BILL AS INTRODUCED H.323
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H.323 1
Introduced by Representatives Berbeco of Winooski, Black of Essex, and 2
McFaun of Barre Town 3
Referred to Committee on 4
Date: 5
Subject: Health; mental health; education; youth mental health screenings; 6
curriculum; student peer support 7
Statement of purpose of bill as introduced: This bill proposes to establish the 8
Mental Health Innovation Special Fund for the purpose of funding various 9
programs proposed by this bill, such as the behavioral health innovation 10
program, a mental health screening program in schools, and a pilot peer-to-11
peer mental health support program in schools. This bill further proposes a 12
mental health and substance misuse literacy curriculum. 13
An act relating to mental health programming funded by the Mental Health 14
Innovation Special Fund 15
It is hereby enacted by the General Assembly of the State of Vermont: 16
* * * Mental Health Innovation Special Fund * * * 17
Sec. 1. 18 V.S.A. § 7116 is added to read: 18
§ 7116. MENTAL HEALTH INNOVATION SPECIAL FUND 19 BILL AS INTRODUCED H.323
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(a) There is created the Mental Health Innovation Special Fund, a special 1
fund established and managed pursuant to 32 V.S.A. chapter 7, subchapter 5 2
and administered by the Department. The Mental Health Innovation Special 3
Fund shall consist of: 4
(1) all revenues raised by the Department of Taxes pursuant to 32 5
V.S.A. § 5862g; and 6
(2) monies received from public and private sources, including, gifts, 7
grants, donations, bequests, contributions of cash or securities, contributions of 8
property in kind from persons or governmental, nongovernmental, quasi-9
governmental, or local government entities. 10
(b) Monies in the Mental Health Innovation Special Fund shall be utilized 11
exclusively for the mental health screening program established in 16 V.S.A. 12
§ 1433, the behavioral health innovation grant program established in section 13
7115 of this title, and any other program or service specified in statute. 14
(c) Revenues deposited in the Mental Health Innovation Special Fund that 15
are unexpended at the end of the fiscal year shall not revert to the General 16
Fund and shall be available for expenditure in the following fiscal year. 17
Sec. 2. 32 V.S.A. § 5862g is added to read: 18
§ 5862g. MENTAL HEALTH INNOVATION SPECIAL FUND CHECKOFF 19
(a) Returns filed by individuals shall include, on a form prescribed by the 20
Commissioner of Taxes, an opportunity for the taxpayer to designate funds to 21 BILL AS INTRODUCED H.323
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the Mental Health Innovation Special Fund established under 18 V.S.A. 1
§ 7116. 2
(b) Amounts designated under subsection (a) of this section shall be 3
deducted from refunds due to, or overpayment made by, the designating 4
taxpayer. All amounts so designated and deducted shall be deposited in an 5
account by the Commissioner of Taxes for payment to the Mental Health 6
Innovation Special Fund. If at any time after the payment of amounts 7
designated to the account it is determined that the taxpayer was not entitled to 8
all or any part of the amount designated, the Commissioner may assess, and the 9
account shall then pay to the Commissioner, the amount received, together 10
with interest at the rate prescribed by section 3108 of this title, from the date 11
the payment was made until the date of repayment. 12
(c) The Commissioner of Taxes shall: 13
(1) explain to taxpayers the purpose of the Mental Health Innovation 14
Special Fund and how to contribute to it; and 15
(2) provide notice regarding how to obtain a copy of the annual income 16
and expense report for the Mental Health Innovation Special Fund. 17
(d) If amounts paid with respect to a return are insufficient to cover both 18
the amount owed on the return under this chapter and the amount designated as 19
a contribution to the Mental Health Innovation Special Fund, the payment shall 20 BILL AS INTRODUCED H.323
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first be applied to the amount owed on the return under this chapter and the 1
balance, if any, shall be deposited in the Special Fund. 2
(e) Nothing in this section shall be construed to require the Commissioner 3
to collect any amount designated as a contribution to the Mental Health 4
Innovation Special Fund. 5
* * * Behavioral Health Innovation Grant Program * * * 6
Sec. 3. 18 V.S.A. § 7115 is added to read: 7
§ 7115. BEHAVIORAL HEALTH INNOVATION GRANT PROGRAM 8
(a) To the extent funds permit, the Agency of Human Services shall 9
establish and administer a behavioral health innovation grant program to 10
support qualified care providers working in the mental health and substance 11
misuse treatment fields using available monies from the Mental Health 12
Innovation Special Fund established in section 7116 of this title. Grants issued 13
by the Agency in accordance with this section shall enhance innovation in the 14
workforce and foster quality improvements among qualified care providers. 15
(b) The Agency shall accept applications for a behavioral health innovation 16
grant in a format prescribed by the Agency in rule on a rolling basis beginning 17
on January 1, 2026. In awarding grants pursuant to this section, priority shall 18
be given to applications proposing to: 19
(1) develop or expand youth and school-based services; 20
(2) improve workforce development, training, and education; 21 BILL AS INTRODUCED H.323
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(3) increase technical assistance to implement best practices; 1
(4) pilot promising, emerging best practices; or 2
(5) pilot workforce retention incentives. 3
(c) Annually on December 15, the Agency shall submit a report on the 4
expenditures of the behavioral health innovation grant program established in 5
this section to the House Committees on Health Care and on Human Services 6
and to the Senate Committee on Health and Welfare. Specifically, the report 7
shall address: 8
(1) the revenue credited to the Mental Health Innovation Special Fund; 9
(2) the amount of fund expenditures attributable to administrative costs; 10
(3) an itemized list of the funds expended through the grant process and 11
a description of the grantee activities; and 12
(4) the effectiveness of the activities funded though the program 13
established in this section. 14
(d) The Agency shall adopt rules pursuant to 3 V.S.A. chapter 25 for the 15
purpose of administering the program established in this section. 16
(e) As used in this section, “qualified care provider” means an individual 17
licensed as a psychologist pursuant to 26 V.S.A. chapter 55, an individual 18
licensed as an alcohol and drug abuse counselor pursuant to 26 V.S.A. chapter 19
62, an individual licensed as a clinical mental health counselor pursuant to 26 20
V.S.A. chapter 65, an individual licensed as a psychoanalyst pursuant to 26 21 BILL AS INTRODUCED H.323
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V.S.A. chapter 77, or an organization accredited by a national accrediting 1
entity to provide mental health or substance misuse treatment in the State. 2
Sec. 4. APPROPRIATION; BEHAVIORAL HEALTH INNOVATION 3
GRANT PROGRAM 4
In fiscal year 2026, $10,000.00 is appropriated from the General Fund for 5
the behavioral health innovation grant program established in 18 V.S.A. 6
§ 7115. It is the intent of the General Assembly that the behavioral health 7
innovation grant program shall be funded by the Mental Health Innovation 8
Special Fund established in 18 V.S.A. § 7116 in future fiscal years. 9
* * * Mental Health and Substance Misuse Literacy * * * 10
Sec. 5. 16 V.S.A. § 914 is added to read: 11
§ 914. MENTAL HEALTH AND SUBSTANCE MISUSE LITERACY 12
(a) The Agency of Education, in collaboration with the Departments of 13
Health and of Mental Health, shall select a curriculum to increase awareness 14
about mental health and substance misuse challenges facing youth throughout 15
the State. The curriculum shall include age-appropriate information on: 16
(1) the connection and importance of mental health to an individual’s 17
physical health and overall well-being; 18
(2) resources and tools for maintaining mental wellness, including 19
evidence-based practices used to overcome mental health and substance misuse 20
challenges; 21 BILL AS INTRODUCED H.323
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(3) signs and symptoms of common mental health and substance misuse 1
challenges and strategies for responding to those signs and symptoms; 2
(4) the prevalence of mental health and substance misuse challenges 3
across all populations; 4
(5) common mental health and substance misuse conditions and 5
evidence-based treatments for common conditions; and 6
(6) how to seek assistance or support for a mental health or substance 7
misuse challenge in school and the community at large. 8
(b) The Agency shall post the selected mental health and substance misuse 9
curriculum on its website. 10
(c) The Agency shall distribute the curriculum to school districts, parents 11
and guardians, and organizations serving youth in the State. 12
* * * Mental Health Screening Program in Schools * * * 13
Sec. 6. 16 V.S.A. § 1433 is added to read: 14
§ 1433. MENTAL HEALTH SCREENING PROGRAM 15
(a) As used in this subchapter: 16
(1) “Agency” means the Agency of Education. 17
(2) “Department” means the Department of Mental Health. 18
(b) The Agency, in collaboration with the Department, shall develop and 19
administer a program authorizing each supervisory union to provide or arrange 20
for the provision of evidence-based mental health screening services within the 21 BILL AS INTRODUCED H.323
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schools it oversees. The mental health screening services provided pursuant to 1
this section shall be approved by the Agency, in consultation with the 2
Department. Mental health screening services provided by a supervisory union 3
shall: 4
(1) be age appropriate for each grade served; 5
(2) screen for those mental health conditions determined by the Agency 6
in rule; and 7
(3) effectively identify whether a student has a mental health condition 8
requiring intervention or treatment. 9
(c) Pursuant to 3 V.S.A. chapter 25, the State Board of Education, in 10
collaboration with the Department, shall adopt rules for the administration of 11
this program that address the following: 12
(1) the process for a supervisory union to notify the Agency of its 13
decision to participate in the mental health screening program; 14
(2) access to and use of a participating student’s screening data 15
consistent with the federal Family Educational Rights and Privacy Act, 20 16
U.S.C. § 1232g and 34 C.F.R. part 99 (FERPA), and any relevant provisions of 17
State law; 18
(3) annual training requirements related to the mental health screening 19
program; 20 BILL AS INTRODUCED H.323
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(4) specific mental health conditions that the mental health screening 1
services seek to identify; and 2
(5) the process and specific criteria for distribution of financial support 3
pursuant to subsection (e) of this section. 4
(d) On or before July 1 of each year, a supervisory union shall notify the 5
Agency, in a manner specified in rule, as to whether the supervisory union 6
intends to participate in the mental health screening program for the following 7
academic year. A participating supervisory union shall: 8
(1) select and seek approval from the Department regarding the mental 9
health screening services it plans to offer as part of its participation in the 10
program; 11
(2) annually notify parents and guardians with a student in the 12
supervisory union that the parent or guardian may choose to have the student 13
screened for mental health conditions; 14
(3) obtain prior written consent from a student’s parent or guardian prior 15
to conducting a mental health screening in manner that complies with FERPA; 16
(4) provide or cause to be provided the approved mental health 17
screening services to participating students; 18
(5) notify parents and guardians of the results of a participating student’s 19
mental health screening; 20 BILL AS INTRODUCED H.323
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(6) discuss resources with the parents and guardians of a participating 1
student who screens positive for a potential mental health condition; and 2
(7) use funds distributed by the Agency for expenses related to 3
participation in the program pursuant to subsection (e) of this section, 4
including services for certain students screening positive for a mental health 5
condition. 6
(e) To the extent funds permit, the Agency shall distribute funds 7
appropriated for this purpose from the Mental Health Innovation Special Fund 8
established in 18 V.S.A. § 7116 to supervisory unions participating in the 9
mental health screening program established in this section. Of the funds 10
available for the mental health screening program, 90 percent shall be 11
distributed to participating supervisory unions based on the previous year’s 12
average daily membership count and 10 percent shall be available as needed to 13
participating supervisory unions that have exhausted other funds distributed for 14
this purpose. Funds distributed pursuant to this subsection shall be used to 15
fund mental health screening services, trainings for school personnel, and for 16
those services recommended to a student screening positive for a potential 17
mental health condition when a parent or guardian does not have the financial 18
resources to provide the recommended services. 19
(f) A school employee receiving training pursuant to this chapter shall be 20
immune from civil or criminal liability with regard to mental health screening 21 BILL AS INTRODUCED H.323
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services, unless the employee’s actions constituted recklessness, gross 1
negligence, or intentional misconduct. 2
(g) Annually on July 1, the Agency, in collaboration with the Department, 3
shall submit a report to the House Committee on Health Care and to the Senate 4
Committee on Health and Welfare describing: 5
(1) the number of participating students who received a mental health 6
screening pursuant to this section during the previous school year; 7
(2) the number of participating students referred to additional services or 8
for whom intervention was required; 9
(3) how funds distributed to participating supervisory unions were used; 10
and 11
(4) whether the distributed funds were sufficient to meet supervisory 12
union needs under this section. 13
Sec. 7. APPROPRIATION; MENTAL HEALTH SCREENING PROGRAM 14
In fiscal year 2026, $10,000.00 is appropriated from the General Fund for 15
the mental health screening program established in 16 V.S.A. § 1433. It is the 16
intent of the General Assembly that the mental health screening program shall 17
be funded by the Mental Health Innovation Special Fund established in 18 18
V.S.A. § 7116 in future fiscal years. 19
* * * Peer-to-Peer Mental Health Support in Schools * * * 20
Sec. 8. PEER-TO-PEER MENTAL HEALTH SUPPORT PROGRAM 21 BILL AS INTRODUCED H.323
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(a) The Agency of Education, in collaboration with the Department of 1
Mental Health, shall establish a four-year pilot program for the distribution of 2
grants that fund peer-to-peer mental health support programs in public and 3
approved independent schools. Peer-to-peer mental health support programs 4
shall enable students to provide and receive peer support and coaching from 5
other students in relation to mental health challenges. Each program shall have 6
the oversight of a certified peer support provider and guidance from a school-7
based mental health service provider. 8
(b) The Agency of Education shall accept grant applications for peer-to-9
peer mental health services programs on a rolling basis beginning on August 1, 10
2026. In awarding grants pursuant to this section, priority shall be given to 11
applications submitted by a public or an approved independent school that: 12
(1) propose using the grant for a peer-to-peer mental health program 13
with a suicide prevention component; or 14
(2) are located in an area of the State that has high rates of suicide or has 15
experienced a recent traumatic event. 16
(c) Certified peer support specialists and school employees assisting with a 17
peer-to-peer mental health support program that is awarded a grant pursuant to 18
this section shall receive training in the following: 19
(1) empathetic listening; 20
(2) enhancing protective mental health factors; 21 BILL AS INTRODUCED H.323
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(3) recognizing and appropriately responding to risk factors and warning 1
signs associated with mental health and substance misuse challenges, including 2
co-occurring challenges; 3
(4) connecting students with professional mental health services and 4
recovery supports, as necessary; and 5
(5) any other areas included in the National Model Standards for Peer 6
Support Certification of Substance Abuse and Mental Health Services 7
Administration. 8
(d) On or before January 1, 2030, the Agency of Education, in 9
collaboration with the Department of Mental Health, shall submit a report to 10
the House Committee on Health Care and to the Senate Committee on Health 11
and Welfare evaluating the efficacy of the program, including: 12
(1) student participation in the program; 13
(2) the efficacy of the training provided to participating certified peer 14
support specialists and school employees assisting with the program; 15
(3) the percentage of students participating in the program who reported 16
improved mental health outcomes; and 17
(4) the number of participating students connected with professional 18
mental services due to program participation. 19 BILL AS INTRODUCED H.323
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(e) In fiscal year 2027, $10,000.00 is appropriated from the Mental Health 1
Innovation Special Fund established pursuant to 18 V.S.A. § 7116 to fund the 2
grants awarded pursuant to this section. 3
* * * Effective Date * * * 4
Sec. 9. EFFECTIVE DATE 5
This act shall take effect on July 1, 2025. 6