VermontH.9512025-2026 SessionHouseWALLET

An act relating to making appropriations for the support of the government

Sponsored By: Sponsor information unavailable

Signed by Governor

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Bill Overview

Analyzed Economic Effects

136 provisions identified: 110 benefits, 9 costs, 17 mixed.

Funding for schools and student support

For 2026, the law provides about $2.068 billion in adjusted education payments to Vermont school districts. It also provides about $26.93 million for school transportation and $2.5 million for English learner aid. For fiscal year 2027, Read Vermont gets $700,000. These funds support school services, rather than setting payments to families.

Funding keeps Vermont Medicaid services running

For budget year 2027, the Secretary’s Office Global Commitment program gets about $2.273 billion, including $743.9 million in state General Fund money and $1.44 billion in federal money. That funding period ends June 30, 2027. The listed 2026 appropriations provide about $1.019 billion for Medicaid Global Commitment grants and $87.719 million for state-only Medicaid. State-only funding includes about $5.471 million from Global Commitment. Non-waiver Medicaid gets about $53.713 million, including $39.737 million in federal money; these funding provisions do not change eligibility or individual benefit amounts.

Reach First assistance for households ends

The law repeals Vermont’s Reach First assistance program. Households receiving or seeking help through Reach First lose that program as a source of support. This provision does not name a replacement benefit or explain transitions to other assistance.

Unlicensed state prosecutors face lower pay

Beginning June 16, 2026, affected State’s Attorneys receive 30% less compensation under their salary schedule. The cut applies to those not licensed or authorized to practice law in Vermont under Vermont Supreme Court administrative orders. They receive 70% of their scheduled compensation.

Biomass heating incentives get priority

The heating-efficiency service provider must prioritize incentives for high-efficiency biomass heating systems. The goal is an incentive covering 25% of installed cost, but that amount is not guaranteed. A biomass incentive does not require other energy-efficiency improvements at the property. Funding comes from specified regional capacity-savings revenues not transferred to the State PACE Reserve Fund.

Homeowner and renter rebates receive funding

For fiscal year 2027, Vermont provides $17.5 million for homeowner rebates and $15.5 million for renter rebates. The law adds another $4 million for renter rebates, bringing renter funding to $19.5 million. That extra $4 million is one-time funding and does not repeat in future years. The funding period ends June 30, 2027. These provisions do not change stated eligibility rules or set each household’s rebate.

Higher pay for covered state employees

Under the funded state employee and trooper agreements, most classified employees get 2% raises on July 12, 2026, and January 10, 2027. An average 1.9% step increase brings the stated fiscal year 2027 average total to 5.9% for employees receiving steps. Fiscal year 2028 includes a 3% general raise and average 1.9% step increase, for a stated 4.9% average total. Those averages also govern specified official salary-adjustment and bonus decisions, but do not guarantee each official that raise. Branches can extend fiscal year 2027–2028 terms to nonunion staff within their budgets, with the Chief Justice separately authorized to extend Judiciary terms; legislative employee support receives $914,634 for July 2026–June 2027 and $778,939 for July 2027–June 2028.

Higher pay for judges and hearing officers

Listed judges, magistrates, and hearing officers receive new rates July 12, 2026, January 10, 2027, and July 11, 2027. The Chief Justice’s annual salaries are $234,379, $239,067, and $250,781 on those dates, respectively. Assistant judges’ daily rates are $245.82, $250.74, and $263.03 on the same dates. Assistant judge compensation covers official duties and necessary expenses, with a two-hour minimum and hourly pay after that. The State pays unless an assistant judge sits with a presiding Superior judge in the Civil or Family Division; then the county pays.

Higher salaries for district probate judges

Probate judges in Vermont’s 14 districts receive higher annual salary schedules, with amounts varying by district. Rates take effect July 12, 2026, January 10, 2027, and July 11, 2027. Addison’s rates are $83,836, $85,513, and $89,703 on those dates, respectively. Chittenden’s rates are $176,866, $180,403, and $189,243; the law also sets rates for the other districts.

Higher salaries for state executive officials

The law raises salary schedules for listed executive officers and base salaries for listed agency and department heads. New rates take effect July 12, 2026, January 10, 2027, and July 11, 2027. The Governor’s annual salary is $243,520, $248,390, and $260,561 on those dates, respectively. Other listed officials receive the rates set for their positions.

Tuition help for National Guard members

The law provides $1.219834 million to the Vermont Student Assistance Corporation for National Guard tuition benefits. Eligible Vermont National Guard members can receive tuition help through the existing program. This provision does not state each member’s award amount or provide an eligibility calculation.

Funding supports children and family services

For 2026, the law provides about $101.038 million for Department for Children and Families family services grants. Child development grants receive about $225.732 million. Department administration and support services grants receive about $5.311 million. These provisions do not identify specific household services, change eligibility, or set individual assistance amounts.

Funding supports disability and long-term care

The law provides about $361.412 million for developmental services grants for 2026. It also provides about $363.403 million for long-term care grants through Vermont’s Disabilities, Aging, and Independent Living programs. These appropriations support services, but do not set individual benefit amounts or new eligibility rules.

Funding supports Vermont mental health services

The law provides about $284.925 million for Vermont mental health grants for 2026. The money supports mental health programs and services. This provision does not set individual benefit amounts or change eligibility.

Funding for children needing special education

For 2026, the law provides about $275.64 million for special education formula grants. It also provides about $9.55 million for essential early education grants. In fiscal year 2027, the education agency must use up to $5.3362 million for specified special education programs. It must also use up to $2 million for the program under 16 V.S.A. § 2975. The Secretary can distribute both designated amounts without the restrictions in 16 V.S.A. § 2969(c) and (d).

Funding supports teacher and state pensions

For 2026, the law provides about $212.905 million for the Vermont State Teachers’ Retirement System. It also provides $15 million for retired teachers’ pension funding for 2026. Retired state employees’ pension-plus funding receives $15 million from the General Fund for budget year 2027, ending June 30, 2027. These appropriations support pension programs but do not specify an increase in any person’s pension check.

State employee pay agreements receive funding

The law funds Executive and Judicial Branch pay agreements and raises for employees outside those agreements for fiscal years 2027–2028. Executive Branch General Fund appropriations are $23.918820 million for 2027 and $24.974632 million for 2028, plus $3 million in Transportation funds each year. Estimated Executive Branch spending authority from other sources is $27.184607 million and $28.362343 million, respectively, through the excess-receipts process. Judicial Branch funding is $3.800867 million from the General Fund plus $277,316 from other sources for 2027. For 2028, Judicial funding is $2.466396 million from the General Fund plus $179,952 from other sources. The funding periods run July 1, 2026–June 30, 2027, and July 1, 2027–June 30, 2028.

Some nonprofit child care tuition can rise

In fiscal year 2027, qualifying nonprofit child care providers can get approval for tuition increases above the usual limit. That limit is 1.5 times the latest annual increase for NAICS Code 611, Educational Services. Providers must not have rebased tuition under Vermont’s 2023 Act 76. The Commissioner must find financial hardship and past and likely continuing revenue losses; providers must supply requested information. Approved providers can raise tuition, but the law does not require increases or set their amount.

County officials’ raises retain qualification penalties

Sheriff and State’s Attorney salary schedules rise on July 12, 2026, January 10, 2027, and July 11, 2027. Outside Chittenden, sheriffs’ rates are $113,902, $116,180, and $122,873; Chittenden’s are $120,539, $122,950, and $128,975, respectively. State’s Attorneys in counties other than Chittenden, Essex, and Grand Isle receive $154,071, $157,152, and $164,852. Chittenden’s rates are $161,076, $164,298, and $172,349; Essex and Grand Isle each receive $115,557, $117,868, and $123,644. The salary rules include a 10% reduction for sheriffs with Level II rather than Level III certification and a 30% reduction for State’s Attorneys not licensed in Vermont.

Federal funding losses trigger spending controls

For fiscal years 2026–2029, the law sets spending-reduction procedures when lost federal revenue lowers a state function's unduplicated total. Below the greater of 0.5% of that total or $2 million, the Administration Secretary can act after notifying the Joint Fiscal Committee, subject to legal limits. Reductions exceeding both $2 million and 0.5%, but below the lesser of 25% or $50 million, require Committee approval. The Committee can also recommend specified budget actions to the Emergency Board.

Vermont shifts money among state funds

For fiscal year 2027, General Fund transfers provide $100.908097 million for education, $73.797962 million for bond debt, and $17.01616 million for capital infrastructure. They also provide $4.65 million for tax computer upgrades, $500,000 for state police radios and firearms, and $350,000 for domestic and sexual violence programs. Transportation Fund transfers send $294,775 to bond debt and $523,966 to downtown transportation projects; the Education Fund sends $1.55 million to tax computer upgrades. The Clean Water Fund sends $11.897381 million to agricultural water quality and $120,000 to lake crisis response; the Insurance Reserve Fund sends $1.360069 million to transportation. The General Fund receives $5 million in human-services earned federal receipts, $2 million from the Attorney General’s fees and court-order reimbursement fund, $60,806.73 from the State PACE Reserve Fund, and $9.54759639 million from the Technology Modernization Special Fund; the Attorney General’s fund also sends $1.5386 million to the fines and penalties fund.

Teachers’ pensions funded with local contributions

The law sets the annual teachers’ retirement system contribution at $220.905084 million. The State pays $212.905084 million, while local school systems or education entities must pay $8 million. The total includes $43.739011 million for normal costs and $177.166073 million for past unfunded obligations. This supports pension funding while assigning part of the cost to local education employers.

Funding for immigration legal help

Vermont Legal Aid receives a $200,000 General Fund grant for an immigration attorney in fiscal year 2027. The money supports immigration legal help. The law does not set client eligibility or individual payment amounts.

Funding for legal and health advocacy

The law provides about $2.45 million for the Health Care Advocate and $1.72 million for Vermont Legal Aid services. Legal Aid services include the Poverty Law Project and mental health services. Another $650,000 supports current capacity and growing requests, including eviction, foreclosure, and consumer debt cases. For fiscal year 2027, the Legal Aid Helpline gets $56,000 in General Fund money, $44,000 in federal funds, and $100,000 from Global Commitment.

Food assistance and care meals receive funding

For fiscal year 2027, Vermont provides $350,000 to the Northeast Organic Farming Association of Vermont. The grant funds Crop Cash, Crop Cash Plus, and Farm Share. The Vermont Foodbank receives $250,000 for Vermonters Feeding Vermonters. Another $157,000 provides healthy meals and snacks to children and adults receiving supervised care. These provisions do not set individual benefit amounts or guarantee assistance to a particular household.

Funding for home-delivered meal services

Meals on Wheels programs get $500,000 from the General Fund and $692,464 in federal funds for fiscal year 2027. The money supports meal services. The law does not change eligibility or set how much help each household receives.

Funding for parenting and adoption support

For fiscal year 2027, Prevent Child Abuse Vermont parenting programs get $12,526 in General Fund money and $17,347 in federal funds. Post-adoption and other permanency services receive $123,218 from the General Fund and $170,648 in federal funds. The law also provides $293,866 from Global Commitment for post-permanency adoption services. Children and Families must provide $367,500 in grants to six existing community-based supervised visitation sites. These provisions fund services, not set payments to families.

More help accessing SNAP and Medicaid

The law releases $3.5 million in reserved General Fund money for fiscal year 2027 community grants. Benefit assisters help people understand eligibility, apply for SNAP or Medicaid, and keep benefits. Human Services must design the program and choose recipients with Hunger Free Vermont and the Office of the Health Care Advocate. It must ensure accurate advice and distribute grants by September 1, 2026. Unspent spending authority carries forward for the same work.

Nonemergency medical rides receive extra funding

Vermont provides $300,000 in supplemental funding for nonemergency medical transportation in fiscal year 2027. The money supports rides to medical care. This provision does not state who qualifies or how many additional rides are available.

First generation homebuyer program receives funding

For fiscal year 2027, the Vermont Housing Finance Agency receives $100,000 for its First Generation Homebuyer Program. The funding supports the program for prospective first-generation homebuyers. This provision does not set eligibility, assistance amounts, or whether household help is a loan or grant.

Heating and weatherization help gets funding

A 3SquaresVT household gets $21 yearly in heating help when it has an elderly or disabled member under SNAP rules. The household must not qualify for another fuel benefit under this section. The law also provides $16.147885 million for weatherization assistance in 2026, including $9.164953 million in federal funds. Another $750,000 is set aside to repair or replace home heating equipment. The weatherization and equipment provisions do not state household award amounts or eligibility requirements.

Housing support for people with disabilities funded

End Homelessness Vermont receives $200,000 for statewide housing help for people with complex needs and disabilities facing homelessness or housing insecurity. Services include housing navigation, case management, coordination, technical assistance, appeals, and permanent housing support. Another $130,000 funds a permanent, classified Disabilities Housing Coordinator position drawn from the state position pool. Neither provision creates a direct household payment.

Johnson Campus student housing development funded

Vermont provides $600,000 in fiscal year 2027 to develop a 30-unit, three-story housing complex on the Johnson Campus. The money goes to Vermont State Colleges from the Higher Education Endowment Trust Fund. For the specified statutory calculations, the withdrawal counts as a reduction in the fund’s principal. The provision does not set rents or say who can live there.

Manufactured home owners get repair program funding

For fiscal year 2027, Vermont provides $800,000 for the Manufactured Home Improvement and Repair Program. The funding supports improvements and repairs for participating manufactured-home owners. This provision does not set eligibility rules or the amount any owner receives.

Rent debt and homelessness prevention get funding

The law directs $1.322141 million to community partners that prevent or address homelessness. For fiscal year 2027, it also grants $1 million to the Vermont State Housing Authority’s Rent Arrears Assistance Fund. These funds support services and help with unpaid rent. The provisions do not set household eligibility rules or individual assistance amounts.

College course expense help for students

Financially disadvantaged students in qualifying dual enrollment courses or Early College can get help with books, transportation, and fees. The Vermont Student Assistance Corporation sets eligibility rules and provides flat-rate stipends or vouchers. The program uses $41,225 from the Education Fund and $41,225 from the General Fund. Awards are first-come, first-served until the money runs out; the law does not state the individual award amount.

Free mediation for workers and employers

The State Labor Relations Board can hire a mediator to offer free help when collective bargaining reaches an impasse. Public- and private-sector bargaining units and employers can use this service. With available mediator capacity, the Board can also offer free mediation for grievances and unfair labor practice charges. Mediation information must stay confidential and separate from Board members and other Board staff.

Student grants and scholarship funding safeguards

In fiscal year 2027, Freedom and Unity grants receive $2.32 million from the Higher Education Endowment Trust Fund. That withdrawal counts as a reduction to the fund’s principal for statutory calculations. Student assistance funding also directs $25,000 to a trust fund and allows up to $400,000 for a high-school student initiative. At least $1 million must continue the Vermont Trades Scholarship Program. Of funds remaining after those uses, at least 93% must fund direct student aid; administration is capped at 7%, with no indirect costs and federal grant rules applying to federal administrative funds.

Funding for free tax preparation

The law provides $150,000 from the General Fund for free tax preparation in fiscal year 2027. The money supports the Volunteer Income Tax Assistance Program. It does not change tax bills or set who qualifies for help.

Rural businesses get grants and protections

The law provides $2 million for the Rural Industry Development Program in fiscal year 2027. Earlier grant recipients with unpaid awards can get 50% reimbursement for qualifying invoices submitted on or after the law’s effective date. Payments cannot exceed the unpaid award balance or increase the total award. Awards cannot be canceled solely because the program’s legal language moved to Title 10. Deed restrictions requiring recipients to repay grant principal or share sales profits with the State are void; other grant conditions remain.

Small businesses get legal and planning help

For fiscal year 2027, Vermont provides $100,000 to Vermont Law and Graduate School for small-business education and free legal support. These services run through the Vermont Small Business Law Center. Another $150,000 goes to the Vermont Small Business Development Center for expanded advising and workshops. The services help Vermonters start, buy, and grow businesses.

Disaster repair grants for Caledonia towns

The law provides about $1.35 million from the PILOT Special Fund for municipal infrastructure repairs after Caledonia County's July 2025 disaster. Eligible towns must have qualified for federal aid had a presidential disaster declaration been approved. Repairs must appear in the Transportation Agency's March 2026 damage estimates. Grants reimburse actual costs, capped at 50% of estimated repair costs. Repairs must follow state law, and towns must keep required records and accept award terms.

Emergency information in more languages

The Vermont Language Justice Project receives a $150,000 General Fund grant in fiscal year 2027. It funds emergency information for Vermonters who speak languages other than English. Materials are for disease outbreaks, natural disasters, and other public health emergencies.

Fraud recoveries can support Medicaid enforcement

Subject to appropriation, the Attorney General's Medicaid Fraud and Residential Abuse Unit can retain half of qualifying state-share settlement recoveries. Only amounts above the state's share of Medicaid restitution qualify; interest is excluded. Retained money must fund the unit's activities, not payments to Medicaid households.

Funding adds two state environmental analysts

The law designates $300,000 from the General Fund appropriation for two permanent, classified Environmental Analyst positions from the position pool. They support work required by Vermont’s 2024 Act 121. This is state staffing money, not a direct household payment.

Funding and authority for local policing

The law allocates $405,000 for Vermont Drug Task Force grants, including $190,000 for three town officers. Those officers must address regulated drugs and prescription drug diversion; uncommitted money can support other task force work or carry forward. It makes $35,000 from State Police General Fund money available to the Southern Vermont Wilderness Search and Rescue Team for snowmobile enforcement. Its service area includes Bennington, Windham, and Windsor Counties. The public safety commissioner can also make a performance-based contract with the Essex County Sheriff for services both sides agree on.

Funding for community media and journalism

The Secretary of State must grant Vermont Access Network $1.8 million to maintain current operations and programming. For fiscal year 2027, the law also provides $90,000 from the General Fund for its Community Radio Program. Another $50,000 from the General Fund supports local civic journalism awards that year. The law does not set individual award amounts.

Funding for community outreach services

The Howard Center receives a $160,000 General Fund grant for its Community Outreach Program in fiscal year 2027. The provision does not describe the services funded or set participant eligibility.

Funding for community reentry services

Jenna's Promise receives a $50,000 General Fund grant for reentry services in fiscal year 2027. The money supports people reentering the community. The law does not set individual eligibility or service amounts.

Funding for domestic violence services

The law provides $350,000 from the Domestic and Sexual Violence Special Fund in fiscal year 2027. Grants go to member organizations of the Vermont Network Against Domestic and Sexual Violence. The law does not set the type or amount of help each household receives.

Funding for local conservation districts

The law provides $300,000 from the General Fund for Vermont's 14 Natural Resource Conservation Districts in fiscal year 2027. The money supports district grants. The law does not state how the grants are divided.

Funding for rural fire protection design

The Vermont Rural Fire Protection Task Force receives $55,000 to design dry hydrants. The grant funds design work for rural fire protection. It does not specify construction funding.

Funding for Vermont's 2026 elections

The law provides $450,000 from the General Fund for Vermont election costs in calendar year 2026. The money supports election administration. It does not change voter payments or taxes.

Funding for Vermont's youth council

The Vermont State Youth Council receives $140,000 from the General Fund in fiscal year 2027. The funding supports the council and participating youth. The law does not set participant eligibility or individual payments.

Funding for veterans programs and events

The law provides $1,000 for the Vermont Medal Program and $2,000 for the Governor's Veterans Advisory Council. It provides $7,500 for the Veterans Day parade. The American Legion gets $10,000 for Green Mountain Boys' State and Green Mountain Girls' State together. The USS Vermont Support Group also gets $10,000. These funds support programs and events, not household payments.

Funding supports diversion and corrections programs

Court diversion grants receive about $5.013 million for budget year 2027, with funding ending June 30, 2027. The provision lists about $4.756 million from the General Fund and $257,997 from special funds. Justice Reinvestment II grants through Vermont Corrections receive about $11.190 million for 2026. These funding provisions do not set individual eligibility or household payment amounts.

Grants fund Vermont clean water work

The law provides about $13.704 million for clean water grants in budget year 2027. This provision does not identify specific projects, recipients, or individual grant amounts. The funding period ends June 30, 2027.

Grants support services for crime victims

The Vermont Center for Crime Victim Services receives about $8.450 million for grants in budget year 2027. The funding supports service providers and people affected by crime. This provision does not specify individual eligibility or direct household payments. The funding period ends June 30, 2027.

More supervised visitation sites planned

Children and Families must work with the Vermont Network Against Domestic Violence and Sexual Violence on supervised visitation expansion. During fiscal year 2027, they must develop a funding formula and identify community partners for two new sites. The Department must also plan four more sites. Two are scheduled to operate in fiscal year 2028 and two in fiscal year 2029.

Police equipment fund and communications review

The law creates a special fund for State Police radio and firearm replacement under a commissioner-approved replacement schedule. Legislative transfers and sale proceeds supply the fund, and unused year-end money stays there. Public Safety also has $50,000 for a consultant to review Regional Communications System Upgrade Project pilot proposal requirements. The review does not guarantee that the upgrade proceeds.

State agencies fund racial equity work

Executive Branch agencies pay a per-position human resources surcharge for the Racial Equity Advisory Panel and Office of Racial Equity. The charge cannot exceed their activity costs, and collections can fund only those purposes. Agencies must pay solely with State funds, not through a direct household charge. The surcharge rule ends July 1, 2027.

Vermont funds repairs to public facilities

The law provides about $23.418455 million for listed capital projects in fiscal year 2027. The money comes from the Capital Infrastructure Subaccount in the Cash Fund for Capital and Essential Investments. Projects include state building maintenance and security, correctional repairs, a youth stabilization facility, and public safety and courthouse work. Funding also covers drinking-water and dam projects, park infrastructure, and a correctional-facility network connection plan. The money must support the listed projects, not direct household payments.

Aid for seniors and disabled Vermonters

For 2026, the law provides about $10.284 million in aid for aged, blind, and disabled people. It provides about $27.332 million for advocacy and independent living, plus $3.558 million for blind and visually impaired services. Another $7.618 million from the Global Commitment Fund supports the traumatic brain injury home- and community-based waiver. These funding provisions do not set individual payments or new eligibility rules.

Funding for groceries and food banks

The law provides about $53.078 million in federal funds for 3SquaresVT food assistance for 2026. It also provides $550,000 from the General Fund for Vermont Foodbank network partners. Foodbank aid must be shared fairly statewide through food, grants to partners, or both. These provisions do not change 3SquaresVT eligibility or set each household's share.

Funding for household and family assistance

The law provides about $11.191 million for general assistance grants for 2026. It also provides about $32.467 million for Reach Up grants. These appropriations fund the programs but do not set household grant amounts or change eligibility.

Funding for household heating assistance

The law provides about $20.73 million for home heating fuel assistance for 2026. That total includes $19.25 million in federal funds for the Low Income Home Energy Assistance Program. This appropriation does not set household grants or change eligibility.

Funding for secure residential treatment

The law provides about $4.477 million for secure residential treatment grants through the Department for Children and Families for 2026. This provision does not set eligibility, covered services, or household costs.

Funding for substance treatment and prevention

The law provides about $62.95 million for substance use program grants for 2026. It also allows the Substance Misuse Prevention Special Fund to support prevention programs, including school programs. These provisions do not set individual benefits or change who qualifies for treatment.

Funding supports economic opportunity grants

The law provides about $55.273 million for Department for Children and Families Office of Economic Opportunity grants for 2026. This provision does not name specific programs or set household eligibility or assistance amounts.

Funding supports secure youth treatment

The law provides $4 million from the General Fund for a temporary secure treatment facility for youth. The provision does not state who qualifies, how long services last, or a household payment amount.

Funding supports Vermont public health programs

The law provides about $50.182 million for public health grants for 2026. This provision funds public health programs without naming specific services or recipients. It does not change household eligibility.

Grants support HIV care and prevention

For budget year 2027, the Department of Health provides $475,000 from AIDS Medication Rebates funds for client support grants. Providers receive those grants through a proposal process. General Fund service grants provide $165,000 to Vermont CARES, $115,000 to AIDS Project of Southern Vermont, and $60,000 to HIV/HCV Resource Center. Another $400,000 in General Fund prevention grants must be provided by September 1, 2026. The Department and relevant AIDS service organizations and prevention providers must agree on how to distribute that prevention money.

Grants support parenting and family visits

Prevent Child Abuse Vermont receives $164,500 in General Fund money and $29,873 from Global Commitment for nurturing parenting programs. The Vermont Parent Child Center Network receives $180,000 in General Fund money for concrete supports programs. Supervised visitation programs receive $130,000 in General Fund money under the act’s distribution rules. These grants fund programs, not fixed payments to families, and these provisions do not specify household eligibility.

HIV service grants gain funding protection

During fiscal year 2027, Vermont’s Health Department cannot cut HIV/AIDS service grants below fiscal year 2026 levels without approval. The Joint Fiscal Committee must approve such cuts in advance. This protects grants for AIDS services, peer support, and syringe-service programs, not a fixed household payment.

Home care and meal programs get support

Vermont can carry forward obligated Global Commitment funds for home- and community-based services through fiscal year 2027. Related transfers must leave the fund’s overall balance unchanged, and a report is required in September 2027. Meals on Wheels receives $1.192464 million in Global Commitment funding for fiscal year 2027. Another $100,000 supports a new adult day program in Washington or Rutland County, or expansion of an existing program. These provisions do not set individual service amounts or new eligibility rules.

Medical student primary care rules continue

The law removes the July 1, 2027 scheduled repeal of existing medical-student and primary-care provisions. Those provisions no longer automatically end on that date. This change does not add funding, services, or new eligibility rules.

More public voice in service planning

Plans for designated and specialized agencies overseen by Disabilities, Aging, and Independent Living must include diverse participants. Participants must reflect Vermont's race, income, age, and disability diversity. Current, former, and prospective clients, providers, and agency employees must have meaningful input at every stage. The process must share relevant data and assess proposed changes, including effects on worker recruitment and retention.

Outreach connects households with benefit help

The Agency of Human Services and benefit-assistance grant groups must reach households with SNAP and Medicaid help. Outreach includes plain-language mail, calls, texts, email, and press communications. They must work to reduce paperwork by sharing information to verify program requirements when legally allowed. Grant recipients and Vermont 211 must report quarterly on help, referrals, and outreach from September 2026 through June 2027.

Primary care providers receive higher payments

From July 1, 2026, through June 30, 2027, Vermont must pay enhanced rates to Primary Care Plus providers. Enhanced encounter rates also apply where appropriate. The law funds these payments with $1.555 million from the General Fund and $2.153562 million in federal funds. It does not state the rate increases or changes to patients’ bills.

Schools receive Medicaid money for student care

Each supervisory union receives 55% of federal Medicaid reimbursement generated by its medically related services. Vermont calculates payments using the union’s cost reports, service claims, and administrative costs. The law anticipates $25.158 million in certified state match from local education agencies and $3.210715 million in local mental health match. Federal matching money for eligible school services goes to the School-Based Medicaid Reimbursement Fund. Separate funding pays physicians for medical-necessity reviews of Individualized Education Programs, aiming to improve access for uninsured, underinsured, and Medicaid patients.

Emergency shelters and hotel housing receive funding

The law provides $1.5 million for emergency cold-weather shelters and $9.25112 million for emergency hotel and motel housing. Another $1.1 million supports staff, grants, and contracts to carry out Vermont’s Homelessness Response Continuum. Unspent fiscal year 2027 hotel housing and implementation authority carries forward for the same purposes. Unspent fiscal year 2026 General Assistance emergency-housing authority also carries forward for the Continuum in fiscal year 2027. These provisions do not set individual eligibility rules or guarantee a placement.

Homelessness programs receive housing and rental funding

The Housing Opportunity Grant Program receives $38.251696 million in General Fund support for statewide homelessness services and resources. Operations receive $830,422 in federal funds and $202,488 in Global Commitment funds; supportive housing receives $778,987 and $3.421013 million, respectively, from the General Fund and Global Commitment. Funding also includes $500,000 for a Community Resource Center, $2.4 million for case management, $3 million for rental assistance, $1.4 million for shelter development, and $314,618 in federal funds for related implementation costs. Grant decisions and administration require consultation with both federally recognized Continuum of Care programs; grants can include federal Emergency Solutions Grants money. Unspent fiscal year 2027 authority carries forward for its designated purpose, while unused fiscal year 2026 program authority supports the Continuum in fiscal year 2027.

HomeShare Vermont receives housing program funding

HomeShare Vermont receives a $235,000 General Fund grant for fiscal year 2027. The grant supports the organization and its programs. This provision does not identify specific services, participant eligibility, or household payments.

Adult education gets student-based funding

Annual adult education and literacy funding equals 26% of the categorical base amount times the statewide student count. The count averages students completing diagnostic portions over the prior two completed fiscal years. Funding comes 40% from the Education Fund and 60% from the General Fund, with payments to local providers. In fiscal years 2027–2028, each county gets $80,000 first; remaining funds follow student count at 85% and student-hours at 15%. The transitional rule ends July 1, 2028; beginning in fiscal year 2029, remaining funds follow student count.

Education board receives temporary staff funding

The law allocates $130,000 from the General Fund appropriation for a limited-service exempt State Board of Education position. The position comes from the existing position pool. This funds board staffing, not a household payment.

Education support for state-placed students

The law provides about $18.29 million in 2026 for school grants serving state-placed students. ANEW Place’s Independence Place Program also qualifies as a 24-hour residential program for education-cost reimbursement. This expands the program’s access to reimbursement, but does not set a reimbursement amount or household payment.

Funding for adult learning and literacy

The law provides about $5.29 million for adult education and literacy grants in 2026. It also directs $4.349673 million in General Fund grants to providers in the Adult Education and Secondary Credential Program. The funding supports provider services, not specified payments to individual learners.

Funding for flexible student learning paths

The law provides about $11.74 million for Flexible Pathways grants in 2026. Education Fund allocations include $921,500 for dual enrollment and $4.2 million for Early College. They also include $2.4 million for Vermont Virtual High School and $400,000 for secondary school reform grants. Another $2.899782 million supports the Adult Education and Secondary Credential Program. The General Fund provides a further $921,500 for dual enrollment.

Funding for school heart emergency readiness

The law provides $150,000 from the General Fund in fiscal year 2027 for school defibrillators and CPR training. The money supports emergency response for students and staff.

Funding for students in technical education

The law provides about $19.64 million in technical education grants for 2026. The money supports technical education providers and their students. This funding provision does not set individual awards or eligibility rules.

Funding protection for health training programs

Vermont State Colleges funding supports dental hygiene, respiratory therapy, and nursing programs. When Global Commitment Fund money is unavailable, the State must maintain the colleges’ total grant funding. Replacement money must come from the General Fund or other State sources. The law does not set individual student awards.

Funding supports meals for Vermont students

The law provides $18.3 million for school nutrition grants for 2026. The funding supports schools and students receiving nutrition services. This provision does not set household eligibility or a payment amount for each family.

School aid supports English Learners

The law directs the designated appropriation to school districts for English Learner services under the existing aid law. This provision does not state the funding amount or provide household payments.

Work rehabilitation funding for people with disabilities

The law provides about $10.15 million for vocational rehabilitation grants in 2026. The money supports services through Vermont’s Disabilities, Aging, and Independent Living programs. This provision does not set individual awards or eligibility rules.

Added town highway and garage funding

The law adds $3 million from the PILOT Special Fund for general state aid to town highways in fiscal year 2027. This money cannot replace or reduce other fiscal year 2027 funding for that program. It also provides about $1.36 million from the Transportation Fund for the FEMA 428 Central Garage relocation project. The garage moves to Paine Turnpike in Berlin.

Funding covers utility property appraisal appeals

The law directs $70,000 from the specified appropriation, plus any remaining previously transferred money, to the Department of Taxes. Its Property Valuation and Review division uses the money for final costs of hydroelectric reappraisal appeals and other utility appraisal expenses. This provision does not set household tax changes or direct payments.

Funding for professionals of color network

The Vermont Professionals of Color Network receives a $75,000 General Fund grant in fiscal year 2027. The provision does not describe funded services, participation rules, or direct household payments.

Funding for towns and community facilities

For fiscal year 2027, the Vermont Council on Rural Development gets a $250,000 General Fund grant for municipal technical assistance. The South Hero Service Committee gets $25,000 from the General Fund to design and construct a building. The law does not specify the building's services or change local taxes or fees.

Grants fund community broadband projects

The law provides $43 million for Vermont Community Broadband Board grants in budget year 2027. Listed board funding also includes about $45.387 million in federal money and $882,735 in special funds. This provision does not identify which homes receive service or change household service prices. The funding period ends June 30, 2027.

Larger amount for unclaimed property fund

The amount assigned to Vermont's Unclaimed Property Fund rises from about $8.99 million to $16.14 million. The law does not change claimant eligibility or state how much any claimant receives.

Municipal property payments use special fund

Specified state payments to municipalities in place of property taxes now come from the PILOT Special Fund. Their calculation is separate from correctional facility appropriations elsewhere in the law. Correctional facility payments also use that fund, including $152,000 in supplemental payments for Newport and Springfield. These rules do not set a household property tax reduction.

New fund supplements town highway aid

The law creates a Local Option Municipal Transportation Special Fund for added town highway aid. It receives 75% of qualifying surplus local-option-tax receipts in the fund for municipal payments in place of taxes. A surplus exists only after same-year payments for those municipal payments and specified grand-list and appraisal assistance. Highway aid cannot exceed 95% of expected yearly cash receipts and must supplement, not replace, existing aid. The new fund can also pay its own administration costs.

Outdoor recreation economic grants receive funding

Vermont provides $200,000 for Outdoor Recreation Economic Collaborative grants in fiscal year 2027. The money supports grant recipients and related outdoor recreation economic activity. This provision does not specify grant eligibility, award amounts, or household payments.

Reserves support technology and future needs

At 2026 closeout, the law directs about $9.548 million to the Technology Modernization Special Fund and reserves $30 million. Transactions use the contingent reserve in the stated order, with partial funding allowed when money runs short. The $30 million requires later legislative appropriation or transfer for federal shortfalls, human services, property tax relief, housing, or other public-interest needs. For a human services caseload funding deficiency, Finance and Management must release and appropriate an equal amount from the caseload reserve. These rules do not themselves create household payments or change benefit eligibility.

Secretary of State keeps unspent funds

Uncommitted balances in the Secretary of State Services Fund no longer must move to the General Fund each year. The money can remain available for the Secretary of State's office operations. The law does not specify the balance or create a household payment.

State payments support Vermont town budgets

For budget year 2027, special funds provide $12.2 million to municipalities as payments in place of taxes. A separate $40,000 supports municipal payments related to correctional facilities. Both funding periods end June 30, 2027. These provisions do not specify a change in household taxes or services.

Transportation money can buy vehicle chargers

Transportation funds can be appropriated to Housing and Community Development to buy Level 1 and Level 2 electric vehicle charging ports. Purchases must serve the uses authorized by the transportation-funding statute. This permission does not provide a purchase amount or guarantee installations.

Funding helps Montreal businesses enter Vermont

Vermont provides $150,000 from the General Fund for fiscal year 2027 to maintain an existing business-support contract. The contract is with the Canadian International Economic Development Partnership. It provides services in Montreal for businesses seeking to expand into Vermont, not direct household payments.

Towns receive funding for property assessments

Vermont provides $3.41 million from special funds for municipal property reappraisal and listing payments in fiscal year 2027. The funding period ends June 30, 2027. This funds town assessment work; the provision does not directly change household tax bills.

Funding for learning and service programs

For fiscal year 2027, the Serve Learn Earn Program receives $300,000 from the General Fund. Advance Vermont receives a $200,000 General Fund grant. These provisions do not describe the funded activities or set individual payment amounts.

More support for school district transitions

The law provides $1.8 million in school district merger support grants for 2026. Fiscal year 2026 transition grants rise from $200,000 to $982,000, and contracted services receive $2.1025 million. Contracts support merger studies, education quality, pre-opening business processes, and merger data tools developed with the Department of Taxes. They can support the special education strategic plan, but not agency analysis of alternatives to special education base funding or weights. Five education transformation jobs become permanent classified positions, covering business operations, data, curriculum and quality standards, teaching, and facilities field support.

State matching money for research

The law transfers $380,362 from the University of Vermont appropriation to the Experimental Program to Stimulate Competitive Research. The money meets state matching requirements for available federal or private funds. This is a research funding transfer, not new household payments.

University construction funding protects worker wages

The University of Vermont receives $12 million for its Multi-Purpose Center Project, approved by its trustees in 2019. The money includes $10 million from the General Fund and $2 million from the Higher Education Endowment Trust Fund. The endowment withdrawal counts as a reduction to principal for statutory calculations. Construction contracts funded by this authority must meet the higher applicable Vermont or federal prevailing-wage standard.

Agricultural development grants receive state funding

The law provides $16.3182 million for agricultural development grants in fiscal year 2027. The money comes from general, special, and federal funds. This provision does not set individual award amounts or say which farmers and businesses qualify. The funding period ends June 30, 2027.

Higher grants for rural development projects

The Rural Industry Development Grant Program's general limit rises from 20% to 50% of project cost, still capped at $1 million. For qualifying federally impacted property, awards can reach $2 million. The Secretary must certify a location in both a designated downtown development district and a REAP Zone. Alternatively, the project must be in a federally declared natural disaster area declared within five years before application. These are award limits, not guaranteed grants.

Matching funds support Vermont manufacturing center

The law transfers $427,898 from the Vermont State Colleges appropriation to the Vermont Manufacturing Extension Center. The money meets state matching requirements for available federal or private funds. This provision does not establish direct payments to individual businesses or households.

Rural development grants cover more projects

Vermont local development corporations can use Rural Industry Development grants for more eligible property and development projects. Uses include industrial or commercial property purchases, development agreements, site work, permits, infrastructure, loan equity, and matching funds. Residential property purchases and property purchased, held, or renovated for repurposing must concern federally impacted property. Development agreements must meet the program's applicable requirements. The law does not specify a new grant amount.

Medicare advocacy service contracts end

Effective July 1, 2026, Vermont must end contracts for Medicare Advocacy Program services, consistent with existing state law. People using those contracted services lose that source of help. This provision does not name replacement services or change Medicare benefit amounts.

Unallocated emergency dispatch money stays frozen

The regional dispatch appropriation totals $11 million. Money not committed under the law's specified allocations must remain uncommitted and unspent. The General Assembly must pass another law before agencies can use that balance.

Vermont correctional services funding is reduced

The law cuts General Fund support for correctional services by $650,000, from $203.987089 million to $203.337089 million. Total correctional services funding falls from $211.939045 million to $211.289045 million. The provision does not identify which services or operations change.

School Medicaid administration gets lower cap

The law lowers the maximum share of federal school-based Medicaid reimbursements available for agency administrative costs. The cap falls from 25% to 20% for the Agencies of Education and Human Services. This provision does not specify how the lower cap changes individual school services.

Energy financing reserve fund ends

The law ends the State PACE Reserve Fund and transfers any remaining balance to the General Fund. It does not state the balance or specify a change to household access to PACE financing.

School redistricting support funding is cut

Fiscal year 2026 funding for School District Redistricting Task Force support falls from $100,000 to $28,310.70. The General Fund money goes to the Agency of Digital Services for support costs and consultants when needed. This funding change does not directly change household taxes, benefits, or school eligibility.

Electric vehicle trust earmarks are removed

The State no longer must direct at least 15% of Volkswagen environmental trust money to light-duty electric vehicle charging equipment. The remaining money no longer must support all-electric vehicle replacements or repowering. This gives the State more choices but removes guaranteed allocations for those electric vehicle uses. Spending must still follow the trust's Appendix D-2 rules.

Emergency communications grant requires local funding

Public Safety has $2.49 million for the Capital Fire regional dispatch communications upgrade. The Central Vermont Regional Planning Commission must submit a satisfactory proposal by October 2, 2026. It must include plans for initial construction in 2027, project phases, benchmarks, budgets, audits, and alignment with statewide communications development. Public Safety and its communications task force must find the pilot practical and helpful for statewide implementation. The Commission must cover 30% of costs and prove financing before starting any phase or spending grant money; once these requirements are met, Public Safety must issue the grant by November 2, 2026.

Ethics funding continues but oversight waits

Specified Ethics Commission powers and complaint procedures now start July 1, 2028, instead of September 1, 2027. The delay covers investigations, hearings, warnings, complaint-related public records, and related amendments. The Commission can adopt rules before the new start date. Executive Branch agencies continue paying a per-position human resources surcharge for specified Commission activities through June 30, 2027. Payments must use State funds, and the surcharge cannot exceed those activities' costs.

State lands fund gains spending flexibility

The Lands and Facilities Trust Fund can support administration, project management, contracts, and office work for Forests, Parks and Recreation lands. Payments no longer exclude costs covered by operating budgets, and deposits can include administrative-support receipts. Land purchases remain excluded, and spending still requires legislative appropriations. After its first three years, the fund replaces required 5% distributions with optional distributions capped at 8% of its prior 12-quarter average market value. Both legislative chambers must approve distributions, which cannot lower the balance below the prior fiscal year's ending balance.

School Medicaid funding brings new requirements

A new Human Services fund receives federal payments for medically related school services to Medicaid-eligible students. Supervisory unions and districts receive 55% of federal reimbursements based on cost reports. Up to 20% supports agency administration and statewide costs, subject to appropriation. Supervisory unions providing these services must join a time study and use electronic health records as Human Services directs. At each year’s end, uncommitted available cash remaining after accounts payable goes to the Education Fund.

Afterschool funding with new administration limits

The law provides $9.595 million in afterschool grants for 2026. The education agency can use up to 5% of forecasted cannabis sales tax revenue for administration and community assistance. This replaces the former $500,000 annual cap for the Universal Afterschool and Summer grant program. The new ceiling changes how much money can go to administration instead of program grants.

Planning aid capped by available taxes

The law allocates $10.179975 million in property transfer tax receipts to municipal and regional planning and resilience. Regional planning commissions receive $7.838580 million, municipalities receive $1.323397 million, and the state geographic information center receives $1.017998 million. Allocations cannot exceed available revenue, and receipts above the total move to the General Fund. Commission and municipal distributions must follow the statutory planning-fund rules.

State account money returns to general budget

In fiscal year 2027, listed state accounts return money to the General Fund, leaving less available in those accounts. Administration accounts return $1 million from Housing Finance Agency funding, $890,937.34 from FEMA COVID Match, about $5.18 million from the High-Risk FEMA Denial Reserve, and $150,000 from the Language Access Plan. Agriculture accounts return $100,000 from Ecosystems Services, $16,513.42 from Conservation Districts, and $35,496.73 from Dairy Risk Management; Public Service accounts return $200,000 from Affordable Community Scale Renewable Energy and $195,000 from SHARE. Health and human services accounts return $790.68 from Howard Center, $300,000 from Workforce Retention, $189,984 from Nurse Preceptor Grants, $21,601.25 from Technical Analysis, $29,752.09 from Child Development Associate Credential, and $498.63 from the Reach Ahead two-year pilot. Additional returns are $300,000 from the corrections Data Contract, $99,990 from education Universal Income, $362,416.60 from Emissions Repair, $831,043.50 from Mobile Home Condemnation, $1,056.73 from local-government technical services, $5,342.36 from the Designated Area Report, and $100,000 from Technology Related Grants. Separately, authority under subsection (a) of the 2024 recovery provision returns to the General Fund if unspent and uncommitted on December 31, 2027. Any resulting unallocated balance goes to the General Fund Balance Reserve; this rule does not apply to subsection (c). These transfers do not require households to repay money.

State reserves shift money between years

The law releases $30 million from an earlier General Fund reserve without naming recipients for that amount. Separately, it reserves the first $78.037622 million of a qualifying year-end General Fund balance instead of using normal distribution rules. That reserve becomes available automatically on July 1 of the next fiscal year. It can support federal funding shortfalls, property tax relief, or other uses judged in the public's best interests. Neither rule grants households a specific payment.

Wagering and liquor transfers have limits

Fiscal year 2027 budget planning assumes $6.7 million from the Sports Wagering Enterprise Fund for the General Fund. It also assumes $20.871297 million from the Liquor Control Fund. Actual transfers cannot exceed each fund's year-end profits after covering any deficit. These are planning estimates, not fixed transfer amounts or household tax changes.

Retired teacher health funding includes employer charges

The retired teachers’ health plan receives an annual contribution of $99.834595 million. The State provides $90.834595 million, while an annual employer charge provides $9 million. The contribution covers $30.987156 million in regular yearly costs and $68.847439 million in past benefit obligations. This provision does not specify changes to any retiree’s coverage or costs.

Housing funding includes bond debt tradeoffs

For fiscal year 2027, the law allocates $37.65375 million from the housing and conservation trust fund to its Board. Allocations cannot exceed available revenue, and property transfer tax and surcharge receipts above that amount go to the General Fund. A $2.5 million property transfer tax dedication pays affordable housing bond debt. This is offset by a $1.5 million reduction in the Board’s appropriation and $1 million from the surcharge. The appropriation reduction is restored when the bond retires; the bond and related tax and surcharge provisions end July 1, 2039.

Current use funding supports towns and administration

Vermont provides $21.65 million from the General Fund for municipal current use payments in fiscal year 2027. That funding period ends June 30, 2027. The Department of Taxes also receives $608,137 from the Current Use Administration Special Fund to run the Use Tax Reimbursement Program. Allocations cannot exceed available revenue, and property transfer tax receipts above $608,137 go to the General Fund. These provisions fund towns and administration without setting new household payments, eligibility rules, or tax bills.

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: 127 • No: 70

Senate vote • 4/28/2026

Roll Call, requested by Senator Hardy, Failed -- Needed 15 of 30 to Pass -- Yeas = 7, Nays = 23

Yes: 7 • No: 23

Senate vote • 4/28/2026

Proposal of amendment agreed to on roll call, requested by Senator Perchlik, Passed -- Needed 15 of 30 to Pass -- Yeas = 23, Nays = 7

Yes: 23 • No: 7

House vote • 3/27/2026

Which was agreed to on a Roll Call Passed -- Needed 69 of 137 to Pass -- Yeas = 97, Nays = 40

Yes: 97 • No: 40 • Other: 1

Actions Timeline

  1. House message: Governor approved bill on June 16, 2026

    5/29/2026House
  2. Signed by Governor on June 16, 2026

    5/29/2026House
  3. Delivered to Governor on June 10, 2026

    5/29/2026House
  4. House message: House adopted Conference Committee report

    5/29/2026House
  5. Rep. McCoy of Poultney moved to deliver the bill to the Governor forthwith, which was agreed to

    5/29/2026House
  6. Committee of Conference report adopted (House bill)

    5/29/2026House
  7. Rules suspended and taken up for immediate consideration, pending entry on Notice Calendar, as moved by Rep. McCoy of Poultney

    5/29/2026House
  8. Senate Message: Report of Committee of Conference adopted

    5/29/2026Senate
  9. Rules suspended & messaged to House forthwith, on motion of Senator Lyons

    5/29/2026Senate
  10. Committee of Conference report adopted

    5/29/2026Senate
  11. Committee of Conference report submitted by Senator Perchlik for Committee, text

    5/29/2026Senate
  12. Rules suspended & taken up for immediate consideration, on motion of Senator Lyons

    5/29/2026Senate
  13. Committee of Conference report

    5/29/2026Senate
  14. Entered on Notice Calendar

    5/29/2026Senate
  15. Senate Message: Committee of Conference members appointed

    5/1/2026Senate
  16. Committee of Conference appointed: Senators Perchlik, Lyons, and Westman

    5/1/2026Senate
  17. House message: House refused to concur in Senate proposal of amendment & requested Conference Committee; House Conference Committee members appointed

    5/1/2026House
  18. Rules suspended and bill messaged forthwith to the Senate as moved by Rep. McCoy of Poultney

    4/30/2026House
  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

    4/30/2026House
  20. Senate proposal of amendment not concurred in and Committee of Conference requested upon motion of Rep. Scheu of Middlebury

    4/30/2026House
  21. Rules suspended and taken up for immediate consideration as moved by Rep. McCoy of Poultney

    4/30/2026House
  22. Notice Calendar: Senate Proposal of Amendment

    4/30/2026House
  23. Senate Message: Passed in concurrence with proposal of amendment

    4/29/2026Senate
  24. Rules suspended & messaged to House forthwith, on motion of Senator Baruth

    4/29/2026Senate
  25. Read 3rd time & passed in concurrence with proposal of amendment

    4/29/2026Senate

Bill Text

  • As Enacted (ACT 144)Opens in a new window

    6/19/2026

  • As Passed by Both Chambers

    6/9/2026

  • As Passed by Both Chambers (Unofficial)

    6/9/2026

  • Senate Proposal of Amendment

    4/29/2026

  • Senate Proposal of Amendment (Unofficial)

    4/29/2026

  • As Passed by the House

    4/1/2026

  • As Passed by the House (Unofficial)

    4/1/2026

  • As Introduced

    3/23/2026

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