Understanding Vermont’s School Funding: A Guide for Families and Community
Vermont’s system for funding public education is unique and can feel complicated. Decisions made at the local level by our school boards and community voters are connected to statewide processes that determine how education is paid for and how property tax rates are set. In short, local budget decisions influence what we invest in our schools and how the funding is generated across the state.
This topic is especially important right now because lawmakers are considering changes to the system that could affect school funding and property taxes in the coming years. One potential shift is toward a “foundation formula,” which would set base funding amounts per student and reshape how supplemental local spending works.
We know this can be a lot to take in, and it matters to families across our communities. That’s why we’re sharing these trusted resources that explain Vermont’s current approach to school funding and how it works:
Vermont Public explainer on school funding - A clear overview of how our statewide system works, including common terms and key ideas people hear during budget conversations.
Vermont Agency of Education report on education finance - A detailed look at how the Education Fund combines revenue sources and supports schools across the state.
Legislative Joint Fiscal Office “Education Finance 101” documents - Nonpartisan resources that provide a foundational understanding of how education financing is structured in Vermont.
Understanding how our schools are funded helps families and community members engage with local and state decisions that impact students, classrooms, and tax rates.
We hope these resources support your questions and conversations about school budgets, education funding, and what it means for all of us.