House committee reviews H.674 to create Vermont Sister State program and centralize international partnerships

Rick Segal of the Office of the Legislative Counsel told the House Committee on Commerce & Economic Development on Feb. 16 that H.674 would establish a Vermont Sister State program housed in the Agency of Commerce & Community Development (ACCD) and overseen by a nine‑member committee.

“The purpose of the program is to strengthen Vermont’s international engagement and to foster mutually beneficial relationships with subnational governments abroad,” Segal said, describing the bill as largely drawn from a 2024 working‑group report. The proposed committee membership includes the ACCD secretary (or designee), legislative appointees, trustees from statewide organizations and three public‑ or private‑higher‑education representatives to be appointed by the governor, the committee on committees and the speaker to create staggered terms.

Under the draft, ACCD would develop a standardized application, a confidential internal review for sensitive political and strategic factors, minimum eligibility criteria, a fixed scoring rubric for the committee, and a memorandum of understanding template for approved partners. Segal said confidential internal review materials would be exempt from public inspection to protect geopolitical and legal analysis.

The bill sets a timeline: ACCD verifies eligibility when an application is received; the committee must meet to review within 30 days of the agency’s referral and submit a final recommendation to the governor within 30 days of completing its review. Segal explained the governor would have sole authority to approve applications the committee recommends for approval and may disapprove those recommendations, but the governor could not approve applications the committee recommended for disapproval.

Committee members asked that the draft be clarified so the governor receives only applications the committee recommends for approval, rather than all applications; Segal agreed to revise the language. Members also sought clarity in the annual reporting requirement about whether rejected applicants would be named; members favored summary counts and rationales with the option to request more detail at committee hearings.

H.674 also contains a repeal of the Vermont–Ireland Trade Commission and related incidental sections so that international engagement would be funneled through the new program. Segal said administrative costs and per diems would come from ACCD and that the bill is written to take effect on passage to avoid date conflicts with the trade commission’s existing effective dates.

The committee did not take formal votes on the bill during the session. Segal said he would incorporate the committee’s clarifications and return with amended language for further consideration.