Lawmakers previewed H.426 — a multi-section transportation bill — and discussed a range of possible policy and funding priorities, including electric-vehicle charging, a proposed retail delivery fee, and funding for vehicle-incentive programs, at a committee meeting on Feb. 28, 2025.

The sponsors described H.426 as a package of separate sections rather than a single proposal, saying some items are likely to be pursued while others are included for committee discussion. Committee members agreed to defer portions that require additional agency testimony or fiscal analysis. The Agency of Commerce and Community Development (ACCD) was rescheduled to testify about how revenue from an EV registration fee could be used for Level 1 and Level 2 chargers; committee staff said that ACCD’s testimony must be received before final decisions are made on an estimated $1,400,000 and its destination.

Sponsors outlined spending and policy options in the draft: proposals cited included funding for multiple vehicle-incentive programs (a previously-proposed $6 million for a plug-in electric vehicle program, $1 million for a “replace your ride” measure, and a $3 million proposal for a low-income mileage program), a $250,100 request for Drive Electric Vermont to expand education and outreach, and municipal stormwater and highway-matching fund relief. The bill would also seek to direct retail-delivery fees and consider whether revenues should flow to town highway aid or the state transportation fund; the committee asked the Agency of Transportation and the Tax Commissioner to provide implementation details, including collection mechanics and exemptions.

Other policy sections discussed include:
- “Right to charge” provisions aimed at easing tenant access to charging in multiunit housing and common-interest communities, with sponsors describing a framework that would allow installation (often with a tenant responsible for installation and removal costs) while stopping short of an absolute mandated right.
- A requirement that public chargers accept credit cards or other common payment methods to improve usability for customers who do not use vendor apps.
- Direction to research and use state rights-of-way and locations with three-phase power to site public charging in downtowns and village centers.
- A proposal to shift some state transportation performance measurement toward vehicle-miles-traveled (VMT) and related walk-bike-transit metrics in designated centers, coordinated with ongoing state land-use mapping and standards.
- Measures to reduce matching-fund barriers for rural towns and to ease historic-preservation compliance costs that can inflate projects such as sidewalks.
- Flexibility for municipalities on speed limits to support walkable, economically productive downtowns.

Committee members repeatedly emphasized that the document presented was a set of proposals for consideration rather than final policy, and that the committee would choose which sections to advance after hearings and fiscal work. Sponsors said the bill contains sections that could be folded into separate legislation (for example, into the DMV bill) or kept in H.426 depending on committee preferences.

Several members asked for more detailed fiscal information and testimony from agencies before committing dollars. Sponsors acknowledged a shifting federal and funding landscape that is affecting several items in the draft and said they will bring the bill back for a section-by-section review when ACCD and other agencies can appear.

The committee set next steps: ACCD will be invited to present on the EV registration fee and planned uses; legislative counsel will walk the committee through the text of H.426 when the panel reconvenes; and sponsors will prioritize sections for further testimony. No formal votes were taken on H.426 at this meeting.