How Vermonts Act 76 Revolutionizes Child Care Funding [Video]

Vermont, a small state with big ambitions, has taken a revolutionary step in addressing its childcare crisis. Through critical legislation and community-wide collaboration, Vermont has created a sustainable funding model for childcare that could serve as a blueprint for the nation. Aly Richards, CEO of Let’s Grow Kids, speaks with Aaron Merchen, Senior Director of Early Childhood Education Policy and Programs at the U.S. Chamber of Commerce Foundation to explore the key components of Vermont’s child care reform, its implementation, and the lessons it offers for other states facing similar challenges in this episode of “Continuing the Conversation.” 

Act 76: A Landmark Legislation 

In 2023, Vermont passed Act 76, creating sustainable public funding for childcare through a 0.44% payroll tax. The purpose of the law is to increase employees’ salaries without taking a toll on families seeking childcare.  

“We actually saw more childcare programs open than close in the first quarter of this year, for the …