Burlington, Vt. – Today, Mayor Weinberger provided an update on recent initiatives to combat the drug crisis and announced that the City has seen its first sustained decrease in monthly overdoses since before the pandemic.

“As the state's largest city and a regional hub for health care, treatment, judicial, and social services, Burlington is at the center of the worsening drug crisis. In 2022 Vermont saw its deadliest year on record, and I feared we had lost our way. In Burlington, we redoubled our efforts and attacked this challenge in every way we can,” said Mayor Weinberger. “Now, we’re approaching six months of declining overdose numbers. We have much more work to do at all levels of government as the rate of overdose deaths in Vermont is unacceptable, and the ongoing community impacts of the drug crisis remain significant. However, I hope this positive trend provides hope to our community and inspires new, urgent actions from the state and federal governments who have far more authorities and resources for this fight than the City of Burlington can muster alone.”

From January 2021 to September 2023, monthly overdose responses from the Burlington Fire Department (BFD) have consistently increased year over year. They dropped from an all-time high of 67 in September 2023 to only 25 in October and have stayed at that level through February.

In October, following participation by Chief Michael LaChance and Burlington Fire Fighter Association President Kyle Blake in the Mayor’s monthly Community Stat meeting aimed at innovating and implementing effective responses to the drug crisis, the BFD launched the Community Response Team (CRT), a pilot program within the fire department that responds to overdoses and provides outreach to people at high risk of overdose. In the four months before Burlington launched its CRT, there were a total of 211 overdose responses by the Burlington Fire Department, in the four months since the launch that number dropped by more than half.

The CRT is just one new initiative to combat the drug crisis that Mayor Weinberger pushed for this year. In February, Burlington opened its low-barrier Elmwood Community Emergency Shelter, which takes a public health approach to ending homelessness. Then, amidst another grim and record-breaking summer for overdoses in Burlington and across Vermont, the Mayor funded the Vermonters for Criminal Justice Reform’s new Re-entry and Recovery Center in Burlington using the City’s opioid settlement dollars.

In January, Mayor Weinberger called for numerous actions at the state level to expand access to treatment, and has since worked with the Howard Center for a plan to both extend hours at the Chittenden Clinic and to create a new methadone dosing location in Burlington. Methadone is a medication for opioid use disorder that is an effective treatment for fentanyl addiction. Methadone is heavily regulated by the federal government, and much harder for patients to access compared to other medications like buprenorphine.

Enforcement against traffickers remains a key component of addressing the drug problem in Burlington. Despite reduced numbers, the Burlington Police Department’s Drug Unit has continued to disrupt and dismantle drug organizations operating in the City. Recent operations by the Drug Unit with local and federal partner agencies have resulted in the seizure of tens of thousands of bags of fentanyl, usually mixed with xylazine, as well as crack cocaine, firearms, and cash.

Services provided through the VCJR Re-Entry and Recover Center

Since opening in August of 2022, the City has remained the lead funder of the new center and VCJR has worked to expand the services available to justice involved community members and launched a Managed Medical Response Partnership program in collaboration with the Johnson Health Center. The program is designed to provide direct medical care and case management support for people experiencing serious wound infections, and who need medical care, mental health care, and medication treatment for opioid use disorder (MOUD). VCJR has served:

• Over 225 individuals total
• 80 individuals in the Contingency Management Drug treatment program
• 99 individuals in the Managed Medical Response Partnership program

Fentanyl and Xylazine Interdiction by the Burlington Police Department

In late 2021, the Burlington Police Department (BPD) Drug Unit began primarily focusing on interdicting xylazine-laced opiates, since investigators began hearing of a new drug supply coming from the Philadelphia area, and the harmful non-opioid tranquilizer was identified by labs in early 2022. Preliminary data from the Vermont Department of Health shows that in 2023 xylazine was detected in 68 out of 171 opioid overdose deaths (40%).

Frequently, organizations in Burlington connect to nearby “source cities” that supply our area with illegal drugs. While these organizations rely heavily on local community members, it is typically out-of-state members of the organization who oversee trafficking in the Burlington area. This was true of recent BPD Drug Unit operations:

• In September 2023, BPD investigators executed a Vermont State search warrant at a residence on North Champlain Street. The target of the investigation, Roosevelt Smith, was located within the apartment and arrested for multiple drug sale charges, Fentanyl Trafficking, Cocaine Trafficking, and Fentanyl Transportation into the State.
• In November 2023, following a months-long investigation, BPD officers executed a federal search warrant on Walnut Street. The Drug Enforcement Agency and the Vermont State Police assisted in the operation, ultimately seizing a total of 17,000 bags of fentanyl. Talbert Hill and Samuel Bennett, both of Philadelphia, were arrested and charged in federal court.
• In January 2024, BPD officers executed a search warrant at a residence on Saint Paul Street which yielded multiple firearms and evidence of drug distribution. Jahking Allah, of Quaker Hill, Connecticut, was taken into custody related to drug offenses.

Over the past few years there have also been more than a dozen federal convictions, thanks to the BPD’s tremendous partnership with the Drug Enforcement Administration (DEA) and the United States Attorney’s Office for the District of Vermont, including recent sentencing announcements for older drug-related cases involving money laundering, hundreds of thousands of dollars seized, and multiple firearms recovered.

Success of the Community Response Team

In October 2023, the Burlington Fire Department (BFD) launched the pilot of the Community Response Team (CRT), which creates a triage-style system of care that better fits overdose responses and provides opportunities for proactive engagement with repeat and potential accidental overdose victims in a non-emergency setting. The CRT is comprised of two overtime BFD employees staffing a current department-owned vehicle and is funded by opioid settlement dollars. Current funding will support the pilot through June. The BFD continues to explore innovative tactics to reduce overdoses and promote treatment engagement, including plans to introduce prehospital initiation of buprenorphine for overdose victims revived in the community later this spring. Since launching in October of 2023, the CRT has:

• Had over 1,200 engagements with patients and community members
• Distributed 157 overdose kits (I.e. Narcan)
• Referred 25 individuals to bridge services providers
• Attended as the primary response unit on 184 medical incidents
• Staffed for an average of 58 hours per week, relying on BFD members to work an extra 116 hours of voluntary OT per week.

Initiatives to Expand Access to Methadone Treatment

Mayor Weinberger serves on the State’s Opioid Settlement Advisory Committee, which last year recommended over $7 million in initiatives approved by the legislature and Governor last May, including $2 million for expanded access to methadone treatment. To date, none of the funds for methadone expansion have been deployed. Access to MOUD is a critical strategy to help reduce the alarming rate of opioid-related overdoses and deaths in our community, and methadone is an effective treatment for patients addicted to fentanyl. Since last spring, Mayor Weinberger has worked with leaders of the Howard Center and the Chittenden Clinic to identify a path to rapidly expand access to methadone in Burlington and Chittenden County, including by:

• Advocating for new funding for expanded hours at existing clinics for the FY25 appropriations of settlement funds
• Supporting an RFP by Howard Center submitted in January to create a dosing location in Burlington, the dosing location would:
  • Provide vital services, including medication administration and service coordination for people receiving MOUD
  • Be collocated with a federally qualified health center (FQHC), the Community Health Center (CHC) Safe Harbor site and facilitate greater access to primary care services, including wound care;
  • Create an opportunity to induct new individuals diagnosed with opioid used disorder onto MOUD;
  • Be in close proximity to the Turning Point Center, improving access to peer recovery services for patients.

Update on Elmwood Community Emergency Shelter

As part of the ten-point Action Plan to Fulfill Housing as a Human Right in Burlington from December of 2021, Mayor Weinberger set a goal of investing in a new temporary emergency shelter to advance a public health approach to ending homelessness, and in February of 2023 the City opened the Elmwood Emergency Shelter Community under the management of Champlain Housing Trust (CHT). Today, guests of the Elmwood Shelter continue to make strides with connection to supportive services including medical care, mental health care, substance use disorder treatment, work training and housing case management. Since opening, Elmwood has served:

• 77 individuals total, with 33 guests currently
• 41 individuals have accessed services at Elmwood or through referrals, including 11 for substance use disorder treatment
• 3 individuals have accessed permanent housing, and everyone is connected with housing navigation services following intake

For the first time, the City, instead of one of the local service non-profit agencies, operated the annual Winter Warming Shelter which between December 15 and now has served nearly 150 individual guests and provided over 1,300 bed nights total.  With support from the Vermont Department of Health, shelter staff have partnered with both the CRT and nurses from Community Health Centers to provide direct care and connection to treatment and harm reduction services at the City's three low-barrier shelters.

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The Burlington City Council Unanimously Approved Three Actions: Memorial Block Pre-Development Agreement, Pre-development Agreement for South End Coordinated Redevelopment, and a Slate of Budget and Contract Amendments to Enable Ongoing Construction of the Champlain Parkway

Burlington, VT – Tonight, Mayor Weinberger secured unanimous City Council approval to advance three priority projects that will support future growth and investment in Burlington and the creation of new housing, jobs, and improved transportation and public infrastructure for the future. At the regular meeting of the City Council, the body approved three separate actions a pre-development agreement for the Memorial Block, a pre-development for the coordinated redevelopment of 13 acres of surface parking lot in the newly created South End Innovation District, and a slate of budget and contract amendments which together enable ongoing design and construction of the Champlain Parkway.

“When I announced last fall that I would not seek re-election, I committed to running through the tape and getting as much done as possible in my final months,” said Mayor Miro Weinberger. “With these actions approved by the Council tonight, and with other recent headway made on Great Streets Main Street, CityPlace, Cambrian Rise, and to secure the future of the Air National Guard and BETA Technologies at the growing Patrick Leahy Burlington International Airport, I am confident that the future of Burlington will be brighter, stronger, and greener.

While still in their early stages, the redevelopment projects in the South End and on the Memorial Block will bring in millions in private investment, new public infrastructure, and thousands of units of needed housing, if realized. Construction of the Champlain Parkway is already well underway and will bring dramatic improvements to stormwater, connectivity, pedestrian, and cyclist safety, and will better support this growing and vibrant part of Burlington for years to come.

Memorial Block Pre-development Agreement

This pre-development agreement sets a schedule for the due diligence required to determine the feasibility and deal structure for a comprehensive redevelopment of this important part of Burlington’s downtown. The City has long held a vision for the redevelopment of this key gateway block, which will chart the direction for key capital activities in the downtown, activate underutilized properties, and address the City’s chronic housing shortage with a range of public benefits. At this time, the developers and the City anticipate that the redevelopment will include a mix of housing, hotel, and commercial uses, both indoor and outdoor civic space, and below-grade public parking to serve the block and surrounding area. The project is expected to include all of the parcels that have frontage on Main Street as well as the Central Fire Station and surface parking lots between the library and the church.

This agreement is a binding commitment on the City’s part to give the Developer the requisite time to investigate the property and propose a project that is responsive to the City’s needs. The work to follow includes public engagement and:

• Physical Due Diligence – including further evaluation of the feasibility of preserving and re-
  purposing portions of the Memorial Auditorium;
• Programmatic Due Diligence – including the development of a detailed program of uses and
  conceptual plans, market feasibility assessment, regulatory feasibility assessment, preliminary budget, and property appraisals;
• Developer Due Diligence – confirmation of capacity to implement the project;
• Central Fire Station Relocation Feasibility – including the exploration of a new public safety
  facility which is intended to meet the near- and long-term public safety needs of the City.

Background:

• In the summer of 2023, two local developers – Eric Farrell and Joe Larkin – gained site control of the three privately held parcels in the middle of the block and approached the Administration with a proposal to explore a partnership with the City on a redevelopment that would meet many of the community’s goals.
• The Administration brought this proposal to the City Council in the fall of 2023, outlining this opportunity for partnership with a local, experienced development and management team.
• In November 2023, the City Council passed a resolution supporting further exploration of this opportunity and authorizing the Mayor to sign a Letter of Intent (LOI) to explore the feasibility of entering into a development agreement.
• The Administration has set a goal to fulfill the pre-development agreement and return to the Council in December of 2024 with a determination of the viability of the project, with a potential Development Agreement to be negotiated and authorized by summer 2025.
   

Pre-development Agreement for the Coordinated Redevelopment of the South End

This action continues the collaborative work of the City, Ride Your Bike, LLC, and Champlain College for the redevelopment of an approximately 13-acre area within the newly created South End Innovation District. The coordinated redevelopment of this area provides a unique opportunity to build a new sustainable, walkable, mixed-income neighborhood with more than 1,000 new homes.

The Pre-Development Agreement identifies an agreed-upon set of foundational objectives and design goals for ongoing study and potential future collaboration over the next nine months. Based on the outcome of this work, the City could enter into a Development Agreement by the end of 2024. The agreement will support the creation of:

• a site-wide housing plan (with a minimum of 20% affordable housing);
• a public realm conceptual design;
• a joint PUD application;
• the study of the infrastructure challenges and opportunities on the site and immediate vicinity, as well as potential funding mechanisms.

Background:

In December 2021, Mayor Weinberger put forth a 10-point Action Plan to fulfill the promise of
Housing as a Human Right in Burlington which included a commitment to open new housing opportunities in the South End.

• On July 24, 2023, the City Council unanimously approved the South End Innovation District (SEID) zoning amendment, which was developed with the intent to promote a vibrant urban district with a mix of uses, including hundreds of new homes. The SEID covers 14 vacant or underutilized parcels, including the City-owned 68 Sears Lane parcel.
• In anticipation of the SEID, on January 31, 2023, the Administration entered into a Memorandum of Understanding (MOU) with the owners of land parcels neighboring the City-owned property in the South End: Champlain College, owners of 175 Lakeside Avenue, and Ride Your Bike, LLC, owners of 125 Lakeside Avenue.
• The MOU facilitated a conceptual design and framework for the coordinated redevelopment of the parcels, which includes 13 acres of surface parking lot. The three parties have been working together over the past year with funding from the Chittenden County Regional Planning Commission.

Budget and Contract Amendments for the Champlain Parkway

In April 2022, the Weinberger administration successfully secured approval for an initial construction contract to build the Champlain Parkway by a unanimous vote of the City Council. The more than $80 million project, when completed, will improve traffic circulation, alleviate overburdened roadways, protect Lake Champlain through enhanced stormwater management, and improve vehicular, bike, and pedestrian safety in the Southwest section of the City. Following 35 years in limbo, construction of the Champlain Parkway began in July 2022 and is moving ahead of schedule.

The slate of amendments to the current budget and contracts approved tonight will enable ongoing construction and design work, with a proposed work session for the council on the final construction contract planned for April- May 2024.

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Largest housing project in Burlington’s history with 316 new units already completed, another 251 new units on schedule for opening in 2024, and a total 1,050 units planned by 2029 

Burlington, Vt. – Today, Mayor Weinberger and Eric Farrell, Owner and Developer of Farrell Properties, signed an updated development agreement and provided an update on the Cambrian Rise housing development in Burlington’s North End. Cambrian Rise is the single largest housing development in Burlington and in Vermont. 

"In Burlington we rarely get to see a whole new neighborhood rise out of the ground, and it is extraordinary that this development includes not only hundreds of new market rate and affordable homes, but a vibrant new public park, community space, and more,” said Mayor Miro Weinberger. “The only way to end the current housing crisis is to build our way out of it. I am grateful to Eric Farrell and his team, and the many contractors, builders, and partners who are here every day turning this community vision into a reality.”  

The Cambrian Rise site is currently permitted for 950 units of housing in 14 buildings, the new development agreement removes the 950-unit cap, and now 1,050 units are anticipated. Already, 316 units have been completed (including 128 inclusionary housing units) and 251 units are under construction. Full build-out of the site is anticipated for 2029, and Farrell anticipates the negotiated greenway connection to be constructed later this year. 

 “Cambrian Rise is already a dynamic new mixed-income, mixed-use, inclusive, pet-friendly neighborhood where our residents can live, work, grow and play on the shores of Lake Champlain,” said developer Eric Farrell, “And, we’re not done yet! We continue to work with the City on our plans for future buildings on site and even more amenities so that hundreds more Burlingtonians can call Cambrian Rise home.” 

About Cambrian Rise  

Cambrian Rise is a permitted multiphase development of a new neighborhood across approximately 21.65 acres. The project is located on North Ave alongside Lake Champlain, the site of the former St. Joseph’s Orphanage , and is an area long targeted by the City for intensified development. The Neighborhood Activity Center (NAC) – Cambrian Rise (CR) District is a zoning designation for mixed-use development that allows for a range of housing types and tenures, and accommodates a diverse range of complimentary general office, institutional and neighborhood-oriented, small-scale retail service uses.  

Completed buildings at Cambrian Rise include:  

• The Rise: 105 apartments and 10,000 sq ft of commercial space  

• Liberty House: 64 apartments and one condominium in the renovated historic building 

• Juniper House: 70 affordable apartments for adults over 55 years old, developed by Cathedral Square 

• Laurentide: 76 affordable apartments developed by Champlain Housing Trust  

Sunset House, currently under construction, will be completed in June and includes 134 apartments, plus generous common amenity spaces, including a co-working Library, Club Room, Fitness Center, Bicycle Repair Shop, bicycle and kayak/canoe storage and a Pet Wash Station. 

Also under construction is One25, a 117-unit building being developed by Scott Ireland, scheduled for completion this Fall. One25 will offer both apartments and homeownership units. 

Connection to Burlington Greenway, Red Stone Cottage and Kieslich Park  

In October 2021, Mayor Weinberger announced the name of Burlington’s newest park, Kieslich Park, and plans to renovate the now-completed Red Stone Cottage which houses the City’s conservation team and programs.  

The original Cambrian Rise development agreement secured 12 acres of conserved waterfront land and connection to the Waterfront and Greenway, preserving 43% of the original property for open space, protecting it from future development. The $2 million purchase price of the land, after Burlington College closed, was made possible with the use of several funding sources including: the Burlington Conservation Legacy Fund, Vermont Housing and Conservation Fund, the Outdoor Recreation Legacy Program, and private donations from John Hoehl and family, facilitated with significant support from the Vermont Land Trust, Champlain Housing Trust, and the Parks Foundation of Burlington. 

Today, the park is a hub of activity and home to the Lakeview Community Garden and Red Stone Cottage. The original cottage was designed by architect Frank Lyman Austin for Dr. Walker D Berry and was constructed of local redstone and surrounded by porches. Recently completed renovations to the building designed by architect Jay White, created space for public use, including meeting rooms, public computer access, restrooms, and nature-focused education programs, and restored some of the porches and created a glass-walled walkway linking the old and new parts of the building. The Red Stone Cottage, is currently used as office space for the Conservation Team.  

In the original Development Agreement, Cambrian Rise developers are responsible for constructing a public and ADA accessible connection path between Cambrian Rise and the Burlington Greenway. In August of 2020, the City negotiated a Memorandum of Understanding and Agreement, to clearly obligate the path be built based on the City’s 30% conceptual design drawings, and in this Second Amendment to the Development Agreement, construction of this important connection is anticipated by the end of this year. 

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South Building is now the tallest building structure in Vermont; Program for entire 740,000 sf block is finalized and permitted; New minority partner Giri Group now on board bringing capital and extensive hotel experience to local partnership 

Burlington, Vt. – Today, Mayor Miro Weinberger and CityPlace Partners announced recent progress and next steps at the CityPlace mixed-use housing development in downtown Burlington. After 15 Months of construction, the South Building is “topped out” at 10 stories, will be the tallest building in Vermont when complete, and is on track for completion in one year.  Further, CityPlace Partners have finalized their building program for the entire site and last week received a permit amendment from the Department of Permitting and Inspection allowing for a minimum of 350 residential units including 70 permanently affordable units (approximately 340,000 sf), a maximum of 350 hotel rooms in two separate hotels (approximately 186,000 sf), 40,000 sf of retail, and 172,000 sf of parking. CityPlace Partners (CPP) also announced a new minority equity partner Giri Group, a well-capitalized developer headquartered in Massachusetts that will operate the two hotels. 

“About a decade ago, we set out as a community to do something hard: to take control of our future. We decided to correct old mistakes and fix a long-broken part of our downtown, to turn a community planning vision into reality, and to make it possible for hundreds of new people to live and work in this great, but small city,” said Mayor Miro Weinberger. “Today, after years of hard work, adversity, and perseverance, we can finally say with confidence that this daring and worthy effort will succeed. The South Tower at CityPlace is the largest building ever constructed in this state, and one year from now hundreds of Burlingtonians, workers, and visitors will be passing through the front doors.” 

“Once the site of a failing suburban mall, the CityPlace project is now a bustling construction site spanning an entire city block. We have completed much of the foundation for both the North and South Tower of Cityplace and have recently completed the steel frame and concrete slab floors for all of the South Tower, and now completing the exterior wall constructions and sheathing – the building will be complete by the end of March, "said local partner Dave Farrington. “The construction success that you have seen in the past 12 months is attributed to the hard work and dedication of the subcontractors and design consultants that have been working on this exciting but very difficult job.” 

At the next City Council meeting, the Mayor will seek approval for amendments to the existing development agreement between the City of Burlington and CPP to enable the new building program announced today.  

Changes Enabled by the new amendments to the Development Agreement (ARDA 2.0) 

• In December, the Mayor announced, and the council approved, $1.9 million in ARPA funds for two new Champlain Housing Trust (CHT) affordable housing projects in Burlington, including new homeownership opportunities at Cambrian Rise. CHT has withdrawn from the CityPlace project, and the CPP intend to build the integrated affordable on-site without local or federal subsidy.  
• The new building program continues to provide a substantial number of residential housing units (at least 350 including at least 70 permanently affordable units). This remains a far stronger residential program than the ~ 272 units envisioned with the original CityPlace Development Agreement (October 2017).
• Hotel Rooms are smaller than residential units, so more Hotel Rooms can be provided with only a fractional reduction in housing. Further, changes to how the developers will deliver renewably powered in-unit heating and cooling technologies has expanded the developable square footage within the project, allowing for the expanded number of hotel rooms without a significant reduction in housing units.  
• Allowing these changes enables The Giri Group’s participation as a minority partner, strengthening the finances of the over $200 million private development and increasing the likelihood it will continue to completion without delay. 
• The amendments will also reflect a clarification that the planned community space may be provided in multiple meeting room spaces shared with and likely managed by the hotels, with the permanent public rights to the use of the space stewarded by CEDO to allow greater flexibility for public users. 
• CPP expects to South Tower in the first quarter of 2025, and they expect to complete the North Tower no later than the end of the second quarter of 2026. The amendments would extend the outside date with respect to the North Tower from November 1, 2025 to June 30, 2026, which is within the current ARDA 2.0 timeline anticipated for final completion of the entire project.  

About CityPlace Partner Giri Group  

CityPlace partners are excited to announce a strategic collaboration with Giri Group, headquartered in Quincy, Massachusetts, as a Limited Partner in CityPlace. The collaborative efforts of Giri Group and the local partners, Dave Farrington, Scott Ireland, and Al Senecal, reflect a shared vision for excellence in development. Giri Group brings an extensive track record of successful development projects across New England and shares CityPlace Partners’ excitement for the transformative journey of rejuvenating the old Burlington Mall into a cutting-edge city block.  

Local partner Scott Ireland emphasized that the partnership with Giri Group was rooted in their like-minded approach to doing business. Like the local partners, Giri Group manages all of their own projects, performing as much of the work as possible on their own to meet budget and maintain timelines and quality control. 

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$30 million TIF Funded Revitalization of Main Street is Underway 

Burlington, Vt. – Today, Mayor Miro Weinberger celebrated the official start of construction for the transformational Great Streets Main Street project. He was joined by key partners: Public Works Director Chapin Spencer whose department is managing the project, Ward 8 City Councilor Hannah King, DPW Commission Chair Peggy O’Neill-Vivanco, and Executive Director of the Flynn Theatre Jay Wahl, along with many City employees and community members, including Burlington High School students from the City-Lake semester program who had provided input during the design process, and employees of SD Ireland, the contractor for this project. 

“The Great Streets projects together constitute the biggest public investment in Burlington’s infrastructure in decades -- and because of the City’s work, with our local and federal partners, this renewal and improvement of the downtown will continue for years to come,” said Mayor Miro Weinberger. “This public investment is being matched by an unprecedented level of private investment, with more than 2,000 new homes built or in construction since 2011 and Burlington on track to meet our goal of increasing the City’s housing production rate 400% by 2026. And that is before the future growth enabled by the revitalization of Main Street. Each of these projects is creating new jobs, new homes, and new opportunities for Burlingtonians. The future of Burlington has never been brighter.” 

“This project represents a major investment into the Burlington of today and tomorrow. We’re replacing centuries-old infrastructure, setting the community up for investments in housing and commerce and reducing the risk of infrastructure failure,” said Public Works Director Chapin Spencer. “Through it all, our downtown is open for business and there is space for you in Burlington! Visit our website, park in our garages and sign up for our weekly project emails to stay informed.” 

Great Streets Main Street is the final of three major TIF investments in the heart of downtown Burlington which include the rebuilding of St. Paul Street and the revitalization of City Hall Park to the great public space it is today with beautiful storm water gardens, healthier trees, accessible paths, and room for the community to gather, shop at markets, perform, play, and enjoy all Burlington has to offer. All three projects are funded through the Downtown TIF, which was first approved by voters nearly twelve years ago, on Town Meeting Day 2012.  

The Main Street project has been planned under the Great Streets standards which seek to unify, beautify, and reinvest in our downtown core. The standards are the result of years of careful planning and public input. 

“Living in Ward 8 and working downtown means my most used method of transportation is walking. Many Burlingtonians would agree, the more you walk the more you get to know our City,” said Councilor Hannah King. “Our sidewalks and streets suffer from wear and tear. It takes investment to upkeep our transportation infrastructure, and it takes vision to reimagine it. Once completed, the Great Streets transformation will truly change the ways we experience and use our streets and sidewalks. This is truly exciting.” 

“The Main Street project includes aspects of Burlington’s newly adopted Nature-Based Climate Solutions Plan, Walk Bike Plan, and our Net Zero Energy roadmap,” said DPW Commission Chair Peggy O’Neill-Vivanco. “This is a testament to Burlington’s commitment to creating more inclusive, resilient, and enjoyable transportation and urban spaces for our all our residents, businesses, and visitors. All of this will contribute to the economic and cultural vitality of Burlington.” 

Construction began today near the intersection of South Winooski Street and Main Street and will be phased over the next three construction seasons. The first phase of this project includes excavation to install the first pieces of a new bypass sewer to divert the 150-year-old ravine sewer and close Main Street between South Winooski and South Union for approximately two weeks. Beginning as early as February 19, the contractor will commence work at the intersection of Maple and Church to start construction of the new bypass sewer pipe.  

“The Flynn encourages all Vermonters to come to Burlington during construction. We need you to come downtown and support local business. When complete, it will greatly enhance our downtown for years to come including a new crosswalk connecting the Flynn to City Hall Park which will directly improve access to the theater,” said Jay Wahl, Executive Director of the Flynn Theatre. “During construction, we highly recommend our patrons allow additional time when coming to a show at the Flynn. We don’t want you to miss a minute of the performance.” 

Future Great Streets Projects will include a $50 million revitalization of two new City blocks on St. Paul and Pine Streets through CityPlace and eight blocks of existing streets on Cherry and Bank Streets, using approximately $16M in Waterfront TIF funds, along with $12M in congressionally directed funds secured by Senator Leahy, and $19.5M from the RAISE grant. 

More about Great Streets Main Street  

Between South Winooski & Pine:  

• Surface Improvements: Beautifying the streetscape, and creating a more welcoming environment with brighter lighting, more trees, protected bike lanes, more pedestrian and business space, public art and complete rebuilding of all pavement and sidewalk surfaces.  
• Subsurface Improvements: Replacing water and sewer lines, including transmission and trunk mains, many of which service greater Burlington and were installed more than 100 years ago and would be at a high risk for failure without rehabilitation. 

Between Church & South Union, and down Church Street to Maple: Constructing a new sewer system to facilitate the relocation of sewer flow from the extremely deep (> 25 feet) 150-year-old brick “ravine” sewer that transects multiple downtown blocks to a new modern sewer system constructed in the roadway. This will enable future abandonment of the ravine sewer that hinders current downtown development. 

More about Construction, Parking Changes, and Detours  

Members of the public are encouraged to use the following resources for up-to-date information, translation services are available: 

• The project team is hosting a public meeting on February 15 from 6-8PM in Contois Auditorium in Burlington City Hall, along with a Zoom option. 
• Weekly construction updates will be sent out via email and posted on the project website. Learn more at Greatstreetsbtv.com.  
• Parkburlington.com has a refreshed parking map for the public to learn about public and many private parking opportunities.  
• Major impacts will be shared via text and email through VT-Alert. Visit burlingtonvt.gov/btv-alerts to sign up. 
• The project’s public involvement coordinator can be reached directly at NBoyle@eivtech.com. 

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Immediate plan for new amenities and infrastructure to expand current programming with ARPA funding; Six-month public engagement effort concludes with a long-term vision for year-round recreation at the Moran FRAME as a cultural destination

Burlington, VT – Today, Mayor Miro Weinberger announced the completion of a six-month public engagement and design process for the Moran FRAME that resulted in a striking new concept for the future of the now revived northern waterfront. Implementing this bold, long-term community vision would require new partnerships, philanthropic and grant support, and other financing. To support these efforts, the Administration will add amenities and infrastructure on site using already committed ARPA funds, and continue the City’s partnership with Friends of the FRAME, a local non-profit organization that has supported community programming on-site throughout 2023.

“After decades of stagnation, we have transformed the old Moran Plant from the abandoned eyesore it was into a striking new landmark on the Burlington waterfront that now hosts an increasing number of events and visitors,” said Mayor Miro Weinberger. “Now, following a six-month public engagement and community design process, and a full calendar year of new arts and cultural programming, we have a plan to turn the Moran FRAME into a beloved waterfront destination. Achieving this stirring vision for what this unique park could become in the future will require more work ahead for the City team, the Friends of the FRAME, and the whole community.”

In the near term, the Administration will use ARPA funds to create new infrastructure for expanded programming and vendor opportunities.

The Mayor, CEDO, and design team will present a physical model and other design materials of the new Phase 2 concept to the public at a special event at Burlington City Arts, in the Lorraine B. Good Room on Thursday, February 8 between 3 pm and 6 pm. The Phase 2 design, if realized, would take the Moran FRAME from being a local treasure to a national destination with year-round activity, recreation, and commerce. The design includes space for concerts and performances, expansive views, year-round activity including a skating ribbon, markets, waterfront seating, and public art.  Images of the new concept are online here.

The bold conceptual design for this important Burlington landmark is informed by the ways people have already embraced the Moran FRAME.  

Zach Campbell, Founder of Friends of The FRAME, added: “This is a vision centered around community, the joy of shared experiences, inclusivity, wonder, and creative energy. Phase 2 strikingly manifests and unlocks the true potential of The FRAME as a one-of-a-kind, year-round gathering space for Burlington residents and visitors alike.”

The Phase 2 Conceptual Design for the Moran FRAME was developed in the summer and fall of 2023 by the Michael Van Valkenburgh Associates (MVVA) led design team in close collaboration with the City of Burlington, Friends of The FRAME, and a range of local community members and stakeholders.

“As a former Burlington resident and UVM grad who enjoyed many unforgettable memories along the waterfront, it is gratifying to be part of such a unique and promising project as the Frame,” said Hillary Archer, Project Manager. “The site and its potential hold so many opportunities to build upon all the fun experiences already happening here, but also create something new and unexpected for Burlington. It’s a landscape architect’s dream project for sure.”

“Our most rewarding projects uplift places that already have a passionate community behind them. The Moran Frame is just that—a beloved public space with a seemingly spontaneous user base whose engagement with the Frame grew organically out of the intrinsic qualities of the site,” said Matt Urbanksi, MVVA Partner, “Phase 2 is an ambitious plan that is grounded in constituents’ aspirations, creates new opportunities on the Burlington waterfront, and celebrates the history and ecology of the region.” 

Next Steps – Phase 1b Implementation

The Mayor will bring forward the following actions to continue investment in the Moran FRAME and test the feasibility of the Phase 2 Vision, including:

• Near-term ARPA-funded construction that responds to lessons learned over the past two years and public feedback gathered during 2023, and is intended to dovetail with the scope proposed for Phase 2.  The focus will be on new infrastructure to host a variety of public events and performances and additional vendor infrastructure. 
• Seek Council approval for a new contract with Friends of The FRAME to continue public programming and activation of the Moran FRAME site in 2024 and 2025 with movie nights, live performances, public art, placemaking and continued partnership with wasted* to provide on-site restrooms; and to design a capital fundraising campaign for implementing the Phase 2 vision.

About the Phase 2 Design and Community Process

The design was developed in partnership with Utile; SE GROUP; Engineering Ventures; Freeman French Freeman; Domingo Gonzalez Associates; and Altieri Sebor Wieber, LLC.

One of the design team’s earliest tasks was creating a detailed Public Engagement Plan in coordination with the City Project Team, outlining the format and objectives of public meetings and workshops with local stakeholders. The outreach effort began with an online and mail-in survey intended to gather the community’s greatest aspirations for the site, garnering more than 550 responses. Above all else, Burlington residents were interested in concerts and performances, expansive views, year-round activity, markets, waterfront seating, and public art—provisions for all of which were included in the final design. The meetings, which took place in September and November of 2023, included a site walk, presentation, and a physical model constructed by MVVA to facilitate feedback.

The result of these engagements is a cohesive vision informed by deep collaboration:

• Accessible paths have been elevated onto a series of gently sloping mounds that echo the mountains across Lake Champlain in miniature, allowing visitors to climb higher into the remaining steel structure and experience panoramic views of the waterfront. Four footbridges connect the site’s high points and to Level 2 of the FRAME, which will become an event platform that connects to a Level 3 lookout platform via stairs and an elevator. Together, the two new floors will have the ability to accommodate a substantial amount of visitors and a broad spectrum of events. On the ground level within the former building’s footprint, visitors will be able to pass through a garden filled with high-limbed ginkgoes that poke through gaps in the structure, and the south side of the Frame will provide covered bays for food and beverage vendors.
• A skating ribbon will wind around the FRAME and through the new landforms in a figure-eight path, offering year-round skating activities (ice skating in winter, roller skating in the warmer months) that will draw many more visitors to the park. At the steepest slopes of the constructed mounds, pockets of local stone and birch trees will give skaters the impression of moving through a meandering wilderness trail as they round each corner. Each hill tapers into a sloped lawn at the center of the site, forming a half-acre bowl capable of hosting 2,000+ visitors for performances when the ribbon is not in use, while offering year-round areas for picnicking and informal gatherings. Along the western edge of the existing Andy A_Dog Williams Skatepark, tiered concrete seating creates a viewing amphitheater and gathering area for skatepark users.
• The park’s planting palette echoes typical Vermont shoreline environments with a mix of birch, sugar maples, and native arborvitae, and the site’s existing swale has been reimagined as an expanded wetland and the primary stormwater-retaining feature of the landscape.
• To improve connections between the FRAME and Burlington neighborhoods, the arched path of Waterworks Park is routed directly into the high-activity southern promenade of the Frame, and site entrances have been routed into the multimodal Island Line Trail at multiple locations. On the waterfront, a timber boardwalk and pier will provide a more inviting edge to enjoy views of Lake Champlain.

Background  

In early 2014, Mayor Weinberger announced a slate of now completed projects for the Waterfront Tax Increment Financing (TIF) District, ultimately approved by the City Council and Burlington voters, bringing $9.6 million in TIF funds to leverage additional investment; the projects included:

• • The Moran FRAME;
  • The new home for the Lake Champlain Community Sailing Center;
  • The new Water Works Park which increased access to the water’s edge through a wooden boardwalk, benches, fishing pier, and native shrubs, grasses, and trees;
  • Improved landscaping, environmental remediation, and utility relocations in the Waterfront Park and the entire northern waterfront;
  • New parking amenity, solar canopy, rain gardens, and public art at ECHO; and
  • Expansions to the Burlington Harbor Marina along with publicly accessible amenities like bathrooms and parking.

In November 2022, the City cut the ribbon on the completion of the first phase of construction activating the long-abandoned providing the framework for future phases of development. The project budget was $6.55 million, funded by $3.559 million from the Waterfront TIF district, a $2 million redevelopment loan from the federal Agency of Housing and Urban Development (HUD), and $950,000 from the Burlington Electric Department for environmental remediation. Construction began in August 2020 and included:

• • Removal of the brick and concrete exterior of the Moran Plant, avoiding the significant expense of stabilizing the bricks, and stabilizing the steel frame beneath;
  • Abatement and remediation of hazardous building materials, including asbestos, lead paint, and PCB paint to make the site safe for the public;
  • Remediation of the soils at the Moran site and completed remediation of soils throughout the post-industrial Waterfront Access North area;
  • Creation of an at-grade, level grassy area at the site and accessible paths through and around the FRAME connecting Waterworks Park and the Burlington Greenway;
  • Introduced sub-grade utilities to provide lighting and support future;
  • Painted the steel superstructure, restored the iconic “City of Burlington” letters added new interpretive signage, installed dramatic LED lighting for nighttime use;  

About Friends of The FRAME

Friends of The FRAME is an organization established in 2022 to support the sustained use of the Moran Frame site as an ever-evolving, four-season, public space focused on facilitating high-quality, inclusive public programming and supporting ongoing stewardship of this place. In July, the City entered into a contract with the newly formed non-profit to pilot a partnership in which Friends of The FRAME will focus on programming and activating the site.

• Late in 2022, Friends of The FRAME launched a successful Better Places crowdfunding campaign raising a total of $60,000 for infrastructure investment at the Frame including:
  • Bench Swings (designed and fabricated with Generator Makerspace)
  • Wifi Hotspot
  • Seating and tables and all-ages lawn games
  • Public restroom pilot in partnership with Burlington-based company Wasted*
  • Secure on-site storage with historical exhibit and community idea board
• Throughout the summer of 2023, Friends of The FRAME provided free weekly movie nights with on-site vendors and supported the site-specific art installation and opening event, Blue Alchemy by Renée Greenlee.

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$30 million TIF Funded Great Streets Main Street Project will Comprehensively Renew Key Downtown Infrastructure; Revitalize Downtown with new Bike Lanes, Public Art, Gardens, Wider Sidewalks, and more 

Burlington, Vt. – Today, Mayor Weinberger announced that beginning as early as February 5, 2024, the transformative Great Streets project is expected to begin construction on Main Street in downtown Burlington. This project will create a more vibrant and welcoming downtown for Burlington’s residents, businesses, and visitors and will strengthen public infrastructure for a more resilient future. Construction will be phased over the next three construction seasons, with initial work on the ravine sewer bypass beginning next month.  

“Great Streets Main Street is a generational investment in Burlington’s primary gateway route and is the final of three major downtown projects, including the now-revitalized St. Paul Street and City Hall Park,” said Mayor Miro Weinberger “This project will make our City stronger and more resilient for the future, it sets the stage for growth by enabling new homes and businesses to come into the downtown core, and it creates a great public space between the Church Street Marketplace and the waterfront for residents and visitors to enjoy. It is exciting to see construction get started after years of careful planning, community input, and creative problem-solving.” 

The concept for Great Streets Main Street is about balancing all uses of the public right of way, and will include a wider sidewalk space that can be used by businesses, an 8-foot tree belt, a protected bike lane, parallel parking, flexible space for seating and public art, and better stormwater management with pervious paver belts, rain gardens, and tree wells to infiltrate runoff.  

"While large infrastructure projects can be disruptive in the short-term, bringing Main Street up to the Great Streets standard will transform our downtown and set the stage for growth for many years to come,” said Kara Alnasrawi, Director of Business and Workforce Development. ‘This project will create a welcoming thoroughfare with added space for outdoor cafes, pedestrians and bicycles. In addition, it will modernize downtown’s connection to our beloved waterfront, thus linking some of the City’s most important assets.” 

Today, 50-75% of the space between buildings is dedicated to driving and parking cars. Now, 60% of Burlington’s vital gateway corridor will be used for pedestrians, cyclists, public art, outdoor vending, and more. 

“This is a major project and while construction sequencing is fluid, we are working with our contractor to minimize disruptions,” said DPW Director Chapin Spencer. “A reason for the early start to this work is to lessen the overall impact later in the year – and avoid weekend work. We also want the public to know that downtown is open for business, detour signage will guide you to your location and there is parking available.” 

This $30 million dollar Phase I reinvestment into Main Street's aging infrastructure is funded predominately through Tax-Increment Financing (TIF). Property taxes do not increase to repay TIF debt. This project is managed by Burlington DPW and the contractor is SD Ireland. All businesses in the affected area will remain open and will be accessible to be pedestrians, including J Skis and Perrywinkle’s Fine Jewelry during the initial temporary street closure.  

More about Great Streets Main Street  

The Main Street project has been planned under the Great Streets standards which seek to unify, beautify, and reinvest in our downtown core. The standards are the result of years of careful planning and public input. Prior projects planned under Great Streets include City Hall Park’s dramatic renewal and the transformation of Saint Paul Street (see below for before and after). 

• Between South Winooski & Pine:  

• Surface Improvements: Beautifying the streetscape, and creating a more welcoming environment with brighter lighting, more trees, protected bike lanes, more pedestrian and business space, public art and complete rebuilding of all pavement and sidewalk surfaces.
• Subsurface Improvements: Replacing water and sewer lines, including transmission and trunk mains, many of which service greater Burlington and were installed more than 100 years ago and would be at a high risk for failure without rehabilitation. 

• Between Church & South Union, and down Church Street to Maple: Constructing a new sewer system to facilitate the relocation of sewer flow from the extremely deep (> 25 feet) 150-year-old brick “ravine” sewer that transects multiple downtown blocks to a new modern sewer system constructed in the roadway. This will enable future abandonment of the ravine sewer that hinders current downtown development. 

More about Construction, Parking Changes, and Detours  

The project team at the Department of Public Works (DPW) recognizes the short-term impact this work will have on the public. The project team is hosting a public meeting on February 15 from 6-8PM in Contois Auditorium in Burlington City Hall, along with a Zoom option. 

Additional project schedule details will be shared weekly by DPW when available. It is important to note that construction is highly dependent on weather and is subject to unforeseen issues that arise, especially when dealing with very old infrastructure. 

• Beginning as early as February 5: The first phase of this project will include excavation to install the first pieces of a new bypass sewer to divert the 150-year-old ravine sewer and close Main Street between South Winooski and South Union for approximately two weeks. This will be followed by restoration of eastbound traffic for an additional 2 weeks. This phase will include limited water impacts. Construction is highly weather-dependent. 
• Beginning as early as February 19: The contractor will commence work at the intersection of Maple and Church to start construction of the new bypass sewer pipe. This work will include water impacts.  

Members of the public are encouraged to use the following resources for up-to-date information, translation services are available: 

• Weekly construction updates will be sent out via email and posted on the project website. Learn more at Greatstreetsbtv.com.  
• Parkburlington.com has a refreshed parking map for the public to learn about public and many private parking opportunities.  
• Major impacts will be shared via text and email through VT-Alert. Visit burlingtonvt.gov/btv-alerts to sign up. 

• The project’s public involvement coordinator can be reached directly at NBoyle@eivtech.com. 

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Burlington Electric Would Keep Existing Renewable Resources, Procure Significant New Renewable Energy to Meet Load Growth from Electrification

Burlington, Vt. -- Today, Burlington Mayor Miro Weinberger, Burlington Electric Department (BED), and Vermont environmental and renewable energy organizations voiced support for updates to Vermont’s Renewable Energy Standard (RES) to largely achieve 100% renewable energy statewide by 2030, while maintaining existing renewable resources and aligning BED’s procurement of significant new renewable energy with anticipated growing demand as more Burlingtonians switch to electric vehicles and heat pumps and other electric technologies.

“Burlington achieved 100% renewable energy in 2014, and since 2019 has been working on a path to eliminate community fossil fuel use by electrifying everything. It is time for Vermont to do the same,” said Mayor Miro Weinberger. “Burlington has played a leadership role in creating today’s reforms to the Renewable Energy Standard that align with BED’s commitment to procuring more wind and solar energy, and I appreciate that our legislative leaders are making this a priority this session. This is a climate-resilient strategy that will make it more affordable for Vermonters to heat their homes, fuel their cars, and power their lives – and it will create new good-paying jobs in Vermont's renewable energy technology industry. We should put this new standard in place this year.”

The statements today build on framework recommendations made by a broad set of utilities and environmental and renewable energy organizations presented as part of the appendix to the Legislative Working Group on RES Reform that concluded its work in December.

Among the items within the framework recommendations presented in the Appendix to the Legislative Working Group report that are important to BED are:

• Continuing to recognize 100 percent renewable utilities for their early action through continuation of existing exemption from certain RES requirements;
• Aligning significant new renewable energy (2010 or later) procurement with increased sales revenues from electrification efforts to ensure affordability;
• Ensuring existing renewable energy resources continue to count towards Vermont’s requirements, including hydropower and wood energy, supporting BED’s strategy to continue to be 100 percent renewable with a diverse mix of reliable resources;
• Providing regulatory support for BED’s efforts to exceed Tier 3 targets and advance innovative projects and programs as part of Burlington’s Net Zero Energy Roadmap strategy to increase electrification and fossil fuel reduction in the thermal and ground transportation sectors.

“BED has led the way with strong customer incentives for electrifying everything we can, and as move towards our Net Zero Energy goals we anticipate a growing demand for electricity,” said BED General Manager Darren Springer. “Within that context BED is supportive of updates to the RES that maintain our existing renewable resources and aligns our future commitments to procure significant new renewable energy from sources such as wind with growing electricity demand from the increased use of EVs and heat pumps and other technologies. The framework outlined is an approach that can advance renewable energy while keeping rates affordable for our customers. We look forward to engaging in the legislative process and appreciate working with partners in the environmental community and renewable energy sector to find common ground on this important policy.”

The House Committee on Environment and Energy is expected to take testimony this week on the RES update proposals, and the broader effort could spur the creation of significant new renewable energy projects in Vermont and in the New England region.

“As we move off of fossil fuels as quickly as possible we need the cleanest electric grid possible. Modernizing the Renewable Energy Standard is critical to that,” said Vermont Natural Resources Council’s Energy and Climate Program Director Johanna Miller. “So is local leadership. Burlington’s efforts to help residents power their lives, heat their homes and get where they need to go without fossil fuels is essential to the significant progress we must make, community-by-community and as a state.”

“Burlington’s commitment to get virtually all the additional electricity it needs as its residents and businesses switch to super-efficient electric heat and electric vehicles from new renewable energy is a big step in the right direction, and we appreciate Burlington Electric’s efforts to support updates to the Renewable Energy Standard to make that possible,” said Ben Walsh, VPIRG Climate and Energy Program Director.

“As we ask Vermonters to ‘electrifying everything’ and have the power for their EV, heating systems and other devices coming from our electric grid, it’s critical we get to 100% renewable electricity and build far more new renewables than we’re on track to today,” said Peter Sterling, Executive Director of Renewable Energy Vermont. “The effort to update Vermont’s Renewable Energy Standard to increase the amount of electricity generated by wind, solar and local hydro purchased by Vermont utilities is a significant step towards a renewable energy future for Vermont and our region.”

“The IBEW, representing the unionized workforce at Burlington Electric, is supportive of Burlington’s Net Zero Energy vision,” said Jeffrey Wimette, Business Manager, IBEW Local 300. “State policy that helps BED continue to invest in its existing renewable energy facilities, including local hydropower, wood energy wind and solar is important to maintain reliable and affordable electricity for the City. We are supportive of updates to the Renewable Energy Standard that enable BED to maintain its existing resources while adding new renewable energy assets as demand grows.”

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Legislative Working Group on Renewable Energy Standard Reform Appendix Framework (pages 28-32) - https://ljfo.vermont.gov/assets/Uploads/5f88e10ecc/RESWG_final_report.pdf

City welcomes Auditor’s documentation of improved financial systems, Rejects inaccurate, ideological top findings which are contradicted by bond counsel opinion; Adjustments to accurate findings will have no impact on City operations or tax rates

Burlington, Vt -- Today, Mayor Miro Weinberger responded to the report of State Auditor Doug Hoffer on the recent audit of the City of Burlington’s Downtown Tax Increment Financing District (Downtown TIF). This is the first audit performed of the Downtown TIF since it was created in June 2011. The report commends several improvements the Administration instituted in recent years to track and control eligible costs and reimbursements and found that from FY2017 to FY2023, the City used tax increment financing for allowable purposes only. Following a final review of the Auditor’s recommendations, the City will take action to correct some ledger errors uncovered in the audit which will have no impact on the City’s operations, nor will they trigger a need to increase tax rates.

However, the City entirely rejects the Auditor’s headline finding that the City committed a “misstep” by securing $4.6 million of bond premiums and disagrees with the Auditor’s assertion that the City exceeded a regulatory cap. The use of bond premiums in publicly financed infrastructure is both legal and an industry best practice. In contradiction to the Auditor’s opinion, Burlington’s outside bond counsel has stated the City was well within its statutory authority at the time of bonding.

Further, Burlington has used bond premiums previously in its Waterfront TIF district – and the State Auditor’s Office (SAO) did not raise concern or interest in the practice in its audit of the Waterfront TIF just last year. The City has confirmed that other Vermont municipalities have invested bond premiums into projects as well, including TIF projects.  

“The headline finding of this audit is bogus and reflects Auditor Doug Hoffer’s longstanding campaign against the State’s TIF program,” said Mayor Miro Weinberger. “It’s reasonable for the Auditor to bring the legislature’s attention to the policy question of whether there is some public interest in establishing new guidelines for the use of TIF bond premiums. It’s completely unreasonable for the Auditor to suggest that Burlington has made a ‘misstep’ and exceeded an approved cap -- especially after failing to note any prior concern about the City’s use of bond premiums last year when auditing Burlington’s Waterfront TIF district. That the Auditor published this opinion without even noting the bond counsel’s clear and detailed objections indicates that this report is more op-ed than audit.”

In the attached opinion provided to the SAO, the bond counsel for the Burlington Downtown TIF District Thomas Melloni, defended the City’s use of bond premiums stating: “Given the plain and clear language in the statute, bonds may be issued at [a premium]. This makes sense given the legislative purpose of the TIF Statute is to stimulate economic development, improve and broaden the tax base, and enhance the general economic vitality of the issuing municipality and the region and the State. Moreover… the general statute for municipal financing of capital assets, provides that the legislative body of the municipality sets the terms and interest rates for its bonds.  The general tenor of the TIF Statute provides the legislative body of the municipality with authority and significant flexibility in funding TIF development projects. This makes sense given the legislature’s stated purpose of the TIF Statute of promoting economic development, economic vitality and job creation.”

Burlington’s Chief Administrative Officer Katherine Schad stated, “The use of bond premiums in the Main Street project is helping Burlington accomplish generational wastewater, stormwater, transportation, and economic improvements in our downtown core amidst a climate of historic, pandemic-related construction cost and interest-rate inflation.”

Explanation of the TIF premium issue

In August 2022 the City bonded for the Great Streets Main Street project and accepted a bid that included $4.6 million in bond premiums. Bond premiums are used regularly by municipalities when financing infrastructure projects.  

• The City's Downtown TIF District was approved by VEPC in June 2011 and the City received voter approval on two occasions to authorize debt (March 2015 and March 2022).

• On June 27, 2022, the City Council adopted resolutions authorizing the issuance of bonds in a principal amount not to exceed $30,122,000 and delegated to the Mayor and Chief Administrative Officer the power to determine final terms and interest rates, subject to certain parameters, including a maximum total all-in interest rate.

• On August 31, 2022, the City issued the Series 20228 Bonds in a principal amount of $30,120,000. It was shared with the Council and the public that the bonds were issued at that time to take advantage of favorable bond rates and terms, as future increases in interest rates were expected, and that the City faced a March 31, 2023 deadline to incur debt for the Downtown TIF District.

• The City selected the lowest cost bid from a competitive process and received proceeds totaling $34,792,187.30 from the sale of the Series 20228 Bonds, of which $4,672,187 was received as premium. The total interest cost (including costs of issuance and bond premium) was 2.9260%, well below the parameters established by the City Council.

• The City intends to use these premiums to complete more approved infrastructure as part of its rebuilding of Main Street which is expected to break ground in February 2024.

• Further, the City used approximately $32,000 of TIF bond premiums in 2018 and the Vermont Municipal Bond Bank has reported to the City that it has done so with prior TIF Bond issuances as well.

SAO Report documents the City’s improved financial systems for TIF projects

On Page 17 of the report, the SAO finds that from FY2017 to FY2023, the City used tax increment financing for allowable purposes only and states, “The success in ensuring only eligible improvement costs were financed with TIF is an improvement on past management of such costs for the City’s other TIF, the Waterfront TIF District, and is the result of processes implemented to track improvement costs and funding sources and to assess which costs could be paid for with proceeds of TIF debt issuances.”

The SAO lists some of those management improvements including:

• fund accounts were established in the general ledger to record improvement costs and funding sources by project;

• the project manager tracked all improvement costs and the funding source used;

• the City adhered to the guidelines in its purchasing manual;

• the City worked with MuniCap Consultants to develop the TIF Construction Cost Procedures to further strengthen its processes related to ensuring TIF debt is used to pay for eligible improvement costs.

Background on Downtown TIF District and Great Streets Main Street

Tax Increment Financing is a State program that allows municipalities to invest in public infrastructure by paying up-front the public costs from the full anticipated increase in tax revenue generated by the project. The City established the Downtown TIF in 2011 to stimulate development and redevelopment by increasing the level of investment and economic activity in Burlington’s core. The TIF District provides and enhances employment opportunities by supporting continued business location and expansion in downtown Burlington. The District’s developments also improve and broaden the tax base by adding housing, commercial, and retail projects to the City’s grand list.

Background on Strengthened City Finances and Accounting Systems

In 2012 the City was downgraded to the edge of junk bond status when an annual audit found 12 material weaknesses and noted particular problems within the City’s capital project accounting, documenting nearly $24 million in deficits owed to the General Fund. Under Mayor Weinberger’s leadership, the City issued a $9 million stability bond in 2012 and after much hard work, has eliminated all of the material weaknesses and long-term deficits to regain its AA credit rating. In September, the Mayor released an annual report showing these improvements in Burlington’s fiscal management systems and restored general fund reserves have saved taxpayers a combined $44 million since issuing the stability bond.

Nonetheless, the City recognized in 2018, following its own annual audit of the fiscal year 2017, that its project accounting systems needed additional improvement, and has taken the following actions since then:  

• In January 2019 the City engaged the accounting and management consulting firm BerryDunn to review project accounting practices, procedures, and technology; 

• In August 2019, the City created a Public Works project accountant position; 

• In February 2020, the City hired the management consultant firm Clifton Larson Allen to develop and implement overall capital accounting policies and procedures for the City and to reconcile past accounts; 

• In April 2021, the City hired a Senior Accountant to specialize in project accounting and hired MuniCap, a public finance consulting firm nationally recognized as TIF experts, to help the City manage the finances and administration of the Waterfront and Downtown TIF Districts; 

• As of July 2021, the City had fully implemented project accounting for the City’s capital funds allowing Clifton Larson Allen to focus on instituting project accounting for the City’s TIF projects; and 

• In August 2022, the City established a Trustee to hold TIF funds and pay invoices on the City’s behalf. This Trustee provides another level of oversight to ensure that TIF administration is handled correctly. 

• In April 2023, the City finalized updates to its TIF Cost Procedures that have been in place since the resolution of the Waterfront Audit.  These procedures establish a process for the review, payment, and tracking of all eligible TIF expenses.

• In October 2023, the City established Increment Calculation procedures designed to reduce future errors in the calculation of increment retention for both the Waterfront and Downtown TIF Districts.

Full Comments from City Management to the Auditor can be found on page 40 of the report in Appendix VIII.  

Attached, City bond counsel Thomas Melloni Memorandum re: City of Burlington – Downtown Tax Increment Financing District

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116 households from the cohort remain in motel program in Chittenden County while 185 households have been connected to permanent housing since June 1, Unsheltered homelessness has increased 500% since the exiting of 800 Vermonters from motels

Burlington, Vt. – Today, Mayor Miro Weinberger, released a statement responding to the Governor’s initial proposed FY24 budget adjustment requesting $4 million for the creation temporary shelter for a period of three months, and proposing to exit all remaining Vermonters in the motel program on April 1. Sarah Russell, Special Assistant to End Homelessness for the City of Burlington, provided the attached memo in her testimony to the House Committee on Appropriations at 1 pm, on behalf of Mayor Weinberger and the City of Burlington.

The Mayor made the following statement:

“When the Governor proposed evicting everyone in the pandemic motel program last May, we said no. Burlington and all of our partner organizations instead proposed to permanently house everyone in the cohort through our Coordinated Entry system – and our plan is working. In six months, we have housed more than half of these vulnerable households, and we can help the remaining 116 in Chittenden County within the next six months. Our approach is both more humane and more cost-effective than creating temporary shelters, or worse, turning everyone out onto the street with nowhere to go. We have a plan to house these Vermonters quickly and affordably, and the legislature should fund it.

This plan, however, will do nothing to address the record level of unsheltered homelessness we currently are experiencing in the wake of the Governor’s decision to exit 800 people from the shelter last June. We need the state to fund and create new shelter now for the hundreds of Vermonters sleeping outside, and for the downtowns around the state that are facing unprecedented challenges in the wake of the State’s failed motel exit plan.”

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Attachments: 

Memo from the Mayor to DCF Commissioner Winters

Testimony on Act 81 Implementation by Sarah Russell, Special Assistant to End Homelessness for the City of Burlington