Vermont Business Magazine Today, the Vermont House of Representatives voted to pass S.126, an act relating to health care payment and delivery system reform, on a tri-partisan vote of 99-38. The legislation is a landmark health care reform bill aimed at reducing health care costs, improving patient access, and ensuring long-term sustainability for Vermont’s health care system.
"Our health care insurance companies, our hospital executives, and state regulators have a responsibility to come together and dive into the problem that is before us," said Vermont Speaker of the House, Representative Jill Krowinski. "Patients and health care providers are counting on a plan that outlines a path to stability, greater access to care, and at a cost that Vermonters can afford.”
S.126 tackles long-standing concerns with Vermont’s fragmented and increasingly expensive health care system by moving toward a system that rewards quality, access, and sustainability. The bill authorizes the Green Mountain Care Board to implement reference-based pricing to rein in commercial health care costs and requires a strategic redesign of how care is delivered across Vermont. It also prioritizes investments in primary care, long-term care, and workforce development, while giving hospitals and insurers new tools to reduce administrative burdens and improve affordability for patients.
“We have to act. We no longer have a choice,” said Representative Alyssa Black (D - Essex), Chair of the House Committee on Health Care. “We either work together to change course on how we deliver quality, accessible health care that Vermonters can actually afford, or the whole system will fail and we’ll be left with almost nothing. These are hard choices, but they are necessary ones.”
The bill also reinforces Vermont’s commitment to health care equity, access, and sustainability by requiring the state to track health outcomes, system performance, and cost reductions with clear public reporting.
The bill now heads back to the Senate.
To read the full text of S.126 or learn more about the legislation, please visit https://legislature.vermont.gov.
5.21.2025. Office of the Speaker
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