Appropriations panel agrees to end $20.25 million T‑Fund transfer to state police, flags transportation shortfall

Members of the Vermont House Appropriations Committee agreed on March 12 to remove a long‑standing annual transfer of $20,250,000 from the state’s transportation cash fund (the “T Fund”) to the state police from the House draft FY2026 budget.

The committee discussion centered on whether the T Fund could spare the transfer without jeopardizing the state’s ability to match federal transportation grants. Chris (Joint Fiscal Office) told the committee, “JTOC transfer is really not a transfer, and it really has nothing to do with JTOC anymore,” and explained the governor’s proposal would keep the $20,250,000 in the T Fund rather than moving it to state police funding. Joint Fiscal staff and transportation witnesses warned that removing state match dollars would force cuts or delays in federally‑funded capital projects…