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House Health Care Committee amends S.126 to require 2.5% hospital spending cut, reports bill favorably to appropriations
Summary
The House Health Care Committee amended S.126 (draft 3.2/3.3) to direct the Agency of Human Services to convene health care providers and achieve at least a 2.5% reduction in hospital spending for fiscal year 2026; the committee voted to report the bill favorably to the Appropriations Committee.
Montpelier — The House Health Care Committee on Oct. 11, 2025, amended S.126 and voted to report the bill favorably to the Appropriations Committee after adopting draft 3.2 (later cleaned to 3.3).
The measure directs the Agency of Human Services (AHS) to facilitate collaboration among hospitals and other health-care providers to develop rapid responses to fiscal pressures, identify efficiency opportunities, improve quality, reduce prescription drug spending and increase access to essential services. The draft instructs AHS to aim to reduce hospital spending for fiscal year 2026 by not less than 2.5% and to supervise participants’ involvement so the collaborative process can be afforded state-action immunity under applicable federal and state antitrust laws.
The draft language was presented to the committee…
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