VermontH.7902025-2026 SessionHouseWALLET

An act relating to fiscal year 2026 budget adjustments

Sponsored By: Sponsor information unavailable

Signed by Governor

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Bill Overview

Analyzed Economic Effects

17 provisions identified: 12 benefits, 0 costs, 5 mixed.

More Medicaid care, training, and rides

The law funds $10.8 million for Blueprint primary care and community health supports. It backs the Maple Mountain Family Medicine Residency’s first year (state and federal funds), if CMS approves the match. It moves Vermont Health Connect to the cloud ($2.73 million) and pays Brattleboro Retreat $5.3 million (plus $160,000 federal) for an APM reconciliation. It boosts nonemergency medical transport with $800,000 (plus $329,520 state and $470,480 federal). It also updates the FY2026 State Medicaid match slightly to $27.868 million total.

More support for seniors and disability care

The law adds $14.20 million for nursing home Emergency Financial Relief. It raises payments to Area Agencies on Aging by $35,226 and Tier 1 Enhanced Residential Care by $267,888 starting April 1, 2026. It sets aside $9.5 million one time to help developmental disabilities providers shift to a new payment model. In FY2026, DD services move to per‑member, per‑month pay at a 65% assumed use rate, with required check‑ins and plans for low‑use agencies.

More help for housing and homelessness

The state gives $5 million to build and preserve affordable homes and rentals, including shelters and recovery residences, and $1 million for Homes for All and resilience grants. It provides $29.34 million to local agencies serving people who are homeless, plus $1.32 million to restore FY2025 levels for named partners. It also offers a $250,000 competitive grant to create a women’s recovery residence by September 30, 2025.

Equity efforts and teacher pension funding

The law gives $1.1 million to the Truth and Reconciliation Commission and $110,000 to continue IDEA Leadership Vermont for one year. It provides $500,000 to reimburse Community Accountability Court Project expenses requested by other State entities. It adds $3 million so the Teachers’ Retirement System employer contribution is funded at 100% in FY2026.

More food help for families statewide

The law gives $1 million to support Foodbank partner food shelves and pantries. It raises the Vermonters Feeding Vermonters grant to $885,000. It also funds $156,000 for the Child Care Apprenticeship Program and $150,000 to modernize the Child Abuse Hotline.

More public health and recovery grants

The Health Department gives one‑time grants for Mentor Vermont ($200,000), smoking cessation ($250,000), health disparities work ($163,627), Bridges to Health ($167,000), and named recovery centers ($420,000 total). It also raises FY2026 grants to $340,000 for HIV and harm reduction services at Vermont CARES, AIDS Project of Southern Vermont, and the HIV/HCV Resource Center.

Emergency funds to protect Section 8

The law sets aside $50 million for emergency transfers when lawmakers are not in session. In FY2026–FY2027, part of this can help housing authorities prevent Section 8 voucher terminations caused by federal actions. A housing authority must vote, notify DCF, and submit HUD‑level evidence by April 15, 2026. DCF sets validation rules by May 1, 2026 and reports any transfers to fiscal committees.

Shifts in cannabis and enterprise funds

After FY2025 close, Cannabis Fund balances above $4,665,150 send 70% to the General Fund and 30% to the Substance Misuse Prevention Fund. The law makes a one‑time $1,059,324 transfer to the Criminal History Records Check Fund and asks for a long‑term plan with the FY2027 budget. It also moves profits from sports wagering (about $6.68 million) and the Liquor Control Fund (about $16.80 million) to the General Fund under the enterprise‑profits rule.

Meals for adults with disabilities

The law gives $55,000 to the Vermont Center for Independent Living for home‑delivered meals to adults with disabilities under age 60.

Stable funding for child care aid

The law creates the Child Care Contribution Special Fund. Taxes and DCF can use the Fund for program administration, benefits, and incentive payments. Each year, the state sets aside and then releases General Fund cash in the first week to match the expected fourth‑quarter child care contribution. Any difference flows through the General Fund Balance Reserve.

Support for local property valuations

The state gives $1 million to stabilize municipal grand lists and $500,000 to build a property valuation model for communications assets. It also directs a related appropriation to come from the PILOT Special Fund. These steps help towns keep property values and tax bases more accurate.

Some state jobs made permanent

Ten limited‑service exempt positions become permanent exempt jobs in FY2026. One is the Executive Director for the Land Use Review Board.

Funds for community accountability court

The state funds the Chittenden County Community Accountability Court Project with $139,443 to the Judiciary and $36,848 to State’s Attorneys and Sheriffs for FY2026.

Changes take effect March 5, 2026

The law takes effect on March 5, 2026, unless a section lists a different date.

Some rural hospitals can charge more

Independent critical access hospitals and hospitals in the Rural Community Hospital Demonstration are no longer bound by the usual outpatient drug charge limits. These hospitals may bill insurers more for office‑administered drugs. The Green Mountain Care Board can adjust hospital budgets to reflect this change. Patients and insurers in those areas may see higher drug charges.

Year-end reserves, reversions, and carryforwards

The first $74,908,097 of any year‑end General Fund balance is reserved and then released on July 1 for public uses like property tax relief. The law returns unspent FY2026 balances from named accounts (for example, $6.0 million from Bond Redemption and $700,000 from License Data Management). It also lets certain unspent appropriations on June 30, 2026 carry forward with required approvals.

Property transfer tax and planning shifts

The law resets FY2026 property transfer tax thresholds and distributions. The excess transfer threshold is $36,471,750. It reflects a $1.5 million reduction to VHCB tied to an affordable housing bond. Planning funds are adjusted to $9,872,655, with updated amounts for regional planning, municipalities, and the Vermont Center for Geographic Information. The bond‑related provisions repeal after July 1, 2039.

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Sponsors & Cosponsors

Sponsors

There is no primary sponsor on record.

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 133 • No: 0

House vote 1/30/2026

Which was agreed to on a Roll Call Passed -- Needed 67 of 133 to Pass -- Yeas = 133, Nays = 0

Yes: 133 • No: 0 • Other: 1

Actions Timeline

  1. House message: Governor approved bill on March 5, 2026

    3/25/2026Senate
  2. Signed by Governor on March 5, 2026

    3/10/2026House
  3. House message: House adopted Conference Committee report

    2/27/2026Senate
  4. Delivered to the Governor on February 27, 2027

    2/27/2026House
  5. Committee of Conference report adopted (House bill)

    2/26/2026House
  6. Action Calendar: Report of Committee of Conference

    2/26/2026House
  7. Notice Calendar: Report of Committee of Conference

    2/25/2026House
  8. Senate Message: Report of Committee of Conference adopted

    2/24/2026House
  9. Rules suspended & messaged to House forthwith, on motion of Senator Baruth

    2/24/2026Senate
  10. Committee of Conference report adopted

    2/24/2026Senate
  11. Committee of Conference report submitted by Senator Perchlik for Committee, text

    2/24/2026Senate
  12. Rules suspended & taken up for immediate consideration, on motion of Senator Baruth

    2/24/2026Senate
  13. Committee of Conference report

    2/24/2026Senate
  14. Entered on Notice Calendar

    2/24/2026Senate
  15. Senate Message: Committee of Conference members appointed

    2/19/2026House
  16. Committee of Conference appointed: Senators Perchlik, Lyons, and Westman

    2/19/2026Senate
  17. House message: House refused to concur in Senate proposal of amendment & requested Conference Committee; House Conference Committee members appointed

    2/19/2026Senate
  18. Rules suspended and bill messaged forthwith to the Senate as moved by Rep. McCoy of Poultney

    2/18/2026House
  19. Speaker appointed Reps. Scheu of Middlebury, Feltus of Lyndon, and Bluemle of Burlington as members of the Committee of Conference on the part of the House

    2/18/2026House
  20. Which was agreed to

    2/18/2026House
  21. Rep. Scheu of Middlebury moved the House refuse to concur and asked for a Committee of Conference

    2/18/2026House
  22. Rules suspended and taken up for immediate consideration as moved by Rep. McCoy of Poultney

    2/18/2026House
  23. Notice Calendar: Senate Proposal of Amendment

    2/18/2026House
  24. Senate Message: Passed in concurrence with proposal of amendment

    2/17/2026House
  25. Rules suspended & messaged to House forthwith, on motion of Senator Baruth

    2/17/2026Senate

Bill Text

  • As Enacted (ACT 74)

    3/9/2026

  • As Passed by Both Chambers

    2/27/2026

  • As Passed by Both Chambers (Unofficial)

    2/27/2026

  • Senate Proposal of Amendment

    2/18/2026

  • Senate Proposal of Amendment (Unofficial)

    2/18/2026

  • As Passed by the House

    2/3/2026

  • As Passed by the House (Unofficial)

    2/3/2026

  • As Introduced

    1/27/2026

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