House committee hears state proposal to preserve 5‑year homeless placement option in VHIP while carving a 10‑year affordability track

The House Committee on General & Housing on Feb. 20 heard testimony from Sean Gilpin, director of the Housing Division at the Vermont Department of Housing and Community Development, on changes to the state’s VHIP program (formerly referred to as BHIP) intended to preserve units reserved for people exiting homelessness while allowing a longer 10‑year affordability option for other landlords.

The proposal matters because VHIP uses relatively small public investments to bring rental units up to federal HUD standards so they can accept Housing Choice Vouchers. Gilpin said the program’s average public investment is about $47,000 per unit and that VHIP has relied on a succession of federal funds — CARES Act and American Rescue Plan — and is now being designed for state financing.

Gilpin told the committee the program originally offered two options to property owners: a 5‑year affordability commitment that includes support and placement priority for people exiting homelessness, and a 10‑year affordability option without the homelessness service requirement. He said the legislature’s last‑minute…