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May 9, 2025
Right about the time that white smoke was seen from the Vatican signaling the conclave had picked a new pope, the State House was atwitter with talk that the Committee of Conference on the Budget was close to signing a final report on the budget.
- Added to that budget was $1.5 million for five additional weeks of State House operation this year, allowing the legislature to meet into the first week of June, return on June 16th and 17th for a veto session, and possibly come back in the fall to respond to federal budget cuts.
Not There Yet… We’re still far from the finish line, though, as the Senate Committee on Finance plugs away at the education transformation bill, which is what will dictate the adjournment timeline this year.
This takes the pressure off some other bills, which would need to wrap up right now in a normal year or be dead until next year.
- The House and Senate have still not moved their housing bills back to each other, and a keystone component of the Senate’s version, the CHIP program, is getting chipped away in the House Ways and Means Committee.
- The House and Senate Healthcare Committees are continuing their work on a number of bills aimed at containing healthcare costs amid potential rate hikes and insurer insolvency.
- Many are anxiously watching the House Committee on Commerce and Economic Development to see what they will do with the data privacy bill sent to them by the Senate.
As some committees that have wrapped up their work already start exploring new things, such as the extreme temperatures legislation. That bill would, at best, be duplicative of OSHA regulations and, at worst, make any work outside the temperature range of 60 to 80 degrees very difficult.
In this week’s update:
- Senate Finance studies the education bill sent to them by colleagues
- Housing bills on the move
- House Committee looks to regulate extreme* temperatures
- High-Stakes Summer for Vermont Health Care Ahead
- Opportunities to engage on land-use regulation drafting
- The Laundry List
We strive to make these concise and easy to read. Feedback is not just welcomed, it’s encouraged – [email protected]
Senate Finance Studies What Their Colleagues Sent Them
The Senate Finance Committee is the end of the line for the education transformation bill that has been produced over the past five months. This week, they walked through a side-by-side comparison of the differences between what the House passed and what the Senate Committee on Education amended.
As noted above, work on this bill will likely determine when the legislature adjourns as it is considered must pass legislation.
Housing Bills on the Move
The House and Senate Committees with jurisdiction over housing bills have now advanced their bills, with them heading to their respective money committees for review.
Some significant changes to appeals and brownfields are teed up here.
Municipal Appeals Language
The Senate Committee on Economic Development, Housing, and General Affairs proceeded with appeals language that was sent to them by the House with some changes. Overall, the changes narrow the threshold from a group of people to a single person, while narrowing the ground on which that person can appeal.
- The contentious “20-person” appeal threshold was removed for permit appeals but retained for bylaw or plan appeals.
- “Person Aggrieved:” Language now replaces the existing “interested person” standing with a narrower definition of “person aggrieved.”
- “Immediate neighborhood:” a “person aggrieved” must own or occupy property in the immediate neighborhood of the property subject to the municipal permit decision.
- “Paticularized Injury:” And, it also adds that the person aggrieved must demonstrate a “particularized physical or environmental injury” to their interest, not just general concern or “impact.”
Impact of the changes: This hybrid approach was meant to narrow who can appeal a municipal permit decision, especially to limit broader, generalized, or ideological appeals, while still preserving access to the courts for those who are actually harmed.
- Environmental groups’ advocates warned that this language might go too far and be unconstitutional.
Effective Date: The committee opted for a July 1, 2025, effective date, despite some advocating for a 2026 delay to allow alignment with the LURB appeals study process.
Brownfields
The bill makes substantial changes to brownfield mitigation.
- It allows soils to be managed under an “insignificant waste event authorization” rather than a full solid waste facility permit, meaning developers can place soils at authorized sites with proper capping and monitoring, substantially reducing costs by avoiding the need to transport soils to distant landfills like Coventry.
- The bill amends the Brownfield Property Cleanup Program to prioritize review of remediation projects where housing currently exists or single-family or multifamily housing is planned, in an attempt to align brownfield redevelopment efforts with Vermont’s housing production goals.
- Directs the Agency of Natural Resources (ANR) to deliver a report by November 1, 2025, with suggestions to increase the speed and predictability of brownfield redevelopment by potentially decentralizing oversight.
- The Senate-passed version originally allocated $2 million from the Environmental Contingency Fund for brownfields work. In the budget conference committee, the House agreed to $1 million, specifically to support assessment, planning, and cleanup with an emphasis on housing-related redevelopment.
CHIP Gets Chipped Away at by House Ways and Means
The Community Housing Infrastructure Program (CHIP) has had quite the journey over the past five months, however, one constant for all involved was knowledge that its eventual last stop, the House Ways and Means Committee, would be its most challenging chapter.
- The Committee brought a litany of changes to the program this week, even at one point, including language to end the tax increment financing entirely.
- As of Friday at noon, the Committee has settled on a version that would seek to cap the program’s usage of increment and provide further affordability requirements.
Significant Changes from the Ways and Means Committee
- Stricter Affordable Housing Rules: “Affordable housing” must now be permanently subsidized, and small projects now qualify as “affordable housing developments” if 20% of units are affordable.
- Narrower Infrastructure Scope and Footprint: Power and telecom infrastructure are no longer eligible for CHIP funding, and CHIP only applies to the parcels where housing is built, not surrounding land.
- The Committee is wrestling with site preparation, and for now, it is still allowed; however, it may be removed in the future.
- Adding a “But For:” The program’s goal is now to support homes that wouldn’t be built but for public infrastructure funding. Language tying CHIP to affordability was removed, though lawmakers may reintroduce it.
- The CHIP Board will determine whether a project meets the “but for” standard. VEPC’s role is limited to reviewing compliance and finances.
- Program Cap: CHIP would be capped at $14 million of education tax increment.
- Project Eligibility: To qualify, at least 65% of a project’s floor area must be for housing and VEPC will define “floor area” in rule.
- Tier 2 Delay: In what could aggravate the Administration and the Rural Caucus, Tier 2 designated areas won’t be eligible for CHIP until January 1, 2028.
The Committee will resume discussion on Tuesday and finalize its version.
House Committee Looks at Extreme Temperature Regulations
Last week, the House Committee on General and Housing voted to take a short-form bill and begin the process of writing language that would establish mandatory workplace protections for Vermont employees exposed to extreme temperatures on the job.
Narrow Window: The bill sets specific temperature thresholds, 80°F for heat and 60°F for cold, at which employers must take action.
- These include creating site-specific safety plans, providing heated or shaded rest areas, scheduling breaks every two hours, allowing preventative rest periods, and conducting annual employee training on temperature-related risks.
- The bill covers all outdoor workers and work vehicles, with the goal of codifying stronger protections than those currently enforced under the federal Occupational Safety and Health Administration’s (OSHA) general duty clause.
Supporters of the bill argue it is necessary to address federal enforcement gaps and ensure workers, particularly in industries like construction and ski operations, aren’t subjected to unsafe conditions without recourse.
Opponents raised concerns about cost, administrative burden, and potential conflict with forthcoming federal OSHA heat standards, expected to be released in draft form as early as June 2025.
- They also objected to the bill’s one-size-fits-all approach, noting that Vermont’s variable terrain, seasonal climate, and workforce capacity make highly prescriptive mandates, such as site-specific plans for every jobsite, challenging to implement effectively.
What’s Next? The committee may consider amending H.348 to simplify compliance, such as allowing company-wide plans instead of site-specific ones, or pausing the bill until federal OSHA heat standards are finalized.
- Lawmakers may also consider narrowing the scope to high-risk industries, focusing first on cold protections, or referring the issue to a study committee for further development.
High-Stakes Summer for Vermont Healthcare Ahead
A new insurance rate hike, major legislative moves, and looming hospital closures are setting the stage for a high-stakes summer in Vermont for our health care system, with storm clouds beyond that on the federal front.
What’s happening: Blue Cross Blue Shield of Vermont is preparing to request a 20% premium increase, its fourth significant hike in as many years, after losing $62M in 2024. Regulators say the hike may be necessary to prevent insolvency, but not if Vermont can cut $200M in health care spending before August.
Why it matters: According to a report by Rand, Vermont’s hospitals are among the most expensive in the U.S. and are rapidly bleeding cash. Nearly half are now considered “highly vulnerable” to closure, and some may need to repurpose or reduce services to survive.
- Seven Days buried the lead – the Chair of House Healthcare told the paper that she would be forgoing health insurance due to the high cost…
What lawmakers are doing: The House and Senate are moving bills to give the Green Mountain Care Board (GMCB) and the state more tools to rein in costs and stabilize the system.
- Cuts and Reference-Based Pricing – S.126 – Requires AHS to coordinate 10% hospital spending cuts by FY26, while preserving access to essential services, adds feasibility studies for health data integration and reference-based pricing, and requires hospitals and ACOs to share contracts with regulators
- Green Mountain Care Board Authority – S.63 – Clarifies that hospital budget reviews aren’t contested cases under administrative law, updates duties in response to the sunset of the All-Payer Model, and imposes new Affordable Care organization certification fees, bill-back percentage, and revises public meeting rules
- Emergency Budget Powers – H.482 – would authorize the GMCB to reduce hospitals’ rates in cases of insurer insolvency
The bottom line: Without immediate cuts or structural reform, regulators warn Vermont is on track for higher premiums, fewer services, and more uninsured residents.
- As Rep. Lori Houghton, House Majority Leader and former Chair of House Healthcare, put it when speaking on the matter: “If we lose [Blue Cross], we’re screwed.
Opportunities to Engage with Land Use Development Regulation Processes
Act 181, passed just last year, was a seismic shift in Vermont’s signature land-use law, Act 250. While the immediate and interim effects were recognized this fall, the impacts of the future land-use mapping have started to percolate in legislative conversations this year.
Where the rubber will really meet the road is in the rulemaking and mapping activities the bill requires, which are currently underway, and it is imperative that these have positive outcomes that enable development, for the future of our state.
Here are four opportunities to get involved!
Appeals
Act 181 requires the new Land Use Review Board (LURB) to study whether Act 250 appeals should continue to be heard by the Environmental Division of the Superior Court (E-Court) or be transferred to the LURB.
Stakeholder and Public Meetings
- Already occurred – May 5, 1 pm-4 pm – Consolidation of appeals (Act 250, Municipal, ANR)
- May 12, 1 pm-4 pm – Expediting housing appeals; environmental justice considerations
- May 19 or 20 (date TBD), 1 pm-4 pm – Procedural considerations if appeals are shifted to the Land Use Review Board
- June 9, 1 pm-4 pm – Court appeal model versus Board appeal model
See the Appeals Study webpage for meeting agendas and remote meeting connection information.
Tier 3
Tier 3 areas contain critical natural resources that merit consideration and will have the most rigid and difficult path in the Act 250 permitting process.
Public Engagement Meeting
- May 22, 6 pm-8 pm – Introduction to Tier 3 and public input on resource areas to consider. Hybrid meeting:
Learn more and see maps with potential tier 3 layers on the LURB website.
Future Land Use Mapping
Since last summer, CCRPC has been conducting outreach with local officials and committees, interested community members, representatives from environmental justice populations, and more, to get feedback on the region’s future land use map and housing targets.
- You can review and provide feedback on the draft Future Land Use Map and draft Housing Targets, both of which are available for public comment through May 19
- You can register for one of two webinars to hear what CCRPC learned and how the information was used: Webinar 1: Thursday, May 29, 1:30-3:00 pm and Webinar 2: Monday, June 2, 5:30-7:00 pm
Permitted ADU and Missing-Middle Plans
The State of Vermont Seeks Bold Thinkers and Doers to Develop a Pre-Permitted Statewide Plan Set for ADUs and Missing Middle Homes for the “Homes For All – Phase 3” project Request For Proposals (RFP).
RFP Contact: Sharon Welch, ACCD Contracts & Grants Director, [email protected]
The Laundry List
Hundreds of hours of committee discussion each week culminate into our advocacy update, so not everything makes it into the overall update; however, we often cover what is left on the cutting-room floor here for our most dedicated readers.
- Read previous updates: Week 1, Week 2, Week 3, Week 4, Week 5, Week 6, Week 7, Week 8, Week 9, Week 10, Week 11, Week 12, Week 13, Week 14, Week 15, and Week 16
- Cheers! Alcohol to go can continue as passed out of the Senate Committee on Economic Development, Housing, and General Affairs in H.339 and will be on the Senate floor today.
- The House Committee on Commerce and Economic Development heard testimony on advancement towards the longstanding goal of creating a convention center in Vermont and how the task force created in S.122, the economic and workforce development bill, might assist.
- The House advanced the bipartisan tax relief package, costing the state $13 million. The bill includes an expanded child tax credit, increases the earned income tax credit from 38% to 100%, increases income thresholds for retirees receiving Social Security and other pension income, a tax exemption on military retirement, and a new tax credit for low-income veterans.
- The House Judiciary Committee amended and unanimously passed S.109, the miscellaneous judiciary bill. The bill repeals provisions and delays effective dates that would have prohibited the incarceration of public inebriates.
- The House gave final approval to S.56 this week, which studies creating the Office of the New American to assist new Vermonters in navigating services, gaining credentials, finding housing, and gaining employment. Listen to more about this via VPR.
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