Vermont Direct Financial Incentives 2010
Vermont's economic development, finance and tax organizations provide a range of incentive programs to initiate new business and commercial investment. Specific programs include the Vermont Training Program, Vermont Employment Growth Incentive (VEGI), and the Redevelopment of Contaminated Properties/ Brownfields Program.
The Vermont Training Program promotes industrial expansion and encourages the creation and retention of jobs in manufacturing by providing training for new and existing businesses. Individually designed programs may include on-the-job, classroom, skills-upgrade, or other specialized training mutually agreed upon by the state and the employer. The state may pay up to 50 percent of the related training expenses.
The program also conducts semiannual ISO 9000 training sessions.
Industrial development bonds:
The Vermont Economic Development Authority (VEDA) promotes economic prosperity and increases employment for Vermont businesses by providing low-cost capital for eligible facilities. Programs include direct loans, mortgage insurance, the Financing Access Program (which utilizes a "pooled reserve" concept to enhance opportunities for small businesses to access commercial credit with premiums based on a percentage of the loan amount paid to VEDA by a participating bank and deposited into a reserve account on behalf of that bank), export finance, the Vermont Small Business Development Corporation, industrial revenue bonds, rural economic activity loans, agricultural facility and debt stabilization loans, and Vermont Job Start.
Vermont Employment Growth Incentive (VEGI):
VEGI economic incentives are cash payments authorized to companies in exchange for meeting job creation and capital investment targets that must occur before the company is paid the incentives over a period of years. Applications must meet nine guidelines and a cost-benefit analysis to determine whether the economic activity that will be generated by these projects will result in a net increase in revenues, even after payment of the incentives.
Redevelopment of Contaminated Properties/The Brownfields Program:
In an attempt to reduce the fear of liability and to encourage the reuse and redevelopment of contaminated properties over development of greenfields, the Vermont Legislature in 1995 passed H. 190 (codified at 10 V.S.A. §6615a). The legislation establishes a defined process by which developers can conduct cleanup of contaminated properties and obtain protection from liability.
Vermont State Contact:
Vermont Department of Economic Development
National Life Building, Drawer 20
Montpelier, VT 05620
Incentive and tax information is provided to Area Development by each state's economic development or commerce agency for information purposes only and is subject to revision at any time by the state government. Please contact the state agency directly for full requirements and offerings.