Vermont Legislature SmartTranscripts:

[Robin Scheu (Chair)]: Later. I'm

[Trevor Squirrell (Clerk)]: still late. Good afternoon.

[Robin Scheu (Chair)]: This is House Appropriations Committee. It's Friday, 03/20/2026. It's about 12:50. And I'm looking at the wrong thing on my computer. We are going to have Grady with us from joint fiscal. And that means it's language time for the budget. So Grady.

[Grady Nixon (Joint Fiscal Office)]: Thank you, Madam Chair. Grady Nixon joined fiscal. So the committee should have in front of them a packet of language additions. There are a few sections where I'll defer to members of the committee to discuss them as I think they'll be better disposed to do so than I am. On page one of the document, this is, sections e 100. This would be amending the budget adjustment that, you just enacted. Finance and management flagged, that the commissioner of finance management doesn't have authority to transfer from the human services caseload reserve. So this would be just striking that transfer directive and adding in that an amount in funds equal to the deficiency shall be appropriated. This relates to, if they need to draw from the human services caseload reserve for

[Robin Scheu (Chair)]: The payment reform, the disability payment reform that we did in the budget adjustment. We gave them a couple of options. If they can't find it in their budget, this is their plan B. Okay, thank you. Everybody okay with that one? The only change is the

[Eileen Dickinson (Member)]: technical change in finance. Correct. And that

[Tiffany Bluemle (Ranking Member)]: is the authority to do it.

[Grady Nixon (Joint Fiscal Office)]: Right. Okay. On page two, this is another technical correction. So, the POM funds that were approved in the budget adjustment, there was language saying that that would be to restore the community partners to their f y 25 appropriation level, and the numbers didn't match what those were. So this is just striking that language saying that the numbers match the f y 25 appropriation level.

[Robin Scheu (Chair)]: The the dollars were we were what we wanted, but this language didn't match what we wanted. So you have to take that out. So are you okay with that? I'm going to just ask as we go along so then you know we're done with it. I think we're good on that.

[Grady Nixon (Joint Fiscal Office)]: On page three, so this relates to the fiscal year end balance carry forward, that 74.9. Because of changes in the miscellaneous tax bill, there will actually be less in FY '26 to, on the bottom line. So that number just needs to be reduced from 74.9 to 70 9.

[Robin Scheu (Chair)]: That was the 3,960,000.00 in the short in the tax miscellaneous tax bill that we saw. Gets yep. Okay. Everybody all right with that? Okay.

[Grady Nixon (Joint Fiscal Office)]: Beginning on page four, this would be a c section. This relates to changes to the allocation of the act 73 appropriation. So you'll see that in sub one, funds are being increased, and then sub three funds are being reduced. Then there's various language relating to the use of those appropriations. And this is happening in a C section because it's making amendments to appropriations in the current fiscal year.

[Robin Scheu (Chair)]: So a little background. I was part of a meeting with CFO and Legis Council and whoever did were finding that things know, after we appropriated $4,000,000 or something like that, and it wasn't very clear about where things should go, because they didn't know and we didn't know. And now that we're further along, we know where the numbers should be and we're clarifying something they can and can't do. We were concerned that there might be duplication of efforts in a couple of areas because the joint fiscal office was tagged with money and tasked with hiring a consultant to do certain things around special ed. And we didn't want it duplicated with the same money in the agency of ed. So it's things like that that got fixed to clarify what's happening. That sound okay to everybody? Great.

[Grady Nixon (Joint Fiscal Office)]: On page seven, you can disregard the transfer from the transportation infrastructure bond fund to the transportation fund that, the committee decided to keep in the t bill, that you heard this morning. So this document was printed before the committee made that decision. That transfer will happen in the t bill and won't appear in your budget. In sub b, or sorry, in sub d, you'll see language relating to the technology modernization fund. This directs that an amount equal to interest earned on that fund in FY twenty three, four, and five, estimated to be 9,500,000.0, shall be transferred to the general fund.

[Robin Scheu (Chair)]: That was our one time money on our budget for this year. So miscellaneous tax to care, the base, and then this is the one time.

[Eileen Dickinson (Member)]: Thank Thank you.

[Robin Scheu (Chair)]: So we are keeping we're getting rid of eight in this section. A, eight Or section A, or at least eight, but we're not getting rid of B?

[Grady Nixon (Joint Fiscal Office)]: Right. B is just to provide context.

[Robin Scheu (Chair)]: Okay.

[Grady Nixon (Joint Fiscal Office)]: So this will it will be in a sub d, but the sub b is the direct apps that show up in the bill. Okay. And this you can think of as also being a direct app. It just is worded differently because it's an estimated number.

[Robin Scheu (Chair)]: And so we're basically just eliminating lines five, six, and seven on that page. Correct. Okay. Thank you.

[Grady Nixon (Joint Fiscal Office)]: Section E one zero one or E 100.1, this is amending language that showed up in act 27 relating to, the ARPA suite from a couple of years ago. So ARPA funds had to be obligated by a certain date, and then they had to be expended by a certain date. Language in act one thirteen directed that those ARPA funds that weren't obligated by a certain date would then, revert and be reappropriated to existing ARPA products. And then this was reporting language back on that reestablishment of spending authority.

[Robin Scheu (Chair)]: So you want want the reporting to go out law and provision.

[Grady Nixon (Joint Fiscal Office)]: Exactly. So this would just maintain that that spending authority, report back, continues. And then in sub c, the original language required, a reversion and reserve of any funds that were left over. That and sub c actually refers to ARPA money that will be gone by that time. So they won't be able to revert it because it won't be in the state of congress.

[Robin Scheu (Chair)]: Okay. Everybody all right with that? They're being reserved, but it's not being recorded.

[Grady Nixon (Joint Fiscal Office)]: So the the money that was general fund originally, ARPA funds were appropriated, then they were reverted, and then general fund could be applied to those ARPA projects. That money, if it's not spent by 12/31/2027, would be reverted. But that subsea that's being struck there is referring to ARPA funds that stayed ARPA funds.

[Robin Scheu (Chair)]: And those had to be spent they would have to be spent before this would

[Grady Nixon (Joint Fiscal Office)]: Exactly.

[Robin Scheu (Chair)]: So what we did last year, Marty, was we put language in the budget that would allow expenditures

[Trevor Squirrell (Clerk)]: to

[Robin Scheu (Chair)]: go be because even though it has to be expended by 12/31/2026, some of the projects were going to take longer. Some of that was general fund money was going to take longer, but we wanted to give them a longer time to finish those projects, but not forever. So that's why it reverts back to the general fund. We gave them an extra year to finish up the projects that were originally ARPA's projects but used in health science.

[Trevor Squirrell (Clerk)]: Any ARPA that's left will be brought back?

[Robin Scheu (Chair)]: Right, if it's truly ARPA at the December has to go back to the federal We hope there won't be. We'll hear about that later. On

[Grady Nixon (Joint Fiscal Office)]: page 10, so this would this is taking language that was in Act 27 and just also putting it in this budget requiring a report from the agency of administration at each meeting of the joint fiscal committee in July, September, and November 2026 on any reductions to federal revenues to the state. So, this would just be requiring that report again this fiscal year.

[Robin Scheu (Chair)]: Things are still happening. Okay with that? Alright. Looks good.

[Grady Nixon (Joint Fiscal Office)]: On page 11, this would be a section e one zero five, amending the technology modernization special fund statute to specify that in the event of a negative balance in the information technology internal service fund at the end of a fiscal year, the interest from the technology modernization special fund shall be transferred to the IP internal service fund.

[Robin Scheu (Chair)]: That we sometimes call the CIT fund? So that's the mechanism for starting to bring down the deficit in that fund. Correct? So that's the $25,000,000 deficit?

[Grady Nixon (Joint Fiscal Office)]: Yes. And so this would apply prospectively, whereas the transfer language that you saw earlier would apply to interest that was earned on the fund in prior fiscal years.

[Robin Scheu (Chair)]: Pretty good with that. Okay.

[Grady Nixon (Joint Fiscal Office)]: On page 13, this is a section E106 that would amend, 32 VSA three zero seven form of budget. This would specify that the budget shall include a document outlining reversions and approved carryforward, by appropriation. You'll see that on page 14. So, this is the quote unquote carryforward report that was in a prior fiscal year budget, a session law. This would be adding it to statutes. So this, report would automatically be delivered to the general assembly each year upon delivery of budget.

[Robin Scheu (Chair)]: Alright. So we don't have to keep remembering to ask for it every year. It's just gonna be there because On

[Grady Nixon (Joint Fiscal Office)]: page 15, this would be requiring the Joint Fiscal Office to produce a number of reports relating to special funds. So in sub a, this would require the joint fiscal office in consultation with the Department of Finance and Management to provide a report with a general overview of special funds and their uses to the appropriations committees this coming December. So that report would be a broad overview just saying these special funds exist.

[Robin Scheu (Chair)]: Here's how a special fund works. It's like special funds one zero one.

[Grady Nixon (Joint Fiscal Office)]: Exactly. And then you'll see in the subdivisions that follow in subsection b, over the course of four years, there would be reports, more in-depth on, special funds that fall into particular areas of government that align with the flexion areas of government that are outlined in the budget. So the first report, would be due on 12/15/2026, and would cover general government labor, general education, commerce and community development, and transportation. The next would be 12/15/2027 and cover human services and natural resources. The next would cover protection to persons and properties and be due on 12/15/2028. And then a final report due on 12/15/2029 would cover any special funds that didn't fall within those areas of government or that were established after this report process began.

[Robin Scheu (Chair)]: Brady went through a counted number of special funds and worked to break them out so they're about equal number of special funds each year for four years. Something like 90 a year?

[Grady Nixon (Joint Fiscal Office)]: Yeah, I can't take credit for that. Emily did the math on that, but I think it would work out to between ninety and one hundred and ten for each report.

[Robin Scheu (Chair)]: Each year, over four years. So we're talking about over 400 special funds. And remember when we were talking yesterday about stuff and Trevor talked about we we did deep dives? Here we go. Stick around. Okay, people good with that?

[Eileen Dickinson (Member)]: I'm just wondering about what we're asking for detailed information.

[Grady Nixon (Joint Fiscal Office)]: Yes, so

[Eileen Dickinson (Member)]: Balances obviously and what money comes into them and how often and how part of the chain they are.

[Grady Nixon (Joint Fiscal Office)]: On page 16 in sub c, you'll see the report information shall include the authorizing statute for each fund, its state of enactment, and amend any amendments to the statute, a description of revenue sources and expenditures, including stated purposes of expenditures, the prior year, fund balance at closeout, and then any other relevant information on the general management and oversight of the funds. And those reports, we would also have the assistance of legislative council. So that amendment research will have their assistance on.

[Trevor Squirrell (Clerk)]: Now, though, is a straight data sheet. Right? I mean, you can file that has special funds to this sort of an Excel sheet.

[Grady Nixon (Joint Fiscal Office)]: Yes. So the fine Department of Finance and Management, issues, table with stock of fund year end balances. Some of them don't show up. For instance, the tech modernization fund isn't on that sheet. So it's meant to be comprehensive, but I think that the initial report would make sure that that's more fully fleshed out.

[Robin Scheu (Chair)]: And the other thing is that special fund report, and I have a copy somewhere in these piles, is in order of when they were created. So there's no logic to the carryforward. You can tell because the A's come before the D's, but in this it's like whenever. So you have to go through all 15 pages to find your report. Yeah, this would be nice to

[Tiffany Bluemle (Ranking Member)]: get this cleaned up. Or a

[Trevor Squirrell (Clerk)]: way so you could access it electronically.

[Robin Scheu (Chair)]: Well, actually, if Emily was here, she would be smiling broadly because she would like to have a searchable spreadsheet database for this. Exactly. So great minds. Yep. Okay, so I think it sounds like you're good with that one. Great. Thank you, Grady.

[Grady Nixon (Joint Fiscal Office)]: On page 17, this would be a section E-one 131 relating to the Higher Education Endowment Trust Fund. So each year, the treasurer per statute has to issue a financial report on the Higher Education Endowment Trust Fund. This language would require the office of the state treasurer to consult with the Vermont Higher Education Endowment Trust Fund Council to add some things to that annual report this coming year, including recommendations on how to change on any changes to revenue sources or expenditures from the fund and any expanded uses of the fund or adjustments to current statutory allocation structure.

[Robin Scheu (Chair)]: So this is the report language that we wanted to get given that that's the conversation we need to have for that fund here. Thank you. So I think we're good on that one. On

[Grady Nixon (Joint Fiscal Office)]: page 18, this would be adding in the statutory language relating to the mediator that was in H five forty eight. So the position will be created in a section e 100 that the committee will see on Monday. But this was the substantive language that was in that bill, that would now be carried in the budget.

[Robin Scheu (Chair)]: Pretty good with that. Okay. Thank you.

[Grady Nixon (Joint Fiscal Office)]: Beginning on page 19, this is there are a number of seconds relating to the state ethics commission. And so

[Robin Scheu (Chair)]: Just to remind you, this came from Martin when he came in to talk to us about this.

[Grady Nixon (Joint Fiscal Office)]: Right. So I believe the committee has already gone through this language with Michael Brady. Right. And so this language continues on page 23. This adds numerous sections relating to the state ethics commission, including language on the purpose of an appropriation, amendments to various effective dates, and adding state statutory language relating to the ethics handbook, and then detailing submission requirements for that handbook. Right. So the position is in here, the Yeah, and then all the other stuff goes. But that should be

[Robin Scheu (Chair)]: not a surprise. Good to that. Looks like we're fine, thank you.

[Grady Nixon (Joint Fiscal Office)]: On page 24, this would be amending three VSA one eighteen, to strike a clause that states that at the end of each fiscal year, the unobligated balance in the Secretary of State Services Fund be transferred to the General Fund. So this is the Secretary of State requested language that would just keep that unobligated balance in the fund.

[Robin Scheu (Chair)]: And that does not affect has not affected our General Fund for many years because there has been no money to transfer. So that's just kind of a cleanup. Okay.

[Grady Nixon (Joint Fiscal Office)]: Great. On page 25, this relates to directing DIVA to review implementation of family planning codes in the Medicaid program to ensure that all expenditures for family planning services and supplies that are eligible for the 90% federal match rate are receiving that enhanced rate. And then it directs DIVA to provide a progress report to HROC and JFC on or before October 1.

[Robin Scheu (Chair)]: This will help allow us bring down more federal funds. Okay. Looks like we'll do it on that.

[Grady Nixon (Joint Fiscal Office)]: On '26, this would be repealing the sunset of the UVM Medical Student Incentive Scholarship Program, AHEC. So this would be repealing the repeal of that.

[Robin Scheu (Chair)]: So we can keep going and you funded that in the budget. Correct.

[Nolan Langweil (Joint Fiscal Office)]: Okay. The record only will put this one. There's money that's there's money that could appropriate it sitting there that they're spending down. And it's in sunset, but not all the money spent yet. It's matter of limiting them money so they can finish spending with the economy. It's not it.

[Robin Scheu (Chair)]: Okay, great. Thank you.

[Grady Nixon (Joint Fiscal Office)]: On page 27 and continuing on to page 29, these are two sections that relate to HIVAIDS services program funds and harm reduction services funds. So in the governor's recommended budget or for context, this is annual language that always appears in the budget. In the governor's recommend budget, they split it out. So there's 475,000, in AIDS medication rebate special fund that goes to Vermont AIDS service and peer support organizations. And then there, in the gov rec, it's 295,000 that goes to very specifically allocated to three organizations for harm reduction services. Sure. In your budget adjustment bill, you increase that $295,000 number to 340,000. So part of what this language is doing is maintaining that $45,000 increase. You'll see that in section e three twelve point one. And then I'll defer to rep Bluemle to discuss the rest of this.

[Tiffany Bluemle (Ranking Member)]: I I actually I just I would like us to meet after this because I just want to make sure we get this right and have been told that this isn't quite right. I mean, the numbers are fine. It's just the order of certain things, the division into two parts. And so I won't have time. I apologize if spent more time on this than you ever should have had to.

[Grady Nixon (Joint Fiscal Office)]: Then I would request that the committee jump ahead to page 30.

[Robin Scheu (Chair)]: So we'll hold on this until we hear back from Tiff and Graves. Yeah. Okay. Thank you. On both of them.

[Grady Nixon (Joint Fiscal Office)]: So this language would direct the Department of Health to review previous appropriations from the Opioid Abatement Special Fund and make recommendations to the Opioid Settlement Advisory Committee and committees of jurisdiction regarding which appropriations from that have been funded through that fund could be funded in future years by the Substance Misuse Prevention Special Fund.

[Tiffany Bluemle (Ranking Member)]: It's a belt and suspender kind of thing.

[Robin Scheu (Chair)]: It's in the bill, but it also We felt it was important to

[Tiffany Bluemle (Ranking Member)]: put in the budget as well. It requires a report and those reports have gotten lost sometimes or it's asked for reports that they've gotten lost in the past.

[Robin Scheu (Chair)]: Okay. Alright with that. On

[Grady Nixon (Joint Fiscal Office)]: page 31, this is a report This is language directing Dale to examine what would be required to develop and conduct a data informed patient focused community inclusive engagement process examining the DAs and SSAs. This is language that's adapted from act 167, frequently referred to as the directive language for the Oliver Wyman report, that the Green Mountain Care Board conducted on, hospital transformation. This, language itself, is just adapted to direct Dale to look into what would be required to conduct a similar engagement process. It doesn't, direct Dale to actually begin that process. And then on page 32 in sub d, you'll see that there's language directing Dale to as part of its f y twenty seven budget adjustment presentation, include any request for an appropriation that might be necessary to hire a consultant to support the work that is described in this section.

[Robin Scheu (Chair)]: Okay, everybody. So we thought about putting in money for a report, but it felt like we would just be picking a number out of the air and not really having anything to describe. This seemed to be the more appropriate step one. We've been talking for years about doing some sort of analysis to understand how this could be done better. Now we're asking for step one. Isn't this the same as what

[Eileen Dickinson (Member)]: was on our list once before about the DA study? There was one item called the DA study.

[Robin Scheu (Chair)]: Yeah, DA study and there was money. We took the money out. So, but now this is the language to say, okay, Dale, tell us how you would go about developing a process to obtain a report and what it would cost to do that instead of throwing money in and we don't even know what the notes are.

[Tiffany Bluemle (Ranking Member)]: I'm going to ask a question. This was not recommended. Was it recommended by human services? I don't recall that from the language that

[Robin Scheu (Chair)]: is no, but it is something that a number of us in the body over many years have talked about, oh, this being a need to really look at this. It's similar to many other things that we have. Yeah. Okay. How can we operate more efficiently and effectively and serve more being honored? The usual stuff. It seems like a transformation. Yeah, the word I'm heartily tired of, but it's to understand how we can make this system work better. Since it doesn't look like it is right now. It depends on who you talk to or where you live in the state. Some are great. Some are not so great. I'm just wondering

[Tiffany Bluemle (Ranking Member)]: if it needs to include the Department of Mental Health and the Vermont Department of Health. Given that those are two funding sources for their services. Yes.

[Grady Nixon (Joint Fiscal Office)]: So add into the language in consultation with the Department of Mental Health and Department of Health, just the Department of Health?

[Robin Scheu (Chair)]: We need mental health. That's a big part of what they do.

[Grady Nixon (Joint Fiscal Office)]: Okay, so I'll add that to the language in the appropriate places.

[Robin Scheu (Chair)]: And yeah, and Dave and Tip as the two most closest to this, Feel free to read this, and if there's any other suggestions you have, Thank Brady know you. Yep. Thanks. Okay.

[Grady Nixon (Joint Fiscal Office)]: On page 33, this is language directing the agency of human services to monthly report to the joint justice oversight committee on its plan to develop the Green Mountain Youth Campus. And then in sub b, it directs the departments for children and families and the department for buildings and general services to not expend funds for further development of that campus until the chairs of relevant and standing committees approve a written analysis required by subsection a of this section.

[Robin Scheu (Chair)]: If that's a question.

[Tiffany Bluemle (Ranking Member)]: I'll I wanna talk with you about this because this comes from we heard back from the legislative council. And I don't have it right in front of me, but there I think 41 beds is not the correct number. I think it's 14 for that one facility. But I think that there was a concern that Katie McGlynn expressed. I'm just not sure if this reflects a resolution of that. I asked Chairs Emmons and Wood to just resolve it and get back to you.

[Grady Nixon (Joint Fiscal Office)]: Is the most recent language I received on this. So, yeah, we can touch base about this as well afterward. Great. Thanks.

[Trevor Squirrell (Clerk)]: Nobody's trying to slow down the project. Right?

[Tiffany Bluemle (Ranking Member)]: One information before we're then presented a budget for a facility that they've already entered into a contract for. Because that's what has been happening with these high end secure youth facilities, is that they've come into the budget adjustment, and they've already signed a contract, but then want the money for it, and it's not part of the budget presentation.

[Robin Scheu (Chair)]: We're talking for the horse and we want the horse to get rich.

[Trevor Squirrell (Clerk)]: I like that too. Yeah. Okay, thanks. Unless you're plowing heavy snow like we did in the oldest. Well,

[Robin Scheu (Chair)]: have a little cellar right here. Okay.

[Grady Nixon (Joint Fiscal Office)]: On page 34, this is a report from the Department for Children and Families to the Appropriations Committees and the House Committee on Human Services and the Senate Committee on Health and Welfare on an actionable phased plan that estimates the amount needed to remove the rateable reduction in the reach up program. This same language was in act 49 of 2023, so this would just be requiring that report again.

[Robin Scheu (Chair)]: So updating. Yes. And it's supposed to be every five years. So this is the time to do it. Everybody okay with that? Okay. Thank you.

[Grady Nixon (Joint Fiscal Office)]: On page 35, this is language directing the agency of education to include specific information in its fiscal year twenty twenty seven budget adjustment and fiscal year twenty twenty eight budget presentations.

[Robin Scheu (Chair)]: I'm going to pause you there to remind people that the Agency of Education wanted to combine two numbers, five hundred and five zero one. Sounds like it's not a big deal, but it kind of is because it's harder to see things when two large pieces of the budget get combined. And I talked with JFO about, do we actually want to do this? Do we want to separate it? They did the budget based on this, and asked them to separate it into two budgets at the eleventh hour seemed like a lot of excessive work, but we still want to note stuff. So we continue to do this stuff.

[Grady Nixon (Joint Fiscal Office)]: Yeah, so this would direct AOE in both of those presentations to include a comprehensive account of FY twenty seven appropriations, including information on amounts expended or obligated at the time of presentation submission. An account of anticipated FY twenty seven carry forward, including information on the reasons for expenditure being lower than anticipated. Information on all third party contract agreements that the agency entered into in FY twenty seven. Organizational charts reflecting the current structure of the agency in each division within it. A written explanation of any changes to the agency's organizational structure and personnel. A comprehensive account of any vacancies within the agency, including information on the duration of each position vacancy and any recommendations for the elimination or redesignation of positions. And information on any changes to federal funding, rules, or policy that may affect the agency, and any actions that the agency has taken or may take to address those changes.

[Robin Scheu (Chair)]: Yep. Heard you hear that, John?

[Grady Nixon (Joint Fiscal Office)]: I've spoken about that.

[Robin Scheu (Chair)]: You've spoken that too. I think they're really relieved not to have to try to untangle the And

[Trevor Squirrell (Clerk)]: I sent you information a lot

[Nolan Langweil (Joint Fiscal Office)]: about Yeah.

[Trevor Squirrell (Clerk)]: This is what we're going do to account for everything. Right. So,

[Robin Scheu (Chair)]: this will give us a handle on what's really happening.

[Trevor Squirrell (Clerk)]: Yeah.

[Robin Scheu (Chair)]: So they are combining. They combining. They did that in their budget presentation, which was a surprise to us. And so rather than ask them to do two separate budgets, as they're also reconfiguring the entire agency, we said we'd really like to understand this a lot better than you just getting us some

[David Yacovone (Member)]: big numbers from us here.

[Trevor Squirrell (Clerk)]: Was meeting with them on Wednesday to get that clarified.

[Robin Scheu (Chair)]: Exactly. Thank you, Greed.

[Grady Nixon (Joint Fiscal Office)]: Beginning on page 36, there are a number of sections relating to changes to adult education law. So I'll defer to the committee on these sections. They continue on to page 38. But we believe this was the negotiated and agreed upon language to make the necessary changes to adult education.

[Robin Scheu (Chair)]: Lynn, we changed your use of self education, find things that switched them around a couple of years ago. Is this the continuation of that process? We think this is the last time. It's been six years we have worked on this, and I want to be sure this is the right language? I'm getting the nod. Okay, May we never see this again. Every year we think we have it, and every year there's something else. So fingers crossed Grady will not be coming back next year with some other It sets out,

[Eileen Dickinson (Member)]: I just want to explain. It sets out two different formulas. We will use one formula for two years because we're in the middle. We've started a three year cycle and there are two years left. And then it will go to a different formula, very similar, but a different formula for subsequent years beyond that. And it's formula which allows a certain fixed amount to every county, dollars 80,000. And then the balance of the, what else? The balance of what's left then is divided in the first two years, that balance is divided, 85% of that balance goes to the counties based upon their number of students previous of the last two years average and 15% goes to the amount of instructional hours that have been provided. After those two years go by then it's the $80,000 base and the balance is 100% based on student numbers. And each so each county has a calculation of what's available and then whichever provider serves that particular county and then those providers are decided by the agency of education they have a competitive way of doing that. Then the provider that covers that county gets that amount of money to offer their services. Oh, six times the charm. The total amount is not here, the total amount is determined by this other formula that's mentioned something about 26%. There's a base amount that's from 2005 that they calculate all of the inflationary numbers to that and they come up with a number for a student, which is not the same as what would be the base amount in the future foundation formula, it's a different number. And 26% of that amount is the amount that goes to each student. So they take the same wide number of students, access amount and they come up with this total amount that's approximately $6,000,000 and that is paid for partially by the general and partially by the education fund. And then this is how they separate out that 6,000,000.

[Robin Scheu (Chair)]: Probably spent more on this topic than we spend in the budget. I know you have this year, and we've got other people over the years. So thank you, everybody, who's been involved in that. Okay,

[Grady Nixon (Joint Fiscal Office)]: great. On page 39, so this would be two sections amending Act 11, all the way back from 2018. And I'll defer to Rep Squirrell on this.

[Nolan Langweil (Joint Fiscal Office)]: Photos. All the books.

[Robin Scheu (Chair)]: Our special section. Remember that special.

[Trevor Squirrell (Clerk)]: I'm trying to remember. This is part of this is the VW settlement, the admissions issue. And there were certain dates, I think it's '27, 10/02/2027, have to use all this money or the money gets returned wherever it goes. I'm not sure where it goes. And it's for EV light diesel trucks conversion or that shift, and what the department is concerned that they're not going to be able to do that. So they're asking to expand the conversion. It's a conversion within the diesel sphere, right? Burning diesel here, but burning diesel here is cleaner and more emissions free. I ran this by house environment and house energy, and they both came with this change.

[Robin Scheu (Chair)]: So we're expanding who can participate in getting the funds? Yeah.

[Trevor Squirrell (Clerk)]: So that they utilized funds without having to reach out within

[David Yacovone (Member)]: the time frame.

[Robin Scheu (Chair)]: Okay, so there were more constraints on it at the time. They were basically removing the constraints so that more detailed things Make it easier

[David Yacovone (Member)]: for them to do. To spend the money. Are

[Robin Scheu (Chair)]: you okay with that? We're not the ones who have to explain it. Go ahead, Randy. I want to

[Trevor Squirrell (Clerk)]: go back to another previous section.

[Robin Scheu (Chair)]: Let's finish this, and then we'll go back. I have something else I want to add for grading. Okay, so where are we now?

[Grady Nixon (Joint Fiscal Office)]: On the final page of the document, page 41.

[Robin Scheu (Chair)]: So

[Grady Nixon (Joint Fiscal Office)]: the governor's recommended budget included a section e nine twenty three, with language that said that the transportation fund shall be composed of all interest earned by the funds. The, fund itself and funds within the fund and how interest is treated is a bit more complicated, than what that language addressed. So the joint fiscal office and AOT and, the Department of Finance and Management worked together to just update this. It's a technical change to accomplish what that language in the budget intended, which is just to ensure that all interest earned upon the nondedicated component of the transportation fund remains in the fund, without interfering with how any of the other stuff there works. So this was Okay. The consensus agreed upon language after making sure that this worked on the technical level.

[Robin Scheu (Chair)]: Chris, did you wanna add something?

[Trevor Squirrell (Clerk)]: Sure. Chris, we're doing fiscal. I also just wanna flag to the committee that you may wanna make this provision. Should you agree to do it? Make it effective fiscal twenty eight because the current year budget construct does not assume the general fund is losing its interest in FY '27.

[Chris (Joint Fiscal Office)]: It's to the tune of about $1,000,000 so if you get this effective next

[Robin Scheu (Chair)]: year That would be a good thing.

[Chris (Joint Fiscal Office)]: Yeah. It would a good And we talked to finance management and that call that Brady mentioned a couple of weeks ago. And I think all parties agree that the cleanest path forward with data management is effective for fiscal twenty eighteen. Okay.

[Robin Scheu (Chair)]: So you can add language to that?

[Grady Nixon (Joint Fiscal Office)]: Yes, that's in the effective date section.

[Robin Scheu (Chair)]: Oh, Okay. Those effective dates have become really important, don't they? Okay. I have one thing to ask you about that isn't in here that I think we might need to add. And Wayne had a question about something. What page number, Wayne? 24. '24? Okay.

[Wayne Laroche (Member)]: At the end of each fiscal year, the unobtained balance of the fund has been struck out. This gives the Secretary of State to top launch ability to use those funds. You could hire staff or do whatever those funds. Is that correct?

[Grady Nixon (Joint Fiscal Office)]: I would have to review and get back to you. I don't I would have to review the statute. The as the chair mentioned, this transfer hasn't occurred in recent years, but the money hasn't existed for that. I understand that they may have made some request and and use that money for IT upgrade. So there's money there, but they were allowed to use it for something else. I can look into it and get back to you.

[Robin Scheu (Chair)]: Okay. Eileen?

[Eileen Dickinson (Member)]: Thank you.

[Robin Scheu (Chair)]: Are we expecting more language? There's some stuff that we talked about this morning that should have language. Specifically the back bill is applied six zero seven uh-huh there's been seven H and the positions Right. Are you getting this information, Grady, as we're passing bills out?

[Grady Nixon (Joint Fiscal Office)]: Yes. So if I may, we have a list of language from a few other bills. So specifically five fifty eight and nine thirty eight and some other language that's floating out there. So we'll be back later on. There's also a couple other JFO drafted things that we'll need to show the committee later on. And then language relating to positions and one time appropriations. The committee typically, on Monday, when you review the bill, JFO works over the weekend to put those together to reach Right. To we're carrying those on the spreadsheets right now, and then we'll actually have the bill language for it done over the weekend.

[Robin Scheu (Chair)]: Yeah. Great. I wonder if, Dave, you've got the same thing I was gonna mention, so you go ahead.

[David Yacovone (Member)]: I don't know what you're gonna mention, but I had three things.

[Robin Scheu (Chair)]: Okay. One,

[David Yacovone (Member)]: back on the AHEC language. Maybe, Grady, maybe you could do this, or I could find Jen or I could take a hack at it. The rule free clinics, I'm sorry, yes. Physicians volunteer at the rural free healthcare clinic, which we have in the budget this year.

[Robin Scheu (Chair)]: Free and reduced? You. Great referral clinics, yes, And here in the

[David Yacovone (Member)]: I was talking to them about making it a requirement that if I'm the recipient of an AHEC free lung, I volunteer three hours a month at the Rural Free Clinic.

[Robin Scheu (Chair)]: Okay, that sounds like a great idea. Has anybody taken testimony on that?

[David Yacovone (Member)]: Just me.

[Robin Scheu (Chair)]: Yeah. So I think that would be a good thing for somebody to talk about next year. I don't I don't wanna make big policy changes. Mean, I think it's a great idea. Yes. And I think that we ought to I'll do it. I'll do that. A great day.

[David Yacovone (Member)]: The second thing is I didn't see it here, Grady, and I was checking my sent email to find it, I haven't yet. House Human Services requested a budget change in choices for care that would separate the nursing home and the home and community base so that they were two parts of the budget. Their concern is that they do not believe there's going to be a lot further of nursing home reductions to fund them, but instead that the nursing homes that need help, like through extraordinary financial relief, gonna be doing it at the expense of community based services. I think she believes that by separating them, it's separate appropriation and

[Robin Scheu (Chair)]: Right, and I had that on my list too, and I have the language for that, she just sent me that was in the committee, I just forwarded that to you, Grady. It's a very short one, I don't know if you've got longer stuff.

[Nolan Langweil (Joint Fiscal Office)]: This is

[Tiffany Bluemle (Ranking Member)]: just this piece that relates to that.

[Robin Scheu (Chair)]: So Sorry.

[David Yacovone (Member)]: Articulate. Yeah.

[Robin Scheu (Chair)]: No. That's great. And better that we all Okay. That's on the radar. It will now be on the radar.

[David Yacovone (Member)]: It will now be.

[Robin Scheu (Chair)]: I've sent it Grady.

[David Yacovone (Member)]: And third, Grady, if you don't mind, is Emily here? I just wanted to ask Emily a question. No, it's not like trivia, you have to cover it. One of the providers that we're allocating dollars to in this year's budget, wants to be very, very, very clear of where those expenditures are going to go in the Medicaid program, where they get charged to. Grady's thought, a good thought, but was saying, Dave, we can put this in the web report, in the notes section. My question is, will that have the force of law? It's not in the in any bill. It's a secondary helpful document, but I'm not sure it's part of the statutes.

[Robin Scheu (Chair)]: It does not have the force of law, but it does speak to legislative intent, which does not, I'm not a lawyer. No, normally to impersonate them. Yeah. So this is not explicit in law and it does give the agency instructions on how to kind of like what your intent is.

[David Yacovone (Member)]: Does that work for you? Have we found in the past, like they would blow us off and never follow that?

[Robin Scheu (Chair)]: They usually follow.

[David Yacovone (Member)]: They usually do. I'd feel more comfortable if it was in the big bill language. It's just me being worried. I'm not trying to disparage anybody in state government or anything like that.

[Robin Scheu (Chair)]: Why don't we look at it? We'll fight the election.

[David Yacovone (Member)]: Thank you. Thanks, Chris. Is that okay?

[Trevor Squirrell (Clerk)]: I believe I did say

[Grady Nixon (Joint Fiscal Office)]: rep Yacovone, though, not not Dave.

[Trevor Squirrell (Clerk)]: Oh, that's fair.

[Robin Scheu (Chair)]: It's nice.

[Nolan Langweil (Joint Fiscal Office)]: I'm sorry. I was falling behind when we got to

[Trevor Squirrell (Clerk)]: this Technology Modernization Special Fund section, where we would be transferring interest to shortfalls in the Information Technology Internal Service Fund. This is the fund that we're taking the excess interest from. And every I thought the rest of

[Robin Scheu (Chair)]: the dollars in here were committed.

[Eileen Dickinson (Member)]: However, they're not extended yet.

[Trevor Squirrell (Clerk)]: So we might have a small

[Eileen Dickinson (Member)]: amount amounts. It's still sitting there and earning interest. I presume that's what would go to the deficit. Okay, thank you. I think it's probably a fairly sizable amount. It's encumbered, but it's not gone out the door yet. So it's still sitting in the bank draining it.

[Robin Scheu (Chair)]: Was multitasking on several other language things, I have no idea what that was, but if everybody's happy I'll be happy. How's that? You got yours for today. Any other language things that we're missing? We got a couple of things to follow-up. Should we go over the governor's language?

[Grady Nixon (Joint Fiscal Office)]: Sounds great.

[Robin Scheu (Chair)]: Yeah, let's just And then we can get And then we'll take a break, and Tip can talk to you, and Bluemle sees you talk to you, and that'll give me a chance to look at what I need to do agenda because we have more bills and things like that. So everybody should have a copy somewhere Way back when.

[Grady Nixon (Joint Fiscal Office)]: Was posted on the committee page on February 3. That's helpful for anyone looking for the electronic copy.

[Trevor Squirrell (Clerk)]: He's out. I'm gonna submit it, Grady, just so

[David Yacovone (Member)]: we can grab the hard copy of

[Trevor Squirrell (Clerk)]: the Mhmm. Else.

[Robin Scheu (Chair)]: Only that all the green because you can't read the green stuff. It's page one of 66, right? Correct. I found it.

[Grady Nixon (Joint Fiscal Office)]: And the committee, I think, once you all have it in front of you, ahead to page six.

[Trevor Squirrell (Clerk)]: We'll pass that along. Got the original one in green. Yeah. I'm good. One in a million. Yeah. Yeah. Just can I can I ask just the location of the trial copy here? Yeah.

[Robin Scheu (Chair)]: I'm sorry. I just got off.

[Grady Nixon (Joint Fiscal Office)]: I just emailed the link to the

[Trevor Squirrell (Clerk)]: yeah. Because it's it's us.

[Robin Scheu (Chair)]: Do you think we could be done by 02:15 on this language? Depends on how many questions everybody has.

[Grady Nixon (Joint Fiscal Office)]: I would say, I believe in this group.

[Robin Scheu (Chair)]: Let's push everybody back fifteen minutes. If we're down to two minutes before then we get a break before we're doing a couple more bills, and then we're gonna go bills after that, and I've got to get that organized. Okay.

[Trevor Squirrell (Clerk)]: So I'm just now finding that and it's so the one that you just posted for today is January 1, February 1?

[Robin Scheu (Chair)]: Yeah, have a free post.

[Trevor Squirrell (Clerk)]: Thank you.

[Robin Scheu (Chair)]: February 3, February 2? Oh, it says second or March.

[Trevor Squirrell (Clerk)]: Or is it second? It was posted on the third.

[Robin Scheu (Chair)]: Oh, cute. Okay. It's like one of one of. Right. That's what I got. Okay. Alright. Let's go, Brady.

[Grady Nixon (Joint Fiscal Office)]: Great. So on page six, you'll see the section b 1,100. This is the one time appropriation section, so this is what the governor recommended. The first is 110,000 to the agency of administration for the office of racial equity to include the an additional year of funding for the inclusion, diversity, equity, action, leadership, Vermont program, ideal Vermont. The second is also to AOA 900,000 to complete the work of the truth and reconciliation commission.

[Robin Scheu (Chair)]: Ends this December, I think, something. So that's gonna be the last of that. Okay.

[Grady Nixon (Joint Fiscal Office)]: Then, to DIVA, 300,000 general fund and 2,700,000.0 federal funds for information technology updates resulting from HR one.

[Robin Scheu (Chair)]: And

[Grady Nixon (Joint Fiscal Office)]: 2,000,000 to diva for provider stabilization grants. In sub c, sub one, this is 15,000,000. This intersects with, h nine thirty eight, I believe so. The one time appropriation relating to emergency housing change in the final version of the committee bill.

[Robin Scheu (Chair)]: Right. That whole section is gonna be different. Correct. Are we keeping to 4,000,000 for a temporary care treatment facility for you, and then we just have that language?

[Grady Nixon (Joint Fiscal Office)]: I believe the budget, the final one times will align with what is in ninethirty eight.

[Robin Scheu (Chair)]: Okay, great. So we're not going to look at that one for right now.

[Grady Nixon (Joint Fiscal Office)]: Sub D, sub one, this is 15,000,000 education endowment trust funds to UVM for the multipurpose sector project.

[Robin Scheu (Chair)]: And I think we're gonna sneak that out. And we have a report coming from the Higher Ed Trust Fund on how to do things. We have that bigger issue of lots of people requesting things for school construction, for this, that, the other thing. Rather than do that, let's have a report from the board on how it should be used in other places. This is a huge, huge policy without any of the material testimony testimony.

[Trevor Squirrell (Clerk)]: What I was going to ask was that this was the request that it had no what I remember from the initial preponderance supposed to be that it required policy change in terms of what the collection is used for. And nothing was ever presented to us.

[Robin Scheu (Chair)]: That's right. And in fact, the committee letters who were related to it said that they did not concur with it. So the other committees So I'd like to take that out and we have a report, and then we'll have a better sense of how that fund might be used differently in future years, but not this year.

[Trevor Squirrell (Clerk)]: So that trust fund will see its weekly, what do they call it, the windfall? Yeah. So that will be allowed to

[Robin Scheu (Chair)]: grow and then here there'll be a report I mean before we start back I think it's the report that's due in December that doesn't need language but then we'll have recommendations on how it can be

[Grady Nixon (Joint Fiscal Office)]: used Yeah. The report, I think, statutorily requires by September. So it'll be well in advance of the coming legislative session that you'll have that information.

[Robin Scheu (Chair)]: Thank you.

[Grady Nixon (Joint Fiscal Office)]: In sub e on page eight, this is $500,000 to the department of forest parks and recreation for VORUC.

[Robin Scheu (Chair)]: VORUC? Okay. Okay. Think we're okay on that one.

[Grady Nixon (Joint Fiscal Office)]: In sub f, there's an appropriation to the Department of Housing and Community Development, $800,000 for the manufactured home improvement and repair program.

[Robin Scheu (Chair)]: This will be oversubscribed. So that that's that is cute.

[Grady Nixon (Joint Fiscal Office)]: Then in sub g, an appropriation to the Department of Economic Development of a $150,000 to maintain the current contract with Canadian International Economic Development Partnership to provide in market services to Montreal based businesses seeking to expand into Vermont.

[Robin Scheu (Chair)]: So on that one, Tom, House Commerce talked about using some of that I thought for doing an Asian office. I

[Thomas Stevens (Member)]: just recall that this was a two year contract. And as compared to last year where they were asking for money that was for a larger Last year, there was an ask for a larger amount of money to be broader in the economic development. But this the way that they illustrated this or not illustrated, but the way that they described this was basically, you know, the least they felt like without without ruining any momentum that we have with Montreal or with Canada during these tense times between the countries

[Robin Scheu (Chair)]: They'll be good to keep it.

[Thomas Stevens (Member)]: Yeah.

[Robin Scheu (Chair)]: Okay. So actually, I found this committee letter and I had the numbers but not the rate. So keeping the 150, the comment was they supported utilizing reversion dollars from Department of Labor for 75,000 to establish another office in Southeast Asia. I just don't think we've spent any time doing that at this point. So it's something to work on for next year. Okay. So we'll keep that the way it is.

[Grady Nixon (Joint Fiscal Office)]: And the final one time appropriation is to the Agency of Transportation, 1,300,000.0 for the relocation of the Central Garage to the Pain Turnpike in Berlin.

[Robin Scheu (Chair)]: Didn't you have a bunch of adjustments, dude? Or is this it? I feel like I've seen it three times, but I wasn't it in

[Eileen Dickinson (Member)]: my detail this morning?

[Robin Scheu (Chair)]: I think before today, I thought. Or maybe it was because we went over this way back in February, I'm thinking it's something else. Okay.

[Grady Nixon (Joint Fiscal Office)]: All right. And then to representative Feltus' point there, those two one time appropriations that are in the transportation bill that the committee won't be taking into this budget.

[Robin Scheu (Chair)]: I will see the t bill. Okay. So that's that section.

[Grady Nixon (Joint Fiscal Office)]: Skipping to page 10. On the bottom of page nine, you'll see the section heading. This is d 100 property transfer tax allocations. So these are just reflective of the allocation per the January census revenue forecast. Standard would be what we do. Correct. Beginning on page 12, D101 fund transfers. I'll just skip over this section if that's okay with the committee. I think that Emily's spreadsheets deal with the fund transfers better than going through the language would.

[Robin Scheu (Chair)]: But we are gonna eliminate, the no. I guess we're not. Never mind. We'll skip it.

[Grady Nixon (Joint Fiscal Office)]: And this is the section where that interest from tech modernization fund will be slotted into the committee saw earlier. Yep. On page sixteen and seventeen, this is the reversion section. Again, I would ask the committee to just skip over this. I believe Emily's spreadsheets can deal with that better. This will just change and be updated anything that committee determines.

[Trevor Squirrell (Clerk)]: Grading on the property transfer tax specifically to footnote the explanation it just says that the January census revenue forecast estimated total annual property transfer tax received $82,000,000. Does that get updated, or is this because these numbers are based on that estimate? Is there a final number?

[Grady Nixon (Joint Fiscal Office)]: So the entire budget is based on the January forecast. And then things may change, pending the July forecast and then the January those changes would be addressed in the budget adjustment if necessary. But, this is based off the January forecast, which is what, the budget itself is based off as well.

[Trevor Squirrell (Clerk)]: That is close date of the the year that property transfer tax. I always felt like it was like they got their number that they worked on the budget in October or something like that or October, November, or December number. Is that more accurate numbers? I'm fine with this. I'm all fine with this. I'm just curious if 82,000,000 is very round number.

[Grady Nixon (Joint Fiscal Office)]: I would have to touch base with Ted Barnett on that and get back to

[Trevor Squirrell (Clerk)]: you. But

[Grady Nixon (Joint Fiscal Office)]: I believe that this is the most current estimate that they have. Great. Thank you.

[Robin Scheu (Chair)]: Okay. So where are we now?

[Grady Nixon (Joint Fiscal Office)]: I believe we can go to page 18. Again, is the third section I would ask the committee to skip. This is the reserve section. Except for the 30,000,000 that's So being

[Robin Scheu (Chair)]: Well, actually we did a 50,000,000, a 30,000,000, and a 30,000,000. And the second 30,000,000 was included a bunch of things. It wasn't federal funds related only. And the governor is choosing to unreserve that to buy down property taxes.

[Grady Nixon (Joint Fiscal Office)]: Exactly correct.

[Robin Scheu (Chair)]: We'll hold off on that whole section for the moment. Is that what you're saying? Or are we all right to Right. The other thing that will change based on the end of the budget. Yeah.

[Grady Nixon (Joint Fiscal Office)]: These three sections are carried and dealt with in Emily's spreadsheets, and so we update the numbers there. So you'll see in the reserve section, for instance, that 30,000,000 is unreserved. That's the only thing that really is significantly different from the language, that's typically here. And then that 30,000,000 that's unreserved appears in that transfer from the general fund to the education fund in the transfer section, as part of that larger, $100,000,000 number. That's the 7,000,000 balance carried forward and then this unreserved money.

[Trevor Squirrell (Clerk)]: Yeah.

[Grady Nixon (Joint Fiscal Office)]: Section e one zero six on page 19 and continuing on to page 20. This proposes to transfer any estate tax revenue exceeding 125% of the July forecast to the general fund and transportation balance reserve. Sorry.

[Robin Scheu (Chair)]: The reserve?

[Grady Nixon (Joint Fiscal Office)]: This relates to proposed changes currently a 100 receipts in excess of a 125% go to the higher education endowment trust fund. There are multiple sections in the governor recommendation, proposing to move that. So this is part of that piece just reflecting that movement of the estate tax. So this is not directing it to the balance reserves. This is just a statutory change relating to where, the gov rec proposes to move those excess the receipts in excess of 125.

[Robin Scheu (Chair)]: So this is still messing with the higher education trust fund?

[Grady Nixon (Joint Fiscal Office)]: Yes.

[Robin Scheu (Chair)]: If we're not doing I don't know that I want to do any of these until we get the report back.

[Grady Nixon (Joint Fiscal Office)]: So the committee would strike this? I would strike that. Section e one thirty three, this relates to, the Vermont State Employees Retirement System and VPIC. So, given the committee's decisions from earlier this morning, this number, would change slightly to reflect that addition of the position. So there are three sections that deal with each, pension, each retirement system's contribution to VPIC. This is one section that would the numbers would change just to reflect the committee's decision earlier today. The same with section e one thirty four, it would it's the same language, but for the municipal retirement system. Section E 139, this is annual language that relates to grand list litigation assistance, but this would be moving it, to the pilot special fund, which would align with, the budget adjustment.

[Robin Scheu (Chair)]: And removing the 9,000 transfer to the attorney general. So they're getting $9,000 less?

[Grady Nixon (Joint Fiscal Office)]: I would have to get back to the committee on that. I don't believe so. I think it's just disaggregating the transfer, so that it's this is pilot. And

[Robin Scheu (Chair)]: Yeah. I mean, that makes sense for that to be in pilot.

[Trevor Squirrell (Clerk)]: So Yeah.

[Grady Nixon (Joint Fiscal Office)]: Section e one forty two on page 22, this is standard language that clarifies that payments are in addition to and separate from the correction facility, pilot payments. Section E 142.1, this is striking education fund and inserting pilot special fund relating to the changing the fund of the funding source for the Lister and Assessor education in section b one thirty nine, moving that from education fund to pilot special fund.

[Trevor Squirrell (Clerk)]: I seem to remember that we just got a letter from BLCT on this without I don't know if it's saying I'd have to look it up to see if it was opposing this. Probably. Yeah. Yeah. And where does this come out of? Ways and leaves. Ways leaves.

[Eileen Dickinson (Member)]: The theory is that it's the listers give us the base for figuring out property taxes and it should come out of the out of funds because then the money goes back to communities as well.

[Trevor Squirrell (Clerk)]: Right. Okay. And it's just funded by the Local ops. Yes.

[Robin Scheu (Chair)]: Okay. So municipalities and okay. All right. So I think we're okay with that. Okay. 142.2.

[Grady Nixon (Joint Fiscal Office)]: Section E 142.2 adds authorized uses to the pilot fund, including the lister and assessor education that you saw in the previous section, the reappraisal and listing assistance that you saw in a prior section as well, and the parcel old payment for equalization. So this aligns statute with those previous pilot changes that you saw.

[Robin Scheu (Chair)]: There we are. Okay. Yep.

[Grady Nixon (Joint Fiscal Office)]: And then E142.3 is the final part of that. So you saw the two uses. This is the third use.

[Robin Scheu (Chair)]: And this was in the budget adjustment as well.

[Grady Nixon (Joint Fiscal Office)]: The grant list, Yes,

[Robin Scheu (Chair)]: so that's already agreed to do that.

[Grady Nixon (Joint Fiscal Office)]: E142.4, this, changes the funding source for the equalization study payments to the pilot fund. So another pilot piece here. And then e one forty four, this is standard language relating to the pilot payments for correctional facilities. E 200, this is annual language authorizing the attorney general to retain one half of the state share of any recoveries from Medicaid fraud settlements, excluding interest.

[Robin Scheu (Chair)]: And she came in and talked about that.

[Grady Nixon (Joint Fiscal Office)]: E two zero eight, this is annual language authorizing the contract with the Essex County Sheriff's Department.

[Robin Scheu (Chair)]: I think that we have to do that, but here we are. Okay.

[Grady Nixon (Joint Fiscal Office)]: E two zero nine, this is standard language relating to the Department of Public Safety specifying certain parts of funds appropriated to them, the purposes of those funds.

[Robin Scheu (Chair)]: I think there's the same amount pretty much every year. I think so. Yeah. Okay. You're okay with that one?

[Grady Nixon (Joint Fiscal Office)]: Section e two zero nine point one is the establishment of the Vermont State Police Radio Equipment Replacement Special Fund. So given the timing of the replacement of the that equipment, this would, allow for a fund that is administered by the Department of Public Safety, so that they have access to money for that equipment replacement that more aligns with, the necessary replacement cycle.

[Robin Scheu (Chair)]: In a new special fund that somebody gets to study next year.

[Grady Nixon (Joint Fiscal Office)]: I believe this one will be studied in 2029.

[Robin Scheu (Chair)]: Okay.

[Eileen Dickinson (Member)]: Intent is to put in $500,000 a year for ten years so that then you will have $5,000,000 and replace all the radios at once, and then you'd probably do it again. Variation of the twenty three point five seven. Exactly. Exactly. It's the same head.

[Trevor Squirrell (Clerk)]: Never can tell that AI headphones that I want there.

[Robin Scheu (Chair)]: You have your own special sound wave.

[Nolan Langweil (Joint Fiscal Office)]: What would you say to

[Trevor Squirrell (Clerk)]: me so it may have altered on your sports communication. Yes,

[Eileen Dickinson (Member)]: yes and that's been put there. Mean it's been. Okay.

[Grady Nixon (Joint Fiscal Office)]: Each two twelve is standard language. This is $55,000 for a grant to the Vermont Rural Fire Protection Task Force for the design of dry high turns.

[Robin Scheu (Chair)]: And that same amount forever. Yep.

[Grady Nixon (Joint Fiscal Office)]: E215 is standard language relating to the VSAC, Vermont National Guard Tuition Benefit Program.

[Robin Scheu (Chair)]: Yes, and that's fine, and we'll see what they do this for next year, Wayne, because we especially with so many deployments.

[Trevor Squirrell (Clerk)]: We've been giving the money back.

[Robin Scheu (Chair)]: Yes, we've been getting reversions because they haven't used all the money.

[Trevor Squirrell (Clerk)]: Depends on how many people are deployed at time when they send back. Sure. Yep.

[Grady Nixon (Joint Fiscal Office)]: E two seventeen is the first of a number of position pool sections that you'll see. So the governor recommended budget, includes language relating to, the establishment of positions, from the position pool that I believe commissioner Gresham spoke to the committee about some time ago. This section would also specify that 442,000, federal funds in section b two seventeen comprise the 75% federal share for these pool positions, which are four maintenance specialists twos, one military building con construction specialist, and one military storekeeper.

[Robin Scheu (Chair)]: David, all that? It's $75.25 on.

[Grady Nixon (Joint Fiscal Office)]: And e two eighteen is where you'll see the the 25 state chair for that. E two nineteen on page 31, is language relating to various honors programs and advisory councils. It's specifying the amounts for these programs. So you'll see 1,000 for the medal program, 2,000 for the governor's Veterans Advisory Council, 7,500 for the Veterans Day Parade, and 10,000 to American Legion for the Green Mountain Boys State and Green Mountain Girls State programs, and 10,000 for the USS Vermont support group.

[Trevor Squirrell (Clerk)]: If you remember last year, The US put some in there and put it in. Yeah.

[Robin Scheu (Chair)]: Okay, we'll sign with that.

[Grady Nixon (Joint Fiscal Office)]: E2222 is another pool position section, so this is specifying that 95,000 general fund, 27,000 special funds, and 13,000 federal funds shall be for a permanent classified administrative services manager three position, at the agency of agriculture, food and markets.

[Robin Scheu (Chair)]: Okay there.

[Grady Nixon (Joint Fiscal Office)]: E232 specifies that 1,300,000.0 general fund appropriated to the Secretary of State before the Vermont Access Network.

[Robin Scheu (Chair)]: Is that base?

[Grady Nixon (Joint Fiscal Office)]: Yes, it's appropriated in the base.

[Robin Scheu (Chair)]: Are we going to change that number with what we've done in the other budget? So that number will change. It's in our budget. We've got five. Yeah. It's $4.50 for this and then the 90 for the other. So this this will change to 1.8 I think and then there'll be the 90. Oh, okay. That number will change. Okay.

[Grady Nixon (Joint Fiscal Office)]: E 233 is another, position section. So this is the conversion of one limited service position, to a permanent classified position, financial director for within the Department of Public Service. This, section, because it's not a pool position creation section, but a position conversion, will show up in the final e one hundred secondtion that the committee will see that reflects other position changes that aren't pool position changes.

[Robin Scheu (Chair)]: This So this in e 100 the first time?

[Grady Nixon (Joint Fiscal Office)]: I inquired with finance and management, because it was the only non pool position. They put it as e 233. But when when there is an E100

[Robin Scheu (Chair)]: proposition in E100 is what the way to have done it would be. Thank you for catching that.

[Grady Nixon (Joint Fiscal Office)]: E233.1 on page 32 and continuing on to page 33. This extends the window for the telecommunications plan review from three to five years.

[Robin Scheu (Chair)]: Gives Us money and then time. Money and time. Good things. Good things.

[Trevor Squirrell (Clerk)]: What's

[Eileen Dickinson (Member)]: that? It's also in the bill.

[Trevor Squirrell (Clerk)]: Yeah, which we present that I actually mentioned.

[Grady Nixon (Joint Fiscal Office)]: Section E 300 is annual language relating to the distribution of funding

[Eileen Dickinson (Member)]: for the Office

[Grady Nixon (Joint Fiscal Office)]: of the Healthcare Advocate and Vermont Legal Aid.

[Robin Scheu (Chair)]: Change those numbers.

[Nolan Langweil (Joint Fiscal Office)]: Yeah.

[Robin Scheu (Chair)]: Okay. That was a change. Secretary.

[Grady Nixon (Joint Fiscal Office)]: E301 on page 34. This is annual language clarifying the source of IDT funds for the global commitment appropriation and updated estimated appropriations for state match. So this is gonna change too because we have published that.

[Robin Scheu (Chair)]: Three zero one, that's the mixing bowl. So that's the last thing to get.

[Grady Nixon (Joint Fiscal Office)]: E301.1, this is standard language. This is, directs the secretary of human services to make transfers among appropriations within global commitment appropriations outside of AHS. E three zero one point two on page 36 and continuing on to page 37. This extends the federal government extended HCBS fund availability until September 2026. So this just allows for, the use of those funds by AHS, by extending it into FY '27.

[Robin Scheu (Chair)]: There's always a tail for Okay.

[Grady Nixon (Joint Fiscal Office)]: E three zero one point three at the bottom of page 37 continuing on to page 38. This is allowing the Secretary of Human Services to seek an amendment to global commitment waiver amendment, from CMS.

[Robin Scheu (Chair)]: So I had made a note. So I actually did read this way back in February, finding notes. Thought it was a five year commitment, and this is four years. I don't know, maybe I have it wrong. Nolan, do you have any comment? Top of page 38, well, the bottom, the eleven fifteen waivers, isn't that usually a five year commitment, or is it a four year this time?

[Nolan Langweil (Joint Fiscal Office)]: You know, it depends. Done five years, we've done two years. Okay. Or three years. So, the first one's a five year, and then it's been two or three years. And it's one of those things where we don't know what's going to be after the current administration. We might want a short one. Right. So I don't

[Robin Scheu (Chair)]: know how to answer that. Okay, but that's the right date. All I wanted to be sure is that we've got the right dates.

[Nolan Langweil (Joint Fiscal Office)]: Yeah, I mean you could print it out. You could say as long. I don't know if you want to dictate how long it should be.

[Robin Scheu (Chair)]: I don't want to do anything. I just wanted to be sure the date was right. I thought it was long. That's all. It's not a mistake. That's all I want to know. Thanks.

[Grady Nixon (Joint Fiscal Office)]: Section E306 on page 38 is another waiver direction. This one is directive language to submit a state innovation waiver under section one one three three two of the Affordable Care Act to establish a program for reinsurance and federal pass through funding.

[Robin Scheu (Chair)]: So there was a health care bill that passed this week, last week, and it needs does it tie into this? No. Don't think so. Reinsurance I thought was part of it. Alright, Nolan will check. Thank you.

[David Yacovone (Member)]: But if it didn't, we should still keep this.

[Robin Scheu (Chair)]: I am not clear.

[Nolan Langweil (Joint Fiscal Office)]: Some of those things we could keep it if it doesn't cost any money but at the same time we shouldn't apply for something more natural relative. So let me look in and see if that'd

[Robin Scheu (Chair)]: Could you look into that? Yeah,

[Eileen Dickinson (Member)]: we may not do

[Grady Nixon (Joint Fiscal Office)]: that. B306.2 extends the sunset of the health IT fund to 07/01/2027. So extending that sunset by one year.

[Nolan Langweil (Joint Fiscal Office)]: Oh, hold on. So there was it's just one year?

[Grady Nixon (Joint Fiscal Office)]: Yes. And so there's language extending this further in, I believe, tax the bill. I think they I think they do five of those four years.

[Robin Scheu (Chair)]: So why don't you update it to the miscellaneous tax bill because we've passed it?

[Grady Nixon (Joint Fiscal Office)]: There are a number of sections that were in the gov rec that were either addressed or either are the same as what was in the gov rec or, were slightly changed and put in miscellaneous tax that would then be removed from the budget.

[Robin Scheu (Chair)]: Okay. So you guys will figure all that?

[Nolan Langweil (Joint Fiscal Office)]: Yes. The administration, they always put this in their bill to be a a separate miscellaneous tax bill. So they would put all their language in this bill. In the past, we pulled that and this bill went this way. Okay, great. And

[Grady Nixon (Joint Fiscal Office)]: with the following section that will be carried in miscellaneous tax. Okay. E306.4 authorizes Diva to terminate contracts for the services of the Medicare advocacy program.

[Robin Scheu (Chair)]: We did not keep that in the budget. So I think that's what's going to happen.

[Nolan Langweil (Joint Fiscal Office)]: Yeah, I think we did. I don't think we did anything to change it.

[Robin Scheu (Chair)]: That's right.

[Nolan Langweil (Joint Fiscal Office)]: You're pretty silent.

[Robin Scheu (Chair)]: So this would stay.

[Nolan Langweil (Joint Fiscal Office)]: Correct. Okay.

[Grady Nixon (Joint Fiscal Office)]: E306.5 is another pool position. So this specifies that 497000 general fund and 497,000 federal funds, be to establish one health care assistant administrator, one digital communications specialist, two, one business project manager, four Vermont health care specialist health care service specialists, and five health care service specialists too within PIPA.

[Robin Scheu (Chair)]: Who's that this? PIPA, is that you, Dave? Yes. That's Yeah. You don't see 11 positions?

[David Yacovone (Member)]: Yes. But then adding in five four two. Yes. You're okay? The policy committee was okay.

[Nolan Langweil (Joint Fiscal Office)]: Okay. Want to say this is probably tied to the HR one. Yes, that's my understanding. This is just around

[Robin Scheu (Chair)]: it's redeterminations twice a year. So it's costing us a lot more administrivia to do this, to transfer people.

[Grady Nixon (Joint Fiscal Office)]: E-three zero seven not withstands statute to allow for payments that are ordinarily made by the secretary of education to instead be made by the commissioner of Vermont Health Access relating to the education Medicaid programs. There is language in, as I mentioned earlier, age five fifty eight that will also be accompanying this.

[Robin Scheu (Chair)]: So we'll get the right language between the two Correct.

[Nolan Langweil (Joint Fiscal Office)]: Budgets right. Doesn't 58 being dropped off the budget?

[Grady Nixon (Joint Fiscal Office)]: That's exactly what I'm saying.

[Robin Scheu (Chair)]: Right. So we're gonna take that and drop it in for everybody. Yes. So this looks gonna change. Correct. Okay.

[Grady Nixon (Joint Fiscal Office)]: E three twelve and E three twelve point one, I will skip over. This is the language that rep Bluemle was flagging needs further working.

[Robin Scheu (Chair)]: Yep.

[Grady Nixon (Joint Fiscal Office)]: Section e three twenty two on page 44. This is updating state statute to align with changes to federal law. They've reduced the number of three squares Vermont households eligible for a nominal home heating fuel assistance benefit.

[Robin Scheu (Chair)]: Of $21 Is that right? Correct. Gas at $3.90 is down. Okay, so we kind of have to do that. Okay.

[Grady Nixon (Joint Fiscal Office)]: Section E three twenty five is standard language that authorized spending on the HOT program.

[Robin Scheu (Chair)]: This is going to change with age nine thirty eight. Okay. You guys have figured that out. Alright.

[Grady Nixon (Joint Fiscal Office)]: Section e three twenty six is annual language relating to, home weatherization assistance.

[Robin Scheu (Chair)]: That's standard. Yep.

[Trevor Squirrell (Clerk)]: Is it standard or is it up or down?

[Robin Scheu (Chair)]: I think it's been the same amount for a long time. Yes.

[Trevor Squirrell (Clerk)]: By default, the price is the same.

[Robin Scheu (Chair)]: It's yeah. But the the dollar figure is the same. Yeah. Okay. Corrections.

[Grady Nixon (Joint Fiscal Office)]: Section e three thirty eight. So this is the corrections pilot payment to Newport and Springfield. So standard.

[Robin Scheu (Chair)]: Let me check on the agenda.

[Grady Nixon (Joint Fiscal Office)]: Three thirty eight point one. This is another pool position, section relating to seven permanent classified probation and parole officer two positions, dedicated to the DOC pretrial supervision program.

[Robin Scheu (Chair)]: Is this changing yet, Trevor?

[Trevor Squirrell (Clerk)]: Yeah. This is coming out because it's part

[Nolan Langweil (Joint Fiscal Office)]: of the eight fifty that we're pulling back.

[Robin Scheu (Chair)]: Right, so the whole cancellation of pretrial supervision just needs to go. We're not doing part eight that we're talking about. Right.

[Eileen Dickinson (Member)]: 338.1.

[Robin Scheu (Chair)]: Yes, that's going to go away. And now we're into education.

[Grady Nixon (Joint Fiscal Office)]: EB-five zero one, this is language relating to the global commitment appropriation for physician claims for IEPs.

[Robin Scheu (Chair)]: Is that different? No, it's standard. Okay.

[Grady Nixon (Joint Fiscal Office)]: E five zero one point one amends act 73. So this changes positions from limited service to permanent.

[Robin Scheu (Chair)]: How is this working as E five zero one hundred oh, this is point one, not 501.

[Grady Nixon (Joint Fiscal Office)]: 5011.

[Robin Scheu (Chair)]: Right. So the 50 but the five zero one is getting merged with the five hundred. Which of the two are getting merged in their budget?

[Grady Nixon (Joint Fiscal Office)]: The request, I believe, was to maintain five zero one. I think in our CFO over the weekend when we reconciled the web report, we'll have the AOE section and the numbers be E 500. And then these language section numbers will be changed to align with that.

[Robin Scheu (Chair)]: Okay. That's great.

[Grady Nixon (Joint Fiscal Office)]: You can disregard the actual section number for now.

[Robin Scheu (Chair)]: Okay. That's great. I'm going to pause you for just a second because I think we have bills coming in. We're almost done with the language. I'd like to finish this. Are you guys Okay if we're a little bit later? You're all Okay? Thank you very much. Going to finish this and take five minutes to get a break and get out of our seats because I think we're feeling blue to them at this point. And then we'll come right back. I promise for everybody. Okay. Thank you.

[Grady Nixon (Joint Fiscal Office)]: Beginning on page 48, Section E 501.2 amends the universal after school and summer special fund statutory language. The change appears on page 49, you'll see that it's changing the allowable use of administrative costs from 500,000 to 5% of annually forecasted revenues.

[Robin Scheu (Chair)]: Oh, so they get a six percentage. Right? Okay.

[Grady Nixon (Joint Fiscal Office)]: E five zero one point three. The first change you'll see is just a technical correction. But monies can't be appropriated to a fund, so it's striking or appropriated from that language. But then I believe the committee will be taking this out because this is where you see the change for the Higher Education Endowment Trust Fund.

[Robin Scheu (Chair)]: So we'll just leave one in or one or two.

[Grady Nixon (Joint Fiscal Office)]: Correct. The committee could still make that technical Yes.

[Robin Scheu (Chair)]: Can check the full change, but take the rest out. Thank you.

[Grady Nixon (Joint Fiscal Office)]: E502, this is language specifying how much of the special education funding formula will be used. So you'll see in sub a, an amount not to exceed 5,300,000.0 used by AOE for funding as described. In then in sub b, an amount not to exceed 2,000,000 be used by the educate agency of education. Section e five zero three, this is annual language related to, state place students. This is, just classifying the Independence Place program of a new place as a twenty four hour residential program. Okay. Section e five zero four, this is the standard adult ed language, and so we'll work to reconcile these adult ed language with the adult ed language that you saw earlier this afternoon. Great. Thank you. E five zero four, similar. We'll review this. And

[Robin Scheu (Chair)]: This is the standard Yes. Language for these things. Yeah.

[Grady Nixon (Joint Fiscal Office)]: E five zero seven point one, this is the English learner categorical aid, just specifying that the funds appropriate in E five zero seven point one are for categorical aid to school districts for English learner services.

[Robin Scheu (Chair)]: Standard.

[Grady Nixon (Joint Fiscal Office)]: E five fourteen is the standard language for the normal contribution to the state teachers retirement fund.

[Robin Scheu (Chair)]: That's the normal contribution, not the catch up.

[Grady Nixon (Joint Fiscal Office)]: So you'll see in sub b, there's 43,000,000 is the normal contribution and 177,000,000 is the accrued liability. 77. E five fourteen point one, this is the state teachers retirement system contribution to VPIC. So this is that third section that will change given committee's decisions earlier.

[Robin Scheu (Chair)]: Okay.

[Grady Nixon (Joint Fiscal Office)]: E515, retired teachers' health care and medical benefits. This is standard language allowing the normal contribution to be funded with education funds.

[Robin Scheu (Chair)]: So 62,600,000.0 is the accrued liability and then the 177 at the other one, over 200,000,000.

[Grady Nixon (Joint Fiscal Office)]: E516, I believe the committee will be removing. This is, relating to the per change suggested change in the governor recommendation to purchase and use tax.

[Robin Scheu (Chair)]: Which we took care of in the miscellaneous tax bill.

[Grady Nixon (Joint Fiscal Office)]: Same with e five sixteen point one, the committee would be striking this section. Yeah. E 600 is standard language relating to, the payout from finance and management to the University of Vermont.

[Robin Scheu (Chair)]: And so that 380,000 is also standard? We just do this every year?

[Grady Nixon (Joint Fiscal Office)]: I'll have to verify that.

[Robin Scheu (Chair)]: If you don't mind, maybe I've just not paid as much attention as I should, but I know we do standard language every year, but I should know if that was part of standard language or not. And maybe it is because I'm looking at Vermont State College, they don't pay for VNet, I know they'll do that. Okay.

[Grady Nixon (Joint Fiscal Office)]: Yes. So that installment amount hasn't changed year to year, and that language has appeared in prior budgets. E six zero two is similar language for VSAT. E six zero three, this is annual language relating to allied health and the Vermont State Colleges, allowing the room or directing the Vermont State Colleges to use the global commitment appropriation in section B six zero three to support dental hygiene, respiratory therapy, and nursing programs.

[Robin Scheu (Chair)]: In the next one for VSAC, they requested

[Trevor Squirrell (Clerk)]: For 100,000.

[Robin Scheu (Chair)]: The amount from 300,000 to 400,000, up to 400,000 for the aspirational initiative to serve high schools. And it doesn't change the money, it just changes how they might use it. And I don't know if anybody talked to them about that. Either John or Mike before or after it was yours. But that was a request that they had.

[Trevor Squirrell (Clerk)]: Have to go back and look at my notes, which I still have, when I met with them months ago.

[Robin Scheu (Chair)]: Could you do why don't you do a quick check with them? You guys talk about it and make a recommendation because

[Grady Nixon (Joint Fiscal Office)]: And that would just be changing that.

[Robin Scheu (Chair)]: So we just changed it to 3 from 300 to 400, but let's just check it out and make sure that it was in their request in their budget presentation. It doesn't change the dollars. Right. So if you guys can just take a quick look when we and we'll get that to Brady before Brady before he comes in. Okay. Thanks, Steve.

[Grady Nixon (Joint Fiscal Office)]: E605.1 on page 59. This is standard language relating to the appropriation to VSAC for dual enrollment and need based stipends. E six zero six on page 60. So this is another section that the committee would be striking. This is making changes to the allocation of the estate tax. Right. E 700, this is language, relating to technical corrections to the administration of the land and facilities trust fund.

[Robin Scheu (Chair)]: This is like who has authority to do the

[Grady Nixon (Joint Fiscal Office)]: Right. So it it directs authority to, be under the secretary, but then it also allows for expenditures fund from the fund, to be used for administrative support.

[Trevor Squirrell (Clerk)]: Oh, okay. We're removing authority from following the force and power, giving it to the secretary of the agency. Funding money along with it?

[Grady Nixon (Joint Fiscal Office)]: I'm not changing any money, just changing allowable uses of expenditure from the fund to include administrative support.

[Robin Scheu (Chair)]: Wayne? You're good. Go forward. Okay.

[Grady Nixon (Joint Fiscal Office)]: On page 64, section e 923. So this is that transportation fund interest retention language that will be updated with the language that the committee saw earlier this afternoon. And section e 923 on page 65, This, is allowing for transportation fund dollars, to be used for electric vehicle supply equipment charging port purchased by the Department of Housing and Community Development. So it doesn't have to funnel through. It can directly go through the Department of Housing and Community Development.

[Robin Scheu (Chair)]: And

[Grady Nixon (Joint Fiscal Office)]: then the effective date section, as the committee heard, there are a few sections that will need to be effective at different times than on passage or 07/01/2026. So the effective date section will just be updated with, what needs to happen given the final language that is incorporated into the bill.

[Robin Scheu (Chair)]: Okay. And that $5.16.1 is gonna go away because that was purchase use? Correct

[Trevor Squirrell (Clerk)]: this lane helped the force at that time uses and the governor's recommended yes

[Robin Scheu (Chair)]: we didn't change any checked for a couple of things, most of it's me got a milkshake. Okay, great. Thank you. We're going to take about a five minute break. I know there's a few people who need to talk to you about gas, and I need to talk to Autumn and figure out our revised agenda because we've got two more bills we're going to take up. But take a break now