House Appropriations Committee reviews budget worksheets, identifies carryforward and tax credits as funding levers

A committee staff member (identified in the transcript as Speaker 1) opened the March 14, 2025 meeting of the House Appropriations Committee and told members the session would review their homework and updated budget worksheets.

The committee staff member said the materials show three places to find money for new spending: the governor’s one-time wish list, tax-credit changes, and carryforward balances. "So we have the 60,700,000.0 that we have on here, and then we have the tax credits," the staff member said, adding that a separate carryforward sheet lists $201,630,000.00.

Why it matters: the committee is preparing for Ways and Means and final budget negotiations. Members were asked to identify cuts and priorities this weekend so the committee can reallocate dollars from tax-credit or one-time items into other spending if desired.

Committee staff walked members through the spreadsheets, explaining that parts of the governor’s proposal are “quasi-optional” and that tax credits can be left out to free general-fund dollars. The staff member noted Ways and Means had already advanced three items (described in the packet as the “middle three”): expansions to the child tax credit, the childless EITC and a Social Security-related item, which the staff said Ways and Means had passed and which they treated as off the table for further adjustment at this point.

Staff flagged a $5.9 million reduction in the governor’s tax package as an example of funds that could be reclaimed, and reminded members the carryforward page shows transfers adding up to the $201.63 million figure with money flowing through the education fund and other sources.

Committee chairs’ priorities were summarized for members during the meeting. Examples cited by staff included food-bank grants (Vermonters Feeding Vermonters), museum funding requested by the Commerce Committee, vacancy-savings adjustments tied to transport deputies, and several education and health items that committees had marked as “could be less” or eligible for partial funding. On human services, staff identified a committee priority to use $5.8 million from childcare funding to increase infant- and toddler-care rates rather than restoring the full $19 million.

Health-care stability was raised as a crosscutting concern: staff said committees are “worried about Blue Cross, we’re worried about the hospitals” and that primary care and hospital finances factored into some requests. The staff also noted the Tobacco Fund—managed by the Department of Health—was brought up by committees but that the fund’s projected revenues and long-term solvency (possibly stressed by 2026–27) limit options for sustained spending.

Practical directions and next steps were set at the meeting. Maria (identified in the transcript as the staff member who will keep the master spreadsheet) will collect member submissions by email. Members were asked to send two things: (1) items they recommend cutting and why, and (2) items they want to add/spend and why. The staff indicated members should send prioritized lists and that submissions should be in by Monday; the committee plans to reconvene at 1:00 p.m. on Monday unless notified otherwise. "We're gonna be back here at 01:00 on Monday unless you hear that it's earlier than 1," the staff member said.

The meeting included iterative guidance about gray-highlighting items members perceived as unlikely to be funded and about using committee letters to justify partial funding requests. Staff said an editable Excel master would be circulated so members could copy and paste or submit a small spreadsheet template identifying cuts and new spending.

The meeting did not include formal votes or motions; it functioned as a working session to align committee priorities and gather member input before final budget negotiations.