Issue Updates from the State House | Week of March 30, 2026

Issue Updates from the State House

Week of March 30, 2026

A weekly snapshot of key legislative activity impacting Vermont’s business community. 

  • Cash Transaction Rounding: The Vermont Chamber testified in the House Commerce and Economic Development Committee on H.837, a bill that would allow businesses to voluntarily round cash transactions to the nearest five cents with appropriate consumer notice recognizing the challenges that will inevitably arise with the phaseout of the penny.
  • Extreme Temperatures: Following extensive testimony, the House General and Housing Committee paused discussion on the “extreme temperature” workplace proposal in S.230 to engage further with VOSHA. While temporarily slowed, the proposal is expected to resurface soon.
  • Commercial Property Assessed Clean Energy (C-PACE): The Vermont Chamber testified in the House Energy and Digital Infrastructure Committee on S.138, a bill that would expand Vermont’s PACE program to commercial and industrial buildings, allowing businesses to finance efficiency, renewable, and resilience improvements through long-term, fixed-rate property assessments.
  • Housing: The House General and Housing Committee reviewed S.328, the Senate-passed housing bill. With overlap between S.328 and the House-passed H.775, the Committee now must consider which parts of each bill will result in the most efficient path towards housing growth.
  • Association Health Plans: The Senate Finance Committee began testimony on H.585, which would allow Association Health Plans in 2028 contingent on federal changes and initiate a study on impacts to Qualified Health Plans. These plans could expand options for businesses facing high costs, with further evaluation underway.
  • Act 250: The House Environment Committee began testimony on S.325, a bill that would make amendments to 2024’s Act 181 including moving interim exemptions to 2030, delaying the road rule until 2030, and delaying the implementation of tier 3 until July 2028.
  • Reference Based Pricing: S.190, a bill continuing momentum toward health care cost containment efforts by increasing price transparency and moving the Green Mountain Care Board closer to implementation of reference-based pricing, has advanced to the House Health Care Committee.
  • Budget: The Senate Appropriations Committee reviewed H.951, the House-passed FY27 budget totaling $9.3 billion. Following a divided House vote, the bill reflects a mix of targeted investments and ongoing funding gaps, underscoring the need for efficient, high-impact spending to support affordability and long-term economic stability..
  • Primary Care: The House Health Care Committee reviewed S.197, a bill aimed at increasing the use of primary care to reduce strain on hospital systems. Discussions included spending targets, opportunities for regional collaboration to improve efficiency, and potential payment reform through alternative models to support long-term affordability.
  • Health Care Affordability: The House Health Care Committee reviewed H.433, a bill that would move the state closer to a universal primary care system at the expense of an additional payroll or income tax, shifting, rather than reducing the cost of health care in Vermont.
  • Alcohol: The Senate Economic Development, Housing, and General Affairs Committee reviewed H.921, a bill expanding alcohol service options, including larger serving sizes, more flexible locations, shorter notice periods for tasting permits, and increased direct distribution opportunities. While the proposed changes could enhance industry competitiveness, the Committee raised concerns regarding implementation and potential market impacts.
  • Event Ticketing: The Senate Economic Development, Housing, and General Affairs Committee continued review of H.512, legislation aimed at curbing excessive resale of event tickets and strengthening consumer protections for venues using online ticketing platforms. The Committee continues to evaluate whether a resale price cap is necessary and enforceable.
  • Education: The House Education Committee advanced its education reform bill on a partisan vote of 7-4. The bill diverts from last year’s Act 73, instead taking voluntary approach that expands the use of Cooperative Educations Service Areas rather than reducing supervisory districts, and targets efficiencies by encouraging reduced duplicative services without mandating consolidation. The strategy ultimately relies on hope that voluntary alignment will deliver meaningful results.

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Megan Sullivan

she/her

Vice President of Government Affairs

802-522-6316

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Manufacturing Day Brings Employers and Lawmakers Together at the State House

Manufacturing Day Brings Employers and Lawmakers Together at the State House

On Thursday, April 2, industry leaders from Vermont’s manufacturing sector, gathered at the State House to connect with legislators and political leaders to highlight the industry’s significant contributions to Vermont’s economy, and to present the challenges and opportunities facing Vermont’s manufacturers.

With over 50 manufacturers from across Vermont in attendance, the day reflected broad, statewide engagement, several offering insightful testimony in legislative hearings with House and Senate committees. The testimony given included representatives and business owners from Nolato, Built By Newport, Vermont Frames, Chroma Technologies, and Vermont GaN Tech Hub. The day was also highlighted by an open forum and Q&A with Lieutenant Governor John Rodgers, a press conference, and the reading of a resolution on the House Floor declaring April 2, 2026 ‘Vermont Manufacturing Day.’

“Manufacturing is one of the clearest pathways we have to grow Vermont’s economy. It supports communities across every region and creates opportunity for Vermonters to build careers, support their families, and stay rooted here,” said Amy Spear, President of the Vermont Chamber of Commerce.

Key issues and themes raised throughout the day focused on the sustainability and growth of Vermont’s manufacturing businesses by expanding existing companies, attracting new firms to the state, and growing the manufacturing technology talent pool through Centers of Technical Education (CTE). Along with the many growth opportunities presented, including the new research and development tax incentive, came the barriers to the industries’ success. At the top of the list is affordable housing for additional workforce, the complexity and complexity of permitting, property taxes, and the rising cost of health care.

Manufacturing’s Contribution to Vermont’s Economy
Vermont’s manufacturing industry generates $2.92 billion economic impact, representing 7% of Vermont’s gross state product (GSP). The business make-up 7% of Vermont’s workforce, supporting 26,600 jobs across diverse sectors of economic industry. Manufacturing plays a pivotal role in the growth and development of both rural and urban communities throughout Vermont, representing businesses that are renowned globally and at the forefront of innovation across various industries. These manufacturers contribute significantly to fostering strategic relationships between the state and neighboring regions, including New England, New York, Canada, as well as the broader local and global economy.

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Megan Sullivan

Vice President of Government Affairs

Economic Development, Fiscal Policy, Healthcare, Housing, Land Use/Permitting, Technology

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