Vermont Challenges Federal High-Risk Designation, Reaffirms Commitment to Closing Achievement Gaps

Montpelier, Vt. - The Vermont Agency of Education (AOE) and Vermont State Board of Education (SBE) are asking the U.S. Department of Education (USED) to reconsider its designation of Vermont's federal Title I, Part A grant as "high-risk," arguing that the designation is premature and does not adequately reflect Vermont's proactive identification of the issue, transparent reporting, and ongoing corrective actions.

The Vermont State Board of Education voted unanimously Thursday to support the Agency's position and provided a resounding reaffirmation of its commitment to addressing the accountability methodology errors, meeting all federal requirements and strengthening Vermont's statewide accountability system.

"Accountability only works when it gives us an accurate picture of student outcomes and helps us respond when students are not getting what they need," said Secretary of Education Zoie Saunders. "Our goal is not simply to satisfy a federal requirement. It is to build an accountability system that is transparent about the performance of every student, identifies disparities and directs meaningful support to schools and students who need it most. That work is central to our responsibility to close achievement gaps."

Vermont's accountability methodology was approved by USED in 2018. This methodology is used to determine which schools require additional support under federal accountability requirements. The Agency identified a methodological error through its own internal review on February 25, 2026, and notified USED within 24 hours of confirming it. The Agency submitted a full investigative report to USED on April 4.

Since then, the Agency has developed a corrective approach, presented its work publicly to the State Board and submitted an action plan to USED on July 22. The Agency did not receive direction from USED until September 28. Typically, a federal high-risk designation follows a state's failure to complete required corrective actions. In this case, Vermont received the designation before being afforded the opportunity to complete corrective actions for an issue the state independently identified, promptly reported, and proactively moved to resolve. The Agency will complete all required corrective actions within USED's newly established timeframe to avoid the proposed withholding of $100,000 in Title I, Part A funding while continuing on its path to strengthen the overall accountability system.

"When something isn't working, you own it and you fix it. That's what we expect from state government, and that's what our Agency of Education has done," said Governor Phil Scott. "We found the problem, reported it, and got to work fixing it. We take our responsibility seriously, and we expect the federal government to be fair in how it holds states accountable. Vermont should have the opportunity to meet the deadlines we've been given before being labeled high risk. At the end of the day, this is about getting it right for Vermont students and families."

The Agency's request for reconsideration does not challenge the corrective actions or timelines established by USED. Vermont intends to meet those requirements. The State's pushback concerns the timing and application of the high-risk designation, not Vermont's obligation to address the underlying issue.

"Vermont has acknowledged the methodological issue and has taken responsibility for correcting it," said Acting State Board of Education Chair Dr. Tammy Kolbe. "The Board's action reflects our confidence in the corrective work underway. The board stands with the Agency as we collectively move towards an accountability system that is accurate, transparent and focused on improving outcomes for students."

The Agency will continue its broader redesign of Vermont's accountability system, including extensive stakeholder engagement and technical design work. The State plans to submit a comprehensive State Plan amendment in May 2027 to establish a more technically sound and transparent approach to measuring school quality.

Vermont remains committed to fulfilling all federal requirements and building an accountability system that is transparent about student outcomes and capable of directing meaningful support to schools and students who need it most. Redesigning the state's accountability system is a key initiative under the Operational Effectiveness pillar of the Agency's Strategic Plan, which establishes a statewide vision for public education and clear, measurable goals for student success. The accountability redesign will ensure that measures of school quality provide meaningful information to schools to support student success.