Vermont healthcare budget and insurance regulation

The Green Mountain Care Board, Vermont’s health-budget authority, has implemented significant fiscal constraints on state hospitals and insurance rates.

In mid-2026, the board denied approximately $94.5 million in proposed revenue for fiscal year 2026, primarily targeting the University of Vermont Medical Center. Regulators accused the UVM Health network of diverting funds to New York facilities and suggested cutting administrative and executive pay rather than patient services. These budget decisions previously led the University of Vermont Medical Center to abandon plans for a $130 million outpatient surgical center intended to increase surgical capacity.

By August 2026, the board announced modest rate increases for 2027 health insurance marketplace plans affecting individuals and small businesses. Concurrently, regional facilities such as Brattleboro Memorial Hospital have begun budget reviews and staff cuts to achieve financial stability. On August 19, 2026, Brattleboro Memorial Hospital formally submitted a budget review specifically aimed at achieving financial stability.