House adopts FY26 budget, approves contingency and one‑time tax relief and sends H.493 to governor

The Vermont House of Representatives adopted the committee of conference report for the fiscal year 2026 budget, voting 132–3, and ordered House Bill 493 delivered to the governor forthwith. The chamber approved the conference report after extended debate about one‑time revenue, federal funding risks and targeted reservations for education and emergency response.

The conference report, negotiated by six conferees and reported unanimously by the committee of conference, transfers $77,200,000 to the education fund to help stabilize property taxes for one year, removes a previously planned $20,000,000 JTOC transfer to the transportation fund, and leaves roughly $2,500,000 of available revenue unspent as a contingency. The agreement also sets aside $50,000,000 for the Agency of Administration to transfer to the Emergency Board if federal funds are reduced while the General Assembly is not in session, and reserves two separate $30,000,000 amounts in the general fund for future appropriation or transfer to address federal funding shortfalls or other priorities.

Member from Middlebury, the lead conferee presenting the report, said the committee worked with administration officials, standing committees and many stakeholders to reach a unanimous recommendation. The member asked that the final vote be taken by roll call. "The vote of the Committee of Conference was a 6 0 unanimous vote, and we ask the body to support your house team by voting yes," the member said.

Member from Chittenden, who spoke in support on the floor, summarized the report as broadly balanced: "The bill before you is not perfect, but it is a really good compromise on so many fronts." Several members praised the Joint Fiscal Office for detailed modeling and fast work during the conference process.

Some members urged caution about relying on one‑time funds. When the member from Burlington asked what would happen to property taxes in the year after the one‑time transfer, the conferee responded that the outcome is uncertain, noting several pending pieces of legislation and an unclear revenue forecast. Members raised concerns that short‑term tax relief could leave future legislatures with fewer options if revenues fall.

The conference report also includes a provision allowing the administration or the joint fiscal committees to address federal fund reductions within specified thresholds and describes triggers for returning the General Assembly to adjust appropriations if needed. The report moves certain amounts tied to bills still pending on the floor into separately fenced allocations so that if those bills pass their money is available, and if they fail the funds revert to the bottom line.

After the roll call, the clerk announced the final tally: 132 yes, 3 no. The House then voted to deliver H.493 to the governor. Member from Poultney moved that the bill be sent forthwith; the motion carried by voice vote. The House adjourned with a reminder that legislators would reconvene Friday morning for additional business and a caucus on housing.

The House debate and votes recorded here were limited to adopting the committee of conference report and ordering delivery to the governor; specific implementing language and the governor's action on H.493 are not recorded in this session's transcript.