Vermont state senator has offered legislation to borrow money from
grant-anticipated revenue vehicle bonds to pay for road work.
bill, introduced by Sen. Dick Sears, D-Bennington, would authorize the state
treasurer to borrow money through the special class of bonds – commonly known
as GARVEE bonds – to help finance transportation projects such as the
Bennington Bypass. But the idea is meeting resistance from state officials, he
This federal program allows the state to sell bonds to
pay for road work. The sale is based on the assumption that federal funding in
future years would pay off the bonds. This allows the state to get money needed
for the project up front.
In the past, other legislators have said they were
leery of borrowing in anticipation of revenue from the federal government.
may change, Sears said.
think when people start seeing how tight the budget is they’ll start to look
for alternatives before they start cutting their own projects,” he told the Bennington
Banner. “People are going to start to see that there’s not a lot of money
Sears’ bill is S1.