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Vermont

Republican

Governor Phil Scott

Region: Northeast

Governor Phil Scott addressed 11 policy topics in the 2026 State of the State address.

Education

Governor Scott devoted the vast majority of his address to education reform, calling it 'essential, not optional.' He defended Act 73 — Vermont's comprehensive education restructuring law — and called for consolidating 52 supervisory unions and 119 districts serving only 80,000 students. He cited Vermont's fall from top-5 to 37th in 4th-grade reading over a decade, pointed to Mississippi's success as a model, highlighted a $22,000 teacher salary gap between districts, and warned he would not sign any budget deviating from Act 73.

Healthcare

Governor Scott's address focused primarily on education reform but noted the importance of addressing healthcare accessibility and affordability challenges in the context of overall state budget pressures.

Economy & Jobs

Governor Scott's address focused primarily on education reform rather than economic development specifically, but he emphasized that education transformation is essential to growing the economy, building a skilled workforce, and making Vermont more affordable. He noted the need to attract more people to live in Vermont and add taxpayers rather than always looking for new taxes.

Infrastructure

Governor Scott focused primarily on education infrastructure reform but also announced a partnership with UW-Madison to study nuclear energy opportunities and a commitment to purchase 225,000 megawatt hours of renewable energy annually for 20 years — enough to power more than half a million homes.

Public Safety

Governor Scott's address was almost entirely focused on education transformation and did not substantively address public safety or crime policy.

Environment & Energy

Governor Scott briefly noted bipartisan success in removing sales tax on household utility bills (saving $178 million over two years) and discussed energy costs in the context of education funding, noting that diversifying energy sources is needed to address high electricity prices.

Housing

Governor Scott referenced housing within his broader discussion of education reform's impact on affordability, noting that education transformation is essential to making Vermont more affordable and providing more housing in communities left behind.

Tax & Budget

Governor Scott focused his address almost entirely on education reform and its fiscal implications, noting Vermonters are set to spend $2.5 billion on pre-K through 12 (up from $1.6 billion when he became Governor) and face another $200 million increase with double-digit property tax increases. He committed to providing property tax relief as a band-aid while pushing Act 73 education reforms to change the long-term cost trajectory, and pledged not to sign any budget deviating from Act 73.

Technology

Governor Scott's address focused primarily on education reform but included discussion of technology's role in modernizing education and government. He emphasized the importance of investing in solid and secure technology systems to prevent fraud, waste, and abuse in government programs, noting Wyoming's low error rates as an example of technology investment paying off.

Government Reform

Governor Scott devoted his entire address to education system reform through Act 73 implementation, calling for consolidating 52 supervisory unions and 119 districts serving only 80,000 students into far fewer, larger districts. He argued the current fragmented system creates massive inefficiency and inequity, with education spending reaching $2.5 billion and driving unsustainable property tax increases, and warned he would not sign any bill that deviates from the reform path.

Affordability

Governor Scott framed education reform as central to affordability, noting Vermonters face $2.5 billion in pre-K through 12 spending (up from $1.6 billion when he took office) and another double-digit property tax increase. He argued that education system inefficiency — 52 supervisory unions and 119 districts for only 80,000 students — drives unsustainable costs. He also highlighted eliminating sales tax on household utility bills, saving $178 million over two years, and noted middle-class taxpayers received a 23% income tax cut, the lowest in 50 years.