State Treasurer Mike Pieciak has unveiled the establishment of a Vermont Baby Bonds Advisory Committee. This group will bring together both regional and national specialists to design a baby bonds pilot initiative within the state. The plan involves setting aside an initial investment for every child born under Medicaid in Vermont, which they can access upon reaching adulthood. These funds are intended to be utilized for wealth-building endeavors such as purchasing property, launching or investing in businesses, pursuing further education, or preparing for retirement. The legislative body has authorized Pieciak to create this pilot program first, aiming to assess its potential effects and operational requirements before scaling it up. The pilot will primarily target impoverished young individuals from the Northeast Kingdom region, where economic mobility is notably hindered.
Pieciak emphasized the growing disparity in wealth distribution and the scarcity of opportunities for working individuals to progress. He believes that the baby bonds program could provide a fair opportunity for success and hope for children born into poverty. To assist in developing this critical investment strategy, experts from various sectors have joined the advisory committee. These include David Radcliffe from the New School’s Institute on Race, Power, and Political Economy, Kirstin Boehm from VSAC, Stephanie Bonin from the Center on Budget Policies and Priorities, Priscilla Gilbert from CenterPoint Financial, Amy Rose from Voices for Vermont’s Children, Katie Mobley from the Community College of Vermont, Ted Castle from Rhino Foods, Liz Scharf from Capstone Community Action, Julie Lowell from the Public Assets Institute, and Emily Bush from Vermont’s Women’s Fund.
The treasurer noted the rising interest in baby bond initiatives across the United States. Several states, including Connecticut, Washington, D.C., and California, have already enacted and funded similar programs. Moreover, over twenty other states are contemplating related legislation. In support of Vermont's pilot effort, the treasurer's office is actively seeking private funding from philanthropic organizations. Individuals interested in contributing to this cause can find more information through official channels.
As part of the program's development, the advisory committee convened its inaugural meeting on March 27. All subsequent meetings remain open to public participation and are accessible via the committee’s website. This initiative aims not only to address intergenerational poverty but also to stimulate rural economic growth and encourage youth retention within the state.
The Vermont Baby Bonds Advisory Committee represents a significant step towards fostering economic equality and empowering future generations. By leveraging expert insights and community engagement, the program seeks to establish a sustainable model that can inspire similar efforts nationwide. With ongoing support and collaboration, Vermont positions itself at the forefront of innovative financial policies aimed at long-term societal improvement.