Senate moves forward on VHEARTH plan to restructure emergency shelter system and fund services

The Vermont Senate on the morning calendar advanced H.91, creating the Vermont Housing Emergency Assistance Responsive Transition to Housing program (VHEARTH), and voted to propose to the House amendments recommended by the Senate Committee on Health and Welfare.

The bill, described in committee as a statewide restructuring of emergency housing and services, would replace the current General Assistance (GA) emergency housing model and aim to reduce reliance on hotel and motel placements while expanding coordinated shelter, case management and pathways to permanent housing. The Senate roll-call vote to propose the committee’s amendments was 17 in favor and 13 opposed; the body also ordered a third reading.

Senator John Lyons, reporting for the Committee on Health and Welfare, said the measure “restructures the general assistance program and provides coordination of programs that help those who are homeless or at risk of being homeless and reduce dependence on our critically inefficient hotel motel program.” He described the legislation as a multi-year plan to build regional capacity through community action agencies, a statewide organization for population-specific services (for example, survivors of domestic violence), and regular needs assessments.

Senator Chris Gulick (Chittenden Central) outlined the program’s structure, which the bill labels “VHEARTH.” He said the bill adds a new chapter to 33 V.S.A. that establishes regional advisory councils, requires DCF to select authorized community action agencies to operate core services, and creates reporting, reauthorization and corrective-action processes. Gulick summarized core services including intake and assessment, individualized household plans, landlord outreach and support for transitions to permanent housing.

Committee and appropriations provisions in the bill include a one-time $10 million allocation in fiscal 2026 with the following breakdown in the bill and committee reports: $5,000,000 for planning and implementation held in DCF, $3,000,000 to enhance shelter and permanent supportive housing capacity, $1,000,000 for municipal grants for planning and services, $515,000 to Bridges to Health (migrant-serving health services), $400,000 for the statewide organization serving households experiencing domestic and sexual violence, and $500,000 for DCF system-transformation contracts. The Senate Appropriations Committee reported support for the Health and Welfare recommendations by a committee vote reported as 6-0-1.

Senators on the floor pressed for details on oversight, standards and metrics. One senator questioned whether shelters and hotel/motel operators would be required to meet published standards; Lyons and Gulick said DCF and AHS would adopt rules, require reporting and could replace a community action agency that failed to meet obligations. Lyons acknowledged limits on longitudinal metrics: "it's really hard to follow people after they leave a homeless environment," but said the bill requires quarterly and periodic reporting on outcomes, bed capacity and diversions.

The bill sets phased effective dates: many program elements would take effect July 1, 2025, with additional statutory changes and a GA transition window through 2026–2027. The committee also directed DCF, by October 1, 2025, to submit an implementation timeline and by January 15, 2026, to submit interim needs assessments and funding recommendations to inform the fiscal process.

Supporters emphasized Housing First principles and regional coordination. Committee materials the reporter read cited a January 20, 2025 point-in-time snapshot that listed vulnerable subgroups (for example: 256 children; 138 people age 65 and older; 365 people with disabilities) totaling 1,529 in selected vulnerable categories, and stated statewide counts approaching several thousand people experiencing homelessness; the transcript also records 618 shelter beds as of January 28, 2025. The committee report and multiple written testimonies—submitted by community action agencies, shelter providers and the Vermont Housing & Conservation Board—are referenced in the bill package.

The Senate’s formal action was a roll-call vote to propose the Health and Welfare committee amendments to the House, which passed 17–13. A subsequent voice vote ordered the bill read a third time and sent it forward for additional floor consideration.

The bill will return to the House with the Senate’s proposed amendments; DCF must continue rulemaking and reporting as the VHEARTH framework is implemented.

Votes at a glance: the Senate proposed to the House to amend H.91 (committee recommendation) — roll-call 17 yes, 13 no; Senate ordered third reading (voice vote).