Vermont Business Magazine Speaker of the House Jill Krowinski provided a statement and media availability following the House vote and proposal of the new Budget Adjustment Act (H.489). The bill passed 91-55. The original bill was vetoed by Governor Phil Scott on March 14, 2025. He disagreed on several line items in the $163 million bill (which updates the $8.6 billion FY2025 budget passed last spring). His veto centered on funds for the continuation of the hotel/motel program for the homeless through the end of the fiscal year at the end of June. The new BAA would extend the program but use existing funds instead of a new allocation as in the vetoed bill.
The Legislature is expected to present a new housing plan in the FY2026 budget "Big Bill" for passage this spring.
TRANSCRIPT FROM SPEAKER OF THE HOUSE JILL KROWINSKI MEDIA AVAILABILITY ON HOUSE PASSAGE OF REVISED BUDGET ADJUSTMENT ACT
“Today, we voted on a new Budget Adjustment Act—one that reflects conversations with the Governor and his administration and our shared recognition of the instability in Washington D.C.
"We made hard choices. We heard the Governor’s concerns and made real compromises—setting aside additional funding for affordable housing and flood recovery, even though these are widely shared, bipartisan priorities. We revised language, removed proposed positions, and moved to the Governor’s position more than once to keep negotiations alive. While it was a difficult choice for many members, that’s what it takes to govern. We gave ground—not because it was easy, but because we believed it might lead to agreement.
"Our final point of disagreement is whether we continue to shelter our most vulnerable Vermonters. When we learned it was possible to continue sheltering children and families, veterans, pregnant women, domestic violence survivors, and disabled Vermonters at no new cost to the state, we believed we had found a reasonable middle ground.
"It wasn’t.
"Despite our shared priorities, the Governor has still not presented a responsible and compassionate transition plan. He’s right—he and I both agree the motel system is not a long-term solution. A change is coming. He knows that, just as I do.
"But change takes time. And for five years, we’ve asked the Governor for a practical transition plan. When it didn’t come, the Legislature stepped up. Just yesterday, a bill passed out of committee that begins the shift from motels to a community-based, service-supported housing model—a long-term solution that will truly help Vermonters get back on their feet. A real transition. A real future.
"Snow is still falling. Kids are still in school. And without this brief extension, the human consequences will be visible on the streets of Vermont. That’s not fiscal responsibility—that’s moral failure.
"You can end a program. But you can’t end the need.”
Transcript continued: Questions from Press
Q: What is your office's strategy moving forward?
A: I'm completely willing to hear more ideas from the administration. But I want to be clear—we’ve given and given, and we don’t know what else there is to give. We are always willing to listen, but we’re at a critical point.
Q: What is your confidence level that the Governor won’t veto this bill again?
A: That’s a question for the Governor. He needs to decide whether he’s willing to meet Vermonters where they are.
Q: What else are you planning to mitigate some of the issues we’re seeing?
A: We’re taking a close look at what happens if this budget adjustment doesn’t pass—what programs are impacted, and how Vermonters will be affected. For now, we’ve made our position clear, and I hope the Governor will join us in finding a real path forward.
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