Introduced by Senator Condos of Chittenden District and Senator Lyons of Chittenden District
Subject: Taxation; property tax; PILOT; full funding
Statement of purpose: This bill proposes to repeal the PILOT special fund limitation and require full funding of the state’s obligation under PILOT.
AN ACT RELATING TO PILOT FUNDING
It is hereby enacted by the General Assembly of the State of Vermont:
Sec. 1. REPEAL OF LIMITATION ON PILOT PAYMENTS
Sec. 89 of No. 60 of the Acts of 1997 (PILOT special fund and proration of PILOT payments in case of underfunding) is repealed, effective January 1, 2005.
Sec. 2. 32 V.S.A. § 3706 is amended to read:
§ 3706. Payment to municipalities
Grants under this subchapter Annually, the
state shall pay to each town the amount required under this subchapter.
Payments 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 each year from PILOT special fund. 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
(b) There is established a PILOT special fund to be managed pursuant to subchapter 5 of chapter 7 of this title by the commissioner of finance and management, who may draw warrants for disbursements from this fund in anticipation of receipts.
(c) Annually, the general assembly shall appropriate to the PILOT special fund the amount necessary to meet the state’s full obligation under this subchapter for the following fiscal year, after taking into account the revenue from local option taxes for that fiscal year as estimated by the joint fiscal office. Annually, on or before January 15, the director of property valuation and review shall report to the general assembly the state’s full PILOT obligation to each town for the current fiscal year and the estimated obligation to each town for the following fiscal year.
Sec. 3. EFFECTIVE DATE
This act shall take effect upon passage, and Sec. 2 shall apply to payments in 2005 and after.
The Vermont General Assembly
115 State Street