Administration urges phased transition in H.91 to shift emergency housing toward regional CAPs; committee flags oversight, funding questions

The Senate Committee on Health and Welfare spent much of its hearing on H.91 discussing how the bill would reallocate existing emergency-housing resources and shift some responsibilities to community action agencies (CAPs) while preserving oversight and service continuity.

Chris Winters, commissioner of the Department for Children and Families, told the committee that a phased and measured approach is necessary so transfers of funding do not destabilize ongoing emergency programs. “We need to take a very phased and measured approach so that the funding transfers and doesn't damage other ongoing programs,” Winters said. He said Vermont has spent roughly $50 million a year on the hotel–motel emergency housing program over the last five years and that moving those resources requires careful transition planning.

Committee members and administration witnesses discussed multiple elements of the bill: a one-time $10 million infusion for start-up work, intent language that funding currently used for programs such as the General Assistance (GA) emergency housing and the Housing Opportunity Program (HOP) could be redesignated beginning in fiscal year 2027, and questions about which administrative functions and staff would move to CAPs versus remaining at state agencies.

Lily Sojourner, director of the Office of Economic Opportunity (OEO), described HOP’s existing work and recommended a cautious transition. She said the current Housing Opportunity Grant program supports roughly 35 community providers with more than $30 million in funding this year (including one-time funds) and that OEO conducts annual funding competitions, monitoring, and technical assistance for shelters and related services. “We would not focus on changes to the housing opportunity grant program next year, but instead really look at some changes maybe to general assistance and potentially utilizing and working with the community action agencies on how to make some of those changes first,” Sojourner said.

Committee members pressed for detail on administration roles and accountability. Senators sought clarity on whether the proposed CAP-centered system would replace existing local providers’ roles or function as a funding pass-through, how administrative costs and limited-service positions are counted in proposed transfers, and what performance measures or reporting the committee would receive. Winters said some GA positions could be eliminated as funds transfer, but cautioned that certain state-level administrative functions and eligibility work would remain necessary. He also suggested accelerating the statutory report timeline from February to October to give CAPs more lead time for planning.

The committee discussed program design options Winters and OEO raised: grouping similar populations in hotels to improve service delivery and safety, targeting GA eligibility more narrowly to prioritize the most vulnerable, and preserving Medicaid-funded programs such as permanent supportive housing and family supportive housing at the state level because they operate through reimbursement rather than grant agreements.

Ending: The committee did not take votes. Members asked administration staff to return with more detailed budget, staffing and implementation plans, including an inventory of positions and a clearer timeline for shifting funds and responsibilities; staff said the committee will continue discussion in subsequent meetings.