Vermont State University: scholarships, VSAC loan program doubled counseling enrollment; asks legislature to continue funding

Vermont State University officials told the House Human Services Committee that state-funded critical‑occupation scholarships and the VSAC Mental Health Forgivable Loan Program helped double enrollment in the university’s clinical mental health counseling programs and urged the legislature to continue funding the forgivable loan program before it lapses.

Anna Marie Ciafari, director of the master of science in clinical mental health counseling at Vermont State University, said the combination of the critical‑occupation scholarships and the VSAC forgivable loan program “have helped double enrollment in our programs over the last 3 years.” She described the programs as the principal reason enrollment at the university’s two counseling program formats grew from roughly 80–85 students in fall 2018 to about 243 Vermonters several years later, and estimated the system now serves roughly 300 Vermont students across both delivery formats.

The increase matters to lawmakers and providers because many graduates enter the state’s public mental health system, designated agencies and school‑based clinical roles. Ciafari told the committee the forgivable loan program covers students across mental‑health disciplines and links tuition forgiveness to service: it requires “one year of work post‑licensure for every year of tuition [forgiveness] received,” a structure the university called a strong design for retaining providers in Vermont.

Ciafari and Michelle Rausch, assistant director and student advisor for the program, described who the scholarships and loan forgiveness reached: working adults, career changers and people already employed in community‑based behavioral health who could not otherwise afford graduate tuition. The witnesses said the aid expanded access for students in Bennington, Brattleboro, the Northeast Kingdom, Chittenden County and Burlington/Winooski and cited student testimonials.

Student testimony included Ezra Demers, a current student completing an internship with a family‑based supports program, who said, “I received a critical occupations grant for my first two years of the mental health counselor program. The grant allowed me to pursue my degree. I don't believe I would have been able to start graduate school without the grant. It has made an enormous difference for me.” Other alumni and students described career changes from banking and other fields into clinical mental health and said the financial support was decisive.

Ciafari also summarized VSAC award numbers presented to the committee: she said the VSAC forgivable loan program funded “about 111 people” in its first year and “53” in the most recent year, leaving a backlog of applicants that could not be awarded. She told lawmakers about roughly 150 applicants who were not awarded because funds were exhausted, and she warned the program is currently funded for one year only.

Committee members and witnesses discussed next steps. Representative Teresa Wood directed witnesses to share outcome and enrollment data with the Department of Economic Development (referred to in testimony as Commerce and Economic Development) because that agency makes workforce and scholarship recommendations to the Appropriations Committee. The witnesses said they would file written testimony and student stories for the committee record.

The university asked the legislature to consider renewing or restoring funding for the forgivable loan program to avoid a likely drop in new applicants and to sustain education pathways that lead to long‑term clinical careers in Vermont.