19 V.S.A. § 309a

(a) Except as provided in subsection (b) or (c) of this section or in sections 309b and 309c of this title, in any case of highway or bridge construction in which a federal/State/local or State/local funding match is authorized, the municipality's share shall be ten percent of the project costs.

(b) This section shall not apply to:

(1) any bridge replacement project in the Town Highway Bridge Program during the construction of which the municipality closes the bridge and does not construct a temporary bridge for the duration of the project, in which event the local match shall cover five percent of the project costs;

(2) any project phase for which a municipality already has provided for payment of its share by issuing bonds or funding a reserve established under a capital improvement plan;

(3) any project on a town highway for which the General Assembly has authorized a different federal/State/local funding match; and any project that serves an “economic growth center” as defined in 23 U.S.C. § 143, and for which the General Assembly has authorized a different federal/State/local funding match;

(4) any project involving a bridge, including the approaches to a bridge, that extends between this State and an adjacent state;

(5) any bridge or roadway project involving a local financial share in which the municipality, after its review of the conceptual project plans, chooses not to proceed with the proposed project; in such circumstances, the Agency shall pay 100 percent of the project costs incurred through the date it receives such notification from the municipality;

(6) any project where, by the mutual agreement of the municipality and Agency, rehabilitation of an existing bridge is the preferred alternative, in which case the Agency shall use the appropriate combination of State and federal funding to pay either 95 percent of the cost of rehabilitation, or 97.5 percent if the municipality closes the bridge and does not construct a temporary bridge for the duration of the project; or

(7) any project or portion of a project involving a structure that is part of the Historic Bridge Program, where the Agency shall use the appropriate combination of State and federal funding to pay 100 percent of the cost of rehabilitation.

(c) Notwithstanding the provisions of this section, a municipality's share of any single project shall not exceed an amount equivalent to the amount that could be raised in one year by increasing the municipality's tax rate by $0.50. In these cases, the remaining portion of the nonfederal share shall be made up by the Agency, using available State funds.

(d) In any case of highway or bridge construction in which a municipality bears a share of the project costs, the fair market value of any land, material, or services donated by the municipality and used in the project shall be credited to the municipality's share of the project costs subject to the provisions of 23 U.S.C. § 323 with respect to a federal aid project.