2026 Agriculture and Food System Policy Recap

It was another busy legislative year, with education and land use reform dominating headlines, and unease about the state's fiscal outlook underlying appropriation decisions. Despite the difficult conditions surrounding the state budget, and due to tireless efforts by multiple farm and food system coalitions, there was plenty of policy progress and "wins" achieved that advance Strategic Plan goals and strengthen our food system. Here you''ll find a summary of agriculture and food system related legislation and budget appropriations that passed:

H.941 An act relating to municipal regulation of agriculture

H.941 restores the more expansive municipal regulatory exemption for farming and farm structures that was thought to have existed prior to the 2025 Vermont Supreme Court decision that narrowed the municipal exemption to only issues related to water quality. H.941 creates a more consistent statewide regulatory framework for farms, making the Agency of Agriculture the principal entity responsible for regulation, and prevents what could have been town-by-town regulatory variance following the Supreme Court decision. The bill also makes reasonable compromises to allow for municipal regulation in cases where livestock in village centers and downtowns may be negatively impacting neighbors. Key elements of the bill include:

• Exemption from municipal regulation for farming that meets the minimum threshold criteria of the Required Agricultural Practices Rule
• Exemption for raising, feeding, or managing livestock on farms with at least 1 and less than 4 contiguous acres if the Secretary of Agriculture determines the land base is sufficient for appropriate nutrient and waste management. Livestock on farms less than 1 contiguous acre, and swine waste within downtowns or village centers, are subject to applicable municipal zoning regulations. These are new provisions that further clarifies the regulatory boundaries for livestock operations, which also provides more clarity for how VAAFM and towns can remedy cases where neighbors in dense residential areas are being negatively impacted. 
• Establishment of protection for all Vermonters to grow plants and raise poultry (with protection to raise at least 12 chickens). This "Right to Grow" exemption is a new addition to what was previously understood to be exempt from municipal regulation, and ensures that even those not involved in commercial agriculture are allowed to grow food for themselves and community food security.

S.325 An act relating to regional planning and Act 250 Tier jurisdiction

S.325 makes a number of notable land use policy changes that impact agricultural and rural areas. Notably the bill repeals the controversial "road rule" that would have required environmental review for private road construction over 800 feet, and the "Tier 3" designation that would have put areas of Vermont under more stringent building restrictions. 

Perhaps flying under the radar, S.325 also expands Act 250 exemptions for accessory on-farm businesses that farm advocates have long called for. Educational, recreational, and social events - which includes farm stays and concerts - featuring agricultural practices or qualifying products (or both) are Act 250 exempt. These AOFB events were previously not included in Act 250 exemptions established by Act 181.

Additionally, S.325 establishes a community engagement plan to gather statewide input from Vermonters to inform the legislature on the risks of losing working lands, and the regulatory and nonregulatory tools to protect working lands and barriers to land stewardship.

S.60 An act relating to establishing the Farm and Forestry Operations Security Special Fund to provide payments for farm and forestry operation losses due to weather conditions

S.60 establishes a policy framework to provide financial relief to farms and forestry operations impacted by extreme weather events like flooding and drought. The relief fund would allow farms to seek relief on a rolling basis with a quick turnaround of 15 days from application to approval of funding, and applications would be reviewed by a board that includes farmers. Grants from the fund, administered by VAAFM, would reimburse farms or logging operations for up to 50% of uninsured or otherwise uncovered losses, up to $150,000 or no more than 5% of the funds available at the start of the fiscal year. The Special Fund did not receive an appropriation, and funding it at sufficient levels (estimated to be around $15 million) will be the focus of farm coalition advocates in the next legislative year. 

H.739 An act relating to prohibiting the use and sale of the herbicide paraquat

H.739 bans the use and sale of the herbicide paraquat unless authorized by the Secretary of Agriculture. Written permits issued by the Secretary may be issued for tree, berry, and small fruit farms until December 31 2030 when the ban on the use and sale of paraquat will apply to everyone in the State. Vermont becomes the first US state to ban paraquat, which is already banned in 70 countries. Farm to Plate has an objective to reduce pesticide usage by agriculture by 20% by 2030.

H.951 An act relating to making appropriations for the support of the government

The "Big Bill" as it is affectionally known by, is the State's budget bill that includes base and one-time funding appropriations. You can learn more about some of these appropriations from the Food Security Coalition policy slate update, but a few agricultural and food system related highlights:

• $1,000,000 for the Working Lands Enterprise Fund
• $350,000 for NOFA-VT's Farm Share, Crop Cash, and Crop Cash Plus programs
• $250,000 for the Vermonters Feeding Vermonters grant program
• Full funding for the Agency of Human Services to administer 3SquaresVT, which covers the 25% reduction in federal cost-share.
• $1.6 million base appropriation to the Land Access and Opportunity Board
• $300,000 for grants to Vermont's 14 Natural Resource Conservation Districts
• A transfer of $11,897,381 from the Clean Water Fund to the Agricultural Water Quality Special Fund

For additional overviews of 2026 food system policy actions please visit Rural Vermont's and NOFA's end of session recaps.