Housing activists are anxious for the state to pitch in (again) with a big housing bond. But the Treasurer says it would hurt Vermont’s bond rating, which would raise the interest rates on our debt.
"Pearce, called before the Senate Economic Development, Housing and General Affairs Committee to deliver a report lawmakers requested last year, said it’s clear that a housing shortage in Vermont is holding back the state’s economic growth and harming its people. “I wholeheartedly share in the belief that affordable and secure housing is a critical issue for the state’s economy and the wellbeing of its citizens,” said Pearce. “It’s dignity for the individual, it’s the right thing to do, and it lowers other costs.” But it’s also clear that the Capital Debt Affordability Advisory Committee or CDAAC, a state group that annually reviews the size and affordability of tax-supported general obligation debt, would be unlikely to agree with housing advocates that the state should borrow another $50 million to build more housing, Pearce said.
Read the Full Story at: