Vermont regulators approve hospital budgets to curb healthcare costs

The Green Mountain Care Board has approved budgets for Vermont’s 14 hospitals, implementing a state-wide effort to reduce healthcare costs by limiting what hospitals collect from commercial insurers. Most hospitals were directed to reduce both their prices and total collections from commercial insurers by approximately 1 percent, though some exceptions were made based on financial health and access to essential services. The University of Vermont Medical Center received the largest price cut at 4.4 percent.

Brattleboro Memorial Hospital (BMH) was granted level funding for its proposed $122.5 million budget for fiscal year 2027. Regulators advised level funding due to reporting inconsistencies and requested that hospital leadership return in the fall with updated information.

To support the continuation of its Birthing Center, the board approved a motion allowing BMH to apply increased commercial reimbursement rates for perinatal, obstetric, and pediatric services, up to 350 percent of the Medicare base rate, provided the center remains operational.