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Burlington finance director says child-care payroll tax and retirement changes shifted costs onto districts
Summary
Burlington officials told the committee that recent state policy changes — a child-care payroll tax and a law requiring some federal dollars to be used for teacher retirement contributions — have created new district expenses and complicate local budgeting and tax-rate estimates.
Nathan Lavery told the Ways & Means Committee the district has absorbed new costs from recent state policy changes that affect its budget calculations.
Lavery said Vermont's recently enacted child-care payroll tax created a new line-item expense for the district. "One of the new line item expenditures in our budget is...the childcare payroll tax," he said, and noted the law permitted passing a portion of the cost to employees but collective bargaining…
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