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AHS asks Senate Appropriations for $33.2 million in general-fund adjustments, driven by Medicaid and contractual pressures
Summary
Agency of Human Services requested a $33.2 million FY26 general‑fund budget adjustment on Jan. 8, citing Medicaid caseloads, federal-clawback timing, contract increases and shelter operations; the Department of Mental Health and other AHS units will provide department-level detail in follow-up testimony.
The Senate Appropriations Committee on Jan. 8 heard a presentation from the Vermont Agency of Human Services (AHS) on a Further Budget Adjustment Act request totaling $33.2 million in general‑fund adjustments for fiscal year 2026. Christy McClure, AHS deputy secretary, and Tracy O'Connell, AHS chief financial officer, said the request is primarily driven by Medicaid caseload and utilization pressures, contractual cost increases and several operating and one‑time items.
"For state fiscal year 26 budget, it was 5,800,000,000.0 across all funds," McClure said, and she and O'Connell framed the $33.2 million request as a roughly 2.35% adjustment relative to prior requests.…
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