"In the best interests of all of its citizens and in order to improve the quality of life for Vermonters and to maintain for the benefit of future generations the essential characteristics of the Vermont countryside, Vermont should encourage and assist in creating affordable housing and in preserving the states' agricultural land, historic properties, important natural areas and recreational lands."

10 V.S.A. Chapter 15

History
The pace and pattern of development in Vermont in the mid-1980's was threatening historic settlement patterns and the rural character of the state. Housing prices were rapidly rising beyond the reach of Vermonters, development pressure on the state's valuable agricultural and natural lands was escalating at a record pace, and historic properties and downtowns were being abandoned for suburban, sprawl development. In 1986, a coalition of affordable housing, conservation, and historic preservation advocates concerned with this rapid change in the character of the Vermont landscape approached the state legislature with a plan to form a unique agency to review and fund projects addressing a range of community needs. The Legislature responded, passing the Vermont Housing and Conservation Trust Fund Act, enacted in June 1987, and capitalized with $3 million.

The statute dictated the makeup of the nine-member Board: five citizen members appointed by the Governor, to include an advocate for low income Vermonters and a farmer, the Commissioners of the state agencies of Agriculture, Housing and Community Development, and Natural Resources, and the Executive Director of the Vermont Housing Finance Agency. In July 1987, the Board held its first meeting. In September 1987, then Governor Madeleine Kunin established a Commission on Vermont's Future, charged with the mission of assessing the concerns of Vermont citizens on the issue of growth, establishing guildelines for growth, and suggesting mechanisms to help plan for Vermont's future. Through a process of public hearings at which thousands of Vermonters spoke about their concerns, the Commission gathered public input to create their report, issued in January 1988, Guidelines for Growth. In 1988 Vermont had a budget surplus, and upon the recommendation of the Governor's Commission on Vermont's Future, the legislature appropriated $20 million to the Vermont Housing and Conservation Trust Fund.

The Vermont Housing and Conservation Board was up and running, and momentum was building. With the new source of state funding, housing and conservation nonprofits were able to conceive and carry out projects within communities around the state that had not previously been possible. VHCB funds closed a critical gap in the financing of affordable housing projects and brought new conservation funds to the table, initiating a new era in the conservation of Vermont's agricultural lands and natural areas.

Today
Thirteen years later, VHCB remains unique in the nation in pioneering this comprehensive approach to affordable housing and community development linked with land conservation and historic preservation. The results have been impressive. With a cadre of nonprofit organizations working at the local level to identify and develop important projects in each community, the effects of 14 years of investment are discernible in every part of the state. VHCB has supported reinvestment in older housing in small town and village centers, revitalizing downtown neighborhoods where residents can walk to services, and rebuilding a sense of community while spurring other private investment. The conservation of Vermont's open and wild lands preserves the landscape that is such an integral part of the state's identity, supports the agricultural economy, protects wildlife habitat, and provides public access to the state's waterways and woodlands.

Impact
Since its inception, the Board has awarded over $142 million to nonprofit housing and conservation organizations, towns, municipalities and state agencies to develop more than 745 projects in 205 towns. This investment has directly leveraged approximately $516 million from other private and public sources and resulted in the creation of 6,419 units of affordable housing, the conservation of more than 328,350 acres of agricultural and recreational lands and natural areas. Twenty-six percent of VHCB housing awards have supported housing in buildings eligible, nominated or listed on the State or National Register of Historic Places. Historic barns, farmhouses, or archeological sites are located on thirty-one percent of farms conserved with VHCB funds.

The Statute
The Board's enabling statute is: The Vermont Housing and Conservation Trust Fund Act, 10 V.S.A. Chapter 15, §§302-325a

Further Reading
For an exhaustive history of the formation of the Housing and Conservation Coalition and the actions that led up to passage of the legislation establishing the Vermont Housing and Conservation Trust Fund, see Jim Libby's article, The Vermont Housing and Conservation Trust Fund: A Unique Approach to Developing Affordable Housing, originally published in Clearinghouse Review, Vol. 23, No 10, National Clearinghouse for Legal Services, 1275-1284