House Democrats Condemn Governor’s Veto of Budget Adjustment Act, Urge Action to Protect Vulnerable Vermonters

Montpelier, VT — Vermont House Democrats held a press conference at the Statehouse on Tuesday afternoon to respond to Governor Phil Scott’s veto of the Budget Adjustment Act (BAA) and highlight the urgent need to protect the state’s most vulnerable residents.

The House-passed BAA incorporated 99% of the Governor’s proposed changes, demonstrating a strong commitment to compromise. However, House Democrats insisted on modest but critical provisions to support affordable housing initiatives and extend emergency shelter assistance through June 30. The Governor’s veto, on the other hand, disregards the immediate needs of hundreds of Vermonters, including children, veterans, and individuals with disabilities.

“We have been asking the Governor for four years to develop a plan to transition away from the hotel/motel program and create a long-term solution to homelessness,” said Rep. Robin Scheu, Chair of the House Committee on Appropriations. “For four years, we have received nothing. Instead of working with us on a path forward, he vetoed the BAA over three more months of shelter for people who have nowhere else to go.”

The House’s budget included $1.8 million in repurposed, available funds to continue the program, preventing families, veterans, and individuals who rely on refrigerated medications from being forced into homelessness. The administration has since proposed a partial concession—allowing families with children to remain housed—but leaving pregnant women, domestic violence survivors, and disabled veterans without shelter.

“It’s ironic that the Governor has proposed a tax exemption for military retirees with pensions but refuses to support homeless veterans who also served their country,” Scheu added. “Compromise should mean both sides come to an agreement—not that one side gets 100% of what they want while vulnerable Vermonters pay the price.”

House Democrats reaffirmed their commitment to keeping the full hotel/motel program in the Budget Adjustment Act through June 30, ensuring a stable transition until a long-term housing solution is implemented in FY27. They warned that the Governor’s insistence on rejecting these provisions has forced unnecessary delays in funding critical affordable housing projects.

“We had a responsible way to fund both emergency shelter and long-term housing,” Scheu stated. “The Governor’s refusal to compromise has left us making choices that ultimately hurt those most in need.”

The House is now working to pass a revised Budget Adjustment Act, maintaining their commitment to Vermonters who rely on these essential services.