Witnesses tell House Commerce & Economic Development Committee S.127CHIP could nudge middle-income housing but needs oversight

Montpelier — Testimony before the House Commerce and Economic Development Committee on Wednesday urged lawmakers to approve S.127, a bill that would create a project-based tax increment financing program known as CHIP to help bring middle‑income housing projects to financial viability.

Andrew Brewer, testifying "for the record" as a representative of the law firm Downs, Rackland, Mark and on behalf of regional development corporations and the Vermont Builders and Remodelers Association, told the committee CHIP is aimed at addressing a supply problem in the housing market rather than demand. "This isn't a demand problem. It's a supply problem," Brewer said. "The market does not, on its own, build these kind of middle‑income affordable homes." Brewer added that CHIP is intended to offer incentives that let a project "pencil out" without tapping the general fund.

Brewer framed the bill as one tool among many to expand housing stock and said the committee must make a "judgment call" on whether projects funded…