FY2027 Budget – H.951, the “Big Bill”
The Legislature’s FY2027 budget, H.951, appropriates $9.38 billion across all funds, including $2.57 billion in General Fund spending, a 2.9 percent increase over FY2026. The budget fully funds statutory reserves and pension obligations while making targeted investments in health care, human services, housing, education, public safety, and environmental programs. It also includes a one-time $100.9 million transfer to the Education Fund for property tax relief.
Lawmakers framed the budget as an effort to hold overall spending growth in check while responding to continued pressure in Medicaid, homelessness, mental health, housing, workforce, and education. The budget does not represent a major expansion of state government, but it does continue to rely on one-time resources to address immediate needs and soften pressure on property taxpayers.
Major one-time appropriations include:
Health Care and Human Services
• $21.18 million for homelessness response initiatives under H.938.
• $3.7 million for enhanced primary care provider reimbursement rates.
• $3.5 million for grants to organizations providing public benefit assistance.
• $1.21 million for health care provider stabilization grants.
• $1.1 million for Meals on Wheels.
• $300,000 in state funds, plus $2.7 million in federal funds, for Medicaid-related IT updates.
Housing
• $4 million one-time increase for the renter rebate program.
• $1 million for the Rent Arrears Assistance Fund.
• $800,000 for the Manufactured Home Improvement and Repair Program.
• $235,000 to expand HomeShare Vermont.
Economic Development, Agriculture, and Infrastructure
• $2 million for business relocation and expansion grants. (RIDP)
• $1.35 million for Northeast Kingdom flood-damage repairs not eligible for FEMA assistance.
• $600,000 for Vermont State Colleges housing transformation projects.
• $350,000 for NOFA Vermont food access programs and $250,000 for Vermont Foodbank’s Vermonters Feeding Vermonters program.
• $200,000 for VOREC outdoor recreation grants.
