(a)A Vermont Higher Education Endowment Trust Fund is established in the Office of the State Treasurer to comprise the following:
(1)appropriations made by the General Assembly;
(2)in any fiscal year in which a General Fund surplus exists and the General Fund Stabilization Reserve is funded to its required statutory level, funds raised by the estate tax levied under 32 V.S.A. chapter 190 that are more than 125 percent of the amount projected by the Emergency Board in the July annual forecast made pursuant to 32 V.S.A. § 305a; and
(3)contributions from any other sources.
(b)The State Treasurer may invest the monies in the Fund.
(c)In August of each fiscal year, beginning in the year 2000, the State Treasurer shall withdraw and divide an amount equal to five percent of the assets equal
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(a) A Vermont Higher Education Endowment Trust Fund is established in the Office of the State Treasurer to comprise the following:
(1) appropriations made by the General Assembly;
(2) in any fiscal year in which a General Fund surplus exists and the General Fund Stabilization Reserve is funded to its required statutory level, funds raised by the estate tax levied under 32 V.S.A. chapter 190 that are more than 125 percent of the amount projected by the Emergency Board in the July annual forecast made pursuant to 32 V.S.A. § 305a; and
(3) contributions from any other sources.
(b) The State Treasurer may invest the monies in the Fund.
(c) In August of each fiscal year, beginning in the year 2000, the State Treasurer shall withdraw and divide an amount equal to five percent of the assets equally among the University of Vermont, the Vermont State Colleges, and the Vermont Student Assistance Corporation. In this subsection, “assets” means the average of the Fund’s market values at the end of each quarter for the most recent 12 quarters or all quarters of operation, whichever is less. Therefore, up to five percent of the Fund assets are hereby annually allocated pursuant to this section, provided that the amount allocated shall not exceed an amount that would bring the Fund balance below the initial funding made in fiscal year 2000 plus any additional contributions to the principal. The University of Vermont and the Vermont State Colleges shall use the funds to provide nonloan financial aid to Vermont students attending their institutions; the Vermont Student Assistance Corporation shall use the funds to provide nonloan financial aid to Vermont students attending a Vermont postsecondary institution.
(d)(1) During the first quarter of each fiscal year, the Secretary of Administration or the Secretary’s designee and the Council created in subsection (h) of this section may authorize the State Treasurer to make an amount equal to not more than two percent of the assets available, in equal amounts, to the University of Vermont and the Vermont State Colleges for the purpose of creating or increasing a permanent endowment.
(2) In this subsection, “assets” means the average of the Fund’s market values at the end of each quarter for the most recent 12 quarters or all quarters of operation, whichever is less. Up to two percent of the Fund assets are hereby annually allocated pursuant to this section, provided that the amount allocated shall not exceed an amount that would bring the Fund balance below the initial funding made in fiscal year 2000 plus any additional contributions to the principal. One-half of the amount allocated shall be available to the University of Vermont and one-half shall be available to the Vermont State Colleges. The University of Vermont and the Vermont State Colleges may withdraw funds upon certification by the withdrawing institution to the Commissioner of Finance and Management that it has received private donations that are double the amount it plans to withdraw.
(e) Annually, on or before September 30, the Treasurer shall render a financial report on the receipts, disbursements, and earnings of the Fund for the preceding fiscal year to the Secretary of Administration and the Council created in subsection (h) of this section.
(f) All balances in the Fund at the end of any fiscal year shall be carried forward and used only for the purposes set forth in this section. Earnings of the Fund that are not withdrawn pursuant to this section shall remain in the Fund.
(g) The University of Vermont, the Vermont State Colleges, and the Vermont Student Assistance Corporation shall review expenditures made from the Fund and evaluate the impact of the expenditures on higher education in Vermont and report this information to the House and Senate Committees on Education each year in January.
(h) There is created the Vermont Higher Education Endowment Trust Fund Council to perform the duties set forth in subsections (d) and (e) of this section. The Council shall be attached to the Office of Treasurer for administration purposes and shall be composed of the following members:
(1) the President of the University of Vermont;
(2) the Chancellor of the Vermont State Colleges;
(3) the President of the Vermont Student Assistance Corporation;
(4) the President of the Association of Vermont Independent Colleges;
(5) a representative from the business and industry community, selected by the Vermont Business Roundtable;
(6) a member of the House of Representatives, appointed by the Speaker of the House; and
(7) a member of the Senate, appointed by the Committee on Committees. (Added 1999, No. 27, § 1; amended 2001, No. 58, § 1; 2003, No. 122 (Adj. Sess.), § 294d; 2005, No. 71, § 273; 2009, No. 133 (Adj. Sess.), § 3; 2011, No. 139 (Adj. Sess.), § 15, eff. May 14, 2012; 2013, No. 92 (Adj. Sess.), § 191, eff. Feb. 14, 2014; 2021, No. 52, § 11, eff. June 3, 2021.)