Department for Children and Families outlines FY26 budget, highlights homelessness aid, childcare funding swap and falling custody caseloads

The Department for Children and Families told the House Appropriations Committee on Feb. 4 that its proposed fiscal year 2026 budget shows small net growth overall while shifting some costs between funding sources and adding both one-time and base investments to homelessness and shelter programs.

"DCF is a large and complicated budget within a large and complicated agency," said Chris Winters, commissioner of the Department for Children and Families, introducing the presentation. Winters and Megan Smeaton, DCF financial director, walked lawmakers through revenue sources, caseload changes and program-level adjustments across DCF’s divisions.

At a glance, DCF said the FY26 proposal represents a 3.5% decrease to general fund support for the department’s base, a 1% increase to global commitment funding and an overall 3.3% increase to the total budget. The department’s base staffing count is 989 positions; including temporary and limited-service roles, DCF said the total exceeds 1,000 employees.

Why it matters: DCF runs programs that reach hundreds of thousands of Vermonters, including SNAP benefits, LIHEAP energy assistance, TANF-related services, child care subsidies and child-welfare services. Changes in federal reimbursement rates, caseloads and one-time federal dollars have driven several technical and programmatic adjustments in the agency’s proposal.

Emergency housing and shelter funding

The department proposed a $30.5 million one-time general fund appropriation to continue the emergency housing (hotel‑motel) program under current rules, and it included a $7.5 million base for the program. Winters told the committee that DCF’s current-year spending on the…