Scott: Education System “Broken,” Reform Must Advance

Governor Phil Scott Calls for Courage and Consensus as Vermont Faces Steep Property Tax Hike

Vermont Governor Phil Scott is urging lawmakers to move decisively on long-discussed education system reforms as the state braces for another double-digit property tax increase. Speaking at a press conference alongside Commissioner Craig Shouldice and Secretary Zoie Saunders, Scott said the latest tax projections underscore the urgency of transforming what he repeatedly described as a “broken system.”

The Department of Taxes announced earlier this week that Vermont property owners may face another significant rate jump, driven largely by rising education spending. For Scott, the numbers confirm what he has been warning for years: Vermont cannot continue on its current path.

A Decade of Warnings and a System at a Breaking Point

“None of this should come as a surprise,” Scott said. Over the past 10 years, his administration has proposed a range of structural changes aimed at stabilizing education funding and improving student outcomes. Those ideas, he noted, were designed to prevent exactly the situation Vermonters now face.

In the last five years alone, statewide property taxes have increased by more than 40 percent. Meanwhile, Vermont’s K-12 enrollment has continued to shrink, leaving schools with fewer students, fewer classroom offerings, and growing disparities across communities.

“We have fewer kids in our schools, fewer opportunities in the classroom, and more inequities from town to town,” Scott said. “Yet costs continue to climb.”

Act 73: A Bipartisan Step Toward Transformation

Last session, lawmakers passed Act 73—one of the most significant attempts in decades to overhaul Vermont’s education system. Scott signed the bill in a bipartisan ceremony joined by Republican leaders Rep. Pattie McCoy and Rep. Brian Beck; Democratic leaders including Speaker Jill Krowinski and Senate President Pro Tem Phil Baruth; and key committee chairs such as Reps. Peter Conlon, Emilie Kornheiser, Seth Bongartz, Sen. Ann Cummings, and others from both parties.

The law aims to restructure school governance, improve equity in student opportunities, and stabilize the funding system. It includes major policy shifts designed to create more predictable tax obligations and align resources with modern student enrollment realities.

Scott emphasized that the legislation was never meant to be a standalone solution. “We knew none of this would be easy,” he said. “But we all agreed it was long past time to fix the broken system because the longer we wait, the harder it gets.”

A State with Fewer Students and Higher Costs

Vermont is now educating 20 percent fewer K-12 students than it did two decades ago. Act 73 requires the Legislature to approve a new governance structure that reflects that reality. According to Scott, right-sizing the system—matching facilities, staffing, and services to a much smaller student population—is essential to making education more affordable and more equitable.

“Funding, governance, and quality all have to be addressed together,” he said. “When attempts have failed in the past, it’s because they approached the problem piece by piece.”

The Road Ahead: 2026 as a Defining Moment

Scott said he has had productive conversations with legislative leaders over the past year and believes progress is within reach—if lawmakers stay committed to the reforms envisioned in Act 73. But he also acknowledged resistance from some who prefer to maintain the current structure.

For Scott, doing nothing is not an option.

“The choice before lawmakers in 2026 is clear,” he said. “We can continue to work together to keep moving forward with our plan, or they can explain to their constituents why double-digit tax increases are acceptable while inequality grows from region to region and test scores plummet.”

Despite the political headwinds, Scott expressed confidence that Vermont can deliver meaningful change. He framed the moment as an opportunity to demonstrate unity, courage, and long-term thinking—qualities he believes Vermonters expect from their leaders.

“I’m confident we can once again prove we can do big things by working together and having the courage to follow through,” Scott said.