Vermont • Special assessment notice
Special assessment from your Vermont condo — and the emergency power the floods unlocked
Vermont's special assessments increasingly come from one source: catastrophic flooding. A UCIOA-style emergency-assessment power plus back-to-back historic floods has put many Vermont associations into immediate assessment mode.
The short answer
In Vermont the board's budget passes unless a majority of owners reject it, and a 2/3 board vote makes an emergency special assessment effective immediately (27A V.S.A. § 3-123) — a power leaned on hard after the 2023 and 2024 floods. There's a 6-month super-lien but no reserve mandate. CondoSignal reads your notice against VCIOA. Free.Vermont at a glance
Budget approval
Negative option
Passes unless a majority reject.
Emergency special
2/3 board, immediate
Used after the 2023/2024 floods.
Reserves required
No
Flood damage outruns thin reserves.
Super-lien
6 months
Over the first mortgage (§ 3-116).
Negative option, plus an emergency power
Under 27A V.S.A. § 3-123, the board's budget (and any special assessment in it) passes unless a majority of owners vote to reject it. Separately, if the board votes by two-thirds that a special assessment is needed for an emergency, it takes effect immediately on notice — no ratification wait. That emergency power was heavily used after the 2023 and 2024 floods.
No reserve mandate
Vermont permits but doesn't require reserves, so flood and storm damage that outruns the (often thin) reserves becomes a special assessment. The resale certificate must disclose the reserve amount or state that none is included — a blank or zero reserve is a strong signal of assessment risk.
Super-lien and resale protection
Vermont gives the association a six-month super-priority over the first mortgage (§ 3-116), and foreclosure requires a 3-month delinquency plus a board vote. The resale certificate (5-day cancellation) discloses unpaid special assessments, so reading it — and the minutes for post-flood damage — tells you what's coming.
Your rights in Vermont
Vermont owners can reject a proposed budget by majority, and get a 5-day resale-certificate cancellation right (§ 3-123 / § 4-109); emergency specials, however, take effect immediately. None of this is legal advice — confirm against Title 27A and Vermont counsel.
What to check
- Determine whether the assessment is an immediate emergency special (2/3 board).
- Check the resale certificate for the reserve amount (or 'none').
- Read the minutes for unassessed 2023/2024 flood damage.
- Confirm whether the building carries flood insurance.
- Check delinquency against the 6-month super-lien window.
- Use your 5-day resale-certificate cancellation window.
Sources
- 27A V.S.A. § 3-123 — budget ratification & emergency specials(High)
- 27A V.S.A. § 3-116 — lien for sums due (6-month priority)(High)
- 27A V.S.A. § 4-109 — resales of units(High)
Educational only — not legal, financial, or engineering advice. Confirm against the current statute and, where it matters, a Vermont-licensed professional.
FAQ
Frequently asked questions
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