New Tuition Rules Take Effect July 1 — Families Have Until Monday to Lock in Funding for Independent Schools

New Tuition Rules Take Effect July 1 — Families Have Until Monday to Lock in Funding for Independent Schools

Families in Vermont’s school choice towns have until Monday, June 30, to enroll their children in independent schools if they want to lock in public tuition payments under the current rules. After that, new restrictions go into effect that could cut off funding for many popular schools — including Mount St. Joseph (MSJ), Christ the King, and Rutland Area Christian School (RACS) — depending on where families live.

The policy change stems from H.454, passed by the Vermont Legislature earlier this month and signed into law with little fanfare. The new law fundamentally reshapes which independent schools are eligible to receive public tuition payments — and which students qualify to have their tuition covered.

What’s Changing July 1?

Under the new rules, only independent schools located within certain geographic areas will remain eligible to receive public tuition payments from school choice towns. To qualify, a school must:

  • Be located in Vermont, and
  • Be within a supervisory union or district that does not operate a public school for some or all grades (as of July 1, 2024), and
  • Have had at least 25% publicly tuitioned students enrolled in 2023–2024.

If a school doesn’t meet all three criteria, it becomes ineligible to receive public tuition payments for new students, even if it remains an approved independent school in good standing.

This effectively removes tuition eligibility for independent schools located in districts that operate their own public schools — including many schools in the city of Rutland, which does not participate in school choice.

Grandfathering Clause for Currently Enrolled Students

Section 22 of the law includes a one-time exemption:

“A school district that pays tuition […] shall continue to pay tuition on behalf of a resident student enrolled for the 2024–2025 school year in or who has been accepted for enrollment for the 2025–2026 school year […] until such time as the student graduates.”

That means students currently attending an independent school, or those who are accepted and enrolled by June 30, 2025, can continue receiving public tuition through graduation — even if their school becomes ineligible under the new rules.

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What This Means for Families Right Now

If you’re in a school choice town, and your child is:

  • Already enrolled in an independent school, or
  • Accepted for the 2025–2026 school year at a currently approved school,

Then your tuition funding is protected — but only if that enrollment is official before July 1.

If you wait until July 1 or later, your child’s tuition may not be covered, unless the independent school qualifies under the new geographic and enrollment criteria.

Families in non-choice districts, such as Rutland City, are not eligible for public tuition to independent schools at all — and haven’t been — but this change tightens the options for surrounding towns that previously had broader access.

Agency Guidance and Next Steps

The Vermont Agency of Education confirmed the rollout in a bulletin sent to superintendents and independent schools late Friday. AOE staff will be holding office hours on Monday, June 30, from 1:00 to 2:00 p.m., to answer questions from schools. A second session is scheduled for July 14.

Independent schools will also be required to certify past tuition data, and supervisory unions will help validate enrollment records for the prior year to determine ongoing eligibility under H.454.

Families with questions are encouraged to:

The Bottom Line

If your family relies on public tuition to send a child to a local independent school — and you haven’t finalized enrollment — you’ve got one weekend left to act.

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Dave Soulia | FYIVT

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