Lawmakers Hear Wide Range of Housing, Education, Environment and Budget Testimony in Multiple Committee Meetings
Legislative committees on Feb. 13 heard detailed briefings and testimony across housing, finance, health care, environment and education topics, focusing on state grant programs, permit and fee structures, Medicaid school-based services, conservation and housing funding, and implementation of Act 73 school governance and funding changes.
General & Housing (House, 11:00 and 13:05)
House General & Housing held two hearings that included extended discussion of the Vermont Housing Improvement Program (VHIP) and landlord-tenant court procedures. Department witnesses described VHIP grant and forgivable loan mechanics, eligibility caps and compliance periods. Officials said grants for unit rehabilitation are structured on a per‑unit basis, with maximum reimbursement amounts noted as $30,000 for units up to two bedrooms and $50,000 for units with more than two bedrooms, plus an additional accessibility rider of up to $20,000 per unit for code enforcement and accessibility work. Staff described a shift from reimbursements to 0% interest forgivable loans forgiven proportionally with compliance time.
Witnesses addressed program administration and capacity, saying VHIP operates with significant collaboration from five homeownership centers and that grants were intended to address health and safety and code compliance to bring units back online rather than add market amenities. A department presenter said the governor’s budget proposal includes $4,000,000 and characterized that level as a professional minimum to sustain the program and create new units.
Committee testimony in the 11:00 session addressed eviction and landlord-tenant processes. Panelists described the notice-and-answer procedures, court filing fees (including a $299 state filing fee), declines in defaults after changes to complaint packages, timelines for hearings and service challenges in rural areas, sheriff service delays and issues with court scheduling. Members discussed causes-based evictions, no‑cause provisions, escrow and rent-into-court motions, security deposit limits, and impacts on tenants and landlords.
Finance (Senate, 13:10)
The Senate Finance Committee considered bills and regulatory changes related to sewer and water connections, fees and delegated permitting, and revenue topics. Members referenced the Act 47 study and Act 47 as background for efforts to simplify permitting for potable water and wastewater connections. Finance testimony discussed the statutory role of licensed designers and the need for deference to certified plan certifications.
Committee discussion cited two bills by short title, S.870 and S.2, in the context of connection permitting and fee tiers. Witnesses described existing administrative processing fees — including a $100 fee to the Agency of Natural Resources (ANR) for municipal submission of documentation — and design flow fee tiers (for example, a design flow under 560 gallons per day described as $306.25 in one referenced schedule). Testimony also covered how towns may charge technical review or connection fees to influence development location.
Finance members also heard commentary on broader tax-policy topics, including high-income tax rates and potential changes to income thresholds and transfer taxes, and on a proposal directing revenue to school construction; one presenter referenced a figure of $2.82 in revenue directed to school construction in discussion.
Health Care (House, 13:20)
The House Health Care Committee reviewed H.558 and related implementation language described by legislative counsel as transferring sole authority over the Medicaid School Based Services Program to the Agency of Human Services (AHS) from the prior split between AHS and the Agency of Education (AOE). Staff described inserting a new Medicaid School Based Services Program chapter in Title 33, with legislative intent language to maximize federal reimbursement and to have the state Medicaid agency ensure program compliance with federal Medicaid requirements.
Committee testimony outlined allocation percentages and administration: 55% of certain funds tied to current practice, a 25% share for state‑level interventions, and a 20% share referenced in the program accounting; witnesses noted up to 25–30% could be used for administrative spend in statute but that actual administrative spends have been lower. The committee heard that the state plans to use a Random Moment Time Study (RMTS) payment methodology to allocate provider time to Medicaid services, with RMTS described as a quarterly, light‑touch quarterly sampling process that yields statistical allocations (examples discussed included 25% and other allocation figures). Agencies said the goal is to migrate the program to the new AHS-administered model with an implementation target cited as 10/01/2026.
Environment (House, 11:15)
House Environment heard presentations in support of full statutory funding for the Vermont Housing & Conservation Board (VHCB) and multiple conservation projects. Witnesses from land trusts and conservation organizations described recent acquisitions and project budgets, including a three‑parcel 341‑acre project with a total budget of $950,000 and VHCB contribution of $315,000. Presenters highlighted use of leveraged bargain sales, private donations and partnerships to complete projects, and noted conservation priorities such as watershed protection and town forest creation.
Speakers recounted completed projects and funding leverages, and emphasized relationships between conservation investments, community recreation, and housing development. Act 59 was referenced in testimony describing VHCB and conservation work.
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Education (House and Senate hearings)
Multiple education committees took testimony on implementation of Act 73, school governance, and local budget pressures. House Education guests from advocacy and rural alliances described concerns about community voice, district consolidation, and school choice. Witnesses urged attention to local variation, community engagement and the fiscal effects of proposed changes.
Presenters to Senate Education and House Education panels described operational pressures in rural districts: rising healthcare and transportation costs were cited as major budget drivers, with one administrator noting health insurance increases of roughly 7% in a recent year and transportation bid increases of 21%. Testimony from rural school representatives and student speakers emphasized the value of small schools, supervisory union shared services, and the need to examine specific cost drivers rather than rely solely on consolidation as a solution.
Several witnesses recommended incentives for voluntary strategic mergers, use of professional judgment panels in funding formula design, and caution about forced consolidation. Act 73 and related statutes were frequently cited in committee discussions.
Appropriations, Ways & Means and Related Budget Hearings
Appropriations and Ways & Means hearings covered departmental budgets, special funds and tax and property valuation changes. Appropriations presenters described general fund, federal and special fund shares of department budgets, with slides and figures referenced such as general fund at 22% and federal funds at 33% for a particular agency overview. Appropriations testimony noted one‑time funding flows, land acquisition budget swings (for example, a decrease from roughly $8 million to $4 million year‑to‑year in one agency’s land acquisition line), and special fund cash‑flow notes including anticipated lease payments that would affect fund balances.
Senate Appropriations discussed departmental increases tied to salaries and benefits and a 5.4% pay act increase. Testimony in the environmental and natural resources budget context described shifts between grants and contracts for Land and Water Conservation Fund awards and state lands work.
House Ways & Means considered H.577 strike‑all amendment language establishing a Vermont prescription drug discount card program and related fund mechanics. Committee counsel and the deputy treasurer discussed routing program receipts — transfers, gifts, grants, donations and other monies — into an existing special fund, the Financial Literacy and Economic Empowerment Trust Fund, to defray administrative costs; members noted the committee removed fee language and expanded an existing fund instead of creating a new special fund.
Ways & Means also reviewed miscellaneous tax provisions in a multi‑section package: changes to transfer tax application for short‑term rentals and second‑home treatment, amendments to grand list and parcel definitions tied to mapping and per‑parcel payments, alignment of assessment dates from April 1 to January 1 in many statutes, and technical changes to municipal payments for properties removed from the grand list due to flood. Several presenters referenced Act 73 and other prior acts in explaining statutory alignment work.
Natural Resources & Energy (Senate, 10:40)
The Senate Natural Resources & Energy Committee focused on land‑use and Act 181 and Act 21 implementation for tiered planning and eligibility areas. Witnesses summarized the multi‑step process for establishing Tier 1B and Tier 1A areas (village‑area and higher‑capacity land‑use designations), including regional plan elements, Local Emergency Response Board (LERB) reviews, public hearings, and adoption steps. Panelists discussed administrative burdens for regional planning commissions and municipalities, evolution of maps between pre‑application and public‑hearing drafts, and calls for amendment processes to allow efficient adjustments to eligible areas as local conditions change.
Energy & Digital Infrastructure (House, 13:05)
The House Energy & Digital Infrastructure Committee received presentations and discussed a slate of bills including H.727 (data centers), H.716 (net metering), H.753 (utility service disconnections and ratepayer protections), and H.898 (copper‑to‑fiber transition). Committee remarks addressed regulatory approaches, rulemaking burdens, utility disconnection timelines and protections, and net metering policy tradeoffs. PUC staff and utilities discussed existing procedures for interconnection, contested case proceedings versus formal rulemaking, and the potential effects of statutory changes on rate design and customer cost shifts.
Conclusion
The article covers multiple Feb. 13 committee sessions across the House and Senate. Committees reporting included House General & Housing, Health Care, Environment, Education, Human Services, Ways & Means, Energy & Digital Infrastructure, and Appropriations, and Senate Finance, Natural Resources & Energy, Appropriations and Education. Testimony and briefings addressed housing grants and compliance, eviction and landlord‑tenant processes, municipal permitting and connection fees, the transfer of authority and methodology for Medicaid school‑based services, conservation and VHCB funding, implementation and financial pressures tied to Act 73 school changes, and a range of budget, tax and special‑fund adjustments.
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