Vermont 2025-2026 Regular Session

Vermont Senate Bill S0001 Compare Versions

Only one version of the bill is available at this time.
OldNewDifferences
11 BILL AS INTRODUCED S.1
22 2025 Page 1 of 5
33
44
55 VT LEG #378801 v.1
66 S.1 1
77 Introduced by Senators Vyhovsky, Gulick, Watson and White 2
88 Referred to Committee on 3
99 Date: 4
1010 Subject: Health; Medicaid; eligibility 5
1111 Statement of purpose of bill as introduced: This bill proposes to provide 6
1212 Medicaid-equivalent coverage to all Vermonters by age bands over time, 7
1313 regardless of household income. It would direct the Agency of Human 8
1414 Services to seek approval for federal financial participation in the expanded 9
1515 coverage, with the State paying the full amount if the federal government does 10
1616 not approve the request. The bill would direct the Agency of Human Services 11
1717 and others to develop cost estimates for the Medicaid-equivalent coverage and 12
1818 a detailed implementation plan. The bill would also require the Department of 13
1919 Taxes to report on potential payroll tax design options to support the State’s 14
2020 financial obligation in providing the Medicaid-equivalent coverage, both with 15
2121 and without the federal funding. 16
2222 An act relating to providing Medicaid-equivalent coverage to all 17
2323 Vermonters 18 BILL AS INTRODUCED S.1
2424 2025 Page 2 of 5
2525
2626
2727 VT LEG #378801 v.1
2828 It is hereby enacted by the General Assembly of the State of Vermont: 1
2929 Sec. 1. 33 V.S.A. chapter 18, subchapter 3 is added to read: 2
3030 Subchapter 3. Medicaid-Equivalent Coverage 3
3131 § 1851. MEDICAID-EQUIVALENT COVERAGE FOR ALL VERMONT 4
3232 RESIDENTS 5
3333 The Agency of Human Services shall provide hospital, medical, dental, and 6
3434 prescription drug coverage equivalent to coverage in the Vermont Medicaid 7
3535 state plan to all Vermont residents, regardless of their household income, as 8
3636 follows: 9
3737 (1) to individuals up to 26 years of age, for coverage beginning in 2029; 10
3838 (2) to individuals who are not less than 55 years of age and not more 11
3939 than the age of eligibility for the federal Medicare program, for coverage 12
4040 beginning in 2030; 13
4141 (3) to individuals who are not less than 45 years of age and not more 14
4242 than 54 years of age, for coverage beginning in 2031; 15
4343 (4) to individuals who are not less than 35 years of age and not more 16
4444 than 44 years of age, for coverage beginning in 2032; and 17
4545 (5) to individuals who are not less than 26 years of age and not more 18
4646 than 34 years of age, for coverage beginning in 2033, at which time all 19
4747 Vermont residents shall be eligible for coverage. 20 BILL AS INTRODUCED S.1
4848 2025 Page 3 of 5
4949
5050
5151 VT LEG #378801 v.1
5252 Sec. 2. GLOBAL COMMITMENT WAIVER AMENDMENT 1
5353 (a) On or before September 1, 2025, the Secretary of Human Services shall 2
5454 request approval from the Centers for Medicare and Medicaid Services to 3
5555 amend Vermont’s Global Commitment to Health Section 1115 Demonstration 4
5656 Waiver to make all Vermont residents eligible for hospital, medical, dental, 5
5757 and prescription drug coverage equivalent to coverage in the Vermont 6
5858 Medicaid state plan, regardless of income, as set forth in 33 V.S.A. § 1851. 7
5959 (b) In the event that the Centers for Medicare and Medicaid Services does 8
6060 not approve Vermont’s request for federal financial participation in providing 9
6161 Medicaid-equivalent coverage to all Vermonters, regardless of income, the 10
6262 coverage shall be funded with State-only dollars. 11
6363 Sec. 3. AGENCY OF HUMAN SERVICES; COST ESTIMATES; 12
6464 IMPLEMENTATION PLAN; REPORT 13
6565 (a) The Agency of Human Services, in consultation with the Green 14
6666 Mountain Care Board and the Department of Financial Regulation, shall: 15
6767 (1) estimate the costs of providing hospital, medical, dental, and 16
6868 prescription drug coverage equivalent to coverage in the Vermont Medicaid 17
6969 state plan to all Vermont residents as set forth in 33 V.S.A. § 1851, including 18
7070 the amount of State funds that would be required to support the program 19
7171 through full implementation in 2033 both with and without federal Medicaid 20
7272 dollars; 21 BILL AS INTRODUCED S.1
7373 2025 Page 4 of 5
7474
7575
7676 VT LEG #378801 v.1
7777 (2) estimate the potential cost offsets in the health care system and 1
7878 elsewhere in the economy as a result of all Vermont residents having access to 2
7979 Medicaid-equivalent coverage; and 3
8080 (3) develop and propose a detailed implementation plan for providing 4
8181 Medicaid-equivalent coverage to all Vermont residents, beginning with 5
8282 individuals up to 26 years of age in 2029 and continuing through full 6
8383 implementation in 2033. 7
8484 (b) On or before January 15, 2026, the Agency of Human Services shall 8
8585 provide its cost and cost-offset estimates and implementation plan to the House 9
8686 Committees on Health Care, on Appropriations, and on Ways and Means and 10
8787 the Senate Committees on Health and Welfare, on Appropriations, and on 11
8888 Finance. 12
8989 Sec. 4. DEPARTMENT OF TAXES; PAYROLL TAX OPTIONS; REPORT 13
9090 On or before January 15, 2027, the Department of Taxes, in consultation 14
9191 with the Agency of Human Services, shall provide to the House Committees 15
9292 on Health Care and on Ways and Means and the Senate Committees on Health 16
9393 and Welfare and on Finance options for structuring a payroll tax to generate 17
9494 the revenue necessary to support the State portion of the Medicaid and CHIP 18
9595 expansion established in Sec. 1 of this act, both with and without federal 19
9696 Medicaid dollars, based on the Agency’s cost estimates developed pursuant to 20
9797 Sec. 3 of this act and any subsequent additional fiscal analysis. The 21 BILL AS INTRODUCED S.1
9898 2025 Page 5 of 5
9999
100100
101101 VT LEG #378801 v.1
102102 Department’s report shall set forth at least three payroll tax options and shall 1
103103 include the Department’s recommendation for which option is the most 2
104104 administratively feasible for employers, employees, and the State. 3
105105 Sec. 5. EFFECTIVE DATES 4
106106 (a) Sec. 1 (33 V.S.A. § 1851; Medicaid-equivalent coverage for all 5
107107 Vermont residents) shall take effect on January 1, 2029. 6
108108 (b) The remainder of this act shall take effect on passage. 7