Capitol Beat: Scott's veto signatures piling up

Gov. Phil Scott has been busy signing legislation into law recently. He also has been giving his veto pen a workout.

On June 16, the Governor vetoed S.190, An act relating to reference-based pricing and the Green Mountain Care Board.

"All Vermonters are impacted by Vermont's health insurance costs — individuals, small and large businesses, public employee plans, and nonprofits — and the Legislature must focus on system-wide savings for all, consistent with the GMCB's statutory purpose. By vetoing S.190, the savings generated by the Board's 2027 hospital revenue reductions will apply to all Vermonters paying for insurance, including those few who benefit from the passage of this bill."

"Families on the individual exchange lost more than $60 million in federal subsidies on January 1 when the Trump administration let the enhanced tax credits expire," said Rep. Lori Houghton, Democratic House Majority Leader. "Hospitals are now absorbing millions in uncompensated care as Vermonters drop coverage or pick plans with deductibles they can never hope to pay. S.190 was a meaningful solution to some of those pressures. This veto answers none of it."

"There is nothing fair about handing every Vermonter pennies while the families being priced out of coverage get nothing at all," added Sen. Ginny Lyons, chair of Senate Committee on Healthcare. "S.190 would have lowered premiums for the people who need it most and eased the property tax pressure the rest of us are buckling under. Apparently the Governor didn't think real relief was fair."

State Auditor Doug Hoffer said this week, "We were disappointed to learn ... the Governor vetoed legislation that would have provided broad property tax relief to homeowners and renters and made health insurance more affordable for Vermonters who were hit worst by Congress's failure to extend premium subsidies."

Hoffer said five years ago, his office introduced to legislators and the administration the concept of "reference-based pricing," a tool that lowers the amount paid for some excessively-priced medical services while pushing health care providers to operate more efficiently.

"We estimated that if reference-based pricing was applied to the state employee health plan, the state would save more than $16 (million) annually," he said.

"Lowering health care costs through reference-based pricing was an opportunity to make Vermont more affordable for all Vermonters now not later. Everyone who pays a property tax bill or sends a rent check, and everyone who faces sticker shock due to Congress pulling the rug out from exchange subsidies, would have seen relief," Hoffer said.

The Vermont-NEA chimed in as well, saying that by vetoing a measure that would save millions of dollars in healthcare costs — and relieve pressure on the education property tax — Scott "showed his affordability agenda is nothing but hot air, according to the state's largest union."

"We can't believe that after all of his platitudes about making Vermont more affordable, the governor said 'no' to saving Vermonters tens of millions of dollars and reducing pressure on education property taxes," said Don Tinney, a high school English teacher who serves as the elected president of Vermont-NEA. "He had a chance to show Vermonters he means what he says about affordability. He blew it." Also this week, Scott vetoed H.710, An act relating to defining electricity generating facilities.

"Working towards a cleaner and more resilient energy future is important to Vermont's economy, security, and environmental goals. However, we must do so in a manner that respects Vermont communities and the people most directly affected by industrial energy projects," he wrote in his veto letter. "This is why for the last 10 years, my Administration has been clear, our local communities should be given great weight in both legislation and with the PUC when the expansion of industrial wind on Vermont's ridgelines could be the outcome."

Also on June 17, he vetoed H.817, An act relating to regulating the use of artificial intelligence in the provision of mental health services.

"This bill requires the Department of Mental Health, together with the Agency of Education, to make a proposal in its fiscal year 2028 budget for funding mental health literacy and peer-to-peer programming. As the Legislature knows, the Legislature cannot dictate to the Governor what will be funded in the Governor's proposed budget. This is a clear separation of powers violation," he wrote in his veto letter. "Fortunately, the Department of Mental Health and the Agency of Education, which support the development of mental health literacy and peer-to-peer programming in schools, can make policy and budget recommendations to the Governor in connection with the 2028 budget development process without legislative direction."

On June 18, Scott vetoed S.230, An act relating to fair employment practices. "This bill was in response to the Vermont State Employees Association's (VSEA) desire to limit the access of other labor organizations to Department of Corrections (DOC) employees for union organizing purposes. This legislative intervention blatantly favoring one union over others would circumvent the rights of DOC employees to form and join a union of their own choosing," he wrote.

So far this year, Scott has issued six vetoes. No word on a veto session of the Legislature.

Mahdawi and Welch

U.S. Sen. Peter Welch, alongside Sens. Chris Van Hollen, a Maryland Democrat and Dick Durbin, an Illinois Democrat, the Knight First Amendment Institute, and Mohsen Mahdawi, a Vermonter and Columbia University student targeted by the Trump administration for exercising his free speech rights, held a news conference following a congressional briefing on threats to freedom of speech in the United States, including the Trump administration's use of immigration authorities to target noncitizens because of speech and association the government dislikes.

In his remarks, Welch highlighted the Land of the Free Act, bicameral legislation led alongside Sen. Alex Padilla, a California Democrat, which confronts President Trump's reckless attacks on freedom of speech against visa-holders and legal permanent residents.

"Whenever there is stress in the country, it is a time of maximum jeopardy for the right to free speech, and it often starts with the most vulnerable members of our society," he said. "The notion that a president can deport someone for speaking out against his administration is extraordinarily contrary to the rights we have in the United States to speak our minds."

"This is a matter that would affect the DNA of this country; that would affect millions of students who are afraid to say their mind right now on university campuses; that would affect more than 13 million green card holders; that would affect every visa holder in this country — and it will not end here," said Mahdawi. "I'm grateful for the deep faith that senators here and many others have continued to give me; I'm grateful for the hope, and I believe in the land of the free; I believe that on American soil, under the American flag, injustice will not be tolerated, and this must be stopped."

Outdoor recreation

The Department of Forests, Parks and Recreation has awarded more than $3 million to municipalities and nonprofits to revitalize local parks and improve trail access across Vermont.

The grant awards came from two federal programs: the Land and Water Conservation Fund funded by the National Parks Service and the Recreational Trails Program supported by the Federal Highway Administration. FPR administers both grant programs.

Between the two programs, 12 counties received funding for various recreation projects. Of the recipients, 10 municipalities were awarded over $2.7 million in LWCF funds to enhance public recreation facilities and areas. Funded projects included park improvements at Bradford Elizabeth's Park, installation of a recreation park shelter in East Montpelier, and construction of multi-use community courts in Wolcott.

In addition, six municipalities and six non-profits received nearly $550,000 in federal RTP and some state funds to support the development and restoration of public recreation trails. Projects included the construction of an accessible trail loop in Lunenburg, Oak Hill Trails trail improvements by Windham County Trails Alliance (a Vermont Mountain Bike Association), and a trail inventory and connectivity planning in Morristown.

Federal contracts

U.S. Sen. Welch joined some fellow Democratic senators in demanding answers about the Trump administration's awarding of millions in federal contracts to Event Strategies, Inc., the event management firm that organized the rally used to incite the Jan. 6, 2021, insurrection on the U.S. Capitol. Since January 2025, ESI has received more than $22 million in taxpayer-funded contracts, including for events associated with the country's 250th anniversary.

In their letter to White House Chief of Staff Susie Wiles, the senators requested detailed information regarding the administration's policies and practices in awarding federal contracts and any guardrails in place to prevent potential conflicts of interest.

"Through this concerning pattern of behavior, the Trump administration continues to send Americans a clear message: it is willing to reward loyalty with political and economic favoritism at taxpayers' expense. The American people deserve an administration committed to transparency, responsible spending of taxpayer funds, and meritorious awarding of federal contracts, regardless of political association," wrote the senators.

The senators noted: "Through this concerning pattern of behavior, the Trump administration continues to send Americans a clear message: it is willing to reward loyalty with political and economic favoritism at taxpayers' expense. The American people deserve an administration committed to transparency, responsible spending of taxpayer funds, and meritorious awarding of federal contracts, regardless of political association."

Canvassing plug

The Vermont Public Interest Research Group this week kicked off its "Democracy Vermont" summer outreach campaign today at an event at Roosevelt Park in Burlington.

VPIRG is among the most well-known public interest advocacy organizations in the state, and each summer sets out to connect with tens of thousands of Vermonters at their homes.

This summer's VPIRG campaign aims to mobilize thousands of Vermonters in defense of democracy, civil rights, and community through grassroots organizing, digital action, and voter engagement. The kickoff event featured Attorney General Charity Clark, VPIRG staff, and more than 80 summer canvassers, along with a nearly 20-foot-tall inflatable Statue of Liberty proudly displayed.

"Our democracy is being threatened by our own government," said Paul Burns, executive director of VPIRG. "This is no time to give up or give in. This is no time to lose hope because let's be clear, that is what those who are threatening our democracy want. This campaign is fueled by hope and sustained by the support of thousands of Vermonters from one end of the state to the other. Our dedicated canvassers are making a difference — giving our democracy a boost — one conversation at a time."

NBRC awards

The Governor and the state's congressional delegation this week announced the Northern Border Regional Commission awarded $7.6 million to Vermont communities and organizations from NBRC's Catalyst Program. "These are important investments and will help us continue revitalizing rural parts of the state," said the Governor.

The projects include: Canaan Fire District #2 ($545,572); City of Newport ($3 million); Northeastern Vermont Development Association ($500,000); Swanton Village ($1,638,329); Town of Danville ($444,955); Vermont Agency of Transportation ($500,000); Vernon Advent Christian Home ($1 million).

The Northern Border Regional Commission is a federal-state partnership in Maine, New Hampshire, Vermont, and New York designed to stimulate economic growth and inspire collaboration to improve rural economic vitality across the four-state NBRC region.

McClure appointed

On Friday, Gov. Phil Scott announced Kristin McClure will take over as Department of Human Resources Commissioner as Beth Fastiggi steps down on June 27.

McClure has served as deputy secretary of the Agency of Human Services since July 2024.

Fastiggi has served as commissioner since 2017, supporting critical initiatives, including the Governor's voluntary paid family leave program which covers all state employees and is open to the private sector, the State's management of the COVID-19 pandemic from a state human resources perspective, and more.

"I appreciate Beth's service to Vermont and her work over nearly a decade on my team," said Governor Scott. "She and her team helped us support state employees through unprecedented circumstances, and I wish her the best in her next endeavor."

Compiled by the staffs of The Times Argus and Rutland Herald.