VSAC outlines budget request, expansions to tuition-free access and forgivable-loan programs

Scott Giles, president and CEO of the Vermont Student Assistance Corporation (VSAC), told the Vermont House Committee on Education on Feb. 7 that VSAC is seeking a 3.6% increase in its base appropriation and is proposing new scholarship and forgivable‑loan programs aimed at expanding access to postsecondary education and workforce credentials.

The request would raise the income cutoff for VSAC’s “802 Opportunity” tuition‑and‑fee‑free program at the Community College of Vermont (CCV) from $75,000 to $100,000, and VSAC asked for $5.2 million to launch a proposed Freedom and Unity Scholarship to provide a similar tuition‑and‑fee waiver at Vermont State University. "This program is having, even greater than anticipated impact on student retention, student graduation rates, particularly for students that come from very low income families," Giles said, referring to 802 Opportunity and data VSAC presented.

Why it matters: VSAC said the programs target adult learners, first‑generation and low‑income students and workforce shortages in trades, teaching and mental‑health professions. Committee members questioned funding sources and alternatives; VSAC said it designed the proposals with the governor’s office and that some programs were initially funded with one‑time federal ARPA dollars.

What VSAC told lawmakers: Giles summarized VSAC’s portfolio and history, saying VSAC was created in 1965 as a public nonprofit instrumentality of the state and has expanded from grant programs into workforce and adult…