MONTPELIER, Vt. (AP) - Vermont’s State Treasurer is warning against lawmakers approving another affordable housing bond, saying that taking on long-term debt could affect the state’s financial position.
Vermont Public Radio reports Beth Pierce says while she supports investing in affordable housing, it would be better to allocate smaller amounts in funding annually over time.
Pierce says issuing another housing bond after rating’s agency Moody’s downgraded the state’s bond rating last year is a concern.
She says of the $38 million Vermont committed to the 2017 bond initiative, more than $14 million will go toward interest payments.
Chittenden County Sen. Michael Sirotkin says the state needs more affordable housing.
He says the debt could be paid for with new property transfer taxes and collecting rooms tax from online booking agents.
___
Information from: WVPS-FM, http://www.vpr.net
Please read our comment policy before commenting.