Yeah, University of Vermont does provide scholarships based on merit. Here are some of them:

Vermont Scholar Award
Total Worth: $7,000
Eligibility: $7,000
Minimum Criteria: based on the application for admission
Requirement for maintenance: maintain a minimum cumulative grade point average of 3.0.
Separate application needed: No

Presidential Scholarship
Total Worth: $17,000-$20,000
Eligibility: $17,000-$20,000
Minimum Criteria: based on the application for admission
Requirement for maintenance: maintain a minimum cumulative grade point average of 3.0.
Separate application needed: No

Trustees Scholarship
Total Worth: $8,000-$15,000
Eligibility: $8,000-$15,000
Minimum Criteria: based on the application for admission
Requirement for maintenance: maintain a minimum cumulative grade point average of 3.0.
Separate application needed: No

University of Vermont provides aids at an average of 26574 per student meeting 71% of students need. 100% of students with need receive financial aid at an average of 18236 need-based grant. They also provide other scholarships including Community Service Scholarship and Army ROTC Scholarship.