Vermont Senate Committee explores statewide land bank proposal to address housing needs

Vermont's Senate Economic Development Committee is taking significant steps to address the state's housing crisis by exploring the establishment of land banks. During a recent meeting, committee members discussed the potential creation of a statewide land bank and the authorization of regional or municipal land banks, which could help repurpose distressed properties and support housing development.

The committee is set to receive a report from the Department of Housing and Community Development by November 1, which will include proposed legislative language and funding options for these land banks. This initiative follows a previous report highlighting the benefits of land banks in facilitating property development and addressing housing shortages.

James Tishler, a land bank expert from Michigan, provided insights into the successful implementation of land banks in his state. He explained that land banks serve as public entities that manage and repurpose blighted or abandoned properties, ultimately returning them to productive use. Tishler emphasized the importance of state involvement, particularly in rural areas with limited resources, to ensure effective property management and redevelopment.

The committee members expressed their commitment to investigating the land bank model further, recognizing its potential to alleviate housing challenges in Vermont. They acknowledged the need for a dedicated funding source to support land banking efforts, which could include mechanisms similar to those used in Michigan, where a portion of property taxes from sold land is redirected to the land bank.

As Vermont continues to grapple with its housing crisis, the discussions around land banks represent a proactive approach to creating sustainable solutions for communities across the state. The upcoming report will be crucial in determining the next steps for implementing this innovative strategy.