MONTPELIER, Vt. (WCAX) – The Scott administration is asking state departments to keep spending tight next year.
Agencies within government are beginning to submit their budgets which will inform Gov. Phil Scott’s budget proposal in January.
In a letter to state agencies this week, Vt. Finance Commissioner Adam Greshin said consumption taxes are helping state revenues, but he added that base spending has increased from COVID cash and the state had to raise taxes and fees to balance the budget– plus, the financial strain of flood recovery.
So the state is asking agencies to keep spending in line with inflation.
“There’s always more we can do but we need to make sure we budget to the revenue that we have and we have to make sure we’re not asking Vermonters to pay more,” Greshin said.
He also said in the letter the governor’s budget will prioritize communities hit by declining demographics and flooding.
We’ll get a full look at the governor’s spending priorities in his budget address when the Legislature kicks off in January.