Willett of St. Albans City
Winters of Williamstown
Wood of Brandon
Young of Orwell
Those members absent with leave of the House and not voting are:
Hudson of Lyndon
Kendall of Woodstock
Kurt of Colchester
Livingston of Manchester
Mazur of South Burlington
Metzger of Milton
Milkey of Brattleboro
Stafford of Brighton
Thereupon, Rep. Costello of Brattleboro moved to amend the resolution as follows:
In the first sentence of the first resolved clause, by striking the words "a maximum of 12 times"
Which was agreed to on a Division vote. Yeas, 71. Nays, 30. and the resolution was adopted.
Senate Proposal of Amendment Not Concurred in;
Committee of Conference Requested and Appointed
and Messaged to Senate Forthwith
H. 7
The Senate proposes to the House to amend House bill, entitled
An act relating to zero alcohol tolerance for drivers under the age of 21;
By striking all after the enacting clause and inserting in lieu thereof the following:
Sec. 1. 23 V.S.A. § 614 is amended to read:
§ 614. RIGHTS UNDER LICENSE; RESTRICTIONS ON JUNIOR OPERATORS
(a) An operator's license shall entitle the holder *[thereof]* to operate a registered motor vehicle with the consent of the owner thereof whether or not employed *[so to do or not]* to operate a vehicle. *[A junior operator's license shall entitle the holder thereof to operate a registered motor vehicle, with the consent of the owner thereof, but shall not entitle him to operate a motor vehicle in the course of his employment or for direct or indirect compensation or in the carrying of passengers for hire.]*
(b) This section shall not prohibit a holder of a junior operator's license from operating a farm tractor with or without compensation upon a public highway in going to and from different parts of a farm of the owner of such tractor and for repair purposes to any repair shop.
(c) A junior operator's license shall entitle the holder to operate a registered motor vehicle, with the consent of the owner, as follows:
(1) from five a.m. to midnight; and
(2) from midnight to five a.m. when going to or from school, or to or from a place of business where the holder is employed on a regularly scheduled basis, or when accompanied by a parent, guardian or one in a position of loco parentis to the licensee. Any person holding a junior operator’s license and operating a motor vehicle to or from school or to or from a place of business as authorized by this subsection shall possess documentation signed by the person’s instructor or employer. The commissioner of motor vehicles shall prescribe the form and content of such documentation.
(d) For the purpose of this section, Aschool@ shall mean instruction, education or training licensed or approved by a department or agency of the state or federal government, or training conducted by the armed forces of the United States, except it shall not include extracurricular activities or social events for which scholastic credits are not given.
(e) A junior operator’s license shall not entitle the holder to operate a motor vehicle in the course of his or her employment or for direct or indirect compensation or in the carrying of passengers for hire.
Sec. 2. 23 V.S.A. § 1216 is amended to read:
§ 1216. PERSONS UNDER *[18]* 21; ALCOHOL CONCENTRATION OF 0.02 OR MORE
(a) A person under the age of *[18]* 21 who operates, attempts to operate or is in actual physical control of a vehicle on a highway when the person's alcohol concentration is not less than 0.02 *[or]* and not more than 0.08, commits a civil traffic violation subject to the jurisdiction of the traffic bureau and subject to the following sanctions:
(1) For a first violation, the person's license or privilege to operate shall be suspended until the person *[completes an alcohol and driving education program at the person's own expense]* complies with section 1209a of this title.
(2) For a second or subsequent violation, the person's license or privilege to operate shall be suspended for 18 months and until the person *[has submitted to an alcohol assessment screening to determine whether reinstatement should be conditioned on satisfactory completion of a therapy program agreed to by the person and the driver rehabilitation program director, and if therapy is indicated, the person has completed or shown substantial progress in completing such atherapy program at the person's own expense]* complies with section 1209a of this title.
*[(b) A person who violates this section may also be subject to recall of his or her provisional license under section 607a of this title.]*
*[(c)]*(b) If a law enforcement officer has reasonable grounds to believe that a person is violating this section, the officer may request the person to submit to *[an evidentiary test. Unless inconsistent with this section, the provisions of sections 1202, 1203 and 1203a of this title shall apply to this section.]* a breath test to determine if the person has any alcohol in his or her system. This test may be administered at the roadside. Notwithstanding the provisions of 23 V.S.A.§ 1203(f), the results of a breath test administered by a preliminary screening device approved by the commissioner shall be admissible evidence in a proceeding under this section. A refusal to submit to *[an evidentiary]* a breath test shall be considered a violation of this section. A person shall not be entitled to consult with counsel before providing a breath sample under this section.
*[(d)]*(c) In a proceeding under this section, if there was at any time within two hours of operating, attempting to operate or being in actual physical control of a vehicle on a highway an alcohol concentration of 0.02 or more, it shall be a rebuttable presumption that the person's alcohol concentration was 0.02 or more at the time of operating, attempting to operate or being in actual physical control.
*[(e)]*(d) No fine and no points shall be assessed for a violation of this section.
*[(f)]*(e) The alcohol and driving program required under this section shall be administered by the office of alcohol and drug abuse programs *[and shall take into consideration the needs of minors]*.
(f) A charge of violating this section shall not bar prosecution for any crime, including a prosecution for DWI under section 1201 of this title.
(g) A person under the age of 21 who operates, attempts to operate or is in actual physical control of a vehicle on a highway when the person's alcohol concentration is more than 0.08 may be charged with a violation of section 1201 of this title.
Sec. 3. 23 V.S.A. § 3323(a)(1) is amended to read:
(a) A person shall not operate, attempt to operate or be in actual physical control of a vessel on the waters of this state while:
(1) there is *[0.10]* 0.08 percent or more by weight of alcohol in his or her blood, as shown by analysis of his or her breath or blood; or
Sec. 4. 23 V.S.A. § 3323a is added to read:
§ 3323a. PERSONS UNDER 21; ALCOHOL CONCENTRATION OF 0.02 TO 0.08
(a) A person under the age of 21 who operates, attempts to operate or is in actual physical control of a vessel on the waters of this state when the person's alcohol concentration is not less than 0.02 and not more than 0.08, commits a civil traffic violation subject to the jurisdiction of the traffic bureau and subject to the following sanctions:
(1) For a first violation, the person's privilege to operate a vessel, except a nonmotorized canoe and a nonmotorized rowboat, on the waters of this state shall be suspended until the person complies with section 1209a of this title.
(2) For a second or subsequent violation, the person's privilege to operate a vessel, except a nonmotorized canoe and a nonmotorized rowboat, on the waters of this state shall be suspended for 18 months and until the person complies with section 1209a of this title.
(b) If a law enforcement officer has reasonable grounds to believe that a person is violating this section, the officer may request the person to submit to an evidentiary test. Unless inconsistent with this section, the provisions of section 3324 of this title shall apply to this section. A refusal to submit to an evidentiary test shall be considered a violation of this section.
(c) In a proceeding under this section, if there was at any time within two hours of operating, attempting to operate or being in actual physical control of a vessel on the waters of this state an alcohol concentration of 0.02 or more, it shall be a permissive inference that the person's alcohol concentration was 0.02 or more at the time of operating, attempting to operate or being in actual physical control.
(d) A charge of violating this section shall not bar prosecution for any crime, including a prosecution under section 3323 of this title.
(e) A person under the age of 21 who operates, attempts to operate or is in actual physical control of a vessel on the waters of this state when the person's alcohol concentration is more than 0.08 may be charged with a violation of section 3323 of this title.
Sec. 5. 23 V.S.A. § 3325(a)(2), (3) and (4) are amended to read:
(a) Upon the trial of any civil or criminal action or proceeding arising out of acts alleged to have been committed by a person while operating, attempting to operate or in actual physical control of a vessel on the waters of this state, the amount of alcohol in the person's blood or breath at the time alleged as shown by analysis of the person's blood or breath shall give rise to the following permissive inferences or presumptions:
(2) If there was at that time in excess of 0.05 percent but less than *[0.10]* 0.08 percent by weight of alcohol in the person's blood or breath, such fact shall not give rise to any presumption or permissive inference that the person was or was not under the influence of intoxicating liquor, but such fact may be considered with other competent evidence in determining whether the person was under the influence of intoxicating liquor.
(3) If there was at that time *[0.10]* 0.08 percent or more by weight of alcohol in the person's blood or breath, as shown by analysis of the person's blood or breath, it shall be a permissive inference that the person was under the influence of intoxicating liquor in violation of section 3323 of this title.
(4) If there was at any time within two hours of the alleged offense, *[0.15]* 0.10 percent or more by weight of alcohol in the person's blood or breath as shown by analysis of the person's blood or breath, it shall be a permissive inference that the person was under the influence of intoxicating liquor in violation of subdivision 3323(a)(2) or (3) of this title.
Sec. 6. 23 V.S.A. § 3207f is added to read:
§ 3207f. PERSONS UNDER 21; ALCOHOL CONCENTRATION OF 0.02 TO 0.08
(a) A person under the age of 21 who operates, attempts to operate or is in actual physical control of a snowmobile on any lands, waters or public highways of this state when the person's alcohol concentration is not less than 0.02 and not more than 0.08, commits a civil traffic violation subject to the jurisdiction of the traffic bureau and subject to the following sanctions:
(1) For a first violation, the person's privilege to operate a snowmobile on any lands, waters or public highways of this state shall be suspended until the person complies with section 1209a of this title.
(2) For a second or subsequent violation, the person's privilege to operatea snowmobile on any lands, waters or public highways of this state shall be suspended for 18 months and until the person complies with section 1209a of this title.
(b) If a law enforcement officer has reasonable grounds to believe that a person is violating this section, the officer may request the person to submit to an evidentiary test. Unless inconsistent with this section, the provisions of section 3207c of this title shall apply to this section. A refusal to submit to an evidentiary test shall be considered a violation of this section.
(c) In a proceeding under this section, if there was at any time within two hours of operating, attempting to operate or being in actual physical control of a snowmobile on the lands, waters or public highways of this state an alcohol concentration of 0.02 or more, it shall be a permissive inference that the person's alcohol concentration was 0.02 or more at the time of operating, attempting to operate or being in actual physical control.
(d) A charge of violating this section shall not bar prosecution for any crime, including a prosecution under section 3207a of this title.
(e) A person under the age of 21 who operates, attempts to operate or is in actual physical control of a snowmobile on the lands, waters or public highways of this state when the person's alcohol concentration is more than 0.08 may be charged with a violation of section 3207a of this title.
Sec. 7. 13 V.S.A. § 5401(10)(B)(iv) is amended to read:
(B) A person who is convicted of any of the following offenses against a victim who is a minor:
* * *
(iv) *[prohibited acts in violation of]* white slave traffic as defined in 13 V.S.A. § 2635;
Sec. 8. 24 V.S.A. § 1936a(c) is added to read:
(c) A constable who is not prohibited from exercising law enforcement authority under subsection (a) of this section may exercise statewide law enforcement authority for the sole purpose of transporting to the nearest police department for DUI processing a person arrested by the constable for a violation of 23 V.S.A. § 1201 (DUI).
Pending the question, Will the House concur in the Senate proposal ofamendment? Rep. Costello of Brattleboro moved that the House refuse to concur and ask for a Committee of Conference, which was agreed to, and the Speaker appointed as members of the Committee of Conference on the part of the House:
Rep. Costello of Brattleboro
Rep. Little of Shelburne
Rep. Edwards of Swanton
On motion of Rep. Freed of Dorset, the rules were suspended and the bill was ordered messaged to the Senate forthwith.
Senate Proposal of Amendment Not Concurred in;
Committee of Conference Requested and Appointed
and Messaged to Senate Forthwith
H. 70
The Senate proposes to the House to amend House bill, entitled
An act relating to criminal refusal;
By striking out all after the enacting clause and inserting in lieu thereof the following:
* * * DRIVING AFTER SUSPENSION * * *
Sec. 1. 23 V.S.A. § 674 is amended to read:
§ 674. OPERATING AFTER SUSPENSION OR REVOCATION OF LICENSE; PENALTY
(a) A person whose license or privilege to operate a motor vehicle has been suspended or revoked for a violation of this section or sections 1091, 1094, 1128 or 1133 of this title and who operates or attempts to operate a motor vehicle upon a public highway before the suspension period imposed for the violation has expired shall be imprisoned not more than two years or fined not more than $5,000.00, or both.
(b) A person whose license or privilege to operate a motor vehicle has been suspended or revoked for a violation of *[section]* sections 1201, 1201a or 1205 of this title and who operates or attempts to operate a motor vehicle upon a public highway before *[the suspension period imposed for the violation has expired]* reinstatement of the license shall be imprisoned not more than two years or fined not more than $5,000.00, or both. The sentence of imprisonment shall be subjectto the following mandatory minimum terms:
(1) For the first offense, at least *[two consecutive days]* 48 hours must be served in a correctional facility or in a house arrest program approved by the commissioner of corrections and the sentence may not be suspended or deferred. In addition, the person shall be sentenced to perform 40 hours community service approved by the commissioner of corrections.
(2) For the second offense, at least *[four consecutive days]* 96 hours must be served in a correctional facility or in a house arrest program approved by the commissioner of corrections and the sentence may not be suspended or deferred. In addition, the person shall be sentenced to perform 80 hours community service approved by the commissioner of corrections.
(3) For the third offense, at least eight consecutive days must be served in a correctional facility and may not be suspended or deferred. In addition, the person shall be sentenced to perform 120 hours community service approved by the commissioner of corrections.
(4) For the fourth and subsequent offenses, at least 16 consecutive days must be served in a correctional facility and may not be suspended or deferred.
(c) A person who violates section 676 of this title for the third or subsequent time shall be subject to the penalties set forth in subsection (a) of this section.
(d) Notwithstanding any other provision of this title, when a conviction for a violation of this section and a conviction for a violation of section 1201 of this title result from the same incident, any penalty or suspension or revocation of a person's license or privilege to operate shall be imposed to be consecutive and not concurrent.
(e) In determining appropriate fines under this section, the court may take into account the income of the defendant.
(f) For purposes of this section and section 676 of this title, the suspension period for a violation of *[section]* sections 1201, 1201a or 1205 of this title shall not be deemed to expire until the person has complied with section 1209a of this title and the person’s license has been reinstated.
(g) In establishing a prima facie case against a person accused of violating this section, the court shall accept as evidence a printout attested to by the law enforcement officer as the person’s motor vehicle record showing convictions and resulting license suspensions. The admitted motor vehicle record shall establish apermissive inference that the person was under suspension on the dates and time periods set forth in the record. No certified copy shall be required from the department of motor vehicles to establish the permissive inference.
(h) Notwithstanding any provision of law to the contrary, a supervisor of the law enforcement officer who apprehended the person may in his or her discretion act as the prosecuting officer and shall have the same authority as a grand juror and a state’s attorney in prosecuting the violation.
(i) Upon a second or subsequent conviction under subsection (b) of this section, the court may, in addition to any penalty imposed by law, order that the motor vehicle operated by the person at the time of the offense be forfeited and sold in accordance with the following procedures:
(1) Notice of hearing. The following persons shall receive a notice of the forfeiture hearing:
(A) the defendant, whether or not the defendant is an owner of the vehicle;
(B) the registered owner or owners;
(C) any holder of a security interest in the motor vehicle;
(D) any other person appearing to have an interest in the motor vehicle.
(2) Content of notice. The notice shall contain the following:
(A) a description of the motor vehicle, including make, model and year;
(B) the name of the registered owner or owners, lienholder, and other persons who may have any interest in the motor vehicle;
(C) the date, time and place of the hearing; and
(D) a statement that any person who is an owner or who holds a security interest in the motor vehicle may appear and be heard at the hearing to protect the person’s interest in the motor vehicle.
(3) Hearing. The court shall hold a hearing to determine whether or not to order the motor vehicle operated by the person at the time of the offense forfeited. The proceeding shall be against the motor vehicle and shall be deemed civil in nature.
(4) Order. The court shall make findings of fact and conclusions of law andshall issue a final order. The court may order the motor vehicle forfeited if the court finds that:
(A) the motor vehicle is subject to forfeiture;
(B) all persons have been notified as required by this section; and
(C) no party has shown that he or she is an innocent owner as described in subdivision (5) of this subsection.
(5) Rights of innocent owner. The court shall not order the forfeiture of a motor vehicle if an owner, other than the defendant, affirmatively shows that the owner did not consent to or have any express or implied knowledge that the motor vehicle was being or was intended to be operated in a manner that would subject the motor vehicle to forfeiture.
(6) Rented or leased vehicles. A rented or leased vehicle shall not be subject to forfeiture unless it is established in the proceedings that the owner of the rented or leased vehicle knew or should have known of or consented to the operation of the motor vehicle in a manner that would subject the vehicle to forfeiture.
(7) Lienholder. If the court finds that a lienholder has a valid, good faith interest in the motor vehicle which is not held through a straw purchase, trust or otherwise for the actual benefit of another and that the lienholder did not at any time have knowledge or reason to believe that the motor vehicle was being or would be used in a manner that would subject the vehicle to forfeiture, the court upon forfeiture shall order compensation to the lienholder to the extent of the lienholder's interest from the proceeds of the resulting sale.
(8) Order of forfeiture. If the court orders the motor vehicle forfeited it shall be delivered to the state treasurer, who shall sell the motor vehicle at a public sale held under chapter 13 of Title 27 no sooner than 90 days after the motor vehicle is delivered. The proceeds from the sale of the vehicle shall be used to offset any costs of selling the vehicle. Any balance remaining, after any liens on the vehicle have been paid in full, shall be deposited into the general fund.
(9) Appeal. A decision of the court under this subsection may be appealed as a matter of right to the supreme court.
Sec. 2. 23 V.S.A. § 676 is amended to read:
§ 676. OPERATION AFTER SUSPENSION, REVOCATION OR REFUSAL CIVIL VIOLATION
(a) A person whose license or privilege to operate a motor vehicle has been revoked, suspended or refused by the commissioner of motor vehicles for any reason other than a violation of sections 674, 1091, 1094, 1128, 1133 or 1201 of this title and who operates or attempts to operate a motor vehicle upon a public highway before the license or privilege of the person to operate a motor vehicle has been reinstated by the commissioner commits a civil traffic violation.
(b) A person whose license or privilege to operate a motor vehicle has been revoked or suspended for a violation of sections *[674,]* 674(a), 1091, 1094, 1128*[,]* or 1133 *[or 1201]* of this title and who operates or attempts to operate a motor vehicle on a public highway after the suspension or revocation period has expired but prior to reinstatement commits a civil traffic violation.
* * * TREATMENT * * *
Sec. 3. 23 V.S.A. § 1209a is amended to read:
§ 1209a. CONDITIONS OF REINSTATEMENT; ALCOHOL AND DRIVING EDUCATION; SCREENING; THERAPY PROGRAMS
(a) Conditions of reinstatement. No license suspended or revoked under this subchapter, except a license suspended under section 1216 of this title, shall be reinstated except as follows:
(1) In the case of a first suspension, a license shall not be reinstated until the person has: *[submitted to an alcohol assessment screening to determine whether reinstatement should be conditioned on satisfactory completion of a therapy program agreed to by the person and the driver rehabilitation program director; and]*
*[(A) if the screening indicates that therapy is needed, the person has satisfactorily completed or shown substantial progress in completing such a therapy program at the person's own expense; or]*
*[(B) if therapy is not indicated, the person has completed an alcohol and driving education program at the person's own expense]*
(A) successfully completed an alcohol and driving education program, at the person's own expense, followed by an assessment of the need for further treatment by a state designated counselor, at the person's own expense, to determine whether reinstatement should be further conditioned on satisfactory completion of a therapy program agreed to by the person and the drinking driver rehabilitation program director; and
(B) if the screening indicates that therapy is needed, satisfactorily completed or shown substantial progress in completing the therapy program at the person's own expense.
(2) In the case of a second *[or subsequent]* suspension, a license shall not be reinstated until the person has completed or shown substantial progress in completing a therapy program at the person's own expense agreed to by the person and the driver rehabilitation program director and has successfully completed an alcohol and driving rehabilitation program.
(3) In the case of a third or subsequent suspension, a license shall not be reinstated until the person has completed or shown substantial progress in completing a therapy program at the person's own expense agreed to by the person and the driver rehabilitation program director.
***
(c) Judicial review. A person aggrieved by a decision by a designated counselor under this section may seek review of that decision pursuant to Rule 75 of the Vermont Rules of Civil Procedure.
* * * SOBRIETY CHECK POINTS * * *
Sec. 4. 23 V.S.A. § 1220 is added to read:
§ 1220. ENFORCEMENT; SOBRIETY CHECK POINTS; SAFE HIGHWAY ACCIDENT REDUCTION PROJECT; MOBILE EVIDENTIARY BREATH ALCOHOL TESTING EQUIPMENT FUNDING
(a) Each county safe highway accident reduction project (SHARP) program shall organize and participate in at least 12 sobriety check points per year. The check points shall be coordinated by the SHARP county project directors.
(b) The governor’s highway safety program shall purchase five mobile evidentiary breath alcohol testing instruments. The instruments shall be distributed for use with priority given to constables and county and municipal law enforcement agencies in the areas of the state where there is not quick and convenient access to nonmobile breath testing instruments.
(c) For fiscal year 1998, unless inconsistent with federal law, 33 percent of the funds received under the provisions of 23 U.S.C. § 402 shall be used to fund the organized county SHARP sobriety check points.
* * * CRIMINAL REFUSAL * * *
Sec. 5. 23 V.S.A. § 1201a is added to read:
§ 1201a. CRIMINAL REFUSAL TO TAKE BREATH OR BLOOD TEST
(a) Criminal refusal. A person is guilty of criminal refusal if:
(1) the person operates, attempts to operate, or is in actual physical control of any vehicle on a highway;
(2) upon a law enforcement officer's request for an evidentiary test, the person refuses to submit to the test; and
(3) the officer’s request was reasonable under all circumstances surrounding the detection, detention, processing, testing, and treatment of the person.
(b) First offense. A person who violates this section shall be fined not more than $750.00 or imprisoned not more than two years, or both.
(c) Second offense. A person who violates this section who has been convicted of another violation of this section or has been previously convicted of a violation of section 1201 of this title shall be fined not more than $1,500.00 or imprisoned not more than two years, or both. At least 48 consecutive hours of the sentence of imprisonment shall be served and may not be suspended or deferred or served as a supervised community sentence.
(d) Third or subsequent offense. A person who violates this section who has been twice convicted of a violation of this section or has twice been convicted of a violation of section 1201 of this title or has been previously convicted of a violation of sections 1201 and 1201a arising out of separate occurrences shall be fined not more than $2,500.00 or imprisoned not more than five years, or both.
(e) Death resulting. A person who violates this section who is involved in an accident or collision resulting in death of any person, shall be fined not more than $10,000.00 or imprisoned not less than one year nor more than 15 years, or both.
(f) Injury resulting. A person who violates this section who is involved in an accident or collision resulting in serious bodily injury, as defined in 13 V.S.A. § 1021(2), to any person other than the operator, shall be fined not more than $5,000.00 or imprisoned not more than 15 years, or both.
(g) Health department surcharge. A person who violates this section shall be assessed a surcharge of $60.00, which shall be added to any fine imposed by the court. The court shall collect and transfer the surcharge to the department of health for deposit in the health department's laboratory services special fund.
(h) Defender general surcharge. A person who violates this section shall be assessed a surcharge of $50.00, which shall be added to any fine or surcharge imposed by the court. The court shall collect and transfer the surcharge assessed under this subsection to the office of defender general for deposit in the public defender special fund specifying the source of the monies being deposited. The collection procedures described in 13 V.S.A. § 5240 shall be utilized in the collection of this surcharge.
(i) DWI enforcement surcharge. A person convicted of violating this section shall be assessed a surcharge of $50.00, which shall be added to any fine or surcharge imposed by the court. The court shall collect and transfer the surcharge assessed under this section to be credited to the DWI enforcement fund established and managed pursuant to 32 V.S.A. chapter 7, subchapter 5. These funds may not be used to directly or indirectly pay for salaries, personnel or related costs or to otherwise supplement the operation of any division of the department of public safety. The collection procedures described in 13 V.S.A. § 5240 shall be utilized in the collection of this surcharge.
(j) Concurrent penalties. Any sentence imposed under this section shall be concurrent with any sentence imposed for any other offense under this subchapter which arose out of the same incident.
Sec. 6. 23 V.S.A. § 1201b is added to read:
§ 1201b. SUSPENSION OF LICENSE FOR CRIMINAL REFUSAL; REINSTATEMENT
(a) First conviction. Upon conviction of a person for violating a provision of section 1201a of this title, or upon final determination of an appeal, the court shall forward the conviction report forthwith to the commissioner of motor vehicles. The commissioner shall immediately suspend the person's operating license or nonresident operating privilege or the privilege of an unlicensed operator to operate a vehicle for a period of one year and until the defendant complies with section 1209a of this title.
(b) Concurrent suspensions. Suspensions imposed under this section or any comparable statute of any other jurisdiction and sections 1206 and 1208 of this title or any comparable statutes of any other jurisdiction or any other section of this title for the same incident shall run concurrently and a person shall receive credit for any elapsed period of a suspension served in Vermont against a later suspension imposed in this state. In order for suspension credit to be availableagainst a later suspension, the suspension issued under this section must appear and remain on the individual’s motor vehicle record.
* * * DWI PROCEDURES * * *
Sec. 7. 23 V.S.A. § 1200(3) is amended to read:
(3) "Evidentiary test" means a breath or blood test which indicates the person's alcohol concentration or the presence of other drug and which is intended to be introduced as evidence.
Sec. 8. 23 V.S.A. § 1201 is amended to read:
§ 1201. OPERATING VEHICLE UNDER THE INFLUENCE *[OF INTOXICATING]* *[LIQUOR OR OTHER SUBSTANCE]* OF ALCOHOL OR OTHER DRUGS
(a) A person shall not operate, attempt to operate, or be in actual physical control of any vehicle on a highway:
(1) when the person's alcohol concentration is 0.08 or more; or
(2) when the person is under the influence of intoxicating liquor; or
(3) when the person is under the influence of any other drug or under the combined influence of alcohol and any other drug *[to a degree which renders the person incapable of driving safely]*.
(b) The fact that a person charged with a violation of this section is or has been entitled to use a drug under the laws of this state shall not constitute a defense against any charge of violating this section.
(c) A person may not be convicted of more than one offense under this section arising out of the same incident.
Sec. 9. 23 V.S.A. § 1201c is added to read:
§ 1201c. CALCULATION OF SUSPENSIONS AND REVOCATIONS
Notwithstanding any direction or order from any person or entity to the contrary, the commissioner of motor vehicles shall in his or her discretion calculate in accordance with applicable statutes and rules the duration of suspensions, whether and when revocations, suspensions and reinstatements shall occur, and all other required actions and calculations.
Sec. 10. 23 V.S.A. § 1202 is amended to read:
§ 1202. CONSENT TO TAKING OF TESTS TO DETERMINE BLOOD ALCOHOL CONTENT
(a)(1) Implied consent. Every person who operates, attempts to operate, or is in actual physical control of any vehicle on a highway in this state is deemed to have given consent to an evidentiary test of that person's breath for the purpose of determining the person's alcohol concentration or the presence of other drug in the blood. The test shall be administered at the direction of a law enforcement officer.
(2) Blood test. If breath testing equipment is not reasonably available or if the person is unable to give a sufficient sample of breath for testing or if the law enforcement officer has reasonable grounds to believe that the person is under the influence of a drug other than alcohol, the person is deemed to have given consent to the taking of *[a]* an evidentiary sample of blood *[for those purposes]*. If in the officer's opinion the person is incapable of decision or unconscious or dead, it is deemed that the person's consent is given and a sample of blood shall be taken.
(3) Evidentiary test. The evidentiary test shall be required of a person when a law enforcement officer has reasonable grounds to believe that the person was operating, attempting to operate, or in actual physical control of a vehicle in violation of section 1201 of this title.
(4) Fatal collision or incident resulting in serious bodily injury. The evidentiary test shall also be required if the person is the surviving operator of a motor vehicle involved in a fatal *[accident]* incident or collision or an *[accident]* incident or collision resulting in serious bodily injury and the law enforcement officer has reasonable grounds to believe that the person has any amount of alcohol *[in]* *[the system]* or other drug in his or her system.
(b) If the person refuses to submit to an evidentiary test it shall not be given, but the refusal may be introduced as evidence in a criminal proceeding.
(c) A person who is requested by a law enforcement officer to submit to an evidentiary test or tests has *[the]* a right as herein limited to consult an attorney before deciding whether or not to submit to such a test or tests. The person must decide whether or not to submit to the evidentiary test or tests within a reasonable time*[, but]* and no later than 30 minutes from the time of the initial attempt to contact the attorney. The person must make a decision about whether or not to submit to the test or tests at the expiration of the 30 minutes regardless of whether a consultation took place.
(d) At the time a test is requested, the person shall be informed *[that]* of thefollowing statutory information:
(1) Vermont law authorizes a law enforcement officer to request a test to determine whether the person is under the influence of alcohol or other drug.
(2) If the officer's request is reasonable and testing is refused, the person's license or privilege to operate will be suspended for at least *[six months]* one year.
(3) If a test is taken and the results indicate that the person is under the influence of alcohol or other drug, the person will be subject to criminal charges and the person's license or privilege to operate will be suspended for at least 90 days.
(4) A person who is requested by a law enforcement officer to submit to an evidentiary test or tests has the limited right to consult an attorney before deciding whether or not to submit to such a test *[and]* or tests. The person must decide whether or not to submit to the evidentiary test or tests within a reasonable time and no later than 30 minutes from the time of the initial attempt to contact the attorney. The person must make a decision about whether or not to submit to the test or tests at the expiration of the 30 minutes regardless of whether a consultation took place. The person also has the right to have additional tests made by someone of the person's own choosing at the person's own expense. The person shall also be informed of the location of one or more facilities available for drawing blood.
(5) A person who is requested by a law enforcement officer to submit to an evidentiary test administered with an infrared breath-testing instrument may elect to have a second infrared test administered immediately after receiving the results of the first test.
(6) If the person refuses to take *[a]* an evidentiary test, the refusal may be offered into evidence against the person at trial and the person may be charged with the crime of criminal refusal.
(e) In any proceeding under this subchapter, a law enforcement officer's oral or written testimony that *[he or she is certified pursuant to section 2358 of Title 20 shall be prima facie evidence of that fact]* meets the following criteria shall be prima facie evidence of those facts and the testimony shall be received into evidence:
(1) he or she is certified pursuant to section to 2358 of Title 20;
(2) he or she has successfully completed a training program approved by the Vermont criminal justice training council to administer a breath test;
(3) the analysis was performed by an instrument that meets the performance standards contained in the rules of the department of health; and
(4) the instrument met those performance standards while employed to analyze the sample.
(f) A person may offer evidence to contest the foundation facts provided for in subsection (e) of this section, but may not otherwise challenge the admissibility of a test result, except a person may argue to the fact finder that such facts should be given no weight.
Sec. 11. 23 V.S.A. § 1205(a), (h) and (l) are amended to read:
(a) Refusal; alcohol concentration of 0.08 or more; suspension periods. Upon affidavit of a law enforcement officer that the officer had reasonable grounds to believe that the person was operating, attempting to operate, or in actual physical control of a vehicle in violation of section 1201 of this title and that the person refused to submit to a test, the commissioner shall, unless the person requests a hearing, suspend the person's operating license, or nonresident operating privilege, or the privilege of an unlicensed operator to operate a vehicle for a period of *[six months]* one year and until the person complies with section 1209a of this title. Upon affidavit of a law enforcement officer that the officer had reasonable grounds to believe that the person was operating, attempting to operate, or in actual physical control of a vehicle in violation of section 1201 of this title and that the person submitted to a test and the test results indicated that the person's alcohol concentration was 0.08 or more at the time of operating, attempting to operate or being in actual physical control, the commissioner shall, unless the person requests a hearing, suspend the person's operating license, or nonresident operating privilege, or the privilege of an unlicensed operator to operate a vehicle for a period of 90 days and until the person complies with section 1209a of this title.
(h) Finding by the court. Upon a finding by the court that:
(1) the law enforcement officer had reasonable grounds to believe that the person was operating, attempting to operate, or in actual physical control of a vehicle in violation of section 1201 of this title *[and]* ;
(2) *[that]* the person refused to submit to a test; and
(3) the officer’s request was reasonable under all circumstances surrounding the detection, detention, processing, and treatment of the person,
the court shall forward the report of the hearing to the commissioner who shallsuspend the person's operating license, or nonresident operating privilege, or the privilege of an unlicensed operator to operate a vehicle for a period of *[six months]* one year and until the person complies with section 1209a of this title. Upon a finding by the court that:
(1) the law enforcement officer had reasonable grounds to believe that the person was operating, attempting to operate, or in actual physical control of a vehicle in violation of section 1201 of this title *[and]* ;
(2) *[that]* the person submitted to a test and the test results indicated that the person's alcohol concentration was 0.08 or more at the time the person was operating, attempting to operate or in actual physical control; and
(3) the officer’s request was reasonable under all circumstances surrounding the detection, detention, processing, and treatment of the person,
the court shall forward the report of the hearing to the commissioner who shall suspend the person's operating license, or nonresident operating privilege, or the privilege of an unlicensed operator to operate a vehicle for a period of 90 days and until the person complies with section 1209a of this title.
(l) Second and subsequent suspensions. For a second suspension under this section, the period of suspension shall be 18 months and until the person complies with section 1209a of this title. *[For a third suspension under this section, the period of suspension shall be three years and until the person complies with section 1209a of this title.]* For a *[fourth]* third or subsequent suspension under this section, the person's operating license or privilege to operate shall be revoked for life.
Sec. 12. 23 V.S.A. § 1205(q) is added to read:
(q) A person found in violation of this section shall be assessed a surcharge of $50.00, which shall be added to any fine or surcharge imposed by the court. The court shall collect and transfer the surcharge assessed under this subsection to the governor’s highway safety commission for deposit in a special DWI enforcement fund. These funds shall be used exclusively for statewide DWI enforcement and for no other purpose. The collection procedures described in 13 V.S.A. § 5240 shall be utilized in the collection of this surcharge.
Sec. 13. 23 V.S.A. § 1208 is amended to read:
§ 1208. SUSPENSIONS FOR SUBSEQUENT CONVICTIONS
(a) Second conviction. Upon a second conviction of a person violating aprovision of section 1201 or 1201a of this title and upon final determination of an appeal, the court shall forward the conviction report forthwith to the commissioner of motor vehicles. The commissioner shall immediately suspend the person's operating license, or nonresident operating privilege or the privilege of an unlicensed operator to operate a vehicle for 18 months and until the defendant complies with section 1209a of this title.
(b) Third conviction. Upon a third or subsequent conviction of a person violating a provision of section 1201 or 1201a of this title and upon final determination of any appeal, the court shall forward the conviction report forthwith to the commissioner of motor vehicles. The commissioner shall immediately revoke the person's operating license, or nonresident operating privilege or the privilege of an unlicensed operator to operate a motor vehicle for *[three years and until the defendant complies with section 1209a]* life.
(c) *[Fourth conviction. Upon a fourth or subsequent conviction of a person violating a provision of section 1201 of this title and upon final determination of any appeal, the court shall forward the conviction report forthwith to the commissioner of motor vehicles. The commissioner shall immediately revoke the person's operating license, or nonresident operating privilege or the privilege of an unlicensed operator to operate a vehicle for life.]*
Calculation. In determining the suspension or revocation periods under this chapter the commissioner shall add the number of convictions of sections 1201 and 1201a of this title to arrive at the total number of convictions.
Sec. 14. Rule 3 of the Vermont Rules of Criminal Procedure is amended to read:
RULE 3. ARREST WITHOUT WARRANT; CITATION TO APPEAR
(a) Arrest without Warrant. A law enforcement officer may arrest without warrant a person whom the officer has probable cause to believe has committed a crime in the presence of the officer. Such an arrest shall be made while the crime is being committed or without unreasonable delay thereafter. An officer may also arrest a person without warrant in the following situations:
(1) when the officer has probable cause to believe a person has committed or is committing a felony;
(2) when the officer has probable cause to believe:
(A) that a person has violated an abuse prevention order issued by a court in this state pursuant to Chapter 21 of Title 15;
(B) that a person has violated a foreign abuse prevention order issued by a court in any other state, federally recognized Indian tribe, territory or possession of the United States, the Commonwealth of Puerto Rico or the District of Columbia; *[or]*
(C) that a person has committed a misdemeanor which involves an assault against a family or household member, as defined in Chapter 21 of Title 15, or a child of such person;
(3) when the officer has probable cause to believe that a person has committed a misdemeanor and the person has refused to identify himself or herself when requested by the officer. An arrest under this subdivision shall be made without unreasonable delay after the alleged offense was committed, and not thereafter. In the case of an arrest under this subdivision, the person may be detained only until he or she is identified;
(4) when the officer has probable cause to believe that a person has committed a misdemeanor and, if not immediately arrested, will cause personal injury or damage to property. An arrest under this subdivision shall be made without unreasonable delay after the alleged offense was committed, and not thereafter;
(5) when the officer has probable cause to believe a person has committed or is committing a violation of 23 V.S.A. *[§ 1128 or 23 V.S.A. § 1201. An arrest under this subdivision shall be made within two hours of the time the alleged offense was committed, and not thereafter]* §§ 674(b), 1128, or 1201. In the case of an arrest under this subdivision for an alleged violation of 23 V.S.A. § 1201, where the person has not previously been convicted of a violation of section 1201, the person may be detained only for the limited purpose of obtaining a sample of breath or blood;
* * *
* * * FINANCIAL RESPONSIBILITY * * *
Sec. 15. 23 V.S.A. § 800 is amended to read:
§ 800. *[MAINTENANCE OF]* FINANCIAL RESPONSIBILITY REQUIRED
(a) No owner or operator of a motor vehicle required to be licensed shall operate or permit the operation of the vehicle upon the highways of the state without having in effect an automobile liability policy or bond in the amounts of at least *[$20,000.00]* $50,000.00 for one person and *[$40,000.00]* $100.000.00 fortwo or more persons killed or injured and *[$10,000.00]* $20,000.00 for damages to property in any one accident. In lieu thereof, evidence of self-insurance in the amount of *[$100,000.00]* $150,000.00 must be filed with the commissioner of motor vehicles. Such financial responsibility required by this subsection shall be maintained and evidenced in a form prescribed by the commissioner. The commissioner may require that evidence of financial responsibility be produced before motor vehicle inspections are performed pursuant to the requirements of 23 V.S.A. § 1222.
(b) A person who violates this section shall be *[fined]* assessed a civil penalty of not more than $100.00, and such violation shall be a traffic *[offense]* violation within the meaning of chapter *[23]* 24 of this title. No points shall be assessed.
Sec. 16. 23 V.S.A. § 801(a) and (c) are amended to read:
(a) The commissioner shall require proof of financial responsibility to satisfy any claim for damages, by reason of personal injury to or the death of any person, of at least *[$20,000.00]* $50,000.00 for one person and *[$40,000.00]* $100,000.00 for two or more persons killed or injured and *[$10,000.00]* $20,000.00 for damages to property in any one accident, as follows:
(c) In lieu of the insurance policy or surety bond required under this section, a person may qualify as a self-insurer by obtaining a certificate of self-insurance from the commissioner, who may, in his discretion, upon the application of such person, issue said certificate of self-insurance, when he is satisfied that such person is possessed of a net unencumbered capital of at least *[$100,000.00]* $150,000.00. The commissioner may require annual reports from any self-insurer, which reports must show at least *[$100,000.00]* $150,000.00 unencumbered net worth. Whenever the commissioner finds that any self-insurer does not possess *[$100,000.00]* $150,000.00 of unencumbered net worth, he shall revoke the certificate of self-insurance. Failure to pay any judgment, within statutory limits, after such judgment shall have become final, shall constitute reasonable grounds for the cancellation of a certificate of self-insurance. A certificate of self-insurance obtained by a self-insurer shall insure every person operating a motor vehicle, owned by said self-insurer, with his express or implied permission, against loss within statutory limits from the liability imposed by law upon such person arising out of the operation of said motor vehicle and shall be for the benefit of any person suffering personal injuries or property damage arising out of the use of such motor vehicle with such express or implied permission.
Sec. 17. 23 V.S.A. § 804(a) is amended to read:
(a) *[Such proof]* Proof of financial responsibility shall be furnished *[as shall be]* by an insurance company authorized to do business in this state, in a form satisfactory to the commissioner and *[may]* shall be evidence of the insuring of such person against *[public liability]* claims and judgments for personal injury and property damage *[in an insurance company authorized to do business in this state,]* in the amounts specified in section 801 of this title, provided the policy of insurance shall be noncancellable except after 15 days' notice to the commissioner; or such proof may be the bond of a surety company, authorized to transact business in this state, which bond shall be conditioned for the payment of such amounts. An insurance company or surety company issuing such policy or bond shall immediately furnish, for filing with the commissioner, a satisfactory certificate certifying that such policy or bond has been issued. Instead of the certificate, proof may be furnished by any computer-generated means approved by the commissioner. Once proof furnished in this manner is accepted by the commissioner, the insurance company or surety company shall be bound in the same manner as if a certificate had been furnished for filing.
Sec. 18. 23 V.S.A. § 2502(a)(1)(DDD) and (EEE) are amended to read:
*[(DDD) § 800. Operating without financial responsibility;]*
*[(EEE)]*(DDD) All other moving violations which have no specified points;
* * * ASSISTANT JUDGES PILOT PROGRAM * * *
Sec. 19. 4 V.S.A. § 444b is added to read:
§ 444b. POWERS OF ASSISTANT JUDGES IN SUSPENDED DRIVING CASES; DE NOVO REVIEW; FOUR-COUNTY PILOT PROGRAM
(a) Notwithstanding any provision of law to the contrary, an assistant judge in Bennington, Essex, Washington, and Windsor Counties may elect to hear and decide criminal actions alleging violations of section 674 of Title 23. If an assistant judge makes such an election, the assistant judge:
(1) shall notify the clerk of the district court located in the county from which the judge is elected and when so notified, the district court clerk shall schedule those cases before the assistant judge;
(2) shall have the same powers and duties as a district court judge as set forth in chapter 9 of this title;
(3) shall hear and decide those cases filed in the district court in the county from which the judge is elected.
(b) An assistant judge electing to hear such cases shall have first observed the processing of criminal cases by a district court judge for at least 20 hours and successfully completed a training program as required by a majority vote of the assistant judges of this state.
(c) The assistant judges shall have available upon request assistance from law clerks assigned to the district and superior courts.
(d) Appeals taken from decisions and the entry of judgment under this section may be filed only after entry of final judgment. Appeals shall be heard before a district court judge and shall be de novo by trial or by jury or on the record at the option of the appellant.
* * * SURCHARGES * * *
Sec. 20. 23 V.S.A. § 206 is added to read:
§ 206. SURCHARGE
A person convicted of violating a provision of this chapter shall be assessed a surcharge of $50.00, which shall be added to any fine or surcharge imposed by the court. The court shall collect and transfer the surcharge assessed under this section to be credited to the DWI enforcement fund established and managed pursuant to 32 V.S.A. chapter 7, subchapter 5. The collection procedures described in 13 V.S.A. § 5240 shall be utilized in the collection of this surcharge.
Sec. 21. 23 V.S.A. § 674(g) is added to read:
(g) A person convicted of violating this section shall be assessed a surcharge of $50.00, which shall be added to any fine or surcharge imposed by the court. The court shall collect and transfer the surcharge assessed under this subsection to be credited to the DWI enforcement fund. The collection procedures described in 13 V.S.A. § 5240 shall be utilized in the collection of this surcharge.
Sec. 22. 23 V.S.A. § 1091(d) is added to read:
(d) A person convicted of violating subsection (b) of this section shall be assessed a surcharge of $50.00, which shall be added to any fine or surcharge imposed by the court. The court shall collect and transfer the surcharge assessed under this subsection to be credited to the DWI enforcement fund. The collection
procedures described in 13 V.S.A. § 5240 shall be utilized in the collection of this surcharge.
Sec. 23. 23 V.S.A. § 1094 is amended to read:
§ 1094. OPERATION WITHOUT CONSENT OF OWNER
(a) A person who, without the consent of the owner, takes, uses, operates or removes, or causes to be taken, used, operated or removed from a garage, stable or other building or place or from any place or locality on a private or public highway, park, parkway, street, lot, field, inclosure or space, a motor vehicle, and operates or drives or causes the same to be operated or driven for his own profit, pleasure, use or purpose, shall be imprisoned not more than two years or fined not more than $1,000.00, or both. This section shall not be construed to limit or restrict prosecutions for grand larceny.
(b) A person convicted of violating this section shall be assessed a surcharge of $50.00, which shall be added to any fine or surcharge imposed by the court. The court shall collect and transfer the surcharge assessed under this subsection to be credited to the DWI enforcement fund. The collection procedures described in 13 V.S.A. § 5240 shall be utilized in the collection of this surcharge.
Sec. 24. 23 V.S.A. § 1128(d) is added to read:
(d) A person convicted of violating this section shall be assessed a surcharge of $50.00, which shall be added to any fine or surcharge imposed by the court. The court shall collect and transfer the surcharge assessed under this subsection to be credited to the DWI enforcement fund. The collection procedures described in 13 V.S.A. § 5240 shall be utilized in the collection of this surcharge.
Sec. 25. 23 V.S.A. § 1133 is amended to read:
§ 1133. ATTEMPTING TO ELUDE A POLICE OFFICER
(a) An operator of a motor vehicle who fails to bring his or her vehicle to a stop when signaled to do so by an enforcement officer wearing insignia identifying him or her as such, or operating a law enforcement vehicle sounding a siren and displaying a flashing blue or blue and white signal lamp, shall be imprisoned for not more than six months or fined not more than $500.00, or both.
(b) A person convicted of violating this section shall be assessed a surcharge of $50.00, which shall be added to any fine or surcharge imposed by the court. The court shall collect and transfer the surcharge assessed under this subsectionto be credited to the DWI enforcement fund. The collection procedures described in 13 V.S.A. § 5240 shall be utilized in the collection of this surcharge.
Sec. 26. 23 V.S.A. § 1210(j) is added to read:
(j) A person convicted of violating section 1201 of this title shall be assessed a surcharge of $50.00, which shall be added to any fine or surcharge imposed by the court. The court shall collect and transfer the surcharge assessed under this subsection to be credited to the DWI enforcement fund. The collection procedures described in 13 V.S.A. § 5240 shall be utilized in the collection of this surcharge.
* * * REPORTS * **
Sec. 27. REPORTS TO THE LEGISLATURE
The following reports shall be submitted to the Senate and House Committees on Judiciary:
(1) On January 15, 1999 and January 15, 2001, the director of the office of alcohol and drug abuse shall report on the implementation, consequences, and effectiveness of the amendments to 23 V.S.A. § 1209a (conditions of reinstatement). The report shall also include:
(A) The number of persons whose licenses were suspended and who were eligible for reinstatement under 23 V.S.A. § 1209a.
(B) The number of persons who participated in the alcohol and driving education program and the number of persons who successfully completed the program.
(C) The number of persons who were referred to a therapy program in order to get their license reinstated and the number of persons who successfully completed the therapy program.
(D) Any problems encountered in implementing the amendments to 23 V.S.A. § 1209a.
(E) Any recommended changes to the law.
(2) On January 15, 1999 and annually thereafter, the director of the governor’s highway safety program shall report on the implementation, consequence and effectiveness of the enactment of 23 V.S.A. § 1220. The report shall also include:
(A) The number of sobriety check points conducted, broken down bycounty, and the number and name of each participating law enforcement agency.
(B) The number of persons charged with motor vehicle or other offenses at each check point, including the type of each charge and its disposition.
(C) The number of mobile alcohol testing instruments purchased, the name of each law enforcement agency that received an instrument, and how often each instrument was used.
(D) The amount of money received from the DWI enforcement surcharge, broken down by offense, and how such funds were used.
(E) Any problems encountered in implementing 23 V.S.A. § 1220.
(F) Any recommended changes to the law.
(3) On January 15, 1999 and January 15, 2001, the court administrator and the commissioner of motor vehicles shall report on the implementation, consequences, and effectiveness of the enactment or amendments to: 23 V.S.A. §§ 614 (restrictions on junior operators), 800 (financial responsibility), 1216 (zero tolerance), and 1270 (impoundment of plates and registration). The report shall also include:
(A) The number of plates and registrations impounded, broken down into the type of offense and the length of impoundment.
(B) The number of plates and registrations impounded at the initial hearing, broken down by vehicles operated by the alleged offender at the time of the offense, vehicles owned by the alleged offender but not operated by the offender at the time of the offense, and vehicles operated by the alleged offender, but not owned by him or her.
(C) The number of temporary DWI plates and registrations issued.
(D) The number of persons charged under 23 V.S.A. § 1220(j) (improper use of DWI plates).
(E) The number of licenses suspended under 23 V.S.A. § 1201b (criminal refusal), broken down by type of offense.
(F) The number of persons charged under 23 V.S.A. § 1216 (zero tolerance).
(G) Any problems encountered in implementing the laws listed in this section.
(H) Any recommended changes to the law.
(4) On January 15, 1999 and January 15, 2001, the director of the state’s attorney’s and sheriffs departments shall report on the implementation, consequences, and effectiveness of this act. The report shall also include:
(A) The number of motor vehicle forfeitures requested by the state’s attorneys under 23 V.S.A. § 674(i), broken down by county.
(B) The number of motor vehicles ordered forfeited by the court, broken down by county.
(C) Any problems encountered in implementing the act.
(D) Any recommended changes to the law.
(5) On November 15, 1997, the Court Administrator, the director of the office of alcohol and drug abuse, the commissioner of corrections, the director of the departments of state’s attorneys and sheriffs, the defender general, and the attorney general, shall report on the advisability and feasibility of creating a specialized DWI and drug offenses court. The report shall also include the advisability and feasibility of implementing the provisions of S.81 (expanding the juvenile and adult court diversion projects to include substance abuse treatment for an offender as a possible condition of an offender’s diversion contract).
(6) On January 15, 1999 and January 15, 2001, the commissioner of health shall report on the implementation, consequences, and effectiveness of 23 V.S.A. § 1220(b) (purchase and use of five mobile evidentiary breath alcohol testing instruments). The report shall also include:
(A) the number of instruments approved by the department;
(B) the performance standards contained in rules adopted by the department relating to those instruments;
(C) any problems encountered with the performance or use of those instruments, including any legal challenges and the outcome of such challenges.
(7) On January 15, 1999 and January 15, 2001, the commissioner of corrections shall report on the implementation, consequences, and effectiveness of 23 V.S.A. § 674(b) (operating after suspension or revocation of license). The report shall also include:
(A) the number of persons convicted of violating 23 V.S.A. § 674(b),including the type of sentence each person received and how that sentence was actually served; and
(B) a description of any increased demand on services and the impact on department resources that resulted from the amendments to 23 V.S.A. § 674(b).
(8) On January 15, 1999, the commissioner of motor vehicles, working with the insurance industry, shall report on:
(A) methods and feasibility of requiring insurance companies to report to the department when any automobile liability policy or bond that is required by law to be in force is canceled;
(B) methods and feasibility of making an exception for any vehicle that has been taken off the road and is not operated on the highway by any person;
(C) recommendations for other ways to insure that all persons who operate a motor vehicle on the highway in this state have in force the legally required automobile liability policy on that vehicle.
The report shall include drafts of any legislation that is required to implement the findings and recommendations contained in the report.
Sec. 28. EFFECTIVE DATES; GRANDFATHER CLAUSE
Secs. 15 and 16 (financial responsibility) shall take effect on January 1, 1998. All other sections shall take effect on September 1, 1997.
Sec. 29. SUNSET
Sec. 4 of this act, relating to sobriety check points and county safe highway accident reduction projects, shall expire on Sept. 1, 2001.
Pending the question, Will the House concur in the Senate proposal of amendment? Rep. Little of Sherburne moved that the House refuse to concur and ask for a Committee of Conference.
Pending the question, Shall the House refuse to concur with the Senate proposal of amendment and request a Committee of Conference? Rep. LaBarge of Grand Isle demanded the Yeas and Nays, which demand was sustained by the Constitutional number. The Clerk proceeded to call the roll and the question, Shall the House refuse to concur with the Senate proposal of amendment and request a Committee of Conference? was decided in the affirmative. Yeas, 89. Nays, 50.
Those who voted in the affirmative are:
Alberico of Rutland City
Alfano of Calais
Allard of St. Albans Town
Aswad of Burlington
Barbieri of Wallingford
Bjerke of Burlington
Blanchard of Essex
Bohi of Hartford
Brady of Bennington
Bristol of Brattleboro
Brooks of Montpelier
Buchdahl of Georgia
Campbell of Rockingham
Carmolli of Rutland City
Casavant of Winooski
Cillo of Hardwick
Corren of Burlington
Costello of Brattleboro
Darrow of Newfane
Darrow of Dummerston
Deen of Westminster
Deuel of West Rutland
Doyle of Richmond
Dunne of Hartland
Edwards of Swanton
Emmons of Springfield
Flaherty of South Burlington
Fox of Essex
Freidin of New Haven
Fyfe of Newport City
Gervais of Enosburg
Gretkowski of Burlington
Heath of Westford
Hill of Milton
Hoag of Woodford
Howard of Rutland Town
Howrigan of Fairfield
Hummel of Underhill
Keenan of St. Albans City
Kenyon of Bradford
Klopchin of Clarendon
Koch of Barre Town
Krasnow of Charlotte
Kreitzer of Rutland City
Kristensen of Guilford
Lafayette of Burlington
Lehman of Hartford
Lippert of Hinesburg
Little of Shelburne
Mackinnon of Sharon
Mazzariello of Rutland City
McGrath of Ferrisburg
McNamara of Burlington
Metzger of Milton
Miller of Shaftsbury
Milne of Washington
Molloy of Arlington
Moore of Rutland City
Murphy of Ludlow
Nelson of Ryegate
Nuovo of Middlebury
Osman of Plainfield
Paquin of Fairfax
Parizo of Essex
Pembroke of Bennington
Perry of Richford
Poirier of Barre City
Pugh of South Burlington
Rose of Williston
Rusten of Halifax
Scribner of Middlesex
Sinnott of Bennington
Smith of Sudbury
Snyder of Pittsford
Starr of Troy
Sullivan of Burlington
Sweaney of Windsor
Symington of Jericho
Tracy of Burlington
Valsangiacomo of Barre City
Vincent of Waterbury
Vinton of Colchester
Voyer of Morristown
Walker of Brownington
Weiss of Northfield
Willett of St. Albans City
Woodward of Johnson
Yarnell of Colchester
Zuckerman of Burlington
Those who voted in the negative are:
Angell of Randolph
Baker of Randolph
Barney of Highgate
Bourdeau of Hyde Park
Bouricius of Burlington
Brunelle of Winooski
Buckland of Newport Town
Clark of St. Johnsbury
Coleman of Londonderry
Crawford of Burke
Dominick of Starksboro
Dwyer of Thetford
Freed of Dorset
Ginevan of Middlebury
Grant of Groton
Gray of Barre Town
Hathaway of Barton
Helm of Castleton
Holmes of Bethel
Houston of Ferrisburg
Hudson of Lyndon
Hyde of Fayston
Kinsey of Craftsbury
Kitzmiller of Montpelier
Knox of Northfield
LaBarge of Grand Isle
Larrabee of Danville
Lindgren of Springfield
Marron of Stowe
Maslack of Poultney
Morrissey of Bennington
Palmer of Pownal
Peaslee of Guildhall
Pike of Mendon
Ranney of Castleton
Richardson of Weathersfield
Robb of Swanton
Schiavone of Shelburne
Sheltra of Derby
Sherman of St. Johnsbury
Simpers of Colchester
Steele of Waterbury
Suchmann of Chester
Sweetser of Essex
Towne of Berlin
Westman of Cambridge
Winters of Williamstown
Wisell of Bristol
Wood of Brandon
Young of Orwell
Those members absent with leave of the House and not voting are:
Kehler of Pomfret
Kendall of Woodstock
Kurt of Colchester
Livingston of Manchester
Mazur of South Burlington
Milkey of Brattleboro
Seibert of Norwich
Stafford of Brighton
Waite of Pawlet
Thereupon, the Speaker appointed as members of the Committee of Conference on the part of the House:
Rep. Little of Shelburne
Rep. Costello of Brattleboro
Rep. Edwards of Swanton
On motion of Rep. Freed of Dorset, the rules were suspended and the bill was ordered messaged to the Senate forthwith.
Proposal of Amendment Agreed to; Third Reading Ordered
S. 194
Rep. Rose of Williston, for the Committee on Natural Resources and Energy, to which had been referred Senate bill, entitled
An act relating to Act 250 jurisdiction over communication support structure extending 20 feet above the ground;
Reported in favor of its passage in concurrence with proposal of amendment as follows:
By striking Sec. 2 and inserting in lieu thereof the following:
Sec. 2. 10 V.S.A. § 6001c is added to read:
§ 6001c. JURISDICTION OVER BROADCAST AND COMMUNICATION SUPPORT STRUCTURES AND RELATED IMPROVEMENTS
In addition to other applicable law, any communication or broadcast support structure proposed for construction which will extend vertically 20 feet, or more,in order to transmit or receive communication signals for commercial, industrial, municipal, county or state purposes shall be a development under this chapter, independent of the acreage involved. If jurisdiction is triggered for such a support structure, then jurisdiction will also extend to the construction of improvements ancillary to the support structure, including buildings, broadcast or communication equipment, foundation pads, cables, wires, antennas or hardware, and all means of ingress and egress to the support structure. To the extent that future improvements are not ancillary to the support structure and do not involve an additional support structure, those improvements shall not be considered a development, unless they would be considered a development under this chapter in the absence of this section. The criteria and procedures for obtaining a permit under this section shall be the same as for any other development.
Thereupon, the bill was read the second time and the report of the committee on Natural Resources and Energy agreed to on a Division vote. Yeas, 46. Nays, 39.
Pending the question, Shall the bill be read the third time? Rep. Knox of Northfield demanded the Yeas and Nays, which demand was sustained by the Constitutional number. The Clerk proceeded to call the roll and the question, Shall the bill be read the third time? was decided in the affirmative. Yeas, 79. Nays, 55.
Those who voted in the affirmative are:
Alfano of Calais
Aswad of Burlington
Baker of Randolph
Barbieri of Wallingford
Bjerke of Burlington
Blanchard of Essex
Bohi of Hartford
Bouricius of Burlington
Brady of Bennington
Brooks of Montpelier
Buchdahl of Georgia
Buckland of Newport Town
Campbell of Rockingham
Carmolli of Rutland City
Cillo of Hardwick
Coleman of Londonderry
Corren of Burlington
Costello of Brattleboro
Darrow of Newfane
Darrow of Dummerston
Deen of Westminster
Deuel of West Rutland
Dominick of Starksboro
Doyle of Richmond
Dunne of Hartland
Emmons of Springfield
Flaherty of South Burlington
Fox of Essex
Freidin of New Haven
Gervais of Enosburg
Gretkowski of Burlington
Hathaway of Barton
Heath of Westford
Hoag of Woodford
Houston of Ferrisburg
Howard of Rutland Town
Hummel of Underhill
Kehler of Pomfret
Kenyon of Bradford
Kinsey of Craftsbury
Klopchin of Clarendon
Koch of Barre Town
Krasnow of Charlotte
Kreitzer of Rutland City
Kristensen of Guilford
Lafayette of Burlington
Lehman of Hartford
Lippert of Hinesburg
Little of Shelburne
Mackinnon of Sharon
Mazzariello of Rutland City
McNamara of Burlington
Miller of Shaftsbury
Milne of Washington
Molloy of Arlington
Moore of Rutland City
Murphy of Ludlow
Nelson of Ryegate
Nuovo of Middlebury
Osman of Plainfield
Paquin of Fairfax
Pugh of South Burlington
Rose of Williston
Rusten of Halifax
Scribner of Middlesex
Sinnott of Bennington
Smith of Sudbury
Snyder of Pittsford
Starr of Troy
Sullivan of Burlington
Sweaney of Windsor
Symington of Jericho
Tracy of Burlington
Valsangiacomo of Barre City
Vincent of Waterbury
Vinton of Colchester
Woodward of Johnson
Yarnell of Colchester
Zuckerman of Burlington
Those who voted in the negative are:
Allard of St. Albans Town
Angell of Randolph
Barney of Highgate
Bourdeau of Hyde Park
Brunelle of Winooski
Clark of St. Johnsbury
Crawford of Burke
Dwyer of Thetford
Edwards of Swanton
Freed of Dorset
Fyfe of Newport City
Ginevan of Middlebury
Grant of Groton
Gray of Barre Town
Hill of Milton
Holmes of Bethel
Howrigan of Fairfield
Hudson of Lyndon
Hyde of Fayston
Keenan of St. Albans City
Kendall of Woodstock
Knox of Northfield
LaBarge of Grand Isle
Larrabee of Danville
Lindgren of Springfield
Marron of Stowe
Maslack of Poultney
McGrath of Ferrisburg
Metzger of Milton
Morrissey of Bennington
Palmer of Pownal
Parizo of Essex
Peaslee of Guildhall
Pembroke of Bennington
Perry of Richford
Pike of Mendon
Richardson of Weathersfield
Robb of Swanton
Schiavone of Shelburne
Sheltra of Derby
Sherman of St. Johnsbury
Simpers of Colchester
Steele of Waterbury
Suchmann of Chester
Sweetser of Essex
Towne of Berlin
Voyer of Morristown
Waite of Pawlet
Walker of Brownington
Westman of Cambridge
Willett of St. Albans City
Winters of Williamstown
Wisell of Bristol
Wood of Brandon
Young of Orwell
Those members absent with leave of the House and not voting are:
Alberico of Rutland City
Bristol of Brattleboro
Casavant of Winooski
Helm of Castleton
Kitzmiller of Montpelier
Kurt of Colchester
Livingston of Manchester
Mazur of South Burlington
Milkey of Brattleboro
Poirier of Barre City
Ranney of Castleton
Seibert of Norwich
Stafford of Brighton
Weiss of Northfield
Read Third Time; Passed in Concurrence with
Proposal of Amendment and Messaged to Senate Forthwith
S. 73
Senate bill, entitled
An act relating to rbST labeling;
On motion of Rep. Freed of Dorset, the rules were suspended and the bill placed on all remaining stages of passage in concurrence with proposal of amendment. The bill was read the third time and passed in concurrence with proposal of amendment and, on motion of Rep. Freed of Dorset, the rules were suspended and the bill was ordered messaged to the Senate forthwith.
Report of Committee of Conference Adopted
and Messaged to Senate Forthwith
S. 59
Pending entrance of the bill on the Calendar for notice, on motion of Rep. Freed of Dorset, the rules were suspended and Senate bill, entitled
An act relating to motor vehicle registrations;
Was taken up for immediate consideration.
The Speaker placed before the House the following Committee of Conference report:
To the Senate and House of Representatives:
The Committee of Conference to which were referred the disagreeing votes of the two Houses, respectfully reports that it has met and considered the same and recommends that the Senate accede to the House proposal of amendment.
Which was considered and adopted on the part of the House.
Rep. Theodore Lindgren Sen. Richard Mazza
Rep. Thomas Alberico Sen. Thomas Bahre
Rep. Margaret Hummel Sen. Cheryl Hooker
Committee on the Part of the House Committee on the Part of the Senate
On motion of Rep. Freed of Dorset, the rules were suspended and the bill was ordered messaged to the Senate forthwith.
Recess
At four o’clock and fifty-five minutes in the afternoon, the Speaker declared a recess until five o’clock and thirty minutes in the afternoon.
At five o’clock and thirty minutes in the afternoon, the Speaker called the House to order.
Recess
At five o’clock and thirty minutes in the afternoon, the Speaker declared a recess until eight o’clock in the evening.
At eight o’clock and ten minutes in the evening, the Speaker called the House to order.
Message from Senate
A message was received from the Senate by Mr. Marshall, its Assistant Secretary, as follows:
Mr. Speaker:
I am directed to inform the House that the Senate has considered a bill originating in the House of the following title:
H. 527. An act relating to equal educational opportunity.
And has passed the same in concurrence with proposal of amendment in the adoption of which the concurrence of the House is requested.
Senate Proposal of Amendment Not Concurred in;
Committee of Conference Requested and Appointed
and Messaged to Senate Forthwith
H. 527
Pending entrance of the bill on the Calendar for notice, on motion of Rep. Freed of Dorset, the rules were suspended and House bill, entitled
An act relating to equal educational opportunity;
Was taken up for immediate consideration.
The Senate proposes to the House to amend House bill by striking all after the enacting clause and inserting in lieu thereof the following:
PART I
* * * EQUAL EDUCATION FOR ALL STUDENTS * * *
Sec. 1. 16 V.S.A. § 1 is added to read:
§ 1. EQUAL EDUCATIONAL OPPORTUNITY
Education is fundamental for the success of Vermont's children in a rapidly-changing society and global marketplace as well as for the state's own economic and social prosperity. To keep Vermont's democracy competitive and thriving, Vermont students must be afforded substantially equal access to a quality basic education. However, one of the strengths of Vermont’s education system lies in its rich diversity and the ability for each local school district to adapt its educational program to local needs and desires. Therefore, it is the policy of the state that all Vermont children will be afforded educational opportunities which are substantially equal although educational programs may vary from district to district.
Sec. 2. 16 V.S.A. § 164 is amended to read:
§ 164. STATE BOARD, GENERAL POWERS AND DUTIES
The state board shall have supervision over, and management of the department of education and the public school system, except as otherwise provided; and shall:
* * *
(9) Implement and continually update standards for student performance in appropriate content areas and at appropriate intervals in the continuum from kindergarten to grade 12 and methods of assessment to determine attainment of the standards for student performance. The standards shall be rigorous, challenging and designed to prepare students to participate in and contribute to the democratic process and to compete in the global marketplace. The standards shall include a standard for reading level proficiency for students completing grade three.
(10) Establish an information clearinghouse and accessible database to help districts share information about educational programs and practices which improve student performance.
* * *
*[(12) Constitute the state board for the technical rehabilitation program and perform all the duties and powers prescribed by law pertaining to technical rehabilitation and to act as the state approval agency for educational institutions conducting technical rehabilitation programs.]*
* * *
(14) Adopt rules for *[approved]* approval of independent schools *[which offer education other than or in addition to kindergarten, separate rules for approvedindependent schools which offer only kindergarten education, and separate rules for public schools, relating to instruction, faculty, curriculum, libraries, educational materials and physical facilities, which are necessary to provide an acceptable educational opportunity for pupils in those schools]*.
* * *
(16) In cooperation with the commissioner, ensure that information, plans and assistance are developed by the department to aid in making technology and telecommunications available and coordinated in all school districts. The board shall develop guidelines for distribution of federal, state or private funds designated for the development or expansion of distance learning technologies. The guidelines shall encourage, consistent with any terms or conditions established by the funding source, collaboration between schools and school districts to realize economic and educational efficiencies.
(17) Report annually on the condition of education statewide and on a school by school basis. The report shall include information on attainment of standards for student performance adopted under subdivision 164(9) of this title, financial resources and expenditures, and community social indicators. The report shall be organized and presented in a way that is easily understandable by the general public and that enables each school to determine its strengths and weaknesses. The commissioner shall use the information in the report in determining whether students in each school are provided educational opportunities substantially equal to those provided in other schools pursuant to subsection 165(b) of this title.
(18) Ensure that Vermont’s children have access to a substantially equal educational opportunity by developing a system to evaluate the equalizing effects of Vermont’s education finance system and school quality standards under section 165 of this title. Beginning in school year 2000 and every five years thereafter, or more often if requested by the general assembly, the state board shall report to the general assembly concerning the results of this evaluation and recommendations for change if needed.
(19) Develop and make available to school boards, sample ballot language for items which may be voted on by Australian ballot and for which no statutory language exists.
Sec. 3. 16 V.S.A. § 165 is amended to read:
§ 165. *[APPROVAL OF PUBLIC SCHOOLS]* PUBLIC SCHOOL QUALITY STANDARDS; EQUAL EDUCATIONAL OPPORTUNITIES
*[(a) On application, the state board shall approve a public school if it finds, after opportunity for hearing, that the school provides a minimum course of study and that it substantially complies with the board's rules of approved public schools.]*
*[(b) Approvals under this section shall be for a term established by rule of the board.]*
*[(c) The state board may revoke or suspend the approval of a public school, after opportunity for hearing, for substantial failure to comply with a minimum course of study or with the rules for approved public schools. Upon revocation or suspension, students enrolled in that school shall become truant unless absent with legal excuse or they enroll in another approved public school, approved or recognized independent school or home study program.]*
(a) In order to carry out Vermont’s policy that all Vermont children will be afforded educational opportunities which are substantially equal in quality, each Vermont public school shall meet the following school quality standards:
(1) The school shall, through a process including parents, teachers and community members, develop and implement a comprehensive action plan to improve the performance of every student within the school. The plan shall include goals and objectives for improved student learning and educational strategies and activities to achieve their goals. The school shall assess student performance under the plan using a method or methods or assessment developed under subdivision 164(9) of this title.
(2) The school, at least annually, shall report student performance results to community members in a format selected by the school board. The school report shall include:
(A) information indicating progress toward meeting standards from the most recent measure taken,
(B) information about the health and social well-being status of children in the school district,
(C) information indicating progress toward meeting the goals of an annual action plan,
(D) any other statistical information about the school or community that the school board deems necessary to place student performance results in context,
(E) information about early reading instruction provided under subsection 2903(c) of this title,
(F) early care and education opportunities available to children, and
(G) community support available to families.
(3) The school shall substantially meet other school quality standards adopted by rule of the state board regarding conditions, practices and resources of schools. Resources include use of distance learning and other technologies which broaden the curriculum and expand learning opportunities.
(4) The school shall provide for and the staff shall use needs-based professional development designed to improve the quality of education provided to the students and directly connected to standards for student performance established by the state board and any other educational performance goals established by the school board.
(5) The school shall use staff evaluation to advance educational performance objectives.
(6) The school, if it is a secondary school, shall offer a genuine opportunity to access technical education programs.
(7) The school ensures that students are provided educational services in accordance with any state or federal entitlements and in a nondiscriminatory manner.
(b) Every two years, the commissioner shall determine whether students in each Vermont public school are provided educational opportunities substantially equal to those provided in other public schools. If the commissioner determines that a school is not meeting the school quality standards listed in subsection (a) of this section or that the school is making insufficient progress in improving student performance in relation to the standards for student performance set forth in subdivision 164(9) of this title, he or she shall describe in writing actions that a district must take in order to meet either or both sets of standards and shall provide technical assistance to the school.
If the school fails to meet standards or make sufficient progress by the end of the next two-year period, the commissioner shall recommend to the state board one or more of the following actions:
(1) continue technical assistance,
(2) adjust supervisory union boundaries or responsibilities of the superintendency,
(3) assume administrative control only to the extent necessary to correct deficiencies, or
(4) close the school and require that the school district pay tuition to another public school or an approved independent school pursuant to chapter 21 of this title.
(c) The state board, after offering the school board an opportunity for a hearing, shall either dismiss the commissioner's recommendation or order that one or more of the actions listed in subsection (b) of this section be taken. The action ordered by the state board shall be consistent with the need to provide students attending the school substantially equal educational opportunities. A school board aggrieved by an order of the state board may appeal the order in accordance with the rules of civil procedure.
(d) Nothing herein shall be construed to entitle any student to educational programs or services identical to those received by students in the same or any other school district. Further, nothing herein shall create a private right of action.
Sec. 4. 16 V.S.A. § 166(g) is added to read:
(g) An approved independent school which accepts students for whom the district of residence pays tuition under chapter 21 of this title shall use the assessment or assessments required under subdivision 164(9) of this title to measure attainment of standards for student performance of those pupils. In addition the school shall provide data related to the assessment or assessments as required by the commissioner.
Sec. 5. 16 V.S.A. § 180 is added to read:
§ 180. STATEWIDE STRATEGIC EDUCATION PLAN
By July 1, 1998, the state board of education shall adopt through a public process a statewide strategic education plan to describe how the agency will help school boards to improve student performance. Every five years thereafter, the state board shall update and readopt the plan. The goals of the plan shall be to strengthen coherence and consistency among state and local education goals, standards for student performance, assessments, professional development opportunities and action plans, and to provide support for local curriculum development. The plan shall include information as to the economic costs of implementation and the education benefits to be derived.
Sec. 5a. 16 V.S.A. § 215 is added to read:
§ 215. STAR SCHOOLS PROGRAM; CHALLENGE TO EXCELLENCE GRANTS
(a) Purpose. It is a goal of the general assembly to promote quality education for every Vermont child and to create an opportunity for every Vermont student to achieve his or her personal best, while respecting divergent student goals and personal learning styles and abilities. The general assembly further finds that a school’s climate for learning is improved when parents, community members and business leaders actively participate in promoting educational opportunities for every student. Further, it is the compassion and innovation of individual teachers and school personnel that often create the impetus for students to achieve excellence in education.
(b) The commissioner shall establish and implement a star schools program designed to annually identify five Vermont schools which have performed exceptionally well. The commissioner shall establish a process for accepting and processing applications for star school status, choosing annual winners, officially recognizing winners and publicizing their selection, and awarding the winner $1,000.00. In choosing the five schools the commissioner shall use the following criteria:
(1) The school has an identifiable specialization that addresses student educational needs and promotes high student achievement.
(2) The school’s faculty is engaged in professional development activities and research that contributes to exemplary teaching practices in the classrooms.
(3) The school’s educational program and management demonstrate administrative and fiscal efficiency.
(4) The school has an outstanding record of performance measured in terms of student results and school accomplishments.
(5) The school works collaboratively to create a positive school environment with any or all of the following: parents, business, the community and higher education.
(c) The commissioner shall establish and implement a challenge to excellence grant program for the purpose of promoting quality education for Vermont students. Eligible applicants include Vermont public elementary, middle, secondary and vocational schools, and Vermont supervisory unions on behalf of a school or schools. All proposals shall be to develop or carry out acomprehensive plan to create educational opportunities for each student within the school. Grants shall be for up to $50,000.00 and shall include a 1-1 match from other sources of funding including grants from businesses, foundations or other federal or local funding. Priority shall be given to schools when the commissioner finds that children have had inadequate educational opportunity. Eligible activities include:
(1) A comprehensive planning and goal-setting process to promote a quality education for all students within the school.
(2) Activities to carry out a comprehensive plan to promote quality education for students within the school.
(3) Innovative methods to create educational opportunities for students according to a comprehensive plan, including but not limited to special classes and activities; mentorship; summer institutes on math, service, the arts or technology; partnerships for learning with businesses, post-secondary institutions and community organizations; tutorials; programs for at-risk or gifted students; guidance, peer counseling and career planning activities.
Sec. 5b. APPROPRIATION
(a) The amount of $5,000.00 is appropriated from the general fund to the commissioner of education for awarding $1,000.00 each to five star schools chosen pursuant to 16 V.S.A. § 215 in school year 1998.
(b) The amount of $750,000.00 is appropriated from the general fund to the commissioner of education for awarding challenge to excellence grants in school year 1998.
Sec. 6. 16 V.S.A. § 824 (c) is amended to read:
(c) *[The]* For students in grades 7 and 8, the district shall pay an amount not to exceed the average announced tuition of Vermont union high schools for students in grades 7 and 8 for the year of attendance for its pupils enrolled in an approved independent school not functioning as a Vermont area technical center, or any higher amount approved by the electorate at an annual or special meeting warned for that purpose. For students in grades 9-12, the district shall pay an amount not to exceed the average announced tuition of Vermont union high schools for students in grades 9-12 for the year of attendance for its pupils enrolled in an approved independent school not functioning as a Vermont area technical center, or any higher amount approved by the electorate at an annual or special meetingwarned for that purpose. However, any increased amount approved by the electorate may not be included as a current expenditure of the district for the purposes of aid paid under chapter 123 of this title.
Sec. 7. [DELETED]
Sec. 8. 16 V.S.A. § 2903 is added to read:
§ 2903. PREVENTING EARLY SCHOOL FAILURE; READING INSTRUCTION
(a) Statement of policy. The ability to read is critical to success in learning. Children who fail to read by the end of the first grade will likely fall further behind in school. The personal and economic costs of reading failure are enormous both while the student remains in school and long afterward. All students need to receive systematic reading instruction in the early grades from a teacher who is skilled in teaching reading through a variety of instructional strategies that take into account the different learning styles and language backgrounds of the students. Some students may require intensive supplemental instruction tailored to the unique difficulties encountered.
(b) Foundation for literacy. The state board of education, in collaboration with the agency of human services, higher education, literacy organizations and others, shall develop a plan for establishing a comprehensive system of services for early education in the first three grades to ensure that all students learn to read by the end of the third grade. The plan shall be submitted to the general assembly by January 15, 1998 and shall be updated at least once every five years.
(c) Reading instruction. A public school which offers instruction in grades one, two or three shall provide highly effective, research-based reading instruction to all students. In addition, for any student whose reading performance falls below the level expected in order to achieve third grade reading proficiency, as defined under subdivision 164(9) of this title, the school shall work to improve the student’s reading skills by providing additional research-based reading instruction to the student, and by providing support and information to parents and other family members.
Sec. 9. 16 V.S.A. § 2944(f) is added to read:
(f) The state board of education shall, by rule, require that whenever an individual education plan requires related services, the plan shall include a statement that the team has made the determination that the services are necessary consistent with the requirements of 34 CFR 300.16.
Sec. 10. 16 V.S.A. § 2950(c) is added to read:
(c) Out-of-state placement: For a state-placed student who is placed outside of Vermont and who is attending a public school outside of Vermont, the commissioner of education shall pay the education costs for the student.
Sec. 11. HUMAN SERVICES AND EDUCATION PROVIDERS; INCENTIVES FOR REGIONAL COLLABORATIVES FOR EARLY INTERVENTION SERVICES; UNIFIED BUDGET
(a) The general assembly believes that human services and education providers should:
(1) examine existing models of collaboration in the state of Vermont to identify best practice for collaboration; examine practices in other states that show improved gains for children;
(2) find ways to remove barriers to collaboration, promote better outcomes, and maximize available resources;
(3) collaborate for provision of services to children with emotional behavioral disabilities in a way that is effective and fair to both the children receiving the services and other children in the school district; and
(4) identify uses of technology which will increase access to the services and information available through the department of education and the agency of human services, while maintaining personal and family privacy.
(b) The commissioner of education shall request, in the state board of education budget and the budget request submitted to the governor for fiscal year 1999, funds for provision of incentives for up to three regional collaboratives providing services to help children prepare for and succeed in school. Collaboratives are combinations of the resources of two or more school districts, supervisory unions and/or human services agencies. The general assembly shall permit and encourage the commissioner of education and the secretary of the agency of human services to employ currently existing mechanisms to promote and expand the quality and availability of early care and education. Should federal changes expand the options for collaboration, the general assembly directs the commissioner of education and the secretary of the agency to take advantage of such opportunities.
(c) In order to maximize resources, the general assembly requests that the secretary of human services and the commissioner of education jointly present portions of their budgets devoted to provision of services to children and secondarystudents under the age of 22 and their families. The secretary and commissioner shall also prepare, in their budget presentations to the appropriation committees, a presentation which shows how money is spent in each of the two agencies to provide early childhood education programs, family services and other appropriate programs and services provided to the same populations, as well as proposals for joint funding of programs that serve children and families.
Sec. 12. PUBLIC SCHOOL APPROVAL COMPLETION AND TRANSITION
(a) It is the intent of the General Assembly to finish the public school approval process begun in 1981. Therefore, the Vermont State Board of Education shall conduct a survey of schools yet to be approved under the existing public school approval standards on efforts remaining before approval can be granted and the cost of such efforts. In addition, the state board shall survey the schools in Vermont which have received public school approval to determine whether they continue to be in compliance with approval standards and, if not, reasons for noncompliance. On or before December 15, 1997, the state board shall report in writing on its survey results to the house and senate committees on education.
(b) Upon completion of the existing public school approval process, all rules adopted under 16 V.S.A. § 165 prior to July 1, 1998 are repealed. It is the intent of the General Assembly that the State Board of Education shall adopt rules delineating new standards of quality for schools pursuant to 16 V.S.A. § 165 no later than September 1, 1998. The General Assembly intends that the new standards shall retain those elements of the public school approval standards which are important to provide a quality education. It is the intent that the new standards be focused, to the greatest extent possible, on school and student performance.
(c) In order to ensure that the transition to the new system of education finance established in this act is accomplished in a way that enables all students to receive a quality education while adjustments to the new system are being made, the state board of education shall, by rule, adopt a system for determining which schools may be having trouble providing a quality education during the school years which begin in 1998 and 1999. The commissioner shall review those schools under 16 V.S.A. § 165 during the school years beginning 1998 and 1999 and shall immediately provide technical assistance to any that are not providing their students with a quality education. In addition the commissioner shall review under 16 V.S.A. § 165 during the school years beginning in 1998 and 1999, those schools whose per pupil spending was substantially above statewide average per pupil spending immediately prior to passage of this act and shall, if necessary, provide technical assistance to help provide a quality education if such a district choosesto reduce its spending level.
Sec. 13. STATE BOARD OF EDUCATION PLANS; TEACHING TO THE STANDARDS FOR STUDENT PERFORMANCE
(a) It is the intent of the general assembly that all Vermont public school educators, including those currently employed and future educators, will have a thorough knowledge and understanding of the standards for student performance developed by the State Board under 16 V.S.A. § 164(9) and will be able to teach Vermont students how to achieve those standards. The Vermont State Board of Education in collaboration with Vermont Standards Board for Professional Educators and the Vermont Higher Education Council is directed to:
(1) work with the Vermont Council of Teacher Educators to develop a plan that will ensure that this intent is met for applicants for an initial educator license, and
(2) work with the Vermont Council of the Teacher Educators, the Vermont School Boards Association, the Vermont Superintendents Association, The Vermont National Education Association and the Vermont Principals Association to develop a plan that will ensure this intent is met for all applicants for relicensure.
(b) The State Board shall present these plans, including any recommendations for legislative action, to the House and Senate Committees on Education by January 15, 1998. The plans shall include recommendations for ensuring that the intent of this section is carried out in the future.
Sec. 14. COMMISSIONER OF EDUCATION REPORT; PAYMENT RATES FOR SPECIAL EDUCATION SERVICES
The Commissioner of Education shall develop a list of special education services that are provided and paid for by school districts and shall recommend reasonable rates that school districts should pay for each service. The commissioner of education with the secretary of human services will explore and implement methods and policies that will permit Medicaid funds to pay for some or all of the services. On or before January 15, 1998, the Commissioner shall present the list of services and rates to the Senate and House Committees on Education.
Sec. 15. STATE BOARD OF EDUCATION; PLAN FOR ORGANIZATION OF PUBLIC EDUCATION
(a) It is the intent of the General Assembly to ensure that public education is organized to:
(1) afford substantially equal access to a quality basic education for all Vermont students in accordance with the Vermont supreme court decision of February 5, 1997, Brigham v. State of Vermont;
(2) support improved learning for children;
(3) result in administrative efficiency and achieve administrative cost effectiveness;
(4) build local school capacity for effective leadership, development and use of high standards, engagement in ongoing staff development and collaboration, focusing of resources for improved learning, responding to local needs, and other practices that will improve the quality of educational services;
(5) result in involvement of the community in governance of the school; and
(6) result in active involvement of parents and other members of the community in the life of the school.
(b) Therefore, the State Board of Education, after considering previous proposals for restructuring of Vermont’s public education system, shall develop two or more plans using a process which involves broad inclusion of the public, the business community, professional education organizations, parent groups and local government. At least one plan shall propose a consolidation of existing governing units into approximately 14 to 20 units and one shall propose a consolidation into approximately 55 to 65 units. Each plan shall include:
(1) suggestions for statutory changes required for implementation,
(2) a schedule for implementation which includes specific deadlines for completion of each step required to make the change,
(3) if a plan combines districts, either explicit criteria for redrawing the boundaries or proposed boundaries with explanations for each,
(4) recommended incentives for encouraging governing units to work collaboratively,
(5) an explanation as to how it achieves the goals of subsection (a) of this section, and
(6) an evaluation of its relative merits.
(c) Further, each plan shall:
(1) support pre-kindergarten through grade 12 curriculum coordination,
(2) coordinate with other ongoing efforts to build an excellent education system including the joint Human Resources Investment Council and State Board of Education study to develop a plan for a workforce education system and efforts to build strong community support systems for child care and early education,
(3) identify those administrative functions that are important to control at the school site and those which may be carried out at other levels,
(4) ensure that those governing the Vermont education system are accountable to the public for the quality of the education and administrative services provided, and
(5) enable maximum access to the services provided by other agencies providing services to children and families.
(d) The State Board of Education shall present the plans to the Senate and House committees on Education by January 15, 1998.
PART II
* * *PUBLIC SCHOOL CHOICE * * *
Sec. 16. REORGANIZATION
16 V.S.A. CHAPTER 21. MAINTENANCE OF PUBLIC SCHOOLS, is reorganized as follows:
(1) Subchapter 1 to consist of §§ 821 through 829 is created to read:
Subchapter 1. General Provisions
(2) Subchapter 2 to consist of §§ 831 through 833 is created to read:
Subchapter 2. School Districts Not Maintaining Public Schools
(3) Subchapter 3 to consist of §§ 841 through 843 is created to read:
Subchapter 3. School Districts Maintaining Public Schools for Grades 9-12
(4) § 834 is redesignated to be 16 V.S.A. § 1757.
(5) § 823 is redesignated to be 16 V.S.A. § 832.
(6) § 824 is redesignated to be 16 V.S.A. § 833.
Sec. 17. 16 V.S.A. § 822(a)(1) is amended to read:
(1) The electorate authorizes the school board to close an existing high school and to provide for the high school education of its pupils by paying tuition in accordance with law. *[ Tuition for its pupils shall be paid to an approved public or independent high school, to be selected by the parents or guardians of the pupil, within or without the state]*; or
Sec. 18. 16 V.S.A. § 825 is amended to read:
§ 825. MAXIMUM TUITION RATE, CALCULATED NET COST PER PUPIL DEFINED
(a) Calculated net cost per pupil for purposes of this chapter shall be defined by the commissioner. Expenditures shall include those for equipment and school building construction, additions or renovations. Expenditures excluded shall be:
(1) Transportation costs incurred by the *[receiving]* school district for its resident pupils;
(2) Transportation costs for which the *[receiving]* school district receives reimbursement;
(3) That portion of the total cost which is provided by direct grants from state or federal sources for salaries or other specific expenses;
(4) Expenditures for maintenance, and payments of principal and interest for buildings used exclusively for boarding students if any;
(5) Expenditures for special education.
(b) In no case shall the tuition charged be such that the ratio of the total tuition received to the total cost of operation of the receiving school, or school district, exceeds the ratio of the number of tuition paying pupils to the total number of pupils enrolled in the receiving school, or school district.
Sec. 19. 16 V.S.A. § 826 (e) is added to read:
(e) The provisions of this section apply to students for whom tuition is paid under sections 832, 833 and 842 of this title.
Sec. 20. 16 V.S.A. § 827(b) is amended to read:
(b) When the board of trustees of such school votes to accept this designation the school shall be regarded as a public school for tuition purposes and the school district shall pay tuition to the school only, except as provided for in this sectionand section 843 of this title, until such time as the school district or the board of trustees of the school votes to rescind the designation.
Sec. 21. 16 V.S.A. § 828 is amended to read:
§ 828. TUITION TO APPROVED SCHOOLS, AGE, APPEAL
*[A school district shall not pay the tuition of a pupil except]* Where payment of tuition is authorized under this chapter, it shall be only to a public or independent school, a public post-secondary institution approved by the state board , or a job-training program authorized by the commissioner*[, nor shall payment]*. Payment of tuition on behalf of a person shall not be denied on account of age. Unless otherwise provided, a person who is aggrieved by a decision of a school board relating to eligibility for tuition payments, the amount of tuition payable, or the school he or she may attend, may appeal to the state board and its decision shall be final.
Sec. 22. 16 V.S.A. § 829 is added to read:
§ 829. SECONDARY SCHOOL SENIORS; ENROLLMENT FOR FURTHER TRAINING
(a) A 12th grade student who has completed all requirements for graduation from secondary school may, if the student is eligible and accepted, enroll in a Vermont public post-secondary institution or a job training program authorized by the commissioner for all or part of the pupil’s senior high school year. By March 1 of each year, a school district shall provide general information about the enrollment options program to all students in grade 11. To assist the district in planning, a student shall inform the district by March 30 of each year of the pupil’s intent to enroll in courses in another institution during the following school year. A student is not bound by notifying or not notifying the district by March 30.
(b) A student may pay the difference between the amount charged and the amount paid by the district of residence. The school district of residence shall pay the lesser of:
(1) The actual costs of tuition, textbooks, materials, and fees directly related to the course or program taken by the secondary pupil.
(2) An amount equal to the amount of the general state support prorated for the percentage of total instructional hours per pupil in that pupil's resident district that the pupil is enrolled in a post-secondary or job-training course or program.
Sec. 22a. 16 V.S.A. § 829a is added to read:
(a) In addition to any other choices of school allowed under this chapter, any parent, parents or guardians of a Vermont student may choose to send the student to, or if the student is no longer a minor the student may choose to attend, any non-sectarian, public or independent school approved by the state board of education or the New England school Association of Schools and Colleges, provided that the school:
(1) accepts students on a nondiscriminatory basis, without regard to race, sex, sexual orientation, religious creed, color, national origin, disability or handicap, and
(2) agrees not to charge tuition to these students which is in excess of the per equalized pupil general state support grant.
(b) Unless otherwise agreed to by both the sending and receiving school boards or boards of trustees, an independent school receiving students under this section shall charge, and the district of residence shall pay to the school, a tuition equal to the amount of the per equalized pupil general state support grant.
(c) A school paying tuition for a student under this section shall also pay for special education costs in accordance with section 826 of this title.
Sec. 23. 16 V.S.A. § 831 is added to read:
§ 831. GENERAL PROVISIONS
(a) The provisions of this subchapter shall apply to school districts that do not maintain or designate a school.
(b) In this subchapter, "student" shall mean an elementary or secondary student when the context so indicates. However, when the student referred to is a minor, "student" shall mean the student’s parent, parents or guardians when the context so indicates.
(c) A secondary student residing in a district that does not maintain or designate a high school may attend at district expense, subject to the provisions of this subchapter, any approved public or independent high school within or without the state selected by the parents or guardians of the student.
Sec. 24. 16 V.S.A. §§ 841, 842 and 843 are added to read:
§ 841. GENERAL PROVISIONS
(a) The provisions of this subchapter shall apply to school districts that maintain or designate a school for grades 9, 10, 11 or 12 or any combination thereof.
(b) In this subchapter, "student" shall mean a secondary student when thecontext so indicates. However, when the student referred to is a minor, "student" shall mean the student’s parent, parents or guardians when the context so indicates.
(c) A secondary student residing in a district that maintains or designates a high school may attend at district expense, subject to the restrictions of this subchapter, any approved public high school within the state selected by the parents or guardians of the student.
§ 842. TUITION
Unless otherwise agreed to by both the sending and receiving school boards, a public school receiving students under this subchapter shall charge, and the district of residence shall pay to the school, a tuition equal to the calculated net cost per student in the receiving school or 1.15 times the statewide average calculated net cost, whichever is less. The receiving school shall not charge any tuition to the student.
§ 843. PUBLIC SCHOOLS; OPEN ENROLLMENT
(a) A school district that operates a public school in which it provides educational services to students in grades 9, 10, 11 or 12 shall provide educational services to any student who resides in another district in the state and whose tuition is paid under this subchapter, if the student:
(1) is eligible for entry into the grade,
(2) applies to attend one of those grades in a school in that district, and
(3) the school has capacity for the student.
(b) The school board of a school district shall pay tuition for any student who wishes to attend grades 9, 10, 11 or 12 in a public school in another school district. However, a school board may refuse to allow more than five percent of the students enrolled in a public or designated school to transfer to another school under this section in one year. If the board chooses to so restrict student choice, and in a given year more than five percent of the students wish to transfer to another school under this section, the board shall devise a nondiscriminatory lottery system for determining which students may transfer.
(c) Each school district board shall establish procedures for nonresident students to follow in applying for entry into the district's schools. The procedures shall provide, at a minimum, for:
(1) Acceptance of applications through January 1 of the school yearpreceding the school year for which the student is applying.
(2) Notification to the student of acceptance or rejection of the application by February 1 of the school year preceding the school year for which the student is applying.
(3) A requirement that the student notify the sending and receiving school districts of a decision to enter the receiving school district by February 15 of the school year preceding the school year for which the student has applied. Following February 15, the student may enter a school in a district other than the receiving district only if the student, receiving district, and other district agree and provided there is no extra cost to the sending district. However, if the student’s district of residence changes, the student may enroll in the public school of the new district of residence.
(d) If a student, enrolled in a public school in a receiving district notifies the district of residence by June 15 of the intent to return to the district of residence the following school year, the student shall be permitted to return to the public school in the district of residence without acquiring agreement of the receiving district and the district of residence.
(e) A student enrolled in a district other than the district of residence under this section, may remain in the receiving district without renewed applications in subsequent years unless one of the following occurs:
(1) The student graduates.
(2) The student is no longer a Vermont resident.
(3) The student is expelled from school in accordance with adopted school policy.
(f) A local school board shall establish rules governing acceptance and rejection of applications for entry into a school by a nonresident student. Rules may not include acceptance or rejection based on previous academic achievement, athletic or other extracurricular ability, the need of the student for special services or previous disciplinary proceedings. Rules shall include:
(1) A definition of the school’s capacity. The definition shall be based on the rule of the state board adopted under subsection (i) of this section and may provide for establishment of capacities of individual programs, classes, grades or buildings.
(2) A nondiscriminatory lottery system for choosing students when there isno space available for all qualified applicants.
(3) A provision giving preference to siblings of students already accepted into the school.
(g) For purposes of receiving state aid to education, a student enrolled outside the district of residence under this subchapter shall be counted in the average daily membership of the district of the student's residence.
(h) In order to help parents and students make informed decisions about a choice of a public school, the commissioner shall provide information to parents and students concerning the quality and available capacity in public schools throughout the state.
(i) The state board of education shall adopt a rule defining capacity of a local school to accept a student under this section. The definition shall include rules for measuring a school's physical capacity and for determining the economic feasibility of accepting nonresident students.
Sec. 25. EFFECTIVE DATES; TRANSITIONAL PROVISION
(a) Secs. 16 through 24 of this act shall take effect on July 1, 1998 in order to enable students to apply to nonresident schools and to enable schools to process applications. However, no student shall transfer to another school district under these sections before July 1, 1999.
(b) Notwithstanding the provisions of 16 V.S.A. § 843(b), for school year 1999-2000, a school board may refuse to allow more than one percent of its students enrolled in a public or designated school to transfer to another school under section 843 of Title 16. Each school year thereafter, the allowable percentage shall increase by one percent until the total percentage is five.
PART III
* * * FINANCING EDUCATION: BASIC EDUCATION FUNDING * * *
Sec. 26. 16 V.S.A. chapter 133 is added to read:
CHAPTER 133. STATE AND LOCAL FUNDING OF PUBLIC EDUCATION
Subchapter 1. General Provisions
§ 4000. STATEMENT OF POLICY
(a) The intent of this chapter is to make educational opportunity available toeach pupil in each town on substantially equal terms, in accordance with the Vermont supreme court decision of February 5, 1997, Brigham v. State of Vermont.
(b) Substantially equal access to similar revenues per pupil will be provided by a combination of state block grants and local education spending. This local education spending will be substantially equalized so that each school district will have substantially equal capacity to raise and provide the same amount per pupil on the local tax base.
§ 4001. DEFINITIONS
For the purpose of this chapter:
(1) "Average daily membership" of a school district in any year means:
(A) the full-time equivalent enrollment of pupils, as defined by the state board by rule, who are legal residents of the district attending a school owned and operated by the district, attending a public school outside the district under an interdistrict agreement, or for whom the district pays union school assessment or tuition to one or more approved independent schools or public schools outside the district during the annual census period. The census period consists of the first 40 days of the school year in which school is actually in session, and
(B) the full-time equivalent enrollment in the year between the end of the last census period and the end of the current census period, of any state-placed students as defined in subdivision 11(a)(28) of this title. The full-time equivalent enrollment of state-placed students attending a union school shall be divided among the member districts in the same proportions that the members divide assessment. A school district which provides for the education of its students by paying tuition to an approved independent school or public school outside the district shall not count a state-placed student for whom it is paying tuition for purposes of determining average daily membership. A school district which is receiving the full amount, as defined by the commissioner by rule, of the student’s education costs under section 2950(a) of this title, shall not count the student for purposes of determining average daily membership. A state-placed student who is counted in average daily membership shall be counted as a student for the purposes of determining weighted student count.
(2) "Equalized grand list" has the same meaning that equalized education property tax grand list has in chapter 135 of Title 32.
(3) "Equalized pupils" means the long-term weighted average daily membership multiplied by the ratio of the statewide long-term average daily membership to the statewide long-term weighted average daily membership.
(4) "Equalized yield rate" means the amount that a school district is provided per equalized pupil for each penny of property tax levied on its equalized grand list. If a district actually raises less than the equalized yield rate, the difference shall be paid to the district from the education fund. If a district actually raises more than the equalized yield rate, the district shall pay the difference into the education fund.
(5) "General state support grant" means the per pupil aid grant distributed under section 4011 of this title.
(6) "Local education spending" means the amount of the school budget which is paid for from the general state support grant and from local share property tax revenues. Local education spending does not include any portion of the school budget paid for by any other sources such as endowments, parental fund raising, federal funds, nongovernmental grants or other state funds such as special education funds paid under chapter 101 of this title.
(7) "Long-term membership" of a school district in any school year means the mean average of the district's average daily membership, excluding full-time equivalent enrollment of state-placed students, over two school years, plus full-time equivalent enrollment of state-placed students for the most recent of the two years.
(8) "Poverty ratio" means the number of persons, aged six through 17, who reside in a school district with a family unit receiving food stamps, divided by the long-term membership of the school district. The commissioner shall use a method of measuring the food stamp population which produces data reasonably representative of long-term trends.
(9) "Public school" means an elementary school or secondary school for which the governing board is publicly elected. A public school may maintain evening or summer school for its pupils and it shall be considered a public school.
(10) "School district" means a town, city or incorporated school district, interstate school district, joint contract school district, the member towns of a unified union district or an unorganized town or gore.
(11) "School year" means a year beginning on July 1 and ending on the following June 30.
(12) "Weighted long-term membership" of a school district in any school year means the long-term membership adjusted pursuant to section 4010 of this title.
§ 4002. PAYMENT; ALLOCATION
(a) State and federal funds appropriated for services delivered by the supervisory union and payable through the department of education shall be paid to the order of the supervisory union and administered in accordance with the plan adopted under subdivision 261a(4) of this title. Funding for special education services under section 2969 of this title shall be paid to the districts in accordance with that section.
(b) Funds for local education spending shall be paid from the education fund in accordance with section 4028 of this title to the treasurer of each school district, after certification of the amount due each district by the commissioner of education.
(c) The commissioner shall notify the superintendent or chief executive officer of each supervisory union in writing of federal or state funds disbursed to member school districts.
§ 4003. CONDITIONS
(a) No school district shall receive any aid under this chapter unless that school district complies with the provisions of law relative to teachers' salaries, appointment of superintendents, detailed financial reports to the state department of education, and any other requirements of law.
(b) Aid to any district shall not be denied unless such district unreasonably refuses to comply with such requirements of law. Any school district denied aid by reason of the provisions of this section shall have the right within 60 days from the date of such denial to appeal to the superior court in the county where such district is situated.
Subchapter 2. General State Support of Public Education
§ 4010. DETERMINATION OF WEIGHTED MEMBERSHIP
(a) On or before the first day of December during each school year, the commissioner shall determine the average daily membership of each school districtfor the current school year. The determination shall list separately:
(1) resident pupils being provided elementary education; and
(2) resident pupils being provided secondary education.
(b) The commissioner shall determine the long-term membership for each school district for each student group described in subsection (a) of this section. The commissioner shall use the actual average daily membership over two consecutive years, the latter of which is the current school year.
(c) The commissioner shall determine the weighted long-term membership for each school district using the long-term membership from subsection (b) of this section and the following weights for each class:
Grade Level Weight
Elementary 1.0
Secondary 1.25
(d) The weighted long-term membership calculated under subsection (c) of this section shall be increased for each school district to compensate for additional costs imposed by students from economically deprived backgrounds. The adjustment shall be equal to the total from subsection (c), multiplied by 25 percent, and further multiplied by the poverty ratio of the district.
(e) The weighted long-term membership calculated under subsection (c) of this section shall be further increased by 0.2 for each pupil in average daily membership for whom English is not the pupil’s primary language. The state board of education shall adopt rules which will enable clear and consistent identification of pupils to be counted under this subsection.
§ 4011. GENERAL STATE SUPPORT GRANTS
(a) Annually, the general assembly shall appropriate funds to pay for a general state support grant for each equalized pupil. The amount shall be equal to the amount appropriated the previous year increased by the most recent price index for state and local government purchases of goods and services.
(b) Annually, each school district shall receive a general state support grant for support of basic education costs. Funds distributed under this section shall be allocated on the basis of the equalized pupils in each school district.
(c) If a school district provides for the education of its students by paying tuition, the district shall receive the lesser of the tuition paid or the general statesupport grant amount.
(d) Funds received under this section which are attributable to an increase in student count due to the poverty ratio of the district shall be used by the district to provide learning readiness experiences for preschool age children or early reading and math experiences for school age children. These services shall be provided to children who are at risk of not succeeding in the general education environment. School districts are authorized to work collaboratively to share resources or otherwise find ways to maximize use of funds received under this section.
§ 4012. STATE-PLACED STUDENTS
A district which provides for the education of its students by paying tuition to an approved independent school or a public school outside the district, shall receive from the commissioner an amount equal to the calculated net cost per pupil in the receiving school, as defined in section 825 of this section, prorated for the percentage of annual tuition billed for a state-placed student. If the calculated net cost per pupil in a receiving school located outside Vermont is not available, the commissioner shall pay the tuition charged. A district shall not receive funds under this section if all the student’s education costs are fully paid under section 2950(a) of this title.
§ 4013. TRANSPORTATION REIMBURSEMENT
(a) Each school district which incurs allowable transportation expenditures shall receive a transportation reimbursement grant each year. The grant shall be equal to 50 percent of allowable transportation expenditures; provided, however that in any year the total amount of grants under this section shall not exceed the total amount of adjusted base year transportation grant expenditures. The total amount of base year transportation grant expenditures shall be $10,000,000.00 for fiscal year 1997 increased each year thereafter by the annual price index for state and local government purchases of goods and services. If in any year the total amount of the grants under this section exceed the adjusted base year transportation grant expenditures, the amount of each grant awarded shall be reduced proportionately.
(b) The superintendents of each supervisory union or the executive officer of each incorporated school district, together with the regional planning commissions of the respective regions, shall develop a comprehensive, integrated, region-wide transportation plan for transportation of pupils in all school districts within each region. The plans shall be submitted to Secretary of Transportation, theCommissioner of Education, and the Legislative Oversight Committee on Education Restructuring on or before January 1 1998.
(c) For the purpose of this section, "allowable transportation expenditures" means the costs of transporting students to and from school for regular classroom services and shall not include expenditures for transporting students participating in curricular activities that take place off the school grounds nor for transporting students participating in cocurricular activities. The state board of education shall further define allowable transportation expenditures by rule.
(c) A district may apply, and the commissioner may pay, for extraordinary transportation expenditures incurred due to geographic or other conditions. The commissioner shall define extraordinary transportation expenditures by rule.
Subchapter 3. Local Funding of Education
§ 4025. EDUCATION FUND
(a) An education fund is established to be comprised of the following:
(1) All revenue paid to the state from the education property tax under chapter 135 of Title 32.
(2) Local share property tax revenues from those school districts which adopt budgets with local education spending in excess of the general state support grant and which are able to raise more than the equalized yield rate.
(3) General funds appropriated by the general assembly.
(4) On and after July 1, 1998, revenues from state lotteries under chapter 14 of Title 31.
(b) Moneys in the education fund shall be paid to school districts for the support of education in accordance with the provisions of section 4028 of this title, other provisions of this chapter, and the provisions of chapter 135 of Title 32. The state treasurer shall withdraw funds from the education fund upon warrants issued by the commissioner of finance and management based on information supplied by the commissioner of taxes. The commissioner of finance and management may draw warrants for disbursements from the fund in anticipation of receipts.
(c) An equalization and reappraisal account is established within the education fund. Moneys from this account are to be used by the division of property valuation and review for staff, equipment, lister training and administration of the equalization studies pursuant to section 5404 of Title 32, and to assist towns withmaintenance or reappraisal on a case-by-case basis; and for reappraisal payments pursuant to section 4041a of Title 32, and equalization studies pursuant to section 5405 of Title 32 and for reappraisal payments pursuant to section 4041a of Title 32.
(d) Upon withdrawal of funds from the education fund for any purpose other than those authorized by this section, chapter 135 of Title 32 (education property tax) is repealed.
§ 4026. EDUCATION FUND BUDGET STABILIZATION RESERVE; CREATION AND PURPOSE
(a) It is the purpose of this section to reduce the effects of annual variations in state revenues upon the education fund budget of the state by reserving certain surpluses in education fund revenues that may accrue for the purpose of offsetting deficits.
(b) There is hereby created an education fund budget stabilization reserve to be administered by the commissioner of finance and management. Any undesignated education fund surplus occurring at the close of a fiscal year shall be reserved within the education fund budget stabilization reserve, provided that the balance reserved shall not exceed five percent of the appropriations from the education fund for the prior fiscal year, and any additional amounts as may be authorized by the general assembly. Any undesignated education fund surplus remaining after the education fund budget stabilization reserve has been brought to the maximum authorized level shall remain in the education fund. When the general assembly next meets, it may specifically appropriate the use of the undesignated education fund surplus for increased support for education.
(c) In any fiscal year in which the education fund is found to have a fund deficit, the education fund budget stabilization reserve shall be used by the commissioner of finance and management to the extent necessary to offset the education fund deficit.
(d) Determination of the amount of the undesignated education fund surplus or fund deficit in any fiscal year for the purposes of this section shall be made by the commissioner of finance and management. Adjustment may be made to the transfers authorized in subsections (b) and (c) of this section upon receipt of the final audited annual report of the commissioner of finance and management.
§ 4027. DETERMINATION OF EQUALIZED YIELD RATE AND AMOUNTS DUE TO OR FROM THE EDUCATION FUND
(a) Annually, on or before June 30, the commissioner of education shall determine the equalized yield rate which will be used to determine the amount a school district, which adopts a budget with local education spending in excess of the general state support grant, shall pay into or receive from the education fund.
(b) For purposes of this calculation, if, by June 1, any school district has failed to adopt a budget of this title for the school year beginning the next July 1, the commissioner shall use the school district’s most recently adopted budget. If a school district subsequently adopts a budget in a different amount,
(1) a district which is due money from the fund shall receive the lesser of the amount due based on the former year’s budget or the amount due based on the actual budget voted; and
(2) a district which is required to pay money into the fund shall pay the greater of the amount due based on the former year’s budget or the amount due based on the actual budget voted.
(c) The commissioner shall determine the equalized yield rate, using only those school districts which adopt a budget with local education spending in excess of the state support grant, as follows:
(1) For each school district, calculate the amount that would be raised for one penny of tax levied on the equalized grand list of the school district.
(2) For each school district, calculate the amount of local education spending per equalized pupil, if any, that will not be paid for from revenues received from the general state support grant.
(3) For each school district, multiply the amount determined under subdivision (1) of this subsection by the amount determined under subdivision (2) and add the amounts for each district together to get a statewide total and add general fund monies appropriated to ensure that tax rates will not increase due to appraisal of properties enrolled in the land use value program under chapter 124 of Title 32.
(4) For each school district multiply the number of equalized pupils by the amount determined under subdivision (2) of this subsection and add the amounts for each district together to get a statewide total.
(5) Divide the statewide total determined under subdivision (3) of this subsection by the statewide total determined under subdivision (4).
(d) The commissioner shall determine amounts due to or from school districts for each school district which has adopted a budget in excess of the general state support grant as follows:
(1) Divide the amount determined under subdivision (2) of subsection (c) by the equalized yield rate.
(2) Multiply the amount determined under subdivision (1) of subsection (c) by subdivision (1) of this section.
(3) Subtract the amount determined under subdivision (2) of this section from the amount determined under subdivision (4) of subsection (c).
(e) On or before, June 30, the commissioner of education shall inform each school district which has voted a budget with local education spending in excess of the general state support grant, how much it will owe to the education fund or how much it will receive from the fund.
§ 4028. FUND PAYMENTS
(a) On or before September 1, January 2 and April 30 of each school year, each school district shall receive funds equal to one-third of:
(1) general state support and transportation reimbursement grants due under sections 4011 and 4013 of this title;
(2) the amount due to a district which adopts a budget with local education spending in excess of the general state support grant and which is able to raise less than the equalized yield rate.
(b) Payments made for special education under chapter 101 of this title and for technical education under chapter 37 of this title shall also be from the education fund.
(c) The commissioner shall determine a school district's net payment amount due the fund, which is the amount due under subsection 5403(b) of Title 32 in excess of the payments due the district under subdivision (a)(1) of this section and the net payment due the state under sections 428 and 511 of Title 16. If a school district fails to deposit the net amount due under section 5409(d) of Title 32, or fails to deposit the amount due under section 4027 of this title, on or before the due date therefor, then in addition to any other penalties prescribed by law, payments to be made under this section shall be reduced by a percentage equal to the unpaid portion of the amount due. However, in no case shall payments to theschool district equal more than 80 percent of the payments due the school district under this section until the municipality has paid in full.
§ 4029. USE OF FUNDS FOR LOCAL EDUCATION SPENDING
(a) Funds for local education spending may be used by a school district only for legitimate items of current education expense and shall not be used for municipal services.
(b) Funds raised under section 2664 of Title 17, section 2601 of Title 20 or section 1309 of Title 24 shall be used only for municipal services and shall not be used for educational expenses.
(c) If the commissioner of education determines that a school district has spent funds paid under section 4028 of this title for an item that is not a legitimate item of current education expense, the treasurer of the municipality shall, within 90 days, remit the amount of the expenditure to the education fund. The treasurer shall use funds raised pursuant to section 2664 of Title 17, section 2601 of Title 20 or section 1309 of Title 24 for this purpose. If the commissioner of education determines that a municipality has spent funds raised under section 2664 of Title 17, section 2601 of Title 20 or section 1309 of Title 24 for an item that is a legitimate item of current education expense, the treasurer of the municipality shall transfer the amount of the expenditure from the local education fund to the municipal fund.
(d) The legislative body of a school district or other municipality may appeal a decision of the commissioner of education under this section to the state board of education, which shall hear the appeal de novo in the manner provided by chapter 25 of Title 3 for the hearing of contested cases. A legislative body of a school district or other municipality may appeal a decision of the state board of education to the superior court of the district in which the municipality is located. The superior court shall hear the matter de novo in the manner provided by Rule 74 of the Vermont Rules of Civil Procedure. An appeal from the decision of the superior court shall be to the supreme court under the Vermont Rules of Appellate Procedure.
Sec. 27. 32 V.S.A. § 305a is amended to read:
§ 305a. OFFICIAL STATE REVENUE ESTIMATE
On January 15 and on July 15 of each year, and at such other times as the emergency board or the governor deems proper, the joint fiscal office and thesecretary of administration shall provide to the emergency board their respective estimates of state revenues in the general, transportation, education, and federal funds for the current and next succeeding fiscal years. Within 10 days of receipt of such estimates, the board shall determine an official state revenue estimate for deposit in the general fund, the transportation fund, education fund, and federal funds for the current and next succeeding fiscal years. For the purpose of revising an official revenue estimate only, a majority of the legislative members of the emergency board may convene a meeting of the board.
Sec. 28. 32 V.S.A. § 586(b) is amended to read:
(b) The provisions of this subchapter shall not apply to:
* * *
(5) the Vermont housing and conservation trust fund created by § 312 of Title 10; *[or]*
(6) the low-level radioactive waste fund created by § 7013 of Title 10; or
(7) the education fund created by § 4025 of Title 16.
Sec. 29. REDESIGNATION
16 V.S.A. § 3487, relating to grants for early education programs, is redesignated to be 16 V.S.A. § 4014.
Sec. 30. TRANSITIONAL PROVISIONS; REPEAL
(a) In fiscal year 1999, a school district which in fiscal year 1998 paid capital debt service for a debt eligible for reimbursement under 16 V.S.A. § 3497(c) prior to its repeal, shall receive reimbursement for those expenditures at the same percentage rate that it was or would have been reimbursed in fiscal year 1998. Also, in fiscal year 1999, a school district which in fiscal year 1998 incurred capital debt service expenditures eligible for reimbursement under Sec. 13 of Act No. 84 of the Acts of 1987, as amended by Sec. 10 of Act No. 128 of the 1987 Adjourned Session, prior to its repeal, shall receive aid in the amount it would have received if that section had not been repealed. Beginning in fiscal year 1999 and each year thereafter until the debt is paid, a school district which issued debt prior to passage of this act to pay for construction costs approved by the state board, shall receive capital debt service aid in an amount which will ensure that the school district will pay the debt by levying a tax on its equalized grand list which is no greater than that it would have had to levy on its 1998 equalized grand list. Beginning in fiscalyear 2000, debt service aid paid under this subsection for capital costs of a union high school shall be paid directly to the union high school district. A school district which issues or has issued bonded debt to pay for capital construction costs approved by the state board is authorized under the provisions of this act to levy ad valorem taxes on the grand list to pay for debt service therefore as it becomes due and payable, and shall do so unless otherwise payable from other sources, and such school district shall apply any amounts so raised to pay such debt service prior to making payments of any net amounts due to the education fund under this act.
(b) In fiscal year 1999, 2000 and 2001:
(1) The amount of the general state support grant paid under 16 V.S.A. § 4011, the special education basic grant paid under 16 V.S.A. § 2961 and the essential early education grant paid under 16 V.S.A. § 2948(c) shall be, in fiscal year 1999 for each equalized pupil, $5,022.00 adjusted upward from the fiscal year 1997 level based on the appropriate annual index for state and local government purchases of goods and services. The amount of the general state support grant shall be the amount per equalized pupil remaining after payment of the special education basic grants and the essential early education grants. Each year thereafter, the per equalized pupil amount of the general state support grant from the previous year shall be increased by the most recent price index for state and local government purchases of goods and services.
(2) All categorical items, including special education, technical education, transportation and small schools grants, shall be funded at statutory levels.
(3) In this subdivision, "school district" means a town, city or incorporated school district, a member town of a unified union school district, or an unorganized town or gore. For purposes of local education spending in excess of the general state support grant amount, each school district shall adopt a budget and set a tax rate pursuant to law. However, there will be no equalized yield rate determined for, and no school district shall pay into the education fund under section 4027 any revenues raised from, its homestead property as that term is defined in section 5401(8) of Title 32. The director of property valuation and review may redetermine any classification of property as homestead property, if the director finds that the district's classification is in error. A district aggrieved by the action of the director may within 30 days of the director's reclassification appeal to the superior court. School districts shall contribute to or draw from the education fund as follows:
(A) In fiscal year 1999, a school district with an equalized grand list per equalized pupil which is above the statewide average equalized grand list per equalized pupil shall pay 50 percent of the revenues raised for local education spending from its nonresidential property for local education spending, as defined in section 5401(10) of Title 32.
(B) In fiscal year 2000:
(i) a school district with an equalized grand list in excess of $20,000.00 per equalized pupil shall pay 70 percent of the revenues raised from its nonresidential property for local education spending, as defined in section 5401(10) of Title 32, for local education spending,
(ii) a school district with an equalized grand list between $15,000.00 and $20,000.00 per equalized pupil shall pay 67 percent of the revenues raised from its nonresidential property for local education spending, as defined in section 5401(10) of Title 32, for local education spending,
(iii) a school district with an equalized grand list per equalized pupil of between statewide average and $15,000.00 per equalized pupil shall pay up to 50 percent of the revenues raised from its nonresidential property for local education spending, as defined in section 5401(10) of Title 32, for local education spending according to a sliding scale developed by the commissioner of education by rule, and
(iv) a school district with an equalized grand list per equalized pupil which is equal to the statewide average will not pay into the education fund.
(C) In fiscal year 2001:
(i) a school district with an equalized grand list in excess of $20,000.00 per equalized pupil shall pay 90 percent of the revenues raised from its nonresidential property for local education spending, as defined in section 5401(10) of Title 32, for local education spending,
(ii) a school district with an equalized grand list between $15,000.00 and $20,000.00 per equalized pupil shall pay 85 percent of the revenues raised from its nonresidential property for local education spending, as defined in section 5401(10) of Title 32, for local education spending,
(iii) a school district with an equalized grand list per equalized pupil of between statewide average and $15,000.00 per equalized pupil shall pay up to 80 percent of the revenues raised from its nonresidential property for localeducation spending, as defined in section 5401(10) of Title 32, for local education spending according to a sliding scale developed by the commissioner of education by rule, and
(iv) a school district with an equalized grand list per equalized pupil which is equal to the statewide average will not pay into the education fund.
(D) In all three fiscal years, a school district with an equalized grand list per equalized pupil which is less than the statewide average shall receive a payment equal to up to 75 percent of the revenues raised from all property taxed for local education spending, according to a sliding scale developed by the commissioner of education by rule.
(E) It is the intent of the General Assembly to appropriate funds during fiscal years 1999, 2000 and 2001 in an amount necessary to ensure that tax rates will not increase under this section due to appraisal of properties enrolled in the land use value program under chapter 124 of Title 32.
(c) Sec. 13 of Act No. 84 of the Acts of 1987, as amended by Sec. 10 of Act No. 128 of the 1987 Adjourned Session, relating to aid for capital debt service, is repealed on June 30, 1998.
(d) 16 V.S.A. chapter 37, subchapter 5 (§§ 1561-1567), relating to financial aid for technical education is repealed on June 30, 1998. Pursuant to recommendation number 1 of the Report of the Joint Legislative Committee on Technical Center Construction of January 1997, it is the intent of the general assembly to defer decisions about a state aid for technical education system until the joint Human Resources Investment Council and State Board of Education Subcommittee has completed its work. The subcommittee is in the process of developing a plan for a technical education system for Vermont and will make its recommendations for governance and financing of technical centers to the General Assembly in January 1998.
PART IV
* * * LOCAL SHARE PROPERTY TAX * * *
Sec. 31. 16 V.S.A. § 428 is amended to read:
§ 428. AMOUNT OF MONEY TO BE VOTED; TAX IMPOSED (a) At each annual town school district meeting, the electorate shall vote such sums of money as it deems necessary for the support of schools and shall expressin its vote the specific amounts voted for deficit, if any, for current expenses, capital improvements or other lawful purposes. If such sums are not approved or acted upon at the annual meeting, the electorate shall vote such questions at a duly warned special school district meeting. *[After the grand list book has been completed and lodged in the office of the town clerk, the selectmen shall set the tax rate necessary to raise the specific amounts voted.]* A district may vote money necessary for the support of schools therein to the end of the full school year next ensuing.
(b) Following adoption of a budget by the electorate and calculation of the equalized yield rate pursuant to section 4027 of this title, if the district has voted a budget with local education spending in excess of the general state support grant amount, the commissioner of education shall determine the amount that the school district will pay into the education fund or the amount that the district will receive. The selectboard shall then set and levy the local share property tax, using tax classifications if authorized.
(c) Local share property tax rate means the tax rate, when imposed on the education property tax grand list as defined in section 5401(5) of Title 32, necessary. to raise the local education spending amount voted under this section in excess of the general state support grant plus any deficit pursuant to 24 V.S.A. § 1523, adjusted according to the equalized yield calculation minus any amount of education property tax assessed for that year on an electric generating plant. Local education spending shall have the same meaning that it has in subdivision 4001(5) of this title. The local share property tax shall not be assessed against and imposed on personal property, machinery, inventory or equipment.
(d) The treasurer of each school district which has voted a budget with local education spending in excess of the general state support grant and which can raise more than the equalized yield rate, shall, on December 1 in the year in which the tax is levied and June 1 of the following year, pay to the state treasurer for deposit into the education fund one-half of the amount owed pursuant to subsection 4027(a) of this title. Payment shall be accompanied by a return prescribed by the state treasurer in consultation with the commissioner. Any portion of local share property tax liability due to the treasurer and paid before the due date shall be discounted on a per diem basis at an annual rate of six percent.
(e) The administrative provisions of section 5409 of Title 32 shall apply to the local share property tax.
(f) If the electorate of a school district votes for its budget by Australian ballot, the ballot shall read:
AShall the school district vote the sum of __________ expenditures for the operation of its school(s), the sum of _____________expenditures for payment of debt service and the sum of ____________expenditures for ____________(other purposes) for the school year beginning on July 1, _____________.@
Sec. 32. 16 V.S.A. § 511 is amended to read:
§ 511. *[ASSESSMENT AND COLLECTION]* BUDGET
(a) At a meeting legally warned for that purpose, an incorporated school district *[may vote a tax upon the polls and taxable estate within the territorial limits of such district for the lawful purposes of the corporation. The prudential committee shall make out and deliver to the district collector a tax bill with a warrant for its collection, and he shall have the same powers to collect such tax bill as a collector of town taxes.]* shall vote such sums of money as it deems necessary for the support of schools and shall express in its vote the specific amounts voted for deficit, if any, for current expenses, capital improvements or other lawful purposes. If such sums are not approved or acted upon at the annual meeting, the electorate shall vote such questions at a duly warned special school district meeting. A district may vote money necessary for the support of schools therein to the end of the full school year next ensuing.
(b) Following adoption of a budget by the electorate and calculation of the equalized yield rate pursuant to section 4027 of this title, if the incorporated district has voted a budget with local education spending in excess of the general state support grant amount, the commissioner of education shall determine the amount that the incorporated district will pay into the education fund or the amount that the district will receive. The prudential committee shall then set and levy the local share property tax, using tax classifications if authorized. The prudential committee shall have the same authority to enforce collection and payment of this tax, including the collection of interest on overdue taxes, as selectmen have in enforcing collection and payment of town taxes.
(c) Local share property tax means rate means the tax rate, when imposed on the education property tax grand list as defined in section 5401(5) of Title 32, necessary to raise the local education spending amount voted under this section in excess of the general state support grant plus any deficit pursuant to 24 V.S.A. § 1523, adjusted according to the equalized yield calculation minus any amount ofeducation property tax assessed for that year on an electric generating plant. Local education spending shall have the same meaning that it has in subdivision 4001(5) of this title. The local share property tax shall not be assessed against and imposed on personal property, machinery, inventory or equipment.
(d) The treasurer of an incorporated district which has voted a budget with local education spending in excess of the general state support grant and which can raise more than the equalized yield rate, shall, on December 1 in the year in which the tax is levied and June 1 of the following year, pay to the state treasurer for deposit into the education fund one-half of the amount owed pursuant to subsection 4027(a) of this title. Payment shall be accompanied by a return prescribed by the state treasurer in consultation with the commissioner. Any portion of local share property tax liability due to the treasurer and paid before the due date shall be discounted on a per diem basis at an annual rate of six percent.
(e) The administrative provisions of section 5409 of Title 32 shall apply to the local share property tax.
Sec. 33. 24 V.S.A. § 1521 is amended to read:
§ 1521. TAX BILLS AND WARRANTS
The *[selectmen]* selectboard shall seasonably make out and deliver to the proper collector, or to the town treasurer, if the town has voted to collect its taxes by that officer, tax bills for state, county, town, town school district and highways, with the name of each person taxed and the amount of *[his]* the tax. They shall annex proper warrants thereto for collection and may include all of such taxes or a part thereof in one tax bill, provided, however, that a tax bill that includes an assessment of tax on a homestead shall separately state the amount of tax imposed on the homestead for municipal services and the amount of tax imposed on the homestead for local share property tax and statewide education property tax. One warrant only shall be required for the collection of taxes on such tax bill. The *[selectmen]* selectboard shall certify on a tax bill, so made out what taxes are included therein and the rate percent of each tax so included.
PART V
* * * FINANCING EDUCATION: TECHNICAL EDUCATION * * * * * * AND SPECIAL EDUCATION * * *
Sec. 34. [DELETED]
Sec. 35. REPEAL
16 V.S.A. §§ 2961 through 2969 relating to state aid for special education are repealed on July 1, 1999.
Secs. 36 - 40 [DELETED]
PART VI
* * FINANCING EDUCATION: CAPITAL CONSTRUCTION AID * *
Sec. 41. The Commissioner of Education shall by January 15, 1998 report to the House and Senate Education and Institutions Committees on whether any changes in state aid to school construction statutes and rules are required by the Vermont Supreme Court decision of February 5, 1997, Brigham v. State.
PART VII
* * * EDUCATION REVENUES * * *
Sec. 45. 32 V.S.A. chapter 135 is added to read:
CHAPTER 135. EDUCATION PROPERTY TAX
§ 5401. DEFINITIONS
As used in this chapter:
(1) "Coefficient of dispersion" for a municipality in any school year shall be computed by the director of property valuation and review as follows:
(A) determine the ratio of assessment to the selling price of each fair market sale of real estate;
(B) determine the mean assessment ratio of all fair market sales of real estate;
(C) determine the absolute deviation of each assessment ratio from the mean;
(D) determine the mean absolute deviation.
The coefficient of dispersion is the mean absolute deviation expressed as a percentage of the mean assessment ratio.
(2) "Commissioner" means the commissioner of taxes.
(3) "Common level of appraisal" means the ratio of the aggregate value of local education property tax grand list to the aggregate value of the equalized education property tax grand list.
(4) "Director" means the director of the division of property valuation and review.
(5) "Education property tax grand list" means one percent of the aggregate value of nonresidential and homestead real property as listed for municipal property taxes pursuant to section 5404 of this title. When the listed value of real property for school tax purposes is adjusted by a board of civil authority or a court, that board or court shall make a corresponding adjustment to the listed value for purposes of taxation under this chapter.
(6) "Equalized education property tax grand list" means one percent of the aggregate fair market value of all nonresidential and homestead real property that is required to be listed at fair market value as certified during that year by the director of property valuation and review under section 5406 of this title plus one percent of the aggregate use value established under chapter 124 of this title of all nonresidential real property that is enrolled in the use value appraisal program.
(7) "Homestead" means the principal dwelling owned and occupied by a resident individual or part-year resident individual, as defined in section 5811 of this title, in which the individual claims residence for purposes of income tax liability and rights and privileges of residency. A homestead also includes a dwelling owned by a farmer as defined under section 3762 of this title, and occupied as the permanent residence by a parent, sibling, child, grandchild or shareholder of the farmer-owner, provided that the shareholder owns more than 50 percent of a corporate farmer-owner, including attribution of stock ownership of a parent, sibling, child or grandchild. A homestead includes as much of the land surrounding the dwelling as is reasonably necessary for use of the dwelling as a home, but in no event more than two acres per dwelling unit, up to a maximum of 10 acres per parcel. A homestead may consist of a part of a multi-dwelling or multi-purpose building and a part of the land upon which it is built. A mobile home may constitute a principal dwelling for purposes of this chapter. A homestead does not include buildings or improvements detached from the home except for a building used as a garage for personal passenger vehicles. A homestead does not include that portion of a principal dwelling used for business purposes if the portion used for business purposes includes either two or more rooms or more than 25 percent of the floor space of the building.
(8) "Local education spending" means expenditures from funds sent to a municipality from the education fund pursuant to section 4028 this title.
(9) "Municipality" means a city school district, a town school district or an incorporated school district.
(10) "Nonresidential real property" means all real property except:
(A) Property which is exempt from the municipal property tax by law and not by vote of the municipality.
(B) Property which is subject to the tax on railroads imposed by subchapter 2 of chapter 211 of this title, the tax on steamboat, car and transportation companies imposed by subchapter 3 of chapter 211 of this title, the tax on telephone companies imposed by subchapter 6 of chapter 211 of this title, or the tax on electric generating plants imposed by chapter 213 of this title.
(C) Homesteads declared in accordance with section 5410 of this title.
(D) Personal property, machinery, inventory and equipment.
§ 5402. RULES
The commissioner of taxes and the director of property valuation and review may each adopt formal or informal rules in order to carry out the provisions of this chapter.
§ 5403. EDUCATION PROPERTY TAX LIABILITY
(a) A statewide education property tax is imposed on all nonresidential and homestead property at a rate of $1.10 per $100.00 of equalized education property tax grand list value as most recently determined under section 5405 of this title; and the homestead property tax shall be reduced for eligible claimants as provided in chapter 154 of this title. The rate of the statewide education property tax established by this section shall not be increased except by act of the general assembly, and the general assembly shall not increase the rate by a total of more than $.03 for $100.00 of equalized education property grand list value in any five year period, the initial five year period commencing on July 1, 1997.
(b) The commissioner of education shall determine the education property tax liability for each municipality for the following school year by multiplying the tax rates adopted under subsection (a) of this section by the municipality's equalized education tax grand list for the previous year. On or before June 10 each year, the commissioner of education shall inform each municipality of its education propertytax liability. The legislative body in each municipality shall then assess and collect the education property tax on the education property tax grand list, using tax classifications if authorized to raise that amount minus any amount of education property tax assessed for that year on an electric generating plant. Taxes assessed under this section shall be assessed and collected in the same manner as taxes assessed under chapter 133 of this title.
(c) The treasurer of each municipality shall on December 1 in the year in which the tax is levied and June 1 of the following year, pay to the state treasurer for deposit into the education fund one-half of the municipality's education property tax liability net payment amount determined under section 4028 of Title 16. Payment shall be accompanied by a return prescribed by the board in consultation with the commissioner. Any portion of education property tax liability due to the treasurer and paid before the due date shall be discounted on a per diem basis at an annual rate of six percent. The municipality may also retain one-half of one percent of the net payment amount to the state determined under section 4027 of Title 16.
§ 5404. DETERMINATION OF EDUCATION PROPERTY TAX GRAND LIST
(a) Municipalities shall determine the education property tax grand list by calculating one percent of the listed value of nonresidential and homestead real property as provided in this section. The listed value of all nonresidential and homestead real property in a municipality shall be its fair market value. If a homestead is located on a parcel of greater than two acres, the entire parcel shall be appraised at fair market value; the homestead shall then be appraised as if it were situated on a separate parcel and the value of the homestead shall be subtracted from the value of the total parcel to determine the value of the remainder of the parcel.
(b) Tax stabilization agreements.
(1) Tax stabilization agreements shall affect the education property tax grand list of the municipality in which the property subject to the agreement is located if the agreement:
(A) was a prior agreement, meaning that it was:
(i) entered into before May 15, 1997, or an exemption adopted by vote pursuant to chapter 125 of Title 32 before May 15, 1997, or proposed and warned for vote of the municipality before May 15, 1997; or
(ii) an agreement relating to property sold or transferred by the New England Power Company of its Connecticut River system and its facilities along the Deerfield River which was warned before July 1, 1997.
(B) was an agreement subsequently approved by the general assembly pursuant to this subsection. A tax stabilization agreement may be approved by the general assembly if it was entered into for the purpose of promoting economic development of the municipality or providing additional affordable housing units in the municipality. The legislative body of the municipality in which the property subject to the agreement is located shall apply for approval of the agreement to the secretary of economic development who shall report to the general assembly on the economic impact of the proposed agreement or on its impact on the availability of affordable housing units in the locality, the terms of the agreement, and the effect of the agreement on the education property tax grand list of the municipality and of the state. An agreement may be approved by act of the general assembly, and if so approved shall be effective to reduce the property tax liability of the municipality under this chapter beginning April 1 of the year following approval.
(2) A prior tax stabilization agreement or a subsequently approved tax stabilization agreement shall reduce the municipality’s education property tax liability under this chapter for the duration of the agreement or exemption without extension or renewal, and for a maximum of ten years. A municipality’s property tax liability under this chapter shall be reduced by any difference between the amount of the education property taxes collected on the subject property and the amount of education property taxes that would have been collected on such property if its fair market value were taxed at the equalized nonresidential rate for the tax year. Tax stabilization agreements which are not prior agreements nor subsequently approved agreements shall have no effect on the education property tax grand list or a municipality’s total education property tax liability to the state under section 5403 of this title
(c) Notwithstanding any other provision of law, including the provisions of 32 V.S.A. § 3481(1), and the provisions of 32 V.S.A. § 3802(1):
(1) any real property subject to conservation easements granted pursuant to the terms of any agreement executed on or after January 1, 1997 between companies owning real property used for hydro-electric generation in this state and the state of Vermont shall continue to be assessed and property taxes collected as if such property were not subject to such easements; and
(2) any real property purchased by the state pursuant to the terms of anyagreement executed on or after January 1, 1997 between companies owning real property used for hydro-electric generation in this state and the state of Vermont, which property continues to be owned by the state, or by some successor owner which would otherwise be exempt from property taxes, shall continue to be assessed and property taxes collected as if such property were not so purchased by the state.
§ 5405. DETERMINATION OF EQUALIZED EDUCATION PROPERTY TAX GRAND LIST AND COEFFICIENT OF DISPERSION
(a) Annually, on or before April 1, the commissioner shall determine and report to the general assembly the equalized education property tax grand list and coefficient of dispersion for each municipality in the state.
(b) The sum of all municipal equalized education property tax grand lists shall be the equalized education property tax grand list for the state.
(c) In determining the fair market value of property which is required to be listed at fair market value, the commissioner shall take into consideration those factors required by section 3481 of this title. The commissioner shall value property as of January 1 preceding the determination.
(d) Any determination of fair market value made by the commissioner under this section shall be based upon such methods, as in the judgment of the commissioner, and in view of the resources available for that purpose, shall be appropriate to support that determination.
(e) Individual appraisals performed by the division of property valuation and review may be used to supplement actual sales when necessary to obtain a representative sample.
(f) Within the limits of the resources available for that purpose, the commissioner may employ such individuals, whether on a permanent, temporary, or contractual basis, as shall be necessary, in the judgment of the commissioner, to aid in the performance of duties under this section. The commissioner shall pay each municipality the sum of $1.00 per grand list parcel in the municipality, for services provided to the commissioner in connection with his or her duties under this section. Such payment shall be made from the equalization and reappraisal account within the education fund.
§ 5406. NOTICE OF FAIR MARKET VALUE AND COEFFICIENT OF DISPERSION
(a) Not later than January 1 of each year, the director of the division of property valuation and review shall notify the town clerk and chair of the board of listers of each municipality of the fair market value and the coefficient of dispersion of that town for that year, and of the manner by which fair market value and coefficient of dispersion were determined by the director.
(b) Not later than April 1 of each year, the director shall certify to the commissioner of education the fair market value and coefficient of dispersion of every municipality of the state.
§ 5407. VALUATION APPEAL BOARD
(a) There is established a valuation appeal board to consist of five members. The members shall be appointed by the governor with the advice and consent of the senate, for three-year terms beginning February 1 of the year in which the appointment is made, except that one of the initial appointments shall be for a term of one year and two of the initial appointments shall be for a term of two years. A vacancy in the board shall be filled in the same manner as the original appointment for the unexpired portion of the term vacated.
(b) Persons serving on the appeal board shall be knowledgeable and experienced in at least one of the following fields: business management, law, taxation, appraisal and valuation techniques, municipal affairs or related areas. No member of the valuation appeal board shall be otherwise employed by the state or be a lister. In making appointments, attention shall be given to the desirability of providing geographical balance to the degree reasonably practical.
(c) A chair shall be designated biennially by the governor from among the members of the board and any vacancy in the office of the chair shall be filled by designation of the governor.
(d) Members of the valuation appeal board shall receive reasonable compensation for services and reimbursement for expenses for each day of official duties of the board together with reimbursement of reasonable expenses incurred in the performance of their duties, as determined by the director of property valuation and review.
(e) The board shall be attached for administrative purposes to the division of property valuation and review of the department of taxes of the agency of administration.
§ 5408. PETITION FOR REDETERMINATION
(a) Not later than 30 days after the receipt by its clerk of a notice under section 5406 of this title, a municipality may petition the director of the division of property valuation and review for a redetermination of the municipality's fair market value or coefficient of dispersion. Such petition shall be in writing and shall be signed by the chair of the legislative body of the municipality or its designee.
(b) Upon receipt of a petition for redetermination under subsection (a) of this section, the director shall, after written notice, grant a hearing upon the petition to the aggrieved town. The director shall thereafter notify the town and the commissioner of education of his or her redetermination of the fair market value or coefficient of dispersion of the town or district, in the manner provided for notices of original determinations under section 5406 of this title.
(c) A municipality, within 30 days of the director's redetermination, may appeal the redetermination to the valuation appeal board. The board shall notify the appellee of the filing of the appeal. The appeal shall be heard de novo in the manner provided by chapter 25 of Title 3 for the hearing of contested cases.
(d) A municipality may appeal from a decision of the valuation appeal board to the superior court of the superior court district in which the municipality is located. The superior court shall hear the matter de novo in the manner provided by Rule 74 of the Vermont Rules of Civil Procedure. An appeal from the decision of the superior court shall be to the supreme court under the Vermont Rules of Appellate Procedure.
§ 5409. ADMINISTRATION AND DUTIES OF MUNICIPALITIES
The following shall apply to municipalities with regard to the tax imposed under this chapter and to the local share tax imposed under section 428 or 511 of Title 16:
(1) Late payments of the tax by a municipality to the state shall be assessed interest at a per diem rate of eight percent per annum of the amount due. If a payment is more than 90 days overdue, any state funds due the municipality shall be withheld.
(2) A municipality may annually, at any regular or special meeting duly warned, vote to contract with the department of taxes to collect any tax in the municipality imposed under this chapter or local share property tax, and which has become delinquent.
(3) If by August 1 a municipality has failed to issue notices of assessmentof the statewide property or local share property tax; or if the municipality fails for more than 90 days after the due date for any installment payment of either tax to enforce the tax in the municipality; then the commissioner of taxes shall either issue notices of assessment or collect the tax or both, or bring appropriate court action to require the municipal officials to issue notices and collect the tax, as the commissioner deems necessary.
(4) In any case of administration under subdivision (3) of this section by the commissioner of taxes of local share property tax:
(A) sections 5868, 5869, 5873, 5875, 5881, 5882, 5883, 5884, 5885, 5886, 5887, 5891, 5892, 5893, 5894 and 5895 of Title 32, as amended, shall apply in the same manner as to income tax.
(B) Persons aggrieved by decisions of the listers may appeal in the manner provided for property tax appeals in chapter 131 of Title 32; and sections 5226 and 5227, and articles 5 and 6 of chapter 133 of Title 32, shall apply in the same manner to the local share property tax, and the commissioner of taxes shall have all the powers described in those sections.
(C) The commissioner of taxes shall contract with any municipality which has voted to have the department collect its delinquent statewide or local share property taxes.
(D) The commissioner may abate in whole or in part the statewide or local share property taxes of a taxpayer who has been granted an abatement of municipal taxes under section 1535 of Title 24.
(E) The commissioner of taxes shall deposit all revenues collected in accord with this chapter into the education fund.
(5) In case of insufficient payment by a taxpayer, payments shall be allocated first to municipal property tax, next to local share property tax and last to statewide education property tax.
§ 5410. DECLARATION OF HOMESTEAD
(a) A resident or part-year resident shall declare one homestead for purposes of this chapter.
(b) Annually by April 15, each resident individual or part-year resident individual may, on a form prescribed by the commissioner, which shall be verified under the pains and penalties of perjury, declare his or her homestead, if any, as ofJanuary 1 of the year in which the declaration is made.
(c) The commissioner shall provide a list of homesteads in each town to the town clerk by May 15. The listers shall separately identify homesteads in the grand list. The clerks shall notify the commissioner by June 1 of any residences on the commissioner's list which do not qualify as homesteads.
(d) The commissioner shall adopt rules governing late filing of a residency claim and the eligibility requirements for declaring a homestead.
(e) Intention to establish a permanent residence is a factual determination to be made in the first instance by the commissioner. No one factor is conclusive of whether a dwelling is a permanent residence; the following are relevant factors that may be considered by the commissioner: formal and informal statements of the declarant; the declarant's place of employment, place of voter registration, place of issuance of automobile registration and driver's license; previous permanent residency of the declarant; and address listed on federal and state income tax returns filed by the declarant.
(f) If the property identified in a declaration under subsection (b) of this section is not the taxpayer's homestead, the commissioner shall assess the taxpayer a tax in an amount equal to 110 percent of the property tax reduction granted on account of the homestead declaration, plus interest from the original due date of the property tax on the property, at the applicable rate established in section 3108 of this title. Any tax imposed under this subsection may be recovered by assessment and enforcement and with appeal rights in the same manner as an income tax under chapter 151 of this title. Amounts collected under this subsection shall be credited to the education fund.
Sec. 46. [DELETED]
Sec. 47. 32 V.S.A. § 4041a is added to read:
§ 4041a. REAPPRAISAL
(a) A municipality shall be paid $6.00 per grand list parcel per year from the equalization and reappraisal account within the education fund, to be used only for reappraisal and costs related to reappraisal of its grand list properties and for maintenance of the grand list.
(b) If the director of the division of property valuation and review determines that a municipality's education grand list is at a common level of appraisal below 80 percent, the municipality shall reappraise its education grand list properties. Ifthe director orders a reappraisal, the director shall send the municipality written notice of the decision. The municipality shall be given 30 days to contest the finding under procedural rules adopted by the director, to develop a compliance plan, or both. If the director accepts a proposed compliance plan submitted by the municipality, the director shall not order commencement of the reappraisal until the municipality has had one year to carry out that plan.
(c) If a municipality fails to submit an acceptable plan or fails to carry out the plan, pursuant to subsection (b) of this section, the state shall withhold the education, transportation and other funds from the municipality until the director certifies that the town has carried out that plan.
(d) The director shall adopt rules necessary for administration of this section.
Sec. 48. 32 V.S.A. § 4152(a)(9) is added to read:
(9) Separate columns which will show the listed valuations of homesteads.
Sec. 49. [DELETED]
Sec. 50. [DELETED]
Sec. 50a. COMPARABLE SALES
If the director of property valuation and review determines that there are insufficient sales within a town to determine fair market value for purposes of chapter 135 of Title 32, the director may allow use of sales in other towns with similar characteristics.
Sec. 50b. COMMISSIONER'S NOTICE OF NEW LAW
The commissioner of taxes shall include with the state income tax booklets issued in December, 1997, a notice and explanation of the property tax law regarding filing, payment and appeal.
Sec. 50c. TRANSITION FOR FISCAL YEARS 1999 AND 2000
(a) For fiscal year 1999: Any municipality having a 1996 equalized education property tax rate of $0.20 or less shall be subject to the statewide property tax under chapter 135 of Title 32 at a rate of one-third the difference between that rate and $1.10. Any other municipality having a 1996 equalized education property less than $1.10 shall be subject to the statewide property tax under chapter 135 of Title 32 at a rate of the lesser of $1.10 or the municipality's 1996 equalized education property tax rate plus $0.30. Any municipality having a 1996 equalizededucation property tax rate of more than $1.10 and less than $1.15, shall be subject to the statewide property tax under chapter 135 of Title 32 at a rate of $1.10. Any municipality having a 1996 equalized education property tax rate of more than $1.15, shall be subject to the statewide property tax under chapter 135 of Title 32 at a rate of $1.11. No municipality shall be required to set a combined municipal, school district and statewide property tax rate which is more than 40 percent higher than its combined fiscal year 1998 municipal and school property tax rate, provided that any growth in the municipal budget of more than 10 percent in that year shall not be included in the calculation of the combined municipal, school district and statewide property tax rate for that year.
(b) For fiscal year 2000: Any municipality having a fiscal year 1999 statewide property tax under chapter 135 of Title 32 at a rate of less than $1.10 shall be subject to the statewide property tax under chapter 135 of Title 32 at a rate of the lesser of $1.10 or the municipality's 1999 statewide property tax rate plus $0.30.
PART VIII
* * * HOMESTEAD PROPERTY TAX REDUCTION * * *
Sec. 51. 32 V.S.A. chapter 154 is added to read:
CHAPTER 154. HOMESTEAD PROPERTY TAX REDUCTION
§ 6061. DEFINITIONS
The following definitions shall apply throughout this chapter unless the context requires otherwise:
(1) "Tax reduction payment" means a homestead property tax reduction payment as authorized under subdivision 6066(1) of this title, or in other sections, as the context requires, a renter property tax credit as authorized under subdivision 6066(2).
(2) "Homestead" means the dwelling, situated within the state of Vermont, owned or rented by the claimant, and occupied by the claimant as the principal residence, and as much of the land surrounding it as is reasonably necessary for use of the dwelling as a home but in no event to exceed two acres; and may consist of a part of a multi-dwelling or multi-purpose building and a part of the land upon which it is built. A mobile home may constitute a homestead for purposes of this chapter.
(3) "Household" means, for any individual and for any taxable year, theindividual and such other persons as resided with the individual in the homestead at any time during the taxable year. A person residing in a household who is hired as a bona fide employee to provide personal care to a member of the household and who is not related to the person for whom the care is provided shall not be considered to be a member of the household.
(4) "Household income" means modified adjusted gross income received by
(A) all persons of a household in a calendar year while members of that household; and
(B) a spouse of the claimant who is not a member of that household and who is not legally separated from the claimant.
(5) "Modified adjusted gross income" means the sum of "adjusted gross income" as defined in section 5811 of this title (but before the deduction of any trade or business loss, loss from a partnership, loss from a small business or "subchapter S" corporation, loss from a rental property, or capital loss), alimony, support money, cash public assistance and relief (not including relief granted under this subchapter), cost of living allowances paid to federal employees, allowances received by dependents of servicemen and women, the gross amount of any pension or annuity (including railroad retirement benefits, all payments received under the federal Social Security Act, and all benefits under Veteran's Acts), nontaxable interest received from the state or federal government or any of its instrumentalities, workers' compensation, the gross amount of "loss of time" insurance, and the amount of capital gains excluded from adjusted gross income, less the net employment and self-employment taxes withheld from or paid by the individual (exclusive of any amounts deducted to arrive at adjusted gross income or deducted on account of excess payment of employment taxes) on account of income included under this section, less any amounts paid as child support money if substantiated by receipts or other evidence that the commissioner may require. It does not include gifts from nongovernmental sources, surplus food or other relief in kind supplied by a governmental agency, or the first $4,000.00 of income earned by a full-time student who qualifies as a dependent of the claimant under the federal Internal Revenue Code, or the first $4,000.00 of income received by a parent who qualifies as a dependent of the claimant under the Internal Revenue Code, or payments made by the state for foster care or to a family for the support of an eligible person with a developmental disability as defined in section 8722(2) of Title 18. If the commissioner determines, upon application by the claimant, that a person resides with a claimant who is disabled or was 62 years of age as of theend of the year preceding the claim, for the primary purpose of providing attendant care services (as defined in section 6321 of Title 33) or homemaker or companionship services, with or without compensation, which allow the claimant to remain in his or her home or avoid institutionalization, the commissioner shall exclude that person's modified adjusted gross income from the claimant's household income.
(6) "Property tax" means the amount assessed for payment on the homestead during the taxable year for ad valorem taxes, exclusive of special assessments, interest, penalties, and charges for service, assessed for payment in the taxable year on real property in this state used as the claimant's homestead. Taxes that normally would have been due in the taxable year but because of special circumstances were billed by the town to be due after the taxable year shall be considered as having been assessed for payment in the taxable year, and not assessed for payment in the succeeding year.
(7) "Rent constituting property taxes" means for any homestead and for any taxable year, 21 percent of the gross rent actually paid during the taxable year by the individual or other members of the household solely for the right of occupancy of the homestead during the taxable year. If a claimant’s rent is government-subsidized, the property tax allocable to the claimant’s rental unit shall be reduced in the same proportion as the rent is reduced by the subsidy. "Rent constituting property taxes" shall not include payments for a room in a nursing home in any month for which Medicaid payments have been made on behalf of the claimant to the nursing home for room charges.
(8) "Annual tax levy" means the property taxes levied on property taxable on April 1, and without regard to the year in which those taxes are due or paid.
(9) "Taxable year" means the calendar year preceding the year in which the claim is filed.
§ 6062. NUMBER AND IDENTITY OF CLAIMANTS; APPORTIONMENT
(a) In the case of a renter credit claim based solely on rent constituting property taxes, the claimant shall have rented property during the entire taxable year. If two or more individuals of a household are able to meet the qualifications for a claimant hereunder, they may determine among them who the claimant shall be. Any disagreement under this subsection shall be referred to the commissioner and his or her decision shall be final.
(b) Only one claimant per household per year shall be entitled to relief underthis chapter.
(c) When a homestead is owned by two or more persons as joint tenants, tenants by the entirety, or tenants in common and one or more of these persons are not members of the claimant's household, the property tax is the same proportion of the property tax levied on that homestead as the proportion of ownership of the homestead by the claimant and members of the claimant's household; provided, however, that
(1) the property tax of a claimant who is 62 years of age or older is the same proportion of the property tax levied on that homestead as the proportion of ownership of the homestead by the claimant, members of the claimant's household, and the claimant's descendants; and the claimant's siblings or spouse who have moved on an indefinite basis from the homestead to a residential care or nursing home and who claim no rebate or credit for such year under this chapter; and
(2) the property tax of a claimant who is a joint tenant or tenant by the entirety with, and legally separated from, a spouse who is not a member of the household, is the actual tax paid by the claimant spouse on the homestead pursuant to a court-approved settlement agreement.
(d) When a claimant owns his homestead for part of the preceding calendar year and rents it or a different homestead for a part of that year, property tax means the property tax on the homestead owned by the claimant, multiplied by the percentage of the taxable year that the property was owned and occupied by the claimant as his homestead; plus the rent constituting property taxes paid by the claimant for the remaining percentage of the taxable year.
(e) Whenever a homestead is an integral part of a larger unit such as a farm, or a multi-purpose or multi-dwelling building, property taxes paid shall be that percentage of the total property tax as the value of the homestead is to the total value. Upon a claimant's request, the listers shall certify to the claimant the value of his or her homestead.
§ 6063. CLAIM AS PERSONAL; ESCHEAT
The right to file claim under this chapter is personal to the claimant and shall not survive his or her death, but the right may be exercised on behalf of a claimant by his or her legal guardian or attorney-in-fact. When a claimant dies after having filed a timely claim, the reduction payment may be issued to another member of the household as determined by the commissioner. In the case of a renter property tax credit, if the claimant was the only member of the household, the claim shall bepaid to the executor or administrator, but if neither is appointed within two years of the filing of the claim, the amount thereof shall escheat to the state.
§ 6064. CLAIM APPLIED AGAINST OUTSTANDING LIABILITIES
The amount of any claim otherwise payable under this chapter may be applied by the commissioner against any state tax liability outstanding against the claimant.
§ 6065. FORMS; TABLES; NOTICES
(a) In administering this chapter, the commissioner shall make available suitable forms and tables of allowable claims with instructions for claimants, including a form which may be filed with or made a part of the individual income tax return.
(b) Prior to June 1, the commissioner shall also prepare and supply to each town in the state notices describing the homestead property tax reduction program, for inclusion in property tax bills. A town shall include such notice in each tax bill and notice of delinquent taxes which it mails to taxpayers who own a primary residence in that town.
(c) Notwithstanding the provisions of subsection (b) of this section, towns which use envelopes or mailers not able to accommodate notices describing these programs may distribute such notices in an alternative manner.
§ 6066. COMPUTATION OF REDUCTION PAYMENTS
An eligible individual may claim a reduction payment under either subdivision (1) or (2) of this section.
(1) Homestead Property Tax Reduction Payment.
(A) Eligibility. An individual shall be eligible for a tax reduction payment if the claimant owned the homestead on the last day of the taxable year.
(B) An eligible applicant shall be entitled to a tax reduction payment which is the greater of the amount determined according to the following schedule, or the amount determined under subdivision (C) of this subsection:
If household income (rounded then taxpayer is entitled to a reduction payment
of the sum of
to nearest dollar) is: this percentage PLUS Statewide PLUS Municipal
of local share education property tax in excess
tax: tax in excess of this of this
percentage of that percentage of
income: that income:
$ 0 - 19,999.00 70 % 2.5% 1.5 %
$20,000.00 - 29,999.00 60 % 2.5 % 1.5 %
$30,000.00 - 39,999.00 50% 2.5 % 1.5 %
$40,000.00 - 49,999.00 40 % 2.5 % 1.5 %
50,000.00 - 59,999.00 30% 2.5 % no payment allowed
(C) For claimants with household income less that $47,000.00, the credit allowed shall be the greater of the credit allowed under subdivision (B) of this subsection or the amount of property tax in excess of five percent of household income.
(2) Renter Property Tax Credit.
(A) Eligibility. An individual shall be entitled to a renter property tax credit if the claimant shall have rented his or her homestead during the entire calendar year preceding the year in which the claim is made; or shall have owned a homestead for a portion of the taxable year and rented a homestead for the remaining portion, including December 31, of the taxable year.
(B) An eligible individual shall be entitled to a tax reduction payment of the amount by which the rent constituting property taxes upon the individual's homestead for the taxable year exceeds a percentage of the individual's household income for the taxable year determined according to the following schedule:
If household income (rounded to then the tax payer is entitled to
the nearest dollar) is: credit for rent constituting property
tax paid in excess
of this percent of that income
$ 0 - 4,999.00 3.5
$5,000.00 - 9,999.00 4.0
$10,000.00 - 24,999.00 4.5
$25,000.00 - $59,999.00 5.0
(3) To be eligible for a credit under this chapter, the individual:
(A) must be domiciled in this state during the entire taxable year; and
(B) may not be a person claimed as a dependent by any taxpayer under the federal Internal Revenue Code during the taxable year.
§ 6067. CREDIT LIMITATIONS
(a) Only one individual per household per taxable year shall be entitled to a benefit under this chapter.
(b) No benefits shall be paid to a taxpayer under this chapter whose household income is $60,000.00 or more.
(c) In any year the amount of the benefit to any claimant under this chapter shall not exceed $3,000.00.
§ 6068. APPLICATION AND TIME FOR FILING
(a) A tax reduction payment claim shall be filed with the commissioner and shall describe the school district in which the homestead property is located and shall particularly describe the homestead property for which the reduction payment is sought, including a parcel identification number if the town has assigned one.
(b) No credit for the property tax shall be allowed or paid unless the claim is filed with the commissioner on or before the due date for filing the Vermont income tax return, without extension.
(c) The commissioner shall, upon request of a claimant, extend the claim filing date to June 1.
(d) Notwithstanding chapter 153 of Title 32, payments for timely rebate claims filed by persons under age 62, for 1997 property taxes, shall be paid in the same manner and in the same fiscal year as claims of persons over age 62.
§ 6068a. LANDLORD CERTIFICATE
By January 1 of each year, the owner of land rented as a portion of a homestead in the prior calendar year shall furnish a certificate of rent to each claimant who owned a portion of the homestead and rented that land as a portion of a homestead in the prior calendar year. The certificate shall indicate the proportion of total property tax on that parcel which was assessed for municipal property tax, for local share property tax and for statewide property tax.
§ 6069. DISALLOWED CLAIMS
A claim shall be disallowed if the claimant received title to his or her homestead primarily for the purpose of receiving benefits under this chapter.
§ 6070. EXCESSIVE AND FRAUDULENT CLAIMS
(a) In any case in which it is determined under the provisions of this title that a claim is or was excessive and was filed with fraudulent intent, the claim shall be disallowed in full, and the commissioner may impose a penalty equal to the amount claimed. A disallowed claim which has been paid may be recovered by assessment as income taxes are assessed. The assessment, including assessment of penalty, shall bear interest from the date the claim was credited against income tax or paid by the state until repaid by the claimant, at the rate per annum established from time to time by the commissioner pursuant to section 3108 of this title. The claimant in that case, and any person who assisted in the preparation of filing of such excessive claim or supplied information upon which the excessive claim was prepared, with fraudulent intent, shall be fined not more than $1,000.00 or be imprisoned not more than one year, or both.
(b) In any case in which it is determined that a claim is or was excessive, the commissioner may impose a ten percent penalty on such excess and if the claim has been paid or credited against income taxes otherwise payable, the credit shall be reduced or canceled, and the proper portion of any amount paid shall be similarly recovered by assessment as income taxes are assessed and such assessment shall bear interest at the rate per annum established from time to time by the commissioner pursuant to section 3108 of this title from the date of payment until refunded or paid.
(c) In any case in which a homestead is rented by a person from another person under circumstances deemed by the commissioner to be not at arms-length, he or she may determine the tax factor in rent for purposes of this chapter.
§ 6071. APPEALS
Any person aggrieved by the denial, in whole or in part, of relief claimed under this chapter, except when the denial is based upon late filing of claim for relief, may appeal to the commissioner by filing a petition of appeal within 60 days after the denial.
§ 6072. REGULATIONS OF THE COMMISSIONER
The commissioner may, from time to time, issue, amend and withdraw regulations interpreting and implementing this chapter.
§ 6073. PROPERTY TAX REDUCTION TRUST FUND
(a) A property tax reduction trust fund is hereby established for the payment of property tax reduction payments under this chapter. The fund shall be comprised of all revenues collected during each fiscal year from the tax on the gains from the sale or exchange of land imposed by chapter 236 of this title in excess of $500,000.00. The general assembly may appropriate additional funds to the property tax reduction trust fund.
(b) All interest accrued or generated by revenue in the fund shall remain in the fund to be expended in accordance with its purposes. Of the above funds, an amount to be determined in the annual tax department appropriation shall be made available annually to the commissioner of taxes for the administration of this chapter.
(c) Any funds in the property tax reduction trust fund not expended in any fiscal year shall be carried over for expenditure in future fiscal years.
§ 6074. PAYMENTS OF CLAIMS
(a) The property tax reduction fund shall be used for the payment of property tax reduction payment claims under this chapter. Valid claims filed by June 1 shall be paid the following July 1.
(b) The commissioner of finance and management may draw warrants for disbursements from the property tax reduction fund in anticipation of receipts.
Sec. 52. PROPERTY TAX REDUCTION PAYMENTS TRANSITION RULE
In determining property tax reduction payments for claims made in 1998 for taxes paid in 1997, the commissioner shall determine an estimated statewide property tax liability and estimated local share property tax liability for claimants, based on 1997 school district education spending and foundation levy-to-cost ratio as reported to the commissioner of taxes by the commissioner of education on or before October 1, 1997.
Sec. 52a. REPEAL
Chapter 153 of Title 32 (property tax rebates) is repealed effective January 1, 1999.
PART IX
* * * PAYMENTS IN LIEU OF TAXES * * *
Sec. 53. 32 V.S.A. chapter 123, subchapter 4 is added to read:
Subchapter 4. State Payment in Lieu of Property Taxes
§ 3701. DEFINITIONS
For the purposes of this subchapter:
(1) "State-owned property" means
(A) state-owned buildings, including buildings of the Vermont state colleges and buildings of the University of Vermont and State Agricultural College used for educational and not commercial purposes; buildings of the agency of transportation and the department of the military; but excluding the value of land on which the buildings are located, and excluding all highways and bridges and any land pertaining thereto; and
(B) state-owned lands held by the agency of natural resources, and lands which pertain to state correctional facilities.
(2) "Assessed value of state buildings" means the estimation of the current cost of replacing a building, maintained for insurance purposes by the state agency responsible for insuring the building, depreciated by the age and condition of the building.
(3) "Assessed value of state lands" means the fair market value of lands held by the agency of natural resources and lands which pertain to state correctional facilities, as determined by the division of property valuation and review, subject to the provision of subsection 3704(b) of this title.
(4) "Adjusted municipal grand list" means the total assessed value of any state-owned property located in a municipality, multiplied by the common level of appraisal for the municipality as determined by the division of property valuation and review, multiplied by one percent, and added to the grand list of the municipality as determined pursuant to chapter 129 of this title.
(5) "Adjusted municipal tax rate" means the total sum of money voted by a municipality for all noneducational expenses pursuant to section 2664 of Title 17, divided by the adjusted municipal grand list of the municipality.
(6) "Municipality" means an incorporated city, town, village, or unorganizedtown, grant or gore which assesses property taxes for noneducational purposes.
§ 3702. PAYMENT OF GRANTS AUTHORIZED
The secretary of administration shall determine annually the amount of payment due, as a state grant in lieu of property taxes, to each municipality in the state in which is located any state-owned property, in accordance with the provisions of this subchapter.
§ 3703. GRANT FORMULA
(a) The amount of a grant to a municipality authorized by this subchapter shall be based on the total assessed value of any state-owned property located in the municipality, multiplied by the common level of appraisal for the municipality as determined by the division of property valuation and review, multiplied by one percent, and multiplied by the adjusted municipal tax rate for the municipality in which the property is located.
(b) All elements of the formula shall be for the same tax year.
(c) The total of any grants under subsection (a) of this section for buildings owned by the University of Vermont and State Agricultural College shall be limited to a maximum of $750,000.00.
(d) Notwithstanding subsection (a) of this section, no municipality which during fiscal year 1997 received a property tax payment from the state on state-owned lands held by the agency of natural resources, pursuant to section 3660 of this title, shall receive a payment in lieu of taxes on such lands in any taxable year that is in an amount less than it received during fiscal year 1997.
(e) The secretary of administration shall have authority to reduce any payments under this subchapter to avoid multiple payments to a municipality in the same year in lieu of taxes with respect to the same property.
§ 3704. DETERMINATION OF ASSESSED VALUES; APPEAL
(a) Prior to August 1, 1997, and to May 1 of each taxable year thereafter, the secretary of administration shall provide assessed values of state buildings and lands, as defined under this subchapter, to every municipality to which a grant is payable under this subchapter.
(b) Any municipality aggrieved by the action of the secretary under this section may, within 30 days of receipt of the assessed values, appeal to the superior court of the district in which the municipality is located.
§ 3705. ADJUSTED MUNICIPAL GRAND LIST AND ADJUSTED
MUNICIPAL TAX RATE
(a) Prior to October 1 in each taxable year, the division of property valuation and review shall provide the secretary of administration with the following:
(1) the adjusted municipal grand list for the current assessment year, with the assessed values of all state-owned property shown separately, together with a statement of the common level of appraisal used to weight the assessed values of state-owned property;
(2) the adjusted municipal tax rate to be used in assessing taxes on the current adjusted municipal grand list; and
(3) the total sum of money voted by the municipality for all noneducational expenses, pursuant to subsection 2664(a) of Title 17.
(b) Prior to issuing a grant under this subchapter, the secretary of administration may substitute his or her calculations of the adjusted municipal grand list or the adjusted municipal tax rate for a municipality if the secretary finds that those calculations provided by the municipality under this section are in error or are inconsistent with assessed values as determined pursuant to section 3704 of this title.
§ 3706. PAYMENT TO MUNICIPALITIES
Grants under this subchapter shall be made annually by the secretary of administration to each eligible municipality on or before December 1, 1997, and on or before October 31 in years thereafter. Nothing in this subchapter shall be construed or permitted to affect the tax exempt status of the University of Vermont and State Agricultural College, as provided by statute and guaranteed by that institution's charter.
§ 3707. RULES
The secretary of administration may adopt rules under chapter 25 of Title 3 to carry out the provisions of this subchapter.
Sec. 54. 32 V.S.A. § 3660 is amended to read:
§ 3660. STATE LANDS LOCATED IN GORES AND UNORGANIZED TOWNS
(a) Notwithstanding any other provisions of law to the contrary, all state landsheld by the agency of natural resources, but not the buildings or other improvements thereon, located in a gore or an unorganized town shall be assessed at fair market value by the division of property valuation and review and listed separately in the grand list of the gore or unorganized town in which they are located. State land so listed shall be subject to a property tax payable to the gore or unorganized town in which it is located in an amount which is *[the lesser of]* one percent of its assessed value*[, or of one percent of its use value if the land qualifies for and is subject to a use value appraisal under chapter 124 of this title. However, no municipality shall receive from the state for property taxes in any taxable year an amount less than it received in the year 1980]*.
(b) The *[selectmen]* supervisors of a gore or an unorganized town aggrieved by the appraisal of property by the division of property valuation and review under this section within 21 days after *[the]* receipt *[by the town listers]* of notice of the appraisal of its property by the division of property valuation and review, may appeal from that appraisal to the superior court of the district in which the property is situated.
Sec. 55. REPEAL
32 V.S.A. § 3656 (taxation of state land) is repealed.
Sec. 56. APPLICATION OF PAYMENTS
Any payment made as a state payment in lieu of property taxes to any municipality under subchapter 4 of chapter 123 of Title 32 shall be used by the municipality solely for the purpose of reducing municipal property tax assessments in that year, unless in adopting its budget for that year the municipality has or shall have anticipated that type of payment from the state.
Sec. 57. 32 V.S.A. § 4961(b) is amended to read:
(b) Annually, on or before June 1, the supervisor of Buel's Gore shall call a meeting of the residents of the Gore for the purpose of presenting the proposed budget and tax rates for the Gore for the ensuing year and inviting discussion thereon. Notice of the meeting shall be sent by first class mail to all residents of the Gore at least 14 days before the meeting. The meeting shall be held at a place within the Gore or within a town that adjoins the Gore. Included with the notice shall be an itemized proposed budget which shall, in the judgment of the supervisor, cover the education, road maintenance and general government costs within the Gore. Also included with the notice shall be *[a]* proposed tax *[rate]* rates consistent with the budget. Annually, on or before July 10, the supervisor shalladopt a budget and tax rates and notify the residents and appraisers for the Gore.
Sec. 58. [DELETED]
PART X
* * * USE VALUE APPRAISAL * * *
Sec. 59. REPEAL
Notwithstanding Sec. 292c of Act No. 178 of the Acts of 1996, Secs. 285 through 292a of Act No. 178 are not repealed effective June 30, 1997.
Sec. 60. 32 V.S.A. § 3752(12) is amended to read:
(12) "Use value appraisal" means, with respect to land, the price per acre which the land would command if it were required to remain henceforth in agriculture or forest use, as determined in accordance with the terms and provisions of this subchapter. With respect to farm buildings, "use value appraisal" means *[50]* 30 percent of fair market value. The director shall annually provide the assessing officials with a list of farm sales, including the town in which the farm is located, the acreage, sales price and date of sale.
Sec. 61. 32 V.S.A. § 3757(a) is amended to read:
(a) Land which has been classified as agricultural land or managed forest land pursuant to this chapter shall be subject to a land use change tax upon the development of that land, as defined in section 3752 of this chapter. Said tax shall be at the rate of *[ten]* 20 percent of the full fair market value of the changed land determined without regard to the use value appraisal. If changed land is a portion of a parcel, the fair market value of the changed land shall be the fair market value of the changed land prorated on the basis of acreage, divided by the common level of appraisal. Such fair market value shall be determined as of the date the land is no longer eligible for use value appraisal. This tax shall be in addition to the annual property tax imposed upon such property. Nothing in this section shall be construed to require payment of an additional land use change tax upon the subsequent development of the same land, nor shall it be construed to require payment of a land use change tax merely because previously eligible land becomes ineligible, provided no development of the land has occurred.
Sec. 62. WITHDRAWAL FROM USE VALUE APPRAISAL
An owner of property enrolled in use value appraisal under chapter 124 of Title32 on or before August 31, 1997, may elect to discontinue enrollment and be relieved of any obligation to pay a use change tax under section 3757 of that title or any other obligation entailed under that subchapter, provided that, if the property owner does elect to discontinue enrollment and be relieved of those obligations, the owner shall pay the full property tax, based upon the property’s full fair market value, for the 1997 assessment as well as future years, and no state reimbursement shall be paid for that land. An election to discontinue enrollment under this provision is effective only if made in writing to the director of property valuation and review on or before September 1, 1997.
Sec. 63. 32 V.S.A. § 3760 is amended to read:
§ 3760. PAYMENT TO *[QUALIFIED]* MUNICIPALITIES
*[(a)]* Annually the state shall pay to each *[qualified]* town the amount necessary to limit its tax rate increase in the prior year due to the loss of municipal property tax revenue for that year based on use value *[appraisal in the prior year]* of enrolled property as compared to municipal property tax revenue for that year based on fair market value of enrolled property, to zero *[a maximum of $0.018 per $1.00 of equalized grand list value for the prior year]* . *[ In calculating the reimbursement for the town, the director of property valuation and review shall take into account the loss in grand list due to use value appraisal for that year offset by the effect upon state aid under Title 16 due to use value appraisal for that year when the loss in grand list divided by the common level of appraisal for that town is subtracted from the equalized grand list for that year.]* The director of property valuation and review shall determine the amount of the available funds under this section to be paid to each *[qualified]* town, and a town may appeal the director’s decision in the same manner and under the same procedures as an appeal from a decision of a board of civil authority, as set forth in subchapter 2 of chapter 131 of this title. On November 1 of each year, the director of property valuation and review shall pay to each *[qualified]* municipality the amount calculated as described above. If the appropriation for the year is insufficient to pay the full amount due to every *[qualified]* town under this subsection, payments in that year shall be made to such towns proportionately. The director’s calculation of payment amounts to municipalities shall be based on grand list values and total tax appropriations as submitted to the director for the prior year.
*[(b) For purposes of subsection (a) of this section, Aqualified municipality@ shall mean a municipality whose most recent foundation levy does not exceed ]*
*[1.50 times its most recent total foundation cost, determined in accord with Title 16.]*
*[(c) The department of education shall calculate the difference for each town between state aid under Title 16 calculated using the equalized grand list of each town with current use property at current use value and at fair market value, and shall provide this information to the director of property valuation and review on or before September 1 of each year.]*
*[(d) The November 1996 reimbursement under section 3760 of title 32 and fiscal year 1997 state aid under Title 16 shall be calculated as if current use appraisal applied to grand lists for 1995.]*
Sec. 63a. FISCAL YEAR 1998 CURRENT USE REIMBURSEMENT
Notwithstanding section 3760 of Title 32, in fiscal year 1998, the state shall pay to each town the amount necessary to limit its tax rate increase in the prior year due to the loss of property tax revenue for that year based on use value of enrolled property as compared to property tax revenue for that year based on fair market value of enrolled property, to a maximum of $0.00 per $1.00 of equalized grand list value for that year. The director of property valuation and review shall determine the amount of the available funds under this section to be paid to each town, and a town may appeal the director’s decision in the same manner and under the same procedures as an appeal from a decision of a board of civil authority, as set forth in subchapter 2 of chapter 131 of this title. On November 1, 1997, the director of property valuation and review shall pay to each municipality the amount calculated as described above. If the appropriation for the year is insufficient to pay the full amount due to every town under this subsection, payments shall be made to such towns proportionately. The director’s calculation of payment amounts to municipalities shall be based on grand list values and total tax appropriations as submitted to the director for the prior year.
Sec. 64. 32 V.S.A. §3481(1) is amended to read:
(1) "Appraisal value" shall mean, with respect to property enrolled in a use value appraisal program, the use value appraisal as defined in section 3752(12) of this title, multiplied by the common level of appraisal, and with respect to all other property, the estimated fair market value. The estimated fair market value of a property is the price which the property will bring in themarket when offered for sale and purchased by another, taking into consideration all the elements of the availability of the property, its use both potential and prospective, any functional deficiencies, and all other elements such as age and condition which combine to give property a market value. Those elements shall include a consideration of a decrease in value due to a housing subsidy covenant as defined in section 610 of Title 27, or the effect of any state or local law or regulation affecting the use of land, including but not limited to chapter 151 of Title 10 or any land capability plan established in furtherance or implementation thereof, rules adopted by the state board of health and any local or regional zoning ordinances or development plans.
Sec. 65. CURRENT USE ENROLLMENT
Notwithstanding the provisions of Sec. 292 of Act No. 178 of the Acts of 1996, an owner of property discontinued from the use value appraisal program because of the owner’s failure to transfer from the repealed Farmland Program or Working Farm Tax Abatement Program to the new use value appraisal program by the extended deadline of September 20, 1996, may enroll that property in the use value appraisal program for 1996 and 1997, provided:
(1) all other requirements for enrollment are met; and
(2) the owner files an application and supporting documents with the director of property valuation and review within 30 days after the director mails notice of this enrollment opportunity. The director’s notice must be mailed by certified mail to the owner’s last known address.
Sec. 66. EFFECT OF RETROACTIVE ENROLLMENT FOR 1996
Upon notification by the director that an owner has been retroactively enrolled in the agricultural and managed forest land use value program for 1996 pursuant to this act, the listers shall make such changes in the grand list and make a certificate thereon of the fact. The proper officials in the town, within ten days of such a change in the grand list shall make out and deliver to the treasurer thereof a corrected tax bill. Any 1996 property taxes paid in excess of the corrected tax bill shall within 30 days of the delivery of the corrected tax bill be refunded by the town; or at the taxpayer’s option shall be credited against 1997 property taxes and any remaining balance refunded. The town shall abate any 1996 property tax liability assessed on that property in excess of the liability shown on the corrected bill and shall also abate any penalties and interest arising out of that portion of the original assessment.
Sec. 67. 32 V.S.A. § 3753 is amended to read:
§ 3753. CURRENT USE ADVISORY BOARD; MEMBERS; CHAIRMAN
(a) There is hereby established a current use advisory board.
(b) The membership of the board shall consist of:
(1) The following persons or their designees:
(A) Commissioner of the department of taxes;
(B) Director of the division of property valuation and review;
(C) Commissioner of the department of agriculture, food and markets;
(D) Commissioner of the department of forests, parks and recreation;
(E) Dean of the college of natural resources, agriculture and life sciences of the University of Vermont; and
(F) *[Dean of the school of natural resources of the University of Vermont.]*
(2) *[Five]* Eight additional members to be appointed by the governor with the advice and consent of the senate. Two of these members shall represent the private agricultural sector; two shall represent the private forestry sector; *[and]* one shall be experienced in agricultural and forestry property appraisal and valuation techniques ; one shall be a representative of local government; one shall be a selectboard member; and one shall be a lister. Fifty-one percent or more of the board membership shall be persons who do not own enrolled land, and have no spouse, child or parent who owns enrolled land. These members shall be appointed for three-year terms, beginning February first of the year in which the appointment is made, except that the initial appointment of three of the members shall be for a two-year term. Vacancies shall be filled in the same manner as the original appointment for the unexpired portion of the term vacated.
(c) A chair shall be designated biennially by the governor from among the members of the board and any vacancy in the office of chair shall be filled by designation of the governor.
(d) Members of the board who are not state employees shall be paid $50.00 a day, each, for each day that they are actually engaged in the work of the board. All members shall be paid their actual expenses incurred as a result of that work.
(e) The board shall be attached for administrative purposes to the division ofproperty valuation and review of the department of taxes of the agency of administration.
Sec. 68. 32 V.S.A. § 3776 is added to read:
§ 3776. FEE HUNTING PROHIBITION
(a) As of September 1, 1997, no person may charge or receive a fee, consideration or other thing of value in exchange for the right to hunt or fish on land enrolled in a use value appraisal program under this chapter.
(b) Upon a finding by the secretary that there has been a violation of the provisions of this section, the land in question shall be removed from the use value appraisal program. Upon development, the land shall be subject to the land use change tax.
Sec. 68a. LEGISLATIVE REVIEW
By January 15, 2000, the commissioner of fish and wildlife shall report to the Senate Committee on Natural Resources and Energy, and the House Committee on Fish, Wildlife and Water Resources with respect to the implementation of the fee hunting prohibition established under Sec. 68a of this act. The committees shall consider the matter, take testimony from the general public, and recommend any appropriate action to the general assembly.
Sec. 68b. MANAGED FOREST LAND USE VALUE APPRAISAL
The current use advisory board shall develop a formula that will incorporate capitalized income value for forest land and shall report on its findings to the legislature by January 15, 1999. The formula shall acknowledge regional differences.
PART XI
* * * GENERAL FUND TAXES * * *
* * * Meals and Rooms Tax * * *
Sec. 69. 32 V.S.A. § 9241 is amended to read:
§ 9241. IMPOSITION OF TAX
(a) An operator shall collect a tax of *[seven]* nine percent of the rent of each occupancy.
(b) An operator shall collect a tax on the sale of each taxable meal andalcoholic beverage at the rate of *[seven]* nine percent of each full dollar of the total charge and on each sale for less than one dollar and on each part of a dollar in excess of a full dollar in accordance with the following formula:
*[$0.01-0.14]* *[$ .01]*
*[0.15-0.28]* *[02]*
*[0.29-0.43]* *[03]*
*[0.44-0.57]* *[04]*
*[0.58-0.71]* *[05]*
*[0.72-0.85]* *[06]*
*[0.86-1.00]* *[07]*
$0.01-0.11 $0.01
0.12-0.22 0.02
0.23-0.33 0.03
0.34-0.44 0.04
0.45-0.55 0.05
0.56-0.66 0.06
0.67-0.77 0.07
0.78-0.88 0.08
0.89-1.00 0.09
*[(c) An operator shall collect a tax on each sale of alcoholic beverages at the rate of ten percent of each full dollar of the total charge and on each sale for less than one dollar and on each part of a dollar in excess of a full dollar in accordance with the following formula:]*
*[$ .01 - .14]* *[$.01]*
*[.15 - . 24]* *[.02]*
*[.25 - . 34]* *[.03]*
*[.35 - . 44]* *[.04]*
*[.45 - . 54]* *[.05]*
*[.55 - . 64]* *[.06]*
*[.65 - . 74]* *[.07]*
*[.75 - . 84]* *[.08]*
*[.85 - . 94]* *[.09]*
*[.95 -1.00]* *[.10]*
Sec. 70. 32 V.S.A. § 9242(c) is amended to read:
(c) A tax of *[seven]* nine percent of the gross receipts from meals and occupancies and *[ten percent of the gross receipts from]* alcoholic beverages,exclusive of taxes collected pursuant to section 9241 of this title, received from occupancy rentals, taxable meals and alcoholic beverages by an operator, is hereby levied and imposed and shall be paid to the state by the operator as herein provided. Every person required to file a return under this chapter shall, at the time of filing the return, pay the commissioner the taxes imposed by this chapter as well as all other monies collected by him or her under this chapter; provided, however, that every person who collects the taxes on taxable meals and alcoholic beverages according to the tax bracket schedules of section 9241 of this title shall be allowed to retain any amount lawfully collected by the person in excess of the tax imposed by this chapter as compensation for the keeping of prescribed records and the proper account and remitting of taxes.
Sec. 70a. REIMBURSEMENT FOR CASH REGISTER REPROGRAMMING
Notwithstanding any other provisions of law, an operator in good standing shall be entitled to claim reimbursement of all or a portion of its expenditure for reprogramming for the new meals and rooms tax rate of cash registers which were in use at the place of business on and after May 1, 1997. Applications must be filed with the Department of Taxes on or before September 1, 1997. The amount of reimbursement shall be equal to $50,000.00 divided by the number of qualified applicants, but in no event shall it exceed the actual cost to the operator of reprogramming its cash registers. Provisions of section 3108 of Title 32 shall not apply to reimbursement payments under this section.
* * * Motor Fuels Tax on Gasoline * * *
Sec. 71. 23 V.S.A. § 3106(a) is amended to read:
(a) Except for sales of motor fuels between distributors licensed in this state, which sales shall be exempt from the tax, in all cases not exempt from the tax under the laws of the United States at the time of filing the report required by section 3108 of this title, each distributor shall pay to the commissioner a tax of *[15]* 18 cents per gallon upon each gallon of motor fuel sold by the distributor. The distributor shall also pay to the commissioner a tax in the same amount upon each gallon of motor fuel used within the state by him or her.
* * * Sales Tax * * *
Sec. 72. [DELETED]
Sec. 72a. 32 V.S.A. §9741 (38) and (39) are added to read:
§9741. SALES NOT COVERED
Receipts for the following shall be exempt from the tax on retail sales imposed under section 9771 of this title and the use tax imposed under section 9773 of this title.
* * *
(38) Sales of building materials, in excess of one million dollars in purchase value, used in the construction or expansion of facilities which are engaged in the manufacturing of tangible personal property for sale,
(39) Sales of building materials, in excess of one million dollars in purchase value, incorporated into a downtown redevelopment project.
Sec. 73. 32 V.S.A. § 9745a is amended to read:
§ 9745a. APPLICATION TO SECTION 9745
The provisions of section 9745 of this title shall be applicable to exemptions claimed for agricultural products, machinery and equipment under *[section]* subdivisions 9741 (3) and (25) of this title.
Sec. 74. [DELETED]
Sec. 74a. REPORT ON EFFECTIVENESS OF TELECOMMUNICATIONS SALES TAXES
The Commissioner of Taxes shall report to the Senate Committee on Finance, House Committee on Ways and Means and the Joint Fiscal Office on January 28, 1998 regarding the receipts under the effectiveness of Title 32, chapter 211, subchapter 6 as amended by this act.
* * * Corporate Income Tax * * *
Sec. 75. 32 V.S.A. § 5832 is amended to read:
§ 5832. TAX ON INCOME OF CORPORATIONS
A tax is imposed for each calendar year, or fiscal year ending during that calendar year, upon the income earned or received in that taxable year by every taxable corporation, such tax being the greater of
(1) an amount determined in accordance with the following schedule:
Vermont net income of the
corporation for the taxable year
allocated or apportioned to
Vermont under section 5833
of this title Tax
$ 0-10,000.00 *[5.50%]* 7.00%
10,001.00-25,000.00 *[$550.00]* $700.00 plus *[6.60%]* 8.10% of the
excess over $10,000.00
25,001.00-250,000.00 *[$1,540.00]* $1,915.00 plus *[7.70%]* 9.20% of
the excess over $25,000.00
250,001.00 and over *[$18,865.00]* $22,615.00 plus *[8.25%]* 9.75% of
the excess over $250,000.00
or
(2)(A) $75.00 for small farm corporations. "Small farm corporation" means any corporation organized for the purpose of farming, which during the taxable year is owned solely by active participants in that farm business and receives less than $100,000.00 gross receipts from that farm operation, exclusive of any income from forest crops; or
(B) $150.00 for all other corporations.
Sec. 76. [DELETED]
Sec. 77. [DELETED]
* * * Purchase and Use Tax * * *
Sec. 78. AMENDMENT OF SEC. 292b OF ACT NO. 178 OF THE ACTS OF 1996
Notwithstanding Sec. 292b of Act No. 178 of the Acts of 1996, the purchase and use tax rate shall not revert to four percent on July 1, 1997, but shall be six percent until further amended by the legislature.
* * * Bank Franchise Taxes * * *
Sec. 79. 32 V.S.A. § 5836(b) is amended to read:
(b) The tax imposed by this section for each taxable month shall be equal to *[0.000040]* 0.000068 of the average monthly deposit for such taxable month held by the corporation. As used in this section the word "deposit" shall have the same meaning as the word "deposit" as defined in Title 12, Part 204, section 204.2(a)(1) of the code of federal regulations. The average monthly deposit for any taxablemonth shall be determined by the deposits held by the corporation on the last business day of each of the 12 months directly preceding the taxable month for which the average monthly deposit is to be determined. The said 12 deposits for the preceding 12 months shall be added together and divided by 12 to produce the average monthly deposit for the taxable month in question. In the event a corporation has not been doing business for 12 consecutive months prior to any taxable month for which an average monthly deposit is to be determined, the average monthly deposit for such taxable months shall be based upon the number of months (less than 12) that the bank has been doing business prior to the taxable month in question.
Sec. 80. LIMITATION ON EDUCATION PROPERTY TAXATION OF ELECTRIC GENERATING PLANTS
Notwithstanding any provisions of this act or local law to the contrary, in 1998 and after, a municipality may assess upon any electric generating plant subject to the tax under chapter 213 of Title 32 an education property tax. The tax rate shall not exceed the education property tax rate assessed on such property in fiscal year 1997. The tax shall be assessed on the municipal grand list value of such property, but in no event shall the education property tax assessment exceed the education property tax assessed on such property in fiscal year 1997. The revenue from this tax shall be deposited into the education fund established by this act, and shall be credited to the account of the municipality that collected the tax.
* * * Telecommunications Services Charge * * *
Sec. 80a. 32 V.S.A. § 9701(4), (5) and (9) are amended to read:
(4) Receipt: means the amount of the sales price of any property and the charge for any amusement taxable under this chapter valued in money, whether received as money or otherwise, without any deduction for expenses or early payment discount, but excluding any amount for which credit is allowed by the vendor to the purchaser, and excluding any allowance in cash or by credit made upon the return of merchandise pursuant to warranty or the price of property returned by customers when the full price thereof is refunded either in cash or by credit, and excluding the price received for labor or services used in installing or applying to repairing the property sold, if separately charged or stated, and the cost of transportation from the retailer's place of business or other point from which shipment is made directly to the purchaser provided those charges are separately stated and provided the transportation occurs by means of common carrier,contract carrier or the United States mails. Beverage container deposits required to be paid by chapter 53 of Title 10 on beverages subject to tax under this chapter shall constitute receipts for the purposes of this chapter. Receipt shall also mean the charge for any telecommunications service excluding any amounts added to a purchasers bill for federal excise taxes applicable to said services and excluding the surcharge imposed under 30 V.S.A. § 7521.
(5) Retail sale or sold at retail: means the sale of tangible personal property or telecommunications service to any person for any purpose, other than for resale (except resale as a casual sale). Sales of tangible personal property to all contractors, subcontractors or repairmen of materials and supplies for use by them in erecting structures for others, or building on, or otherwise improving, altering, or repairing real property of others are deemed to be retail sales. Sales of tangible personal property to an advertising agency for its use in providing advertising services or creating advertising materials for transfer in conjunction with the delivery of advertising services are also deemed to be retail sales.
(9) Vendor: includes
* * *
(H) a telecommunications service provider as defined in 30 V.S.A. § 7501.
Sec. 80b. 32 V.S.A. §9701(19) and (20) are added to read:
(19) Telecommunications service: means intrastate and interstate telecommunications service as defined in 30 V.S.A. § 7501.
(20) Vermont service address: means the location in Vermont of communications services equipment from which the telecommunications services are originated or at which communications services are received by a purchaser. In the event this may not be a defined location, as in the case of mobile telephone service, paging systems, maritime systems, air-to-ground systems and the like. Vermont service address shall mean the location in Vermont of a taxpayers primary use of the communications services equipment as defined by telephone number authorization code, or location in this state where bills are sent.
Sec. 80c. 32 V.S.A. § 9703 is amended to read:
§ 9703. LIABILITY FOR TAX
Every person required to collect any tax imposed by this chapter shall bepersonally liable for the tax imposed, collected or required to be collected under this chapter. That person shall have the same rights in collecting the tax from his purchaser or regarding nonpayment of the tax by the purchaser as if the tax were a part of the purchase price of the property, telecommunications service or amusement charge, as the case may be, and payable at the same time; provided, however, if the person required to collect the tax has failed to remit any portion of the tax to the commissioner, that the commissioner shall be notified of any action or proceeding brought by such person to collect the tax and shall have the right to intervene in such action or proceeding.
Sec. 80d. 32 V.S.A. § 9741(38) and (39) are added to read:
(38) Charges for wholesale transactions between telecommunications service providers where the service is component part of a service provided to an end user. This exemption includes, but is not limited to, network access charges and interconnection charges paid to a local exchange carrier.
(39) Charges paid by inserting coins in coin-operated telecommunications service devices.
Sec. 80e. 32 V.S.A. § 9742(10) is added to read:
(10) The sale of telecommunications service to an affiliate of the telecommunications provider.
Sec. 80f. 32 V.S.A. § 9771(2) is amended to read:
(2) The sale at retail of public utility services including gas and electricity, but excluding water*[, telephone]* and transportation.
Sec. 80g. 32 V.S.A. § 9771(5) is added to read:
(5) The sale at retail of telecommunications service provided to a Vermont service address; provided however, the tax to be paid shall be 3.29 percent. No purchaser or user shall be subject to tax under this subsection (5) in excess of $10,000 in any one calendar year. A purchaser or user may annually, on or after January 1, apply to the commissioner for a refund of taxes paid in the prior calendar year in excess of $10,000.00 on telecommunications services, and upon proof sufficient to the commissioner, the commissioner shall refund the excess to the purchaser or user, without interest.
Sec.80h. 32 V.S.A. § 9772 is amended to read:
§ 9772. TAX BRACKET SCHEDULE
For the purpose of adding and collecting the tax imposed by this chapter, or an amount equal as nearly as possible or practicable to the average equivalent thereof, to be reimbursed to the vendor by the purchaser, the following formula shall be in force and effect as follows:
Amount of Sale Amount of Tax
$0.01-0.10 No Tax
0.11-0.25 $ .01
0.26-0.50 .02
0.51-0.75 .03
0.76-1.00 .04
In addition to a tax of $0.04 on each full dollar, a tax shall be collected on each part of a dollar in excess of a full dollar in accordance with the following formula:
$0.01-0.25 $ .01
0.26-0.50 .02
0.51-0.75 .03
0.76-1.00 .04
When several taxable articles are purchased together at the same time, the tax shall be computed on the total amount of the sale of the several taxable items.
Notwithstanding the provisions set forth herein with regard to the five percent tax, the following formula shall be in force for the sale at retail of telecommunications services:
Amount of Sale Amount of Tax
$0.01-0.25 No Tax
0.26-0.50 $ .01
0.51-0.75 $ .02
0.75-1.00 $ .0329
In addition to a tax of $.0329 on each full dollar, a tax shall be collected on each part of a dollar in excess of a full dollar in accordance with the following formula:
Amount of Sale Amount of Tax
$0.01-0.50 $ .01
0.51-0.75 $ .02
0.76-1.00 $ .0327
Sec. 80i. 32 V.S.A. § 9775 (a) is amended to read:
(a) Every person required to collect or pay tax under this chapter shall, where the sales and use tax liability under this chapter for the immediately preceding calendar year has been (or would have been in cases when the business was not operating for the entire year) $1,000.00 or less, pay the tax imposed by this chapter in quarterly installments on or before the 25th day of the calendar month succeeding the quarter ending on the last day of March, June, September and December of each year. In all other cases, the tax imposed by this chapter shall be due and payable monthly on or before the 25th (23rd of February) day of the month following the month for which the tax is due. The return of a vendor of tangible personal property shall show his receipts from sales and also the aggregate value of tangible personal property sold by him, the use of which is subject to tax under this chapter. The return of a recipient of amusement charges shall show all those charges and the amount of tax thereon. The return of a telecommunications service provider shall show all receipts on which a tax must be paid by a purchaser and the amount of tax thereon.
* * * Lottery Revenues and Powerball * * *
Sec. 81. 31 V.S.A. § 654a is added to read:
§ 654a. NATIONAL POWERBALL GAME
The commission shall negotiate and contract with the multi-state lottery corporation to offer and provide the national powerball game in this state. Consistent therewith, and pursuant to all other provisions of this chapter, the commission shall adopt rules under chapter 25 of Title 3 governing the establishment and operation of the national powerball game in Vermont. All revenues received from the operation of the national powerball game, after the payment of prizes and administrative costs, shall be deposited in the education fund established by section 4025 of Title 16.
Sec. 82. 31 V.S.A. § 654(11)(D) is amended to read;
(D) the transfer of moneys to the *[general fund]* education fund establishedby section 4025 of Title 16, to be used solely for *[capital expenditures or debt service]* the purposes of state and local funding of public education.
Sec. 83. 31 V.S.A. § 677 is amended to read:
§ 677. ALLOCATION OF PROFITS
The profits received by the state of Vermont through the sale of the Tri-State Lotto tickets shall be deposited in the *[general fund]* education fund established by section 4025 of Title 16 and used solely for the purposes of state and local funding of public education.
PART XII
* * * LOCAL OPTION TAXING AUTHORITY * * *
Sec. 84. 24 V.S.A. § 138 is added to read:
§ 138. LOCAL OPTION TAXES
(a) If a municipality so elects, at an annual or special meeting warned for that purpose, by a majority vote of those present and voting, the town may assess any or all of the following: a maximum one percent sales and use tax, maximum one percent meals and alcoholic beverages tax, maximum one percent rooms tax; to be imposed, collected and administered as if they were state taxes by the department of taxes, on behalf of the municipality, in accordance with state law governing such state tax or taxes.
(b) A tax elected under subsection (a) of this section shall become effective in the first reporting quarter following the date of the vote, but in no case before 120 days after the vote.
(c) Notwithstanding section 462 of Title 32, the commissioner of finance and management shall issue a warrant to the treasurer to pay 70 percent of the taxes collected for a municipality under this section to the municipality for which it was collected. The remaining 30 percent of the taxes collected shall be deposited into the PILOT special fund.
(d) In the case of insufficient payment by a taxpayer to cover both state and municipality tax liabilities, the state tax liabilities shall be paid first. In collection of delinquent taxes, payments shall be allocated first to state tax liabilities.
(e) As used in this section, "municipality" means a city, town or incorporated village.
Sec. 85. PILOT SPECIAL FUND
(a) There is established a PILOT special fund, to be managed by the commissioner of taxes, pursuant to subchapter 5 of chapter 7 of Title 32. The commissioner of finance and management may draw warrants for disbursements from this fund in anticipation of receipts.
(b) If after payment of the amounts required by subsection (d) of section 3703 of Title 32, insufficient funds exist to pay the full amount of all remaining payments in lieu of taxes, then the remaining payments, after application of the cap in subsection (c) of section 3703 of Title 32, shall be reduced proportionately.
PART XIII
* * * STUDIES AND REPORTS * * *
Sec. 86. LEGISLATIVE OVERSIGHT COMMITTEE ON RESTRUCTURING EDUCATION
(a) There is created a Joint Legislative Oversight Committee on Restructuring Education to monitor the implementation of the reforms in financing education and educational quality directed by this act. The Joint Committee shall be composed of ten members of the General Assembly. The Committee on Committees of the Senate shall appoint five members of the Senate, not all from the same political party; and the Speaker of the House shall appoint five members of the House, not all from the same political party.
(b) The Joint Committee shall conduct a continuing review of the actions and policies of the Department of Education, Department of Taxes, school districts and other entities of educational governance in the state in the implementation of the provisions of this act and other provisions of law relating to quality and funding public education.
(c) The Joint Committee shall receive periodic reports at such times as it deems necessary from the Commissioner of Education, the Commissioner of Taxes, and the Secretary of Administration on revenues to and expenditures from the education fund, and other expenditures for state and local support of public education. Annually, on or before October 1, the Commissioner of Education shall report to the Joint Committee his or her recommendation of an appropriate level of general state support grants provided under section 4011 of Title 16 to school districts for the next ensuing school year . The Joint Committee shall review the commissioner’s recommendation and annually, on or before December 1, shallreport its recommendation for the amount of general state support grants to the General Assembly.
(d) The Joint Committee shall also review and advise on agency rules relating to quality and funding of public education and the implementation of the provisions of this act. An agency of the state shall submit any initial proposed rule relating to the implementation of this act to the committee at the time the agency publishes the proposed rule for public comment under chapter 25 of Title 3. The committee may hold such hearings on the proposed rule as it deems necessary, may review any proposed rule under the criteria established for review of administrative rules by section 842 of Title 3, and may submit its recommendations thereon to the Joint Legislative Committee on Administrative Rules for consideration by that committee under the Administrative Procedure Act.
(e) The Joint Committee shall review the following specific features of current property taxation statutes and practices, and include recommendations thereon to the General assembly in its December 1997 report:
(1) Whether exemptions currently provided by statute to the property tax by chapter 125 of Title 32 continue to be equitable and appropriate within a system of educational property taxes as provided in this act; and
(2) The manner in which mobile home park tenants are affected by property taxation of a mobile home and the lot on which it is situated, and whether the benefits of this act adequately accrue to such taxpayers and the manner in which it may be more equitably apportioned.
(3) The effects of the provisions of this act on economic development in the state and whether financing public education through the statewide education property tax and any local share property tax based on equalized tax rates encourages or discourages economic expansion, employment and the creation of jobs.
(f) The Joint Committee may meet during the adjournment of the General Assembly at such times as it deems necessary. For attendance at meetings during adjournment of the General Assembly, members of the committee shall be entitled to compensation and reimbursement for expenses as provided in 2 V.S.A. § 406.
(g) The Joint Committee shall have the assistance of the staff of the Legislative Council, the Joint Fiscal Office, the Department of Taxes, the Department of Education, and any other state agency.
(h) The Joint Committee shall provide a report on or before December 1 each year to the General Assembly on the implementation of this act and the achievement of its goals together with any recommendations for legislative action. The committee shall cease to exist on December 1, 2001 unless further extended by act of the General Assembly.
Sec. 87. COMMISSION ON QUALITY PROPERTY TAX APPRAISALS AND EQUALIZATION
(a) There is created a Commission on Quality Property Tax Appraisals and Equalization. The commission shall be composed of nine members who shall be appointed by the governor, and shall include:
(1) two municipal listers;
(2) one professional property appraiser;
(3) one representative of the Vermont League of Cities and Towns;
(4) one employee of the Division of Property Valuation and Review;
(5) one real estate broker licensed in the state;
(6) three other citizens of the state.
(b) The commission shall review the practices and methods of real estate appraisal in the state, the methods used to equalize appraisal values uniformly throughout the state; the needs for quality appraisals and the requirements for comprehensive statewide equalization as directed by this act. The commission shall consider revisions to the real estate appraisal practices and requirements, particularly as they may relate to improvements in methods for equalizing educational finance burdens and property taxes, and make its recommendations thereon to the General Assembly on or before January 15, 1998.
(c) For attendance at meetings or official duties of the commission, members who are not employees of the state shall be entitled to receive compensation and reimbursement for expenses as provided to members of boards in section 1010 of Title 32. The commission shall elect its chair from among its members. The commission shall have the assistance of the Division of Property Valuation and Review of the Department of Taxes.
Sec. 88. GROSS RECEIPTS AND EXCISE TAX STUDY
(a) The Joint Fiscal Office, under the direction of the Legislative OversightCommittee on Restructuring Education, shall conduct or contract for a study of the feasibility of the establishment of a gross receipts tax, general excise tax, or other form of business excise tax in the state. The study shall address the structure of a gross receipts tax, general excise tax, and its variations; the methods and costs of administration, enforcement and collection; the transactions subject to the tax and any appropriate exclusions; the requirements and responsibilities of businesses and other entities affected by the tax; revenue projections of receipts from the tax at uniform or various rates imposed on separate categories or tax classifications such as agricultural, manufacturing and services businesses; and recommendations for effective implementation and administration.
(b) For the purposes of this study, there is appropriated to the Joint Fiscal Committee from the general fund in fiscal year 1998 the amount of $100,000.00.
(c) The report of the committee or its contractor shall be submitted to the General Assembly no later than January 15, 1998.
Sec. 89. SMALL SCHOOLS SUPPORT; AID FOR SPECIAL EDUCATION
EXPENSES; STUDY
(a) For fiscal years 1998 and 1999, the Commissioner of Education shall pay a small schools support grant to any public school with less than 100 long-term membership. The amount of the grant shall be determined by multiplying the long term membership of the school by $500.00 and subtracting the product from $50,000.00 except, that no grant shall exceed $2,500.00 per long term membership.
(b) The Commissioner shall study Vermont public schools with an enrollment of less than 100 students, and analyze their needs in the following areas:
(1) physical facilities,
(2) construction,
(3) transportation,
(4) capacity of surrounding schools,
(5) capacity for providing a quality education to their students, and
(5) other unique educational and economic challenges.
(c) The commissioner shall study the need for changes to the system of providing state aid for special education expenditures. The commissioner shallmake recommendations for change considering:
(1) changes to the education finance system in this act;
(2) the need to ensure that the system complies with the supreme court decision of February 5, 1997, Brigham v. State of Vermont; and
(3) the need for cost control in special education given recent dramatic cost increases.
(d) On or before January 15, 1998, the Commissioner shall report to the Legislative Oversight Committee on Restructuring Education on:
(1) those "necessarily" small schools which, based on the above considerations, should continue to receive a small schools grant in some form,
(2) recommendations for alternative physical arrangements for those small schools that should not continue to receive small school grants, and
(3) recommendations for changes to the system of providing state aid for special education expenditures.
Sec. 90. STUDY ON TUITION FOR PUBLIC AND INDEPENDENT SCHOOLS
(a) There is established a Study Committee on Tuition for Public and Independent Schools. The committee shall be composed of a member of the Senate appointed by the Committee on Committees, a member of the House appointed by the Speaker, the Commissioner of Education or his designee, a member of the State Board of Education appointed by the board, and a representative of each of the following organizations appointed by the organization: the Vermont School Boards Association, the Vermont Independent Schools Association and the Vermont Council of Independent Schools.
(b) The committee shall study the effect of this act on school districts that do not maintain a secondary school, and shall report to the Legislative Oversight Committee on Education on or before January 15, 1998 the following:
(1) The spending patterns and tuition rates paid by these school districts,
(2) Recommendations for changes to laws, including this act, that will encourage cost containment for these school districts while maintaining a quality education for the students in the district.
Sec. 91. STAMFORD SCHOOL DISTRICT; DESIGNATION OF AREGIONAL TECHNICAL CENTER AS THE TECHNICAL CENTER OF THE DISTRICT
(a) For the purpose of determining the maximum amount of tuition that the Stamford school district shall pay to an approved technical center, notwithstanding the provisions of chapter 37 of Title 16, the Stamford school district may vote on such terms or conditions as it deems appropriate, to designate a regional technical center as the technical center for the district.
(b) If the board of a technical center votes to accept this designation, the Stamford school district shall pay the full tuition charged to any of its pupils who choose to attend the technical center.
(c) If a parent or guardian decides to send a pupil to a technical center not designated under this section, the Stamford school board shall pay tuition to the technical center selected. The amount paid shall be the lesser of the tuition charged by the technical center selected, or the tuition charged by the designated technical center. The parent or guardian shall be responsible for paying any tuition charged that is not paid by the Stamford school board.
PART XIV
* * * APPROPRIATIONS AND TRANSITION COSTS * * *
Sec. 92. APPROPRIATIONS
(a) Municipalities for administration of education property tax. There is appropriated from the general trust fund for fiscal year 1998 to the director of property valuation and review the sum of $100,000.00 to be paid to each municipality at the rate of $1.00 for each R1, R2 and MHL parcel with more than two acres and for each farm, to assist in compensating the town officials who determine the listed value of the homestead and the nonresidential portion of the parcel.
(b) Tourism and marketing. There is appropriated from the general fund for fiscal year 1998 to the department of tourism and marketing the sum of $1,560,000.00, which shall be used by the department for marketing, and of which $100,000.00 shall be expended for the "Market Vermont" program and $40,000.00 shall be expended for the Vermont film bureau, and $100,000.00 shall be used to encourage and promote ecotourism in Vermont by creating and maintaining a financing and marketing data base of outdoor adventure guides, activities and programs linked to resource providers.
(c) Payments in lieu of taxes. There is appropriated from the general fund for fiscal year 1998 to the secretary of administration the sum of $1,000,000.00, for payments in lieu of taxes under section 3706 of Title 32.
(d) Current use program. There is appropriated from the general fund for fiscal year 1998 the amount of $5,519,234.00 to the director of property valuation and review for state payments to municipalities for reimbursements for enrolled property in the current use program as required by 32 V.S.A. § 3760 as added by this act.
(e) Technical education. There is appropriated from the general fund for fiscal year 1998 to the Commissioner of Education the amount of $750,000.00 for funding of technical equipment replacement pursuant to section 1564 of Title 16.
(f) Capital construction aid for schools. There is appropriated from the general fund for fiscal year 1998 the amount of $9,750,000.00 to the Commissioner of Education for state aid for capital construction costs as required by section 3448 of Title 16.
(g) Municipal and public implementation costs. There is appropriated from the general fund for fiscal year 1998 the amount of $300,000.00 to the Commissioner of Education and the Commissioner of Taxes, to be allocated to each in amounts determined by the Secretary of Administration, for the purpose of informing the public of the obligations, requirements, and benefits of this act, and for providing information and training to state and local officials necessary for the effective implementation of this act.
(h) Tax department implementation costs. There is appropriated from the general fund for fiscal year 1998 the amount of $3,527,470.00 to the Commissioner of Taxes for the effective implementation of this act of which $1,197,000.00 shall be for the Division of Property Valuation and Review.
(i) Education department transition costs. There is appropriated from the general fund for fiscal year 1998 the amount of $325,000.00 to the Department of Education for the implementation of this act.
(k) Legislative Oversight Committee on Educational Restructuring. There is appropriated to the Legislature from the general fund the amount of $50,000.00 for fiscal year 1998 for support of the Legislative Oversight Committee on Education Restructuring.
Sec. 92a. REVENUE COLLECTION AND EXPENDITURE
Revenues under this act shall be collected and expenditures distributed in a manner that will minimize the State's short-term borrowing needs.
Sec. 92b. BLACK TURN BROOK STATE FOREST; ECO-TOURISM STUDY
(a) The department of travel and tourism shall create a committee to study land use and management of the Black Turn Brook State Forest, previously known as Earth People’s Park, in Norton, and eco-tourism. Study topics shall include:
(1) Eco-tourism.
(2) The feasibility of and expected demand for a conservation camp for youths or adults on this property, including proposed educational programs and camp operations.
(3) The development and operation of such a camp, including proposed capital and operating budgets with recommendations for financing by state and nonstate sources.
(4) The establishment of one or more governing entities regarding educational programs and camp operation, whose membership may include state agencies and representatives of fish and wildlife clubs, the Vermont Natural Resources Council, the Green Mountain Club, the Youth Conservation Corps and other interested clubs and organizations.
(b) The committee shall be comprised of: the commissioners of the departments of forest, parks and recreation, of fish and wildlife and of tourism and marketing, or their designees, one representative each of the Town of Norton, the Vermont Natural Resources Council, the Vermont Leadership Center, the Youth Conservation Corps, the Vermont Fish and Wildlife Group, the Vermont Federation of Sportsmen Clubs, the Derby Fish and Game Club, the Orleans County Rod and Gun Club, the Vermont Association of Snow Travelers, the Island Pond Chamber of Commerce, and the Vermont State Chamber of Commerce, and the chairs, or designees, of the House and Senate Institutions Committees.
(c) Committee meetings shall be held in Essex County. Staff support shall be provided by the department of forests, parks and recreation.
Sec. 92c. UNDERGROUND RAILROAD STUDY
The division of historic preservation is directed to do a follow-up study to the1996 Underground Railroad in Vermont report by the division, which pursues research through sources in Canada. The study shall be directed and contracted by the division with the assistance of a steering committee consisting of: two members of the senate appointed by the committee on committees; two members of the house appointed by the house speaker; a representative of the division of historic preservation appointed by the secretary of commerce and community development; the director of the Rokeby Museum in Ferrisburgh; three historians each representing a different Vermont college or university appointed by the governor; and three Vermont residents appointed by the governor. The representative of the division of historic preservation shall convene the first meeting. The division of historic preservation shall provide staff support to the committee. The committee shall report study findings and recommendations to the house and senate committees on institutions by January 15, 1998.
Sec. 93. INCONSISTENT PROVISIONS OF MUNICIPAL CHARTERS
The provisions of this act shall supersede the provisions of any charter or special act to the contrary.
Sec. 94. TRANSITIONAL PROVISIONS
A school district whose school year 1999 budget will be considerably more or considerably less than its school year 1998 budget, shall, in its 1999 action plan required by rule of the State Board of Education, address how it will use the resources available to improve student performance.
Sec. 95. EFFECTIVE DATES
(a) Secs. 1, 2 and 4 through 15, relating to education quality, shall take effect on passage.
(b) Sec. 3, relating to repeal of public school approval standards, shall take effect on July 1, 1998.
(c) Secs. 16 through 24, relating to public school choice, shall take effect on July 1, 1998. Sec. 25, relating to implementation of public school choice, shall take effect on passage. However, Sec. 22a shall take effect on July 1, 2003.
(d) Secs. 26 through 43, establishing the new system of education finance, shall take effect on July 1, 1998, except that the new definition of average daily membership in Sec. 26, 16 V.S.A. § 4001(1), shall take effect on July 1, 1997.
(e) Sec. 44, relating to transitional provisions for school construction aid, shalltake effect on passage.
(f) Secs. 45 through 50, relating to statewide education property tax, shall take effect upon passage, except § 5403 of Title 32 shall take effect January 1, 1998. Secs. 50a through 50c, relating to statewide education property tax, shall take effect upon passage.
(g) Secs. 51 and 52, relating to homestead property tax reduction, shall take effect January 1, 1998. Sec. 52a, relating to repeal of the property tax rebate program, shall take effect upon passage.
(h) Secs. 53 through 58, relating to payments in lieu of taxes, shall take effect July 1, 1997.
(i) Secs. 59-68b (relating to use value appraisal) shall take effect upon passage.
(j) Secs. 69 through 71, 73 and 78, relating to general fund taxes, shall take effect July 1, 1997. Secs. 69 and 70 (meals and rooms tax) shall apply to occupancies and meals on and after July 1, 1997, provided however, that receipts from occupancies and meals reserved pursuant to a written contract entered into prior to May 15, 1997, and occurring prior to April 1, 1998, shall be taxed at the rate of seven percent. Secs. 72 and 73 (sales and use tax) shall apply to transactions on and after July 1, 1997. Sec. 79 (bank franchise tax) shall apply to deposits beginning July 1, 1997. Sec. 75 (corporate income tax) shall apply to tax years beginning on and after January 1, 1997. Secs. 81, 82 and 83 (lottery and powerball) shall take effect on July 1, 1997. Secs. 80a through 80i, relating to telecommunications service charge, shall be effective to services that are provided and billed on or after September 1, 1997.
(k) Secs. 84 and 85, relating to local option taxes and a pilot special fund, shall take effect July 1, 1997.
(l) Secs. 86 through 91, relating to studies and reports, shall take effect from passage.
(m) Sec. 92, relating to appropriations, shall take effect on July 1, 1997.
(n) Sec. 93, relating to inconsistent municipal charters, shall take effect July 1, 1997.
(o) Sec. 94 and this section, relating to transitional provisions and effective dates, shall take effect from passage.
And by renumbering the sections of the bill to be numerically correct and allinternal cross references to be correct.
Pending the question, Will the House concur in the Senate proposal of amendment? Rep. Valsangiacomo of Barre City moved that the House refuse to concur and ask for a Committee of Conference.
Pending the question, Will the House refuse to concur with the Senate proposal of amendment and request a committee of conference? Rep. Freed of Dorset demanded the Yeas and Nays, which demand was sustained by the Constitutional number. The Clerk proceeded to call the roll and the question, Will the House refuse to concur with the Senate proposal of amendment and request a committee of conference? was decided in the affirmative. Yeas, 115. Nays, 0.
Those who voted in the affirmative are:
Alfano of Calais
Allard of St. Albans Town
Angell of Randolph
Barney of Highgate
Bjerke of Burlington
Blanchard of Essex
Bohi of Hartford
Bourdeau of Hyde Park
Brady of Bennington
Brooks of Montpelier
Brunelle of Winooski
Buchdahl of Georgia
Buckland of Newport Town
Campbell of Rockingham
Carmolli of Rutland City
Cillo of Hardwick
Clark of St. Johnsbury
Coleman of Londonderry
Corren of Burlington
Costello of Brattleboro
Crawford of Burke
Darrow of Newfane
Darrow of Dummerston
Deen of Westminster
Deuel of West Rutland
Doyle of Richmond
Dunne of Hartland
Dwyer of Thetford
Emmons of Springfield
Fox of Essex
Freed of Dorset
Freidin of New Haven
Fyfe of Newport City
Gervais of Enosburg
Ginevan of Middlebury
Grant of Groton
Gray of Barre Town
Gretkowski of Burlington
Hathaway of Barton
Heath of Westford
Hill of Milton
Hoag of Woodford
Holmes of Bethel
Houston of Ferrisburg
Howard of Rutland Town
Howrigan of Fairfield
Hummel of Underhill
Hyde of Fayston
Keenan of St. Albans City
Kehler of Pomfret
Kendall of Woodstock
Kenyon of Bradford
Klopchin of Clarendon
Knox of Northfield
Koch of Barre Town
Krasnow of Charlotte
Kreitzer of Rutland City
Kristensen of Guilford
LaBarge of Grand Isle
Lafayette of Burlington
Larrabee of Danville
Lehman of Hartford
Lippert of Hinesburg
Mackinnon of Sharon
Marron of Stowe
Maslack of Poultney
Mazzariello of Rutland City
McNamara of Burlington
Metzger of Milton
Miller of Shaftsbury
Milne of Washington
Molloy of Arlington
Moore of Rutland City
Morrissey of Bennington
Nelson of Ryegate
Nuovo of Middlebury
Osman of Plainfield
Paquin of Fairfax
Parizo of Essex
Peaslee of Guildhall
Perry of Richford
Pike of Mendon
Pugh of South Burlington
Richardson of Weathersfield
Robb of Swanton
Rose of Williston
Rusten of Halifax
Schiavone of Shelburne
Sheltra of Derby
Sherman of St. Johnsbury
Simpers of Colchester
Sinnott of Bennington
Smith of Sudbury
Snyder of Pittsford
Steele of Waterbury
Suchmann of Chester
Sullivan of Burlington
Sweaney of Windsor
Sweetser of Essex
Symington of Jericho
Towne of Berlin
Tracy of Burlington
Valsangiacomo of Barre City
Vincent of Waterbury
Vinton of Colchester
Voyer of Morristown
Weiss of Northfield
Westman of Cambridge
Willett of St. Albans City
Winters of Williamstown
Wisell of Bristol
Wood of Brandon
Woodward of Johnson
Young of Orwell
Zuckerman of Burlington
Those who voted in the negative are:
Those members absent with leave of the House and not voting are:
Alberico of Rutland City
Aswad of Burlington
Baker of Randolph
Barbieri of Wallingford
Bouricius of Burlington
Bristol of Brattleboro
Casavant of Winooski
Dominick of Starksboro
Edwards of Swanton
Flaherty of South Burlington
Helm of Castleton
Hudson of Lyndon
Kinsey of Craftsbury
Kitzmiller of Montpelier
Kurt of Colchester
Lindgren of Springfield
Little of Shelburne
Livingston of Manchester
Mazur of South Burlington
McGrath of Ferrisburg
Milkey of Brattleboro
Murphy of Ludlow
Palmer of Pownal
Pembroke of Bennington
Poirier of Barre City
Ranney of Castleton
Scribner of Middlesex
Seibert of Norwich
Stafford of Brighton
Starr of Troy
Waite of Pawlet
Walker of Brownington
Yarnell of Colchester
Thereupon, the Speaker appointed as members of the Committee of Conference on the part of the House:
Rep. Cillo of Hardwick
Rep. Heath of Westford
Rep. Freidin of New Haven
On motion of Rep. Freed of Dorset, the rules were suspended and the bill was ordered messaged to the Senate forthwith.
Message from Governor
A message was received from His Excellency, the Governor, by Ms. Kate O’Connor, Secretary of Civil and Military Affairs, as follows:
Mr. Speaker:
I am directed by the Governor to inform the House that on the twenty-second
day of May, 1997, he approved and signed or bills originating in the House of the following titles:
H. 202 An act relating to the inspection of bison, fallow deer and ratites;
H. 535 An act relating to donation of wild game.
Message from Senate
A message was received from the Senate by Mr. Marshall, its Assistant Secretary, as follows:
Mr. Speaker:
I am directed to inform the House that the Senate has considered the report of the Committee of Conference upon the disagreeing votes of the two Houses upon House bill of the following title:
H. 192. An act relating to family leave.
And has accepted and adopted the same on its part.
The Senate has considered House proposal of amendment to Senate bill entitled:
S. 73. An act relating to rbST.
And has refused to concur therein and asks for a Committee of Conference upon the disagreeing votes of the two Houses;
The President has appointed as members of such Committee on the part of the Senate:
Senator Kittell
Senator MacDonald
Senator Ptashnik
Pursuant to the request of the House for Committees of Conference on the disagreeing votes of the two Houses on the following House bills the President has appointed as members of such Committees on the part of the Senate:
H. 7. An act relating to zero alcohol tolerance for drivers under the age of 21.
Senator Sears
Senator Costes
Senator McCormack
H. 70. An act relating to mandatory alcohol testing in fatal accidents.
Senator Sears
Senator Illuzzi
Senator Kittell
H. 208. An act relating to child support.
Senator Sears
Senator McCormack
Senator Riehle
H. 492. An act relating to sewage plant inspections, phosphorus discharges and septage treatment at wastewater treatment plants.
Senator Ready
Senator Riehle
Senator MacDonald
H. 527. An act relating to equal educational opportunity
Senator Rivers
Senator Shumlin
Senator Greenwood
Adjournment
At nine o’clock and fifteen minutes in the evening, on motion of Rep. Fyfe of Newport City, the House adjourned until Tuesday, May 27, 1997, at ten o’clock in the forenoon.