Vermont Student Assistance Corporation officials told the House Education Committee on Jan. 9 that the state is better positioned than many others to blunt some federal changes to student aid because of existing state programs, but that modest investments and new tools will be needed.

Scott Giles described 802 Opportunity, which makes Community College of Vermont tuition and fees free for households with incomes of about $100,000 or less, and Freedom & Unity, a tuition-free program at Vermont State Colleges currently supported for households up to roughly $65,000. Giles said VSAC intends to propose an $800,000 budget increase to expand Freedom & Unity eligibility, and staff projected that rise could move the cutoff toward about $75,000 household income, pending finalized data.

Giles also highlighted state-funded workforce forgivable loan programs, notably a nursing forgivable loan program that VSAC administers: recipients receive an amount equal to in-state tuition and fees that is forgiven at one year of in-state service for each year of aid. VSAC reported supporting roughly 350–370 nursing students last year and said comparable demand exceeds available slots.

Patrick LeDoux, VSAC’s chief operating officer, described a new "award advisor" app that lets students scan multiple award letters; an artificial-intelligence/machine-learning module standardizes jargon, flags one-year-only aid and calculates a student’s true net cost across offers. LeDoux said the app will be rolled out nationally through partnerships and will be available to Vermont students this spring, with counselors able to use it as a financial-literacy tool.

VSAC also described its supplemental loan program, which requires a cosigner and includes credit criteria; Giles said VSAC’s fixed rates are generally lower than many private lenders because VSAC funds loans with tax-exempt bonds and is limited to keeping a 2% administrative spread. He said VSAC has rebated over $195 million back to borrowers through portfolio management measures.

Committee members asked for data on how many students enter nondegree or credential programs and how the proposed funding change would shift eligibility; VSAC said some data are available from its senior survey and clearinghouse linkages but gaps remain for short-term credential tracking.

Giles said the combination of state tuition-free programs, workforce loan tools and the award-letter app should give Vermont students stronger navigational supports as federal policy changes take effect.

Next steps: VSAC will return with any formal budget requests and the committee may request follow-up data on projected eligibility shifts and nurse program capacity.