Vt. Stat. tit. 24A § 3-66
The City Council shall annually appropriate for the use of schools such sum as shall be recommended by the Board of School Commissioners within the limitations of section 102 of this charter. In addition, the City Council shall also annually appropriate for the use of schools one-half of the cash payments to be received by the City in lieu of taxes from the Electric Light and Water Resources Departments and from any other source. In computing the schools' entitlement under the preceding sentence, only cash payments shall be considered, and any contributions to the City in the form of free services or municipal rate benefits shall not be deducted from the City's one-half share of the cash payments to be received. The school commissioners shall be responsible for allocating annually sufficient funds for the payment of any principal and interest due or coming due on City bonds issued for school purposes. The City may reduce the schools' share of such cash payments in lieu of taxes to the extent necessary to meet payments on bonds issued for school purposes not otherwise provided for by the school commissioners.
24 Appendix V.S.A. § 3-66