Institutions Committee reviews DOC FY26 budget; raises staffing, contract and pretrial expansion questions

The Institutions Committee spent substantial time on Feb. 18 reviewing the governor’s proposed FY26 Department of Corrections budget, which DOC staff said would raise the department’s total to roughly $230 million — an increase the department attributed primarily to collective bargaining adjustments, overtime pressures and other operating costs.

Kristen, a DOC budget presenter, walked committee members through the proposals and line items, including a $31.6 million, or about 15.8 percent, year‑over‑year increase to the department’s overall budget. She said general fund makes up about 95 percent of DOC’s request and flagged internal service fund charges and the annualization of salary and benefits as upward drivers.

Key budget drivers discussed:

- Overtime and vacancy dynamics: DOC officials told the committee that vacancy savings shown on paper are frequently backfilled with overtime. DOC identified an overtime request of about $6.6 million to account for operational needs while vacancy savings were also recorded in the proposed budget.

- Collective bargaining: The department said much of the near‑term increase reflects annualization and rightsizing to a recently negotiated collective bargaining agreement; committee members were reminded that one‑time side letters and negotiated incentives can further affect year‑to‑year costs.

- Wellpath health contract: DOC staff said the health services contract (Wellpath) saw increases in year‑three of the contract; the three‑year contract totals roughly $113 million across its term, and the FY26 step is reflected as a multi‑million dollar increase in the operating line.

- Pretrial supervision expansion: The governor’s proposal includes $650,000 to expand the statewide pretrial supervision pilot. DOC said the initial $650,000 funds several positions and equipment and that an additional $650,000 would bring the program toward statewide coverage; committee members asked how many officers per county would be required and how caseloads would be managed.

- Out‑of‑state beds and federal detainees: DOC reported its out‑of‑state bed appropriation and usage remain a recurring line item; the department budgets about $4.1 million for contracted out‑of‑state beds (an operating baseline reflecting roughly 137 bed units depending on mix of general vs. MAT beds). Committee members also noted DOC houses federal detainees under a separate arrangement (federal marshals) and asked about per‑diem and capacity — DOC said it currently houses about 67 federal detainees with a contract cap higher than actual use.

Operational and program notes: committee members asked about the underused St. Johnsbury work camp (DOC said census there was roughly in the low‑40s of about 100 beds), the status of vocational shops and the plate shop, commissary funds, and the department’s use of ARPA funds in prior years and how those restorations are reflected in the FY26 general fund baseline.

Committee direction and next steps: the committee identified liaisons to Appropriations (Kevin and Sean) to follow up on specific items, requested more granular cost and staffing estimates for proposals that would carry recurring costs, and asked DOC to supply additional data on metrics such as marginal cost per treatment bed and comparable community program costs to inform the committee’s recommendation to the Appropriations Committee due Feb. 26.

Ending: DOC staff told the committee they are prepared to provide more detailed one‑on‑one briefings and to return with further breakdowns; committee members signaled they will refine language accompanying any recommendation, with an expectation to track the proposed $300,000 study alongside the larger FY26 request.