MONTPELIER — Vermont State Treasurer Mike Pieciak announced an additional $20 million is available for public investment in housing and economic development through his office’s 10% in VT program.
In April 2023, Pieciak announced a dramatic expansion of the 10% in VT program and has since invested over $100 million in housing, economic development, and municipal flood recovery.
To date, $84 million has been invested to support housing and economic development, helping leverage an additional $345 million in private & public capital to support nearly 1,300 units of housing and over 100 permanent new jobs. Additionally, $20 million has been invested help 24 municipalities recover from the 2023 and 2024 summer flooding through Bond Bank’s Municipal Climate Recovery Fund.
“We are investing directly in Vermont’s future — lowering costs, creating jobs, and growing our economy,” said Pieciak. “As Vermonters continue to face an affordability crisis, we’re expanding the 10% in VT program to make housing more available and affordable.”
The 10% in VT program invests up to 10 percent of the state’s average daily cash balance into projects that grow Vermont’s economy and strengthen the state’s revenues. The state’s average daily cash balance has grown substantially in recent years, enabling Pieciak to expand the program’s lending capacity.
The additional $20 million in funding is now available in the form of low-interest loans with broad flexibility to invest in affordable, market rate, senior, manufactured, and home ownership housing. Priority is given to nonprofits, instrumentalities of the State, municipalities, or similarly situated organizations.
VEDA CEO Cassie Polhemus said, “For over 50 years, VEDA has helped close the financing gap on many of Vermont’s most impactful — yet economically challenging — projects. The 10% in Vermont program provides an important source of funding to support our mission of strengthening the economic vitality of the state. Leveraging the state’s solid financial position to make strategic investments in our most pressing needs, like housing, climate resiliency and social equity, is a smart and prudent way to ensure long term economic prosperity in Vermont.”
Pieciak emphasized that, despite more homes being built each year, housing remains Vermont’s top economic issue.
“Vermont’s housing shortage is a major driver of inflation, squeezing the household budgets of renters and homeowners alike” he said. “Businesses can’t find workers, aging Vermonters can’t find affordable homes that meets their needs, and our communities are grappling with unprecedented levels of homelessness. As the federal government turns its back on working Vermonters, we will continue to step up and tackle the housing crisis head-on.”
To raise awareness about the additional available funding and hear directly from communities about their housing needs, Pieciak will host a series of public forums across Vermont this summer before the application deadline on Aug. 8.
The application process and timeline for deployment of funds varies by the proposed use and project type. Applicants can find more information at https://www.vermonttreasurer.gov/cash-and-investments/local-investment-advisory-committee.