Vermont fair leaders ask lawmakers for more capital grants and relief as stormwater rule threatens some fairs' futures

Senator Allison Clarkson convened the Senate Economic Development, Housing & General Affairs committee on Feb. 19 to hear testimony from fair operators across Vermont on the economic and community roles of local fairs and rising costs tied to stormwater regulation.

Fair leaders said state support — a $110,000 annual stipend from the Agency of Agriculture plus periodic capital grants — helps keep mostly volunteer-run fairs operating and delivering community services. Jackie Folsom, who identified herself for the record as a lobbyist for the Vermont Agricultural Fairness Association, said the stipend is “the turning on the lights money” used for premiums, vendor payments and basic marketing, and that fairs also receive capital grants administered through the institutions committee.

Those capital grants currently total $300,000 in the most recent appropriation cycle; fair representatives said they are asking the institutions committee to increase that to $450,000 in the next cycle to support multi-year infrastructure plans. Folsom said the stipend has been as high as $200,000 in the past, and that any additional state dollars tend to be reinvested locally.

Committee members and fair managers focused most of their testimony on a state stormwater regulation often called the “3-acre” rule. Several fair representatives said the state requirement to treat or capture stormwater tied to impervious surfaces is producing engineering and construction estimates that are large relative to fair budgets. Tim Shea of the Champlain Valley Exposition said the exposition’s mitigation estimate is about $600,000 and that the fair routinely uses grant money to match local funds for building repairs and electrical upgrades.

Rick McCrory and other witnesses described higher figures for some sites: engineering estimates for one fair were said to be about $250,000, with construction costs variously described by speakers in a range up to $5–7 million depending on site constraints. McCrory said the combination of treatment and capture requirements, plus limited space inside town boundaries, can make compliance effectively impossible without major capital investment or relocation.

Fair representatives also raised the practical difficulties of federal ARPA funding that the Legislature authorized last year. Folsom said the Legislature voted to set aside $2 million in ARPA funds for affected fairs; some fairs are said to be shovel-ready for projects and expected to receive roughly $500,000 each (named examples included Addison, Orleans and Champlain Valley), but the state’s reimbursement model requires fairs to front the costs and seek reimbursement later. That reimbursement requirement, witnesses said, creates a cash-flow barrier for nonprofits that lack access to credit.

Committee members asked about the Franklin County Fair, which was described as displaced from its airport-adjacent site by Federal Aviation Administration/transportation restrictions; witnesses said AOT (Agency of Transportation) has assisted in locating an alternate site but land acquisition remains unresolved. The Rutland-area fair (identified in testimony as the Rutland County Agricultural Society/Vermont State Fair) was described as holding approximately $83,000 in capital grants at the Agency of Agriculture while a land purchase is still being negotiated.

Witnesses stressed noncommercial public benefits fairs provide beyond their ten-day event windows: several fairgrounds hosted pandemic surge hospitals and vaccine clinics, trained first responders and allowed volunteer organizations to stage flood relief operations at no charge. Fair managers also described investments they have made with state grants — roof and electrical replacements and building upgrades — and said without continued state support some fairs could not meet code or infrastructure standards.

Committee members and witnesses discussed next steps: some senators indicated the stormwater issue will be taken up more fully in Senate Natural Resources (ANR/DEC) and in the institutions committee for capital funding decisions, and several witnesses asked for continued legislative coordination to identify workable mitigation approaches and potential funding mechanisms that do not require fairs to borrow up-front funds.

The committee did not take formal action on the testimony during the Feb. 19 meeting. The fair representatives said they would continue to coordinate with Agency of Agriculture staff, ANR, the institutions committee and Senate Natural Resources on mitigation planning, funding eligibility and the status of ARPA reimbursements.

Ending: Committee members said they will carry the conversation into future hearings and share information with the institutions committee and ANR staff; fair leaders encouraged additional conversation about practical compliance pathways and alternative funding structures so fairs can remain in their communities and continue to provide volunteer-driven services.