Journal of the Senate

________________

Saturday, May 12, 2007

The Senate was called to order by the President.

Devotional Exercises

A moment of silence was observed in lieu of devotions.

Joint Resolution Referred

J.R.H. 39.

Joint resolution originating in the House of the following title was read the first time and is as follows:

     J.R.H. 39.  Joint resolution requesting Congress to reduce greenhouse gas emissions through the authorization of a 90,000‑pound weight limitation for all vehicles with a minimum of five axles traveling on interstate highways in Vermont.

Whereas, greenhouse gas emissions’ impact on a changing Vermont climate and economic development are a growing concern, and

Whereas, operating vehicles on the interstate highways in Vermont, instead of on state and local highways, promotes greater efficiencies and an improved quality of life, and

Whereas, the largest Vermont-based source of greenhouse gas emissions is derived from motor vehicle exhaust systems, and emissions and congestion increase in towns and villages when trucks are forced to travel on local roads instead of along the state’s interstate highways, and

Whereas, in the surrounding New England states and the state of New York, commodity shippers are authorized to ship multiple goods on different segments of those states’ interstate highways in vehicles weighing up to 90,000 pounds, and

Whereas, in Vermont, however, with the exception of shipments of water and milk, the maximum shipping weight, without a special permit, is 80,000 pounds, and

Whereas, this lower weight threshold necessitates more large freight vehicles to transport goods and, consequently, increases the amount of greenhouse gases emitted into the atmosphere and places additional wear and tear on both the interstate highways’ system and Vermont’s state and local highways, and

Whereas, interstate highways’ are built to the highest safety standards of any roads in the United States and, as demonstrated in our neighboring states, can withstand the impact of 90,000-pound vehicles traveling along their surfaces, and

Whereas, it is not equitable that haulers shipping milk or water in vehicles having five or more axles are subject to a 90,000-pound weight limitation while shipments of other commodities in these identical vehicles must abide by a lower 80,000-pound limit in Vermont, and

Whereas, in addition to the reduction in greenhouse gases, and the decreased wear and tear on state and municipal highways, the raising of the 80,000‑pound weight-hauling limitation in Vermont to 90,000 pounds would also encourage increased trans-border commerce traveling to and from Canada through the state and mean additional revenue for Vermont’s businesses, and

Whereas, these vehicles are equipped with the necessary brake and suspension systems to transport safely weight loads equal to 90,000 pounds, and

Whereas, vehicles weighing in excess of 80,000 pounds can be operated on the interstate at the present time, but only with single-trip permits, issued by the department of motor vehicles, which are both expensive and time‑consuming to obtain, and

Whereas, the efficient shipment of commodities requires reliance on a balanced transportation system that includes rail, air, and an interstate highway system that is available for commodity shipments of up to 90,000 pounds, now therefore be it

Resolved by the Senate and House of Representatives:

That the General Assembly requests Congress to grant statutory authorization permitting a 90,000‑pound weight limitation for all commodities transported in truck tractors, semi‑trailer combinations, or truck‑trailer combinations having five or more axles and traveling on interstate highways in Vermont, and be it further

Resolved:  That the secretary of state be directed to send a copy of this resolution to U.S. Secretary of Transportation Mary Peters and the members of the Vermont Congressional Delegation.

Thereupon, in the discretion of the President, under Rule 51, the joint resolution was treated as a bill and referred to the Committee on Transportation.

Joint Resolution Adopted in Concurrence

J.R.H. 42.

Joint resolution originating in the House of the following title was read and adopted in concurrence and is as follows:

Joint resolution recognizing the importance of farmers’ markets in Vermont.

Whereas, Vermonters increasingly seek fresh locally‑grown produce, and the U.S. Census of Agriculture has documented this consumer trend, reporting that Vermont’s direct food sales on a per‑capita basis are 5.5 times higher than the national average, and

Whereas, in many communities, the opportunity to purchase nutritious and wholesome Vermont agricultural products directly from the farmer producer is afforded to consumers at local farmers’ markets, and

Whereas, farmers’ markets, whose numbers have increased over 50 percent in recent years, are centers of community commerce that provide a convenient and welcomed outlet for area farmers to exercise their entrepreneurial skills while enabling customers to purchase fruits, vegetables, maple syrup, cheese, baked goods, and jams, and

Whereas, in 2005, farmers’ markets in Vermont reported net sales totaling $3,511,000.00, and

Whereas, farmers’ markets represent a unique business model whose leadership consists of volunteers, and they offer farmers the opportunity to test new products and, on occasion, farmers’ market sales result in a vendor deciding to open a permanently located facility to sell the product, and

Whereas, farmers’ markets serve as magnets for downtowns and village centers, attracting additional shoppers to stores and restaurants situated near the market as demonstrated in a survey of an August farmers’ market day in downtown Montpelier that documented $1.80 of additional spending in downtown for every dollar spent at the farmers’ market that morning for a combined total of $39,000.00 of consumer spending, and

Whereas, recognizing the mutual advantage that a farmers’ market brings to both the vendors and permanent retail establishments, municipalities, and private landowners often rent the land to the market at an extremely reasonable cost, and

Whereas, farmers’ markets are community gathering spots, serve as employment opportunities for musicians, and provide children’s activities, and

Whereas, both farmers and the cities and town hosts derive economic benefits from their association with farmers’ markets, and the consumer is the ultimate winner, bringing home the very best that Vermont agriculture has to offer, now therefore be it

Resolved by the Senate and House of Representatives:

That the General Assembly recognizes the importance of farmers’ markets in Vermont, and be it further

Resolved:  That the secretary of state be directed to send a copy of this resolution to Jessie Schmidt at the Northeast Organic Farming Association of Vermont in Richmond.

Rules Suspended; Bill Committed

S. 92.

Appearing on the Calendar for notice, on motion of Senator Shumlin, the rules were suspended and Senate bill entitled:

An act relating to groundwater mapping.

Was taken up for immediate consideration.

Thereupon, pending the reading of the report of the House proposal of amendment, Senator Lyons moved that Senate Rule 49 be suspended in order to commit the bill to the Committee on Natural Resources and Energy, with the House proposal of amendment intact.

Which was agreed to.

Recess

On motion of Senator Shumlin the Senate recessed until the fall of the gavel.

Called to Order

At 10:20 A.M. the Senate was called to order by the President pro tempore.

Rules Suspended; House Proposal of Amendment Concurred In; Rules Suspended; Bill Delivered

S. 53.

Appearing on the Calendar for notice, on motion of Senator Mazza, the rules were suspended and House proposal of amendment to Senate bill entitled:

An act relating to motor vehicles.

Was taken up for immediate consideration.

The House proposes to the Senate to amend the bill by adding a new Sec. 1 to read as follows:

Sec. 1.  23 V.S.A. § 4(73) is amended to read:

Except as may be otherwise provided herein, and unless the context otherwise requires in statutes relating to motor vehicles and enforcement of the law regulating vehicles, as provided in this title and part 5 of Title 20, the following definitions shall apply:

* * *

(73)  “Neighborhood electric vehicle” means a self‑propelled, electrically‑powered motor vehicle which:

(A)  is emission free;

(B)  is designed to carry four or fewer persons;

(C)  is designed to be, and is, operated at speeds of 25 miles per hour or less;

(D)  has at least four wheels in contact with the ground;

(E)  has an unladen a gross vehicle weight of rating less than 1,800 3,000 pounds;

(F)  conforms to the minimum safety equipment requirements as adopted in the Federal Motor Vehicle Safety Standard No. 500, Low Speed Vehicles (49 C.F.R. 571, 500).

     And by renumbering the remaining sections of the bill to be numerically correct

President Assumes the Chair

Thereupon, the question, Shall the Senate concur in the House proposal of amendment?, was decided in the affirmative.

Thereupon, on motion of Senator Shumlin, the rules were suspended, and the bill was ordered delivered to the Governor forthwith.

Recess

On motion of Senator Shumlin the Senate recessed until the fall of the gavel.

Called to Order

At 1:45 P.M. the Senate was called to order by the President.


Rules Suspended; Report of Committee of Conference Accepted and Adopted on the Part of the Senate; Rules Suspended; Bill Messaged

H. 537.

Appearing on the Calendar for notice, on motion of Senator Shumlin, the rules were suspended and the report of the Committee of Conference on House bill entitled:

An act making appropriations for the support of government.

Was taken up for immediate consideration.

Senator Bartlett, for the Committee of Conference, submitted the following report:

To the Senate and House of Representatives:

The Committee of Conference to which were referred the disagreeing votes of the two Houses upon House bill entitled:

H. 537.  An act making appropriations for the support of government.

     Respectfully reports that it has met and considered the same and recommends that the Senate recede from its proposal of amendment and that the bill be amended by striking out all after the enacting clause and inserting in lieu thereof the following:

Sec. 1.  SHORT TITLE

     (a)  This bill may be referred to as the BIG BILL - Fiscal Year 2008 Appropriations Act.

Sec. 2.  PURPOSE

     (a)  The purpose of this act is to provide appropriations for the operations of state government during fiscal year 2008.  It is the express intent of the general assembly that activities of the various agencies, departments, divisions, boards, and commissions be limited to those which can be supported by funds appropriated in this act or other acts passed prior to June 30, 2007.  Agency and department heads are directed to implement staffing and service levels at the beginning of fiscal year 2008 so as to meet this condition unless otherwise directed by specific language in this act or other acts of the general assembly.

Sec. 3.  APPROPRIATIONS

     (a)  It is the intent of the general assembly that this act serve as the primary source and reference for appropriations for fiscal year 2008.

     (b)  The sums herein stated are appropriated for the purposes specified in the following sections of this act.  When no time is expressly stated during which any of the appropriations are to continue, the appropriations are single-year appropriations, and only for the purpose indicated, and shall be paid from funds shown as the source of funds.  If, in this act, there is an error in either addition or subtraction, the totals shall be adjusted accordingly.  Apparent errors in referring to section numbers of statutory titles within this act may be disregarded by the commissioner of finance and management.

     (c)  Unless codified or otherwise specified, all narrative portions of this act apply only to the fiscal year ending June 30, 2008. 

     (d)  The balance of any appropriations remaining unexpended and unencumbered at the end of the fiscal year shall revert to the appropriate fund balance unless otherwise specified in this act or other acts of the general assembly.  Refunds of expenditures and reimbursements shall be credited to the appropriate fund and to appropriation accounts in the current fiscal year.

Sec. 4.  DEFINITIONS

     (a)  For the purposes of this act:

          (1)  "Encumbrances" means a portion of an appropriation reserved for the subsequent payment of existing purchase orders or contracts.  The commissioner of finance and management shall make final decisions on the appropriateness of encumbrances.

          (2)  "Grants" means subsidies, aid or payments to local governments, to community and quasi-public agencies for providing local services, and to persons who are not wards of the state for services or supplies, and cash or other direct assistance, including pension contributions.

          (3)  "Operating expenses" means property management, repair and maintenance, rental expenses, insurance, postage, travel, energy and utilities, office and other supplies, equipment, including motor vehicles, highway materials and construction, expenditures for the purchase of land, and construction of new buildings and permanent improvements; and similar items.

          (4)  "Personal services" means wages and salaries, fringe benefits, per diems, and contracted third-party services; and similar items.

Sec. 5.  Secretary of administration - secretary's office

                   Personal services                                           792,281

                   Operating expenses                                         46,494

                   Grants                                                           150,000

                        Total                                                        988,775

               Source of funds                                                               

                   General fund                                                  769,743


                   Interdepartmental transfer                              219,032

                        Total                                                        988,775

     (a)  Of the above appropriation, $150,000 is made available for grants to be awarded on a competitive basis among the 11 existing regional marketing programs (RMP).  In addition to these funds, the portion of the fiscal year 2007 RMP grant appropriation that was allocated to those RMPs which had not had their fiscal year 2007 grant plans approved by March 1, 2007 shall be carried forward to fiscal year 2008 to be added to the amount available for the fiscal year 2008 competitive grants.

     (b)  The number of grants and the amount of the grants shall be established by the secretary of administration.  Review of the grant applications and award of the grants shall be carried out by the chief marketing officer in conjunction with the secretary of administration.

     (c)  Following award of the fiscal year 2008 grants, RMPs shall submit appropriately documented expenses, consistent with the approved grants, to the state for reimbursement.

     (d)  The establishment of one (1) new full-time exempt position – program director – is authorized in fiscal year 2008.  This position shall be transferred and converted from existing vacant positions in the executive branch of state government.  

Sec. 5a.  PROCTOR CANNON

     (a)  This section is intended to clarify the status of the historic Proctor Cannon.  The cannon is owned by the state of Vermont, and has been used, maintained, and stored by the 2nd Battery Vermont Light Artillery since 1977.  The commissioner of the department of housing and community affairs in consultation with the Vermont historical society shall obtain an independent assessment as to the current value and condition of the cannon and whether it can be safely used.  A copy of the assessment report shall be provided to the house and senate committees on appropriations.  The commissioner or designee on behalf of the state shall enter into an agreement with the 2nd Battery Vermont Light Artillery that allows the organization to continue to safely use, maintain, and store the cannon.  The 2nd Battery Vermont Light Artillery shall be required to maintain the cannon at its currently assessed condition level and shall maintain adequate and appropriate levels of insurance for use, maintenance, and storage of the cannon.  The agreement shall last for a period of five years and shall be extended for additional periods of five years as long as conditions in this section are met.  Should the 2nd Battery Vermont Light Artillery organization disband or decline to extend the agreement, the commissioner shall take possession of the cannon and make a recommendation to the general assembly as to the future home of the cannon.

Sec. 6.  GENERAL FUND REDUCTION

     (a)  The secretary of administration is directed to reduce operating expense appropriations by $155,814 in general funds throughout the executive branch of state government.  It is the intent of the general assembly that all or a majority of this funding reduction shall result from lower in-state travel expenses.  The administration shall continue to encourage departments and agencies to utilize Vermont interactive television for meetings.  The secretary shall report to the joint fiscal committee in November of 2007 on the in-state travel or other operating expense reductions made as a result of this provision.

Sec. 7.  EXEMPT POSITION REDUCTION AND VACANCY SAVINGS

     (a)  The secretary of administration shall reduce general fund appropriations by $250,000 in the executive branch of state government in fiscal year 2008 through the elimination of exempt positions, or leaving exempt positions vacant.

     (b)  No exempt positions may be created or transferred and converted from the position pool within the executive branch of government during fiscal year  2008 unless said positions have been approved by the general assembly or, when the general assembly is not in session, by the legislative joint fiscal committee at a scheduled meeting.

     (c)  The commissioner of human resources shall submit reports to the joint fiscal committee on the total positions available in the position pool ten days prior to its July and September meetings and any recommendations for reducing the total authorized positions in state government.  The committee may recommend a cap on pool positions for fiscal year 2008.

Sec. 8.  PAY ACT FUNDING

     (a)  The commissioner of finance and management shall submit a preliminary plan to the joint fiscal committee at its September/October 2007 meeting on levels of funding for the pay act for fiscal year 2008 funding.  The report shall outline the funds available and any additional offsets the commissioner is planning to offer to meet pay act requirements.

     (b)  At the November meeting of the joint fiscal committee, the commissioner shall submit the following report:

          (1)  The allocation by department and section from the fiscal year 2008 pay act appropriation and the appropriation for pay act needs in Sec. 277 of this act and any other offsets to meet pay act needs;

          (2)  The source of funds and the specific percentage of need being met in each department from the allocation;

          (3)  Any proposed transfers between departments to meet pay act needs;

          (4)  A summary of fiscal impacts by department in fiscal year 2008 due to shortfalls in pay act funds and added assessments of internal service funds;

          (5)  A preliminary assessment of the administration’s intention to meet departmental pay act expense roll-outs for fiscal year 2009.

Sec. 8a.  PAY ACT STUDY COMMITTEE

     (a)  The house and senate committees on government operations may meet up to three times to study the following: 

          (1)  the reasonableness of differentiating compensation for employees whose salaries are established in statute based on years of service;

          (2)  the impact on state services and policies when the pay act is not fully funded;

          (3)  the effects of increasing exempt positions;

          (4)  the reasonableness of providing cost of living adjustments as well as step increases to higher salaried employees; and

          (5)  the feasibility and desirability of negotiating contracts that are longer in length. 

Sec. 9.  Information and innovation - communications and information technology

                   Personal services                                        4,560,326

                   Operating expenses                                       864,490

                   Grants                                                           450,000

                        Total                                                     5,874,816

               Source of funds                                                               

                   General fund                                                  115,000

                   Internal service funds                                  5,759,816

                        Total                                                     5,874,816

     (a)  Of the above appropriation, $450,000 is for a grant to the Vermont telecommunications authority created by H. 248 of 2007.

Sec. 9a.  Information and innovation – Vermont information technology leaders (VITL)

                   Personal services                                            726,664

               Source of funds

                   General fund                                                   395,000

                   Special funds                                                  226,664

                   Global commitment fund                                 105,000

                        Total                                                         726,664

     (a)  Of the above appropriation, $726,664, consisting of $395,000 in general funds, $105,000 in Global Commitment funds, and $226,664 in special funds, is for a continuation of the project conducted by the Vermont information technology leaders (VITL), as referred to in Sec. 263(e)(3) of No. 71 of the Acts of 2005, as amended by Sec. 74 of No. 93 of the Acts of 2006.  Availability of the $726,664 funds is contingent on the secretary of administration's approval of an annual plan submitted by VITL to coordinate VITL's activities with "the Vermont blueprint for health chronic care initiative" and other health care-related statewide information technology projects.  Availability of the $726,664 shall also be contingent on the delivery by VITL of an update on a sustainable business plan to the secretary of administration and the general assembly; and a commitment by VITL to use "best efforts" to secure a nonstate match for the funds.  If at any time VITL no longer demonstrates the ability to deliver the work described in 18 V.S.A. § 9417, the state shall have the right to assume ownership of all licenses, intellectual property, and work product of VITL developed for the state pursuant to section 9417 or otherwise.  The $726,664 in this section shall not be available until the funding in Sec. 87(a) of No. 215 of the Acts of 2006 and in Sec. 263(e)(3) of No. 71 of the Acts of 2005, as amended by Sec. 74 of No. 93 of the Acts of 2006, has been fully expended.

Sec. 9b.  22 V.S.A. Sec. 901(4) is amended to read:

          (4) to review all information technology requests for proposal with a value of over $10,000.00 in accordance with agency of administration policies;

Sec. 10.  Finance and management - budget and management

                   Personal services                                           996,256

                   Operating expenses                                       222,509

                        Total                                                     1,218,765

               Source of funds                                                               

                   General fund                                                  980,379

                   Interdepartmental transfer                              238,386

                        Total                                                     1,218,765

Sec. 11.  Finance and management - financial operations

                   Personal services                                        3,101,539

                   Operating expenses                                    1,244,265

                        Total                                                     4,345,804

               Source of funds                                                               

                   Special funds                                                   70,903

                   Internal service funds                                  4,274,901

                        Total                                                     4,345,804

     (a)  Pursuant to 32 V.S.A. § 307(e), financial management fund charges not to exceed $5,325,761, plus the costs of fiscal year 2008 salary increases bargained as part of the state/VSEA agreement, are hereby approved.  Of this amount, $1,050,860, plus the costs of fiscal year 2008 salary increases bargained as part of the state/VSEA agreement, will be used to support the HCM system that is operated by the department of human resources information technology division and $593,216, plus the costs of fiscal year 2008 salary increases bargained as part of the state/VSEA agreement, will be used to support the payroll function. 

Sec. 12.  Human resources - operations

                   Personal services                                        1,812,341

                   Operating expenses                                       234,848

                        Total                                                     2,047,189

               Source of funds                                                               

                   General fund                                               1,619,098

                   Interdepartmental transfer                              428,091

                        Total                                                     2,047,189

Sec. 13.  Human resources - HR workforce planning & employment services

                   Personal services                                           777,332

                   Operating expenses                                       391,800

                        Total                                                     1,169,132

               Source of funds                                                               

                   General fund                                                  871,371

                   Special funds                                                 297,761

                        Total                                                     1,169,132

Sec. 14.  Human resources - information technology

                   Personal services                                           555,946

                   Operating expenses                                       494,914

                        Total                                                     1,050,860

               Source of funds                                                               

                   Internal service funds                                  1,050,860

Sec. 15.  Human resources - employee benefits & wellness

                   Personal services                                        1,554,782

                   Operating expenses                                       372,323

                        Total                                                     1,927,105

               Source of funds                                                               

                   Internal service funds                                  1,927,105

Sec. 16.  Libraries

                   Personal services                                        2,039,226

                   Operating expenses                                    1,645,315

                   Grants                                                             70,000

                        Total                                                     3,754,541

               Source of funds                                                               

                   General fund                                               2,506,583

                   Special funds                                                 298,584

                   Federal funds                                                860,814

                   Interdepartmental transfer                                88,560

                        Total                                                     3,754,541

Sec. 17.  Tax - administration/collection

                   Personal services                                      12,058,379

                   Operating expenses                                    2,887,532

                        Total                                                   14,945,911

               Source of funds                                                               

                   General fund                                             14,060,178

                   Special funds                                                 625,733

                   Tobacco fund                                                  58,000

                   Interdepartmental transfer                              202,000

                        Total                                                   14,945,911

     (a)  In fiscal year 2008, the commissioner of taxes shall not send the taxpayer notices pursuant to  32 V.S.A. § 6066a(e) until the required notification and any materials the commissioner intends to send with it have been reviewed and approved by the governor, the speaker of the house of representatives, and the president pro tempore of the senate.

Sec. 18.  Buildings and general services - administration

                   Personal services                                        1,936,700

                   Operating expenses                                       333,161

                        Total                                                     2,269,861

               Source of funds                                                               

                   Interdepartmental transfer                           2,269,861

     (a)  The commissioner of the department of buildings and general services and the commissioner of the department of health in collaboration with the Vermont state employees' association shall develop a protocol for identifying and addressing current and potential health hazards in state office buildings.  This protocol shall be submitted to the house and senate committees on institutions and the house committee on general, housing and military affairs and the senate committee on economic development, housing and general affairs for their review by January 15, 2008.  As part of this protocol, a method shall be devised to keep the general assembly informed about sick building complaints.

Sec. 19.  Buildings and general services - engineering

                   Personal services                                        1,926,241

                   Operating expenses                                       440,200

                        Total                                                     2,366,441

               Source of funds                                                               

                   General fund                                               2,321,441

                   Interdepartmental transfer                                45,000

                        Total                                                     2,366,441

Sec. 20.  Buildings and general services - information centers

                   Personal services                                        3,507,600

                   Operating expenses                                    1,452,188

                   Grants                                                             47,300

                        Total                                                     5,007,088

               Source of funds                                                               

                   General fund                                               4,957,088

                   Special fund                                                     50,000

                        Total                                                      5,007,088

     (a)  Of the above appropriation, $50,000 in special funds is appropriated to the friends of the state house to facilitate private fundraising for improvements to the state house in accordance with the conceptual plan dated January 13, 2006. No naming opportunities shall be offered in connection with fundraising efforts.  These funds may not be used to supplant any existing personal service or operating expenses in state government.

Sec. 21.  Buildings and general services - purchasing

                   Personal services                                           673,400

                   Operating expenses                                       202,657

                        Total                                                        876,057

               Source of funds                                                               

                   General fund                                                  876,057

Sec. 22.  Buildings and general services - public records

                   Personal services                                           847,200

                   Operating expenses                                       638,143

                        Total                                                     1,485,343

               Source of funds                                                               

                   General fund                                               1,174,083

                   Special funds                                                 311,260

                        Total                                                     1,485,343

Sec. 23.  Buildings and general services - postal services

                   Personal services                                           645,800

                   Operating expenses                                       205,155

                        Total                                                        850,955

               Source of funds                                                               

                   General fund                                                    20,000

                   Internal service funds                                     830,955

                        Total                                                        850,955

Sec. 24.  Buildings and general services - copy center

                   Personal services                                           722,315

                   Operating expenses                                       237,800

                        Total                                                        960,115

               Source of funds                                                               

                   Internal service funds                                     960,115

Sec. 25.  Buildings and general services - fleet management services

                   Personal services                                           468,000

                   Operating expenses                                       188,820

                        Total                                                        656,820

               Source of funds                                                               

                   Internal service funds                                     656,820

Sec. 26.  Buildings and general services - federal surplus property

                   Personal services                                             62,327

                   Operating expenses                                         83,919

                        Total                                                        146,246

               Source of funds                                                               

                   Enterprise funds                                             146,246

Sec. 27.  Buildings and general services - state surplus property

                   Personal services                                             60,341

                   Operating expenses                                         74,196

                        Total                                                        134,537

               Source of funds                                                               

                    Internal service funds                                     134,537

Sec. 28.  Buildings and general services - property management

                   Personal services                                        1,244,300

                   Operating expenses                                    2,917,817

                        Total                                                     4,162,117

               Source of funds                                                               

                   Internal service funds                                  4,162,117

Sec. 29.  Buildings and general services - workers' compensation insurance

                   Personal services                                        1,199,838

                   Operating expenses                                       421,200

                        Total                                                     1,621,038

               Source of funds                                                               

                   Internal service funds                                  1,621,038

     (a)  Pursuant to 32 V.S.A. § 307(e), workers' compensation fund charges not to exceed $8,554,885 are hereby approved.

Sec. 30.  Buildings and general services - general liability insurance

                   Personal services                                           269,723

                   Operating expenses                                         83,800

                        Total                                                        353,523

               Source of funds                                                               

                   Internal service funds                                     353,523

Sec. 31.  Buildings and general services - all other insurance

                   Personal services                                             81,300

                   Operating expenses                                         34,628

                        Total                                                        115,928

               Source of funds                                                               

                   Internal service funds                                     115,928

Sec. 32.  Buildings and general services - fee for space

                   Personal services                                      11,047,932

                   Operating expenses                                  10,976,702

                        Total                                                   22,024,634

               Source of funds                                                               

                   Internal service funds                                22,024,634

     (a)  Pursuant to 29 V.S.A. § 160a(b)(3), facilities operations fund charges not to exceed $22,024,634, plus the costs of fiscal year 2008 salary increases bargained as part of the state/VSEA agreement, are hereby approved.

     (b)  The commissioner shall prepare an analysis of the fee-for-space program with the objective of determining appropriate rates to charge departments that use state-owned buildings.  The department shall conduct a pilot project that will analyze the cost associated with operating state-owned, noncorrectional buildings in the cities of Newport, Rutland, and Springfield.  The analysis shall take into account the actual cost incurred by the state of operating the building, utilities, maintenance, and any other relevant costs.  Local market rates for rental properties shall also be considered.  The analysis shall assess the energy usage at each site and identify any energy efficiency measures that could be accomplished, consistent with the state’s effort to operate energy efficient buildings and include any specific recommendations as to how fee-for-space charges and employee incentives could be designed to provide incentives for energy efficiency.  The analysis and any accompanying recommendations and proposed rates for fiscal year 2009 shall be presented to the joint fiscal committee at its September meeting for review.  

     (c)  The department shall charge the department of fish and wildlife no more than $15,000 for the use of the cold storage facility in Essex Junction during fiscal year 2008. 

Sec. 33.  Geographic information system

                   Grants                                                           430,210

               Source of funds                                                               

                   Special funds                                                 430,210

Sec. 34.  Executive office - governor's office

                   Personal services                                        1,290,419

                   Operating expenses                                       363,028

                        Total                                                     1,653,447

               Source of funds                                                               

                   General fund                                               1,469,970

                   Interdepartmental transfer                              183,477

                        Total                                                     1,653,447

Sec. 35.  Executive office - national and community service

                   Personal services                                           187,996

                   Operating expenses                                       126,191

                   Grants                                                        1,357,662

                        Total                                                     1,671,849

               Source of funds                                                               

                   General fund                                                    56,528

                   Federal funds                                             1,615,321

                        Total                                                     1,671,849


Sec. 36.  Legislative council

                   Personal services                                        1,924,939

                   Operating expenses                                       153,500

                        Total                                                     2,078,439

               Source of funds                                                               

                   General fund                                               2,078,439

Sec. 37.  Legislature

                   Personal services                                        3,904,123

                   Operating expenses                                    2,899,885

                        Total                                                     6,804,008

               Source of funds                                                               

                   General fund                                               6,804,008

     (a)  Of the above appropriation, $450,000 shall be available for fiscal year 2008 expenditures of the health care reform commission created pursuant to 2 V.S.A. § 901.  The health care information technology consultant paid for within this appropriation shall be jointly selected and supervised by the health care reform commission and the chairs of the house and senate committees on appropriations.

     (b)  It is the intent of the general assembly that funding for the legislature in fiscal year 2009 and beyond be included at a level sufficient to support an 18 week legislative session.

Sec. 38.  Legislative information technology

                   Personal services                                           404,005

                   Operating expenses                                       217,253

                        Total                                                        621,258

               Source of funds                                                               

                   General fund                                                  621,258

Sec. 39.  Joint fiscal committee

                   Personal services                                        1,176,259

                   Operating expenses                                         94,509

                        Total                                                     1,270,768

               Source of funds                                                               

                   General fund                                               1,270,768

     (a)  The establishment of one (1) new full-time exempt position – Fiscal Analyst - is authorized in fiscal year 2008.  This position shall be converted from the temporary research assistant position. 

     (b)  Effective June 24, 2007, the interim Medicaid Analyst position
(# 117017) shall be transferred to the Health Care Reform Commission as a full-time exempt position. 

Sec. 40.  Sergeant at arms

                   Personal services                                           530,079

                   Operating expenses                                         68,292

                        Total                                                        598,371

               Source of funds                                                               

                   General fund                                                  598,371

Sec. 41.  Lieutenant governor

                   Personal services                                           137,937

                   Operating expenses                                         16,775

                        Total                                                        154,712

               Source of funds                                                               

                   General fund                                                  154,712

Sec. 42.  Auditor of accounts

                   Personal services                                        2,951,103

                   Operating expenses                                       142,030

                        Total                                                     3,093,133

               Source of funds                                                               

                   General fund                                                  524,568

                   Special funds                                                   54,431

                   Internal service funds                                  2,514,134

                        Total                                                     3,093,133

     (a)  By February 15 of each calendar year, the state auditor of accounts shall report to the house and senate committees on appropriations any findings, issues, and recommendations arising from audit reports.  Also by February 15, those agencies and departments that have outstanding audit recommendations shall submit plans to the house and senate committees on appropriations for addressing these issues.

Sec. 43.  State treasurer

                   Personal services                                        2,316,050

                   Operating expenses                                       354,787

                   Grants                                                           100,000

                        Total                                                     2,770,837

               Source of funds                                                               

                   General fund                                               1,130,214

                   Special funds                                              1,542,265

                   Private purpose trust funds                               98,358

                        Total                                                     2,770,837

     (a)  Of the above general fund appropriation, $50,000 shall be deposited into the armed services scholarship fund established in 16 V.S.A. § 2541, and $50,000 shall be deposited into the emergency personnel survivors benefit special fund established in 20 V.S.A. § 3175. 

Sec. 44.  FISCAL YEAR 2008 FUND REVERSION

     (a)  Of the general funds appropriated to the state treasurer, $70,000 shall revert to the general fund.  This reversion shall be composed of $20,000 because there is an available balance in the armed services scholarship fund and $50,000 because there is an available balance in the emergency personnel survivors benefit special fund.

Sec. 45.  State treasurer - unclaimed property

                   Personal services                                           627,773

                   Operating expenses                                       271,467

                        Total                                                        899,240

               Source of funds                                                               

                   Private purpose trust funds                             899,240

Sec. 46.  Vermont state retirement system

                   Personal services                                      23,139,549

                   Operating expenses                                       758,596

                        Total                                                   23,898,145

               Source of funds                                                               

                   Pension trust funds                                    23,898,145

     (a)  Notwithstanding 3 V.S.A. § 473(d), in fiscal year 2008, investment fees shall be paid from the corpus of the fund.

Sec. 47.  Municipal employees' retirement system

                   Personal services                                        1,616,396

                   Operating expenses                                       398,293

                        Total                                                     2,014,689

               Source of funds                                                               

                   Pension trust funds                                      2,014,689

Sec. 48.  State labor relations board

                   Personal services                                           171,500

                   Operating expenses                                         38,718

                        Total                                                        210,218

               Source of funds                                                               

                   General fund                                                  204,348

                   Special funds                                                     5,870

                        Total                                                        210,218

Sec. 49.  VOSHA review board

                   Personal services                                             32,052

                   Operating expenses                                           8,330

                        Total                                                          40,382

               Source of funds                                                               

                   General fund                                                    20,192

                   Federal funds                                                  20,190

                        Total                                                          40,382

Sec. 50.  Use tax reimbursement fund - municipal current use

                   Grants                                                        8,861,267

               Source of funds                                                               

                   General fund                                               8,861,267

Sec. 50a.  Tax department - municipal tax - homeowner rebate  

                   Grants                                                         6,506,140

               Source of funds                                                               

                   General fund                                                6,506,140

     (a)  The appropriation in fiscal year 2008 from the general fund for municipal homeowner rebates shall be added to the funds advanced to towns on July 1, 2007 under Sec. 176(a)  of this act.

Sec. 50b.  32 V.S.A. § 6066a(g) is added to read:

     (g)  Annually, on August 1 and on September 15, the commissioner of taxes shall pay to each municipality the amount of property tax adjustment of which the municipality was notified on July 1 for the August 1 transfer, or September 15 for the September 15 transfer, related to municipal property tax on homesteads within that municipality, as determined by the commissioner of taxes.

Sec. 51.  Lottery commission

                   Personal services                                        1,458,511

                   Operating expenses                                    1,069,761

                        Total                                                     2,528,272

               Source of funds                                                               

                   Enterprise funds                                          2,528,272

     (a)  The lottery commission shall transfer $150,000 to the department of health, office of alcohol and drug abuse programs to support the gambling addiction program. 

     (b)  The Vermont state lottery shall provide assistance and work with the Vermont council on problem gambling on systems and program development. 

Sec. 52.  Payments in lieu of taxes

                   Grants                                                        3,450,000

               Source of funds                                                               

                   General fund                                                    50,000

                   Special funds                                              3,400,000

                        Total                                                     3,450,000

     (a)  The above appropriation is for state payments in lieu of property taxes under subchapter 4 of chapter 123 of Title 32, and the payments shall be calculated in addition to, and without regard to, the appropriations for PILOT for Montpelier and correctional facilities elsewhere in this act.

Sec. 53.  Payments in lieu of taxes - Montpelier

                   Grants                                                           184,000

               Source of funds                                                               

                   General fund                                                  184,000

Sec. 54.  Payments in lieu of taxes - correctional facilities

                   Grants                                                             40,000

               Source of funds                                                               

                   General fund                                                    40,000

Sec. 55.  Total general government                             150,453,836

               Source of funds                                                               

                   General fund                                             60,834,990

                   Special funds                                              7,313,681

                   Tobacco fund                                                  58,000

                   Global Commitment fund                                105,000

                   Federal funds                                             2,496,325

                   Enterprise funds                                          2,674,518

                   Internal service funds                                46,386,483

                   Pension trust funds                                    25,912,834

                   Private purpose trust funds                             997,598

                   Interdepartmental transfer                           3,674,407

                        Total                                                 150,453,836


Sec. 56.  Protection to persons and property - attorney general

                   Personal services                                        7,094,267

                   Operating expenses                                    1,069,612

                        Total                                                     8,163,879

               Source of funds                                                               

                   General fund                                               4,530,747

                   Special funds                                              1,100,000

                   Tobacco fund                                                290,000

                   Federal funds                                                763,000

                   Interdepartmental transfer                           1,480,132

                        Total                                                     8,163,879

     (a)  Notwithstanding any other provisions of law, the office of the attorney general, Medicaid fraud control unit is authorized to retain one-half of any civil monetary penalty proceeds from global Medicaid fraud settlements.  All penalty funds retained shall be used to finance Medicaid fraud and residential abuse unit activities.

     (b)  The attorney general and the commissioner of the department of human resources shall report to the senate and house committees on appropriations and judiciary by January 15, 2008 on the number of attorneys serving in legal capacities employed in the executive branch of state government by the state of Vermont and the nature of each attorney position identified.  The report shall:

          (1)  identify the agency of state government for which each attorney works and provides services;

          (2)  describe for each position whether the attorney is a staff attorney employed by the agency, an assistant attorney general employed by the attorney general while providing services to the agency, a contract attorney, or an attorney of some other status;

          (3)  identify and recommend cost savings that could be realized through changing the status of some or all of the identified attorney positions to staff attorneys, assistant attorneys general, contract attorneys, or some other status.  

     (c)  Sums payable to the state of Vermont, as a consequence of settlement of a dispute with Purdue Pharma L.P. and related companies due to marketing practices shall be deposited into the Fees and Reimbursements Court Order special fund (#21638).  The secretary of administration is authorized and directed to approve the expenditure of excess receipts from the fund due to these or other fees and reimbursements, with the receipts to be used as follows:

          (1)  Up to $500,000 as necessary to supplement funds reserved under subsection (d) of this section for payment of legal costs and charges arising from settlements of completed legal actions.

          (2)  Up to $1,700,000 as necessary to the department of buildings and general services which shall be used in addition to funds provided in the fiscal year 2008 capital construction bill to renovate space at the Pavilion Office Building at 109 State Street for the office of the attorney general.

     (d)  In fiscal year 2007, $1,000,000 in general funds shall be reserved and to the extent needed is hereby appropriated to the attorney general as necessary for payment of legal costs and charges arising from settlements of completed legal actions. 

Sec. 57.  Vermont court diversion

                   Grants                                                        1,604,534

               Source of funds                                                               

                   General fund                                               1,204,534

                   Special funds                                                 400,000

                        Total                                                     1,604,534

     (a)  Court diversion programs may use funds allocated in the appropriation above for increased wages and to maintain salaries and benefits.

Sec. 58.  Defender general - public defense

                   Personal services                                        6,270,658

                   Operating expenses                                       768,028

                        Total                                                     7,038,686

               Source of funds                                                               

                   General fund                                               6,531,219

                   Special funds                                                 502,467

                   Interdepartmental transfer                                  5,000

                        Total                                                     7,038,686

Sec. 59.  Defender general - assigned counsel

                   Personal services                                        2,889,376

                   Operating expenses                                         77,909

                        Total                                                     2,967,285

               Source of funds                                                               

                   General fund                                               2,842,021

                   Special funds                                                 125,264

                        Total                                                     2,967,285


Sec. 60.  Judiciary

                   Personal services                                      26,882,091

                   Operating expenses                                    8,048,252

                   Grants                                                             70,000

                        Total                                                   35,000,343

               Source of funds                                                               

                   General fund                                             30,267,034

                   Special funds                                              2,335,772

                   Tobacco fund                                                  40,000

                   Federal funds                                                414,327

                   Interdepartmental transfer                           1,943,210

                        Total                                                   35,000,343

     (a)  The judiciary shall report to the joint fiscal committee at its November 2007 meeting on the status of collections of fines and penalties.

     (b)  At the end of fiscal year 2007, any unexpended balance of the appropriation made in Sec. 70(f)(4) of No. 93 of the Acts of 2006 as amended in Sec. 272 of No. 215 of the Acts of 2006 shall be deposited into the court technology special fund established in 4 V.S.A. § 27.

Sec. 61.  4 V.S.A. § 27 is added to read:

§ 27.  Court technology special fund

     There is established the court technology special fund which shall be managed in accordance with subchapter 5 of chapter 7 of Title 32.  Administrative fees collected pursuant to 13 V.S.A. § 7252 and revenue collected pursuant to fees established pursuant to sections 1105 and 1109 of this title shall be deposited and credited to this fund.  The fund shall be available to the judicial branch to pay for contractual and operating expenses not covered by the general fund related to the following: 

          (1)  The acquisition and maintenance of software and hardware needed for case management, electronic filing, a electronic document management system, and the expense of implementation, including training.  

          (2)  The acquisition and maintenance of electronic audio and video court recording and conferencing equipment.  

          (3)  The acquisition, maintenance, and support of the judiciary’s information technology network, including training.


Sec. 62.  13 V.S.A. § 7252 is amended to read:

§ 7252.  Fines and penalties payable to state

All fines collected in prosecutions for offenses or for the breach of a penal law, forfeitures, and penalties received by the district or superior court or by the judicial bureau, except as provided in section 7251 of this title, shall belong and be paid to the state, except for a $12.50 administrative charge for each offense or violation where a fine or penalty is assessed.  The administrative charge shall be deposited in the court technology special fund established pursuant to 4 V.S.A. § 27.

Sec. 63.  State's attorneys

                   Personal services                                        9,018,830

                   Operating expenses                                    1,214,714

                        Total                                                   10,233,544

               Source of funds                                                               

                    General fund                                               7,975,299

                   Special funds                                                 151,097

                   Federal funds                                                  25,000

                   Interdepartmental transfer                            2,082,148

                        Total                                                   10,233,544

Sec. 64.  Special investigative unit

                   Grants                                                           496,000

               Source of funds                                                               

                   General fund                                                  406,000

                    Special funds                                                   90,000

                        Total                                                        496,000

Sec. 65.  Sheriffs

                   Personal services                                        2,848,849

                   Operating expenses                                       413,608

                        Total                                                     3,262,457

               Source of funds                                                               

                   General fund                                               3,262,457

     (a)  Of the above appropriation, $15,000 shall be transferred to the state's attorneys' office as reimbursement for the cost of the executive director's salary.

Sec. 66.  Public safety - administration

                   Personal services                                        1,837,909

                   Operating expenses                                       182,984

                        Total                                                     2,020,893

               Source of funds                                                               

                   General fund                                               1,945,925

                   Federal funds                                                  74,968

                        Total                                                     2,020,893

     (a)  Of the funds appropriated to the department of public safety, $26,000 shall be used to make a grant to the Essex County sheriff’s department.  The commissioner may transfer this amount from line items in this appropriation or other department of public safety appropriations to implement this directive.

Sec. 67.  Public safety - homeland security

                   Personal services                                        1,449,071

                   Operating expenses                                    6,730,040

                   Grants                                                        1,050,000

                        Total                                                     9,229,111

               Source of funds                                                               

                   General fund                                                  431,073

                   Federal funds                                             8,798,038

                        Total                                                     9,229,111

Sec. 68.  Public safety - state police

                   Personal services                                      38,085,058

                   Operating expenses                                    6,590,315

                   Grants                                                           975,634

                        Total                                                   45,651,007

               Source of funds                                                               

                   General fund                                               8,320,468

                   Transportation fund                                  30,385,796

                   Special funds                                              2,825,423

                   Federal funds                                             3,558,334

                   Interdepartmental transfer                              560,986

                        Total                                                   45,651,007

     (a)  Of the above appropriation, $35,000 in special funds shall be available for snowmobile law enforcement activities, and $35,000 in general funds shall be available to the southern Vermont wilderness search and rescue team, which comprises state police, the department of fish and wildlife, county sheriffs, and local law enforcement personnel in Bennington, Windham, and Windsor Counties for snowmobile enforcement.

     (b)  Of the $230,000 allocated for local heroin interdiction grants funded in this section, $190,000 shall be used by the Vermont drug task force to fund three (3) town task force officers. These town task force officers will be dedicated to heroin and heroin-related drug (e.g., methadone, oxycontin, crack cocaine, and methamphetamine) enforcement efforts.  The remaining $40,000 shall remain as a "pool" of money available to local and county law enforcement to fund overtime costs associated with heroin investigations.  Any unexpended funds from prior fiscal years shall be carried forward.

Sec. 69.  Public safety - criminal justice services

                   Personal services                                        5,942,894

                   Operating expenses                                    3,199,016

                   Grants                                                        3,256,900

                        Total                                                   12,398,810

               Source of funds                                                               

                   General fund                                                  760,000

                   Transportation fund                                    4,429,971

                    Special funds                                              1,433,512

                   Federal funds                                             5,151,813

                   Interdepartmental transfer                              623,514

                        Total                                                   12,398,810

Sec. 70.  Public safety - emergency management

                   Personal services                                        1,629,045

                   Operating expenses                                       627,812

                   Grants                                                           819,400

                        Total                                                     3,076,257

               Source of funds                                                               

                   Transportation fund                                         63,969

                   Special funds                                                 123,664

                   Federal funds                                             2,888,624

                        Total                                                     3,076,257

Sec. 71.  Public safety - emergency management - radiological emergency response plan

                   Personal services                                           768,470

                   Operating expenses                                       221,980

                   Grants                                                           705,985

                        Total                                                     1,696,435

               Source of funds                                                               

                   Special funds                                              1,696,435

     (a)  Of the above special fund appropriation, up to $30,000 shall be available to contract with any radio station serving the emergency planning zone for the emergency alert system.

     (b)  Of the above appropriation, $354,245 is to be transferred to the Vermont department of health.

Sec. 71a.  20 V.S.A. § 38(a)(3) is amended to read:

(3)  The annual budget shall include anticipated expenditures to municipalities, county or state agencies, or other organizations necessary to support the radiological emergency response plan.  The annual budget shall also include an annual base payment of no less than $5,000.00 for each town within the emergency planning zone for radiological emergency response-related expenditures and $4,500 for each town for pager stipends.  Additional expenditures by the municipalities in the emergency planning zone, the Windham regional planning commission, and any other municipality or emergency planning zone entity defined by the state as required to support the plan shall be determined during the budget development process established by this section.  The annual budget so prepared shall include all costs for evacuation notification systems.

Sec. 72.  Public safety - fire safety

                   Personal services                                        4,194,040

                   Operating expenses                                    1,411,643

                   Grants                                                             50,000

                        Total                                                     5,655,683

               Source of funds                                                               

                   General fund                                                  713,652

                    Special funds                                              4,343,105

                   Federal funds                                                395,279

                   Interdepartmental transfer                              203,647

                        Total                                                     5,655,683

     (a)  Of the above general fund appropriation, $50,000 shall be granted to the Vermont rural fire protection task force for the purpose of designing dry hydrants.

Sec. 73.  Military - administration

                   Personal services                                           532,542

                   Operating expenses                                       162,838

                   Grants                                                           200,000

                        Total                                                        895,380

               Source of funds                                                               

                   General fund                                                  895,380

     (a)  Of the above appropriation, $200,000 shall be transferred to the Vermont student assistance corporation for the purposes of 16 V.S.A. §. 2856.  It is the intent of the general assembly that each year hereafter, the funding level shall be sufficient make a $200,000 transfer unless carryforward funds are available within the scholarship program at a level of $350,000 when funds at the Vermont student assistance corporation are combined with this annual transfer.

     (b)  Total disbursements by the Vermont student assistance corporation under 16 V.S.A. § 2856 shall not exceed $200,000 in fiscal year 2008.

Sec. 73a.  Sec. 1(a) of No. 98 of the Acts of 2006 is amended to read:

     (a) There is appropriated in fiscal year 2006 from the general fund the amount of $250,000.00 to the Vermont National Guard to fund family support and counseling services to Vermont National Guard members and their families through June 30, 2007. These funds shall be available until expended. The funds shall be expended for:

* * *

Sec. 74.  Military - air service contract

                   Personal services                                        4,153,098

                   Operating expenses                                       980,889

                        Total                                                     5,133,987

               Source of funds                                                               

                   General fund                                                  399,579

                   Federal funds                                             4,734,408

                        Total                                                     5,133,987

Sec. 75.  Military - army service contract

                   Personal services                                        3,300,460

                   Operating expenses                                    5,780,134

                        Total                                                     9,080,594

               Source of funds                                                               

                   General fund                                                  107,064

                   Federal funds                                             8,973,530

                        Total                                                     9,080,594

Sec. 76.  Military - building maintenance

                   Personal services                                           975,531

                   Operating expenses                                       441,925

                        Total                                                     1,417,456

               Source of funds                                                               

                   General fund                                               1,417,456


Sec. 77.  Military - veterans' affairs

                   Personal services                                           356,622

                   Operating expenses                                         93,112

                   Grants                                                           177,815

                        Total                                                        627,549

               Source of funds                                                               

                   General fund                                                  569,430

                   Federal funds                                                  58,119

                        Total                                                        627,549

     (a)  Of the above appropriation, $15,000 shall be used for continuation of the Vermont medal program, $15,000 shall be used for the expenses of the governor's veterans' advisory council, $15,000 shall be used for the Veterans' Day parade, and $5,000 shall be granted to the Vermont state council of the Vietnam Veterans of America to fund the service officer program. 

Sec. 78.  Center for crime victims services

                   Personal services                                        1,236,878

                   Operating expenses                                       303,478

                   Grants                                                        9,258,234

                        Total                                                   10,798,590

               Source of funds                                                               

                   General fund                                               1,125,020

                   Special funds                                              5,652,450

                   Federal funds                                             4,021,120

                        Total                                                   10,798,590

     (a)  Of the above appropriation, $50,000 shall be for a grant to certified batterer intervention programs. 

Sec. 78a.  MEMORIAL GARDEN; LOAN

     (a)  The executive director of the center for crime victims services may lend up to $100,000, without interest, from the crime victims’ restitution special fund, created pursuant to 13 V.S.A. § 5363, to the memorial garden special account which can be used to provide funding to the department of buildings and general services for the purpose of constructing the courage-in-bloom memorial garden at the designated site between 10-12 Baldwin Street.  The center for crime victims services shall repay the loan in annual installments made over a period not to exceed five years.  The repayment of the loan is anticipated to come from fundraising by the center for crime victims services.  The center shall report annually to the state treasurer on the payments and receivables related to the loan.

Sec. 78b.  APPROPRIATION FOR DOMESTIC VIOLENCE PREVENTION

     (a)  There is appropriated the amount of $190,000 from the general fund to the center for crime victims services.  The center shall use the funds to present grants to organizations that provide services to victims of domestic violence.  These funds shall be used for programs that are designed to prevent domestic violence and are targeted at the needs of children in families affected by domestic violence.  At the end of fiscal year 2008, any unexpended portion of this appropriation shall be carried forward and used for the same purpose.

Sec. 79.  Criminal justice training council

                   Personal services                                        1,032,090

                   Operating expenses                                       991,816

                        Total                                                     2,023,906

               Source of funds                                                               

                   General fund                                               1,385,881

                   Special funds                                                 510,393

                   Interdepartmental transfer                              127,632

                        Total                                                     2,023,906

Sec. 80.  Agriculture, food and markets - administration

                   Personal services                                           907,195

                   Operating expenses                                       816,806

                   Grants                                                           353,081

                        Total                                                     2,077,082

               Source of funds                                                               

                   General fund                                               1,297,384

                   Special funds                                                 611,632

                    Federal funds                                                125,386

                   Interdepartmental transfer                                42,680

                        Total                                                     2,077,082

Sec. 81.  Agriculture, food and markets - food safety and consumer protection

                   Personal services                                        2,620,156

                   Operating expenses                                       495,573

                   Grants                                                        2,600,000

                        Total                                                     5,715,729

               Source of funds                                                               

                   General fund                                               1,732,864

                   Special funds                                              3,411,959

                   Federal funds                                                563,906

                   Interdepartmental transfer                                  7,000

                        Total                                                     5,715,729

Sec. 82.  Agriculture, food and markets - agricultural development

                   Personal services                                           752,331

                   Operating expenses                                       482,385

                   Grants                                                        1,777,500

                        Total                                                     3,012,216

               Source of funds                                                               

                   General fund                                                  743,958

                   Special funds                                              1,759,258

                   Federal funds                                                209,000

                   Interdepartmental transfer                               300,000

                        Total                                                     3,012,216

     (a)  Of the above special fund appropriation, $80,000 shall be used to support the mobile slaughterhouse.

     (b)  Of the above appropriation, $85,000 shall be used to support the farm-to-school program.

     (c)  Of the above appropriation, $40,000 shall be provided to the Food Education Every Day Program to enable the organization to provide farm-to-school education and teacher training services to more school districts and to assist the secretary of agriculture, food and markets and the commissioner of education to carry out farmer and food service worker training pursuant to Secs. 3(a) and 4 of No. 145 of the Acts of 2006.

Sec. 83.  Agriculture, food and markets - laboratories, agricultural resource management and environmental stewardship

                   Personal services                                        2,779,046

                   Operating expenses                                       566,529

                   Grants                                                        1,195,000

                        Total                                                     4,540,575

               Source of funds                                                               

                   General fund                                               1,890,910

                   Special funds                                              1,760,226

                   Federal funds                                                627,389

                   Interdepartmental transfer                              262,050

                        Total                                                     4,540,575

     (a)  Of the above appropriation, $145,000 shall be used for a grant to the Farmers Watershed Alliance.


Sec. 84.  Agriculture, food and markets - state stipend

                   Grants                                                           175,000

               Source of funds                                                               

                   General fund                                                  175,000

Sec. 85.  Agriculture, food and markets - mosquito control

                   Personal services                                             20,000

                   Operating expenses                                       184,750

                        Total                                                        204,750

               Source of funds                                                               

                   Special funds                                                 204,750

     (a)  Any appropriation in this section remaining at the end of fiscal year 2008 shall carry forward to fiscal year 2009.

Sec. 86.  Banking, insurance, securities, and health care administration - banking

                   Personal services                                        1,241,297

                   Operating expenses                                       280,294

                        Total                                                     1,521,591

               Source of funds                                                               

                   Special funds                                              1,521,591

Sec. 87.  9 V.S.A. § 5613(e) is added to read:

     (e)  In any fiscal year in which revenues deposited in the banking supervision fund established by subsection 19(f) of Title 8 are insufficient to support the annual appropriation to the banking division, the commissioner may transfer no more than a sum necessary to meet the shortfall from the fund established by this section to the banking supervision fund.

Sec. 88.  Banking, insurance, securities, and health care administration - insurance

                   Personal services                                        2,988,436

                   Operating expenses                                       535,850

                        Total                                                     3,524,286

               Source of funds                                                               

                   Special funds                                              3,524,286

Sec. 89.  Banking, insurance, securities, and health care administration - captive

                   Personal services                                        3,032,154

                   Operating expenses                                       502,100

                        Total                                                     3,534,254

               Source of funds                                                               

                   Special funds                                              3,534,254

Sec. 90.  Banking, insurance, securities, and health care administration - securities

                   Personal services                                           602,058

                   Operating expenses                                       136,750

                        Total                                                        738,808

               Source of funds                                                               

                   Special funds                                                 738,808

Sec. 91.  Banking, insurance, securities, and health care administration - health care administration

                   Personal services                                        4,913,775

                   Operating expenses                                       389,314

                        Total                                                     5,303,089

               Source of funds                                                               

                   General fund                                                  316,000

                   Special funds                                              2,512,092

                   Global commitment fund                             1,404,997

                   Federal funds                                             1,000,000

                   Interdepartmental transfer                                70,000

                        Total                                                     5,303,089

Sec. 91a.  NONGROUP MARKET SECURITY TRUST

     (a)  The funds appropriated in Sec. 277(e)(2) of this act to the department of banking, insurance, securities, and health care administration for the nongroup market security trust shall not be expended until the commission on health care reform has approved the department’s plan for operating the trust in a manner consistent with the purpose of 8 V.S.A. § 4062d. No later than December 1, 2007, the commissioner of banking, insurance, securities, and health care administration shall provide the commission with a description of how the department would like to operate the trust, a description of how the plan conforms to the federal grant requirements from the Centers on Medicare and Medicaid Services (CMS), the statutory changes necessary to conform 8  V.S.A. § 4062d to the plan recommended by the department, and any other information requested by the commission.

     (b)  Notwithstanding 8 V.S.A. § 4062d(b), the commissioner may operate the trust in the manner approved by the commission on health care reform until such time as the statute is modified to reflect the approved plan.

Sec. 92.  Banking, insurance, securities, and health care administration - administration

                   Personal services                                        1,099,435

                   Operating expenses                                         43,195

                        Total                                                     1,142,630

               Source of funds                                                               

                   Special funds                                              1,142,630

     (a)  The commissioner may transfer from the appropriation established for each division of the department of banking, insurance, securities, and health care administration to the appropriation in this section sums corresponding to the salary and associated personnel costs of legal counsel who are transferred to the division of administration.

Sec. 93.  Secretary of state

                   Personal services                                        4,407,205

                   Operating expenses                                    1,229,060

                   Grants                                                        1,000,000

                        Total                                                     6,636,265

               Source of funds                                                               

                   General fund                                                  588,801

                   Special funds                                              3,972,462

                   Federal funds                                             2,000,000

                   Interdepartmental transfer                                75,002

                        Total                                                     6,636,265

     (a)  The corporation division of the secretary of state's office represents $492,991 of the above special fund appropriation, and these funds shall be from the securities regulation and supervision fund in accordance with 9 V.S.A. § 5613.

     (b)  In fiscal year 2008, in addition to the funds appropriated above, $120,000 is appropriated from the Vermont campaign finance fund for the costs of the 2008 presidential primary.

Sec. 94.  Public service - regulation and energy

                   Personal services                                        4,873,384

                   Operating expenses                                       687,463

                   Grants                                                        5,770,007

                        Total                                                   11,330,854

               Source of funds                                                               

                   Special funds                                             10,138,054

                   Federal funds                                             1,157,800


                   Interdepartmental transfer                                35,000

                        Total                                                   11,330,854

Sec. 94a.  10 V.S.A. §6523 (3) is amended as follows:

          (3) During fiscal years after FY 2006 up to five percent of amounts appropriated to the public service department from the fund may be used for administrative costs related to the clean energy development fund and after FY 2007 another five percent of amounts appropriated to the public service department from the fund not to exceed $300,000.00 in any fiscal year shall be transferred to the secretary of the agency of agriculture, food, and markets for agricultural and farm based energy project development activities.

Sec. 95.  Public service - purchase and sale of power

                   Personal services                                             11,886

                   Operating expenses                                           1,516

                        Total                                                          13,402

               Source of funds                                                               

                   Special funds                                                   13,402

Sec. 96.  Public service board

                   Personal services                                        2,526,024

                   Operating expenses                                       300,000

                        Total                                                     2,826,024

               Source of funds                                                               

                   Special funds                                              2,826,024

     (a)  Notwithstanding any provision of law to the contrary, the general assembly authorizes the establishment of one (1) new full-time exempt position.  The position shall be entitled “Chief Economist” and shall be converted from the permanent classified position of Chief Economist (#370002) within the public service board.

Sec. 97.  Enhanced 9-1-1 Board

                   Personal services                                        2,003,841

                    Operating expenses                                    1,352,769

                        Total                                                     3,356,610

               Source of funds                                                               

                   Special funds                                              3,356,610

Sec. 98.  Vermont racing commission

                   Operating expenses                                            1,000

               Source of funds                                                               

                   General fund                                                       1,000

Sec. 99.  Human rights commission

                    Personal services                                           386,895

                   Operating expenses                                          95,694

                        Total                                                        482,589

               Source of funds                                                               

                   General fund                                                  311,850

                   Federal funds                                                170,739

                        Total                                                        482,589

Sec. 100.  Liquor control - enforcement and licensing

                   Personal services                                        1,677,769

                   Operating expenses                                       389,890

                        Total                                                     2,067,659

               Source of funds                                                               

                   Tobacco fund                                                289,645

                   Enterprise funds                                          1,778,014

                        Total                                                     2,067,659

Sec. 101.  Liquor control - administration

                   Personal services                                        1,329,017

                   Operating expenses                                       407,719

                        Total                                                     1,736,736

               Source of funds                                                               

                   Enterprise funds                                          1,736,736

Sec. 102.  Liquor control - warehousing and distribution

                   Personal services                                           757,159

                   Operating expenses                                       415,443

                        Total                                                     1,172,602

               Source of funds                                                               

                   Enterprise funds                                          1,172,602

Sec. 103.  Total protection to persons and

property                                                                    239,896,137

               Source of funds                                                               

                   General fund                                             82,338,006

                   Transportation fund                                  34,879,736

                   Special funds                                            62,437,620

                   Tobacco fund                                                619,645

                   Global Commitment fund                            1,404,997

                   Federal funds                                           45,710,780

                   Enterprise funds                                          4,687,352

                   Interdepartmental transfer                           7,818,001

                        Total                                                 239,896,137

Sec. 104.  Human services - agency of human services - secretary's office

                   Personal services                                        6,890,677

                   Operating expenses                                    2,676,686

                   Grants                                                        4,487,973

                        Total                                                   14,055,336

               Source of funds                                                               

                   General fund                                               3,940,516

                   Special funds                                                     7,517

                   Tobacco funds                                              612,021

                   Federal funds                                             4,954,088

                   Interdepartmental transfer                           4,541,194

                        Total                                                   14,055,336

     (a)  Notwithstanding any other provisions of law, workers employed by persons who receive assistance from the agency of human services to procure attendant, personal care, or respite services or who utilize a qualified intermediary service organization providing services on behalf of the state shall not be considered state employees, except for purposes of 21 V.S.A. chapter 17.

     (b)  Notwithstanding any other provisions of law, the state may provide workers' compensation coverage to workers employed by persons who receive assistance from the agency of human services to procure attendant, personal care, or respite services, and the state shall not be considered their employer.  The state may also either permit a qualified intermediary service organization to purchase group insurance policies for persons served by their organization, or deem such persons to be members of an association and eligible for self-insurance under 21 V.S.A. § 687a for purposes of providing workers' compensation.  This provision is intended solely to reduce costs of providing workers' compensation and shall not be considered for any other purpose.

     (c)  Notwithstanding 32 V.S.A. § 706, the secretary may transfer funds allocated for the “high risk pool” and costs related to juvenile justice as outlined in this section to the departments in the agency of human services designated to provide these services.

     (d)  Of the above tobacco settlement funds, $54,000 shall be used to provide a grant to the project against violent encounters for a statewide program for substance abuse prevention and mentoring for youth.

     (e)  Of the above tobacco fund appropriation, $143,000 shall be used for a grant to Lamoille County people in partnership for wrap-around services for at-risk youth.

     (f)  Of the above tobacco fund appropriation, $100,000 with any corresponding federal matching funds shall be for comprehensive treatment services and $15,000 shall be for housing provisions for at-risk youth.

     (g)  Of the above tobacco fund appropriation, $200,000 along with available matching federal funds shall be available for services required for petitions filed by the agency under 33 V.S.A. § 5517(e).

Sec. 104a.  COMMUNITY-BASED ALTERNATIVES FOR CRIMINAL JUSTICE SERVICES

     (a) There is a variety of community-based programs in Vermont that are alternatives to traditional criminal justice and correctional services.  These include court diversion, restorative probation and street checker programs and community  justice centers.  The secretary of human services and the attorney general shall identify the various programs that provide these services and shall issue a report to the general assembly by December 15, 2007.  The report shall include but not be limited to:

          (1)  A listing and a description of the various programs, annual caseload, and available information on cases by county, offenses, age, gender, and case outcomes;

          (2)  The amount and sources of funding for these programs.  This shall include local, state, and federal funding support available to these programs;

          (3)  The relationship of these programs to other human services and criminal justice entities;

          (4)  Recommendations as to continuation, expansion, elimination, or consolidation of these programs or other changes that will result in more efficient and effective use of available resources;

          (5)  Information about models, practices, or programs of alternative justice from other states or localities.

Sec. 105.  Secretary's office - Global Commitment

                   Grants                                                    871,278,097

               Source of funds                                                               

                   General fund                                           119,412,816

                   Special fund                                             15,270,557

                   Tobacco fund                                           29,609,240

                   State health care resources fund              157,186,147

                   Catamount fund                                          7,168,430

                   Federal funds                                         540,351,704

                   Interdepartmental transfer                           2,279,203

                        Total                                                 871,278,097

     (a)  The agency of human services shall use the funds appropriated in this section for payment of the actuarially certified premium required under the intergovernmental agreement between the agency of human services and the managed care organization in the office of Vermont health access as provided for in the Global Commitment for health waiver (“Global Commitment”) approved by the Centers for Medicare and Medicaid Services under Section 1115 of the Social Security Act.

     (b)  In addition to the state funds appropriated in this section, a total estimated sum of $34,539,006 is anticipated to be certified as state matching funds under the Global Commitment as follows:

          (1)  $17,283,434 certified state match available from local education agencies.  This amount combined with $24,881,566 of federal funds appropriated in this section equals a total estimated expenditure of $42,165,000 for eligible special education school-based Medicaid services under the Global Commitment.  An amount equal to the amount of the federal matching funds for eligible special education school-based Medicaid services under Global Commitment shall be transferred from the Global Commitment fund to the Medicaid reimbursement special fund created in 16 V.S.A. § 2959a.

          (2)  $8,956,247 certified state match available from local education agencies for eligible services under the Global Commitment provided to students through school-based health services, including school nurses.

          (3)  $4,215,210 certified state match available from local education and social service agencies for eligible services provided to eligible persons through children’s collaborative services programs.

          (4)  $1,859,703 certified state match available from local designated mental health agencies for eligible mental health services provided under the Global Commitment.

          (5)  $2,176,726 certified state match available from local designated developmental services agencies for eligible developmental services provided under the Global Commitment.

     (c)  It is estimated that at least $10,273,557 of state funds will be carried forward from fiscal year 2007 to fund the Global Commitment managed care premium and global commitment administration costs in fiscal year 2008.  Of this amount $7,300,000 is general funds that are available on a one-time basis.   In the event the fiscal year 2008 general fund revenue forecast adopted at the July 2007 emergency board meeting exceeds the January 2007 forecast by at least $20,000,000, then $5,000,000 shall be considered fiscal year 2008 base funding.

Sec. 106.  CATAMOUNT HEALTH ASSISTANCE; GLOBAL COMMITMENT WAIVER

     (a)  If the Centers for Medicare and Medicaid Services (CMS) has not responded to the Global Commitment for health waiver amendment request to fund Catamount Health Assistance with Medicaid funds, does not approve the request, or approves a lower income eligibility limit for Catamount Health Assistance by July 31, 2007, the commission on health care reform created pursuant to 2 V.S.A. § 901 shall consider whether to recommend to the emergency board:

          (1)  to proceed with the implementation of Catamount Health established under 4080f of Title 8, Catamount Health Assistance under subchapter 3a of chapter 19 of Title 33, employer-sponsored insurance program under section 1974 of Title 33, or a combination of the programs;

          (2)  to delay the implementation of some or all of the programs; or

          (3)  to exercise the option to suspend new enrollment or restrict enrollment to eligible lower income individuals under subsection 1974(e) or 1983(d) of Title 33.

     (b)  After receiving a recommendation by the health care commission, the emergency board shall consider the commission’s recommendation and shall make a determination no later than August 30, 2007 on whether to proceed with implementation, delay implementation, or exercise its authority under subsection 1974(e) or 1983(d) of Title 33. 

Sec. 107.  Rate setting

                   Personal services                                           739,407

                   Operating expenses                                         69,762

                        Total                                                        809,169

               Source of funds                                                               

                   Interdepartmental transfer                              809,169

Sec. 108.  Developmental disabilities council

                   Personal services                                           152,876

                   Operating expenses                                         40,817

                   Grants                                                           299,558

                        Total                                                        493,251


               Source of funds                                                               

                   Federal funds                                                493,251

Sec. 109.  Human services board

                   Personal services                                           287,458

                   Operating expenses                                         54,622

                        Total                                                        342,080

               Source of funds                                                               

                   General fund                                                    50,063

                   Federal funds                                                  11,993

                   Interdepartmental transfer                              280,024

                        Total                                                        342,080

Sec. 110.  Office of Vermont health access - administration

                   Personal services                                      28,851,926

                   Operating expenses                                    1,561,980

                   Grants                                                            980,000

                        Total                                                   31,393,906

               Source of funds                                                               

                   General fund                                                    50,000

                   Global Commitment fund                          30,281,112

                   Federal funds                                                700,000

                   Interdepartmental transfer                              362,794

                        Total                                                   31,393,906

     (a)  In order to implement S.115 of 2007, the director may utilize resources provided in the appropriation above until the funding resources in S.115 are available.

Sec. 110a.  33 V.S.A. § 1904(5) is amended to read:

          (5)  “Insurer” means any insurance company, prepaid health care delivery plan, self‑funded employee benefit plan, pension fund, hospital or medical service corporation, managed care organization, pharmacy benefit manager, prescription drug plan, retirement system, or similar entity that is under an obligation to make payments for medical services as a result of an injury, illness, or disease suffered by an individual.

Sec. 110b.  33 V.S.A. § 1907 is amended to read:

§ 1907.  SUBROGATION

To the extent that payment for covered expenses has been made under the state Medicaid program or through any state agency administering health benefits or a health benefit plan for which Medicaid is a source of funding for health care items or services furnished to an individual, in any case where a third party has a legal liability to make payments, the state is considered to have acquired the rights of the individual to payment by any other party for those health care items or services.  An insurer shall accept the agency’s right to recovery and the assignment to the agency of any right of a person to payment from the third party for medical services for which the agency has made payment under this chapter.

Sec. 110c.  33 V.S.A. § 1908 is amended to read:

§ 1908.  MEDICAID; PAYER OF LAST RESORT; RELEASE OF   INFORMATION

(a)  Any clause in an insurance contract, plan or agreement which limits or excludes payments to a recipient is void.

(b)  Medicaid shall be the payer of last resort to any insurer which contracts to pay health care costs for a recipient.

(c)  Every applicant for or recipient of Medicaid under this subchapter is deemed to have authorized all third parties to release to the agency all information needed by the agency to secure or enforce its rights under this subchapter.  The agency shall inform an applicant or recipient of the provisions of this subsection at the time of application for Medicaid benefits.

(d)  At the agency’s request, an insurer shall provide the agency with the information necessary to determine whether an applicant or recipient of Medicaid under this subchapter is or was covered by the insurer and the nature of the coverage, including the member, subscriber, or policyholder information necessary to determine third party liability and other information required under subsection 9410(h) of Title 18.  The agency may require the insurer to provide the information electronically.

(e)  From funds recovered pursuant to this subchapter, the federal government shall be paid a portion equal to the proportionate share originally provided by the federal government to pay for medical assistance to a recipient or minor.

Sec. 110d.  33 V.S.A. § 1909 is amended to read:

§ 1909.  DIRECT PAYMENTS TO AGENCY; DISCHARGE OF  INSURER’S OBLIGATION

(a)  When a recipient who is covered by the recipient’s or a legally liable representative’s insurer receives medical benefits under this subchapter, payment for covered services or notice of denial shall be issued directly to the provider.

(b)  A provider shall indicate on any claim form submitted to an insurer for covered services whether or not the person receiving treatment is a recipient.

(c)(1)  An insurer which receives notice that the agency has made payments to the provider shall pay benefits or send notice of denial directly to the agency.  Receipt of an agency claim form by an insurer constitutes notice that payment of the claim was made by the agency to the provider and that form supersedes any contract requirements of the insurer relating to the form of submission.

(2)  An insurer shall respond to any request made by the agency regarding a claim for payment for any health care item or service that is submitted not later than three years after the date of the provision of such health care item or service.

(3)  An insurer shall not deny a claim submitted by the agency solely on the basis of the date of submission of the claim, the type or format of the claim form, or a failure to present proper documentation at the point‑of‑sale that is the basis of the claim, if the claim is submitted by the agency within the three‑year period beginning on the date on which the item or service was furnished; and any action by the agency to enforce its rights with respect to a claim is commenced within six years of the agency’s submission of the claim.

(d)  An insurer which has been notified of a claim by the agency under this section and proceeds to pay the claim to a person other than the agency is not discharged from payment of the agency’s claim.

(e)  Payment to the agency by an insurer under this section discharges the insurer’s obligation for further payment on the claim to the extent of the amount paid.

Sec. 110e.  8 V.S.A. § 4062e is added to read:

§ 4062e.  COMPLIANCE WITH MEDICAID RECOVERY PROVISIONS

A health insurer as defined in section 1904 of Title 33 that issues, sells, renews, or offers health insurance coverage in Vermont or who is required to be licensed or registered with the department shall comply with the requirements of sections 1907, 1908, 1909, and 1910 of Title 33.  The commissioner shall enforce such requirements pursuant to his or her authority under this title.

Sec. 110f.  OFFICE OF VERMONT HEALTH ACCESS; FEE SCHEDULE REVIEW

     (a)  The office of Vermont health access shall review the fee schedule for those Vermont Medicaid provider types that rely on the procedure codes other than the evaluation and management codes.  A report shall be prepared that compares, where possible, the Medicaid fee to the Medicare fee and includes the estimated cost to close the gap between the two.  The report shall be submitted to the house and senate committees on appropriations on or before June 30, 2008.

Sec. 110g.  Medicaid Pharmacy Reimbursement

(a)  The office of Vermont health access shall conduct an analysis of the impact of the federal final rule revising the federal upper limits for prescription drug reimbursement under the Medicaid program after it is implemented by the Centers on Medicare and Medicaid Services.  The analysis shall include recommended reimbursement levels and dispensing fees, any appropriation amount necessary to increase or maintain the reimbursements and fees to the recommended levels, the revenue impact on the office, and specific information on the impact on pharmacies.  The office shall request pharmacies in Vermont to provide actual acquisition cost data in the form and format necessary to conduct the analysis.  A pharmacy that does not provide the requested information for the analysis may be excluded from receiving any recommended increase in reimbursement or dispensing fees.

(b)  The office shall provide an interim report on its analysis and recommendations to the health access oversight committee at its September 2007 meeting and a final report no later than November 15, 2007.

(c)  As part of its annual report, the health access oversight committee shall provide a recommendation on the issues relating to the changes to reimbursement contained in the deficit reduction act to the house and senate committees on appropriations for inclusion in the budget adjustment bill and include a recommendation that any suggested changes be retroactive to the beginning of the fiscal year.

Sec. 111.  Office of Vermont health access - Medicaid program - Global Commitment

                   Grants                                                    442,025,956

               Source of funds                                                               

                   Global Commitment fund                        442,025,956

     (a)  In fiscal year 2008, the office of Vermont health access shall increase the supplemental dental payment program by at least $50,000 over the level budgeted for fiscal year 2007.


Sec. 111a.  GLOBAL COMMITMENT; GRIEVANCE AND APPEAL

RULES

     (a)  Beginning January 1, 2008 and every six months thereafter, the secretary of the agency of human services or designee shall report on the implementation of the grievance and appeal rules for Global Commitment for health and for Choices for Care, including the number and types of grievances, internal appeals, and appeals to the human services board, and the number of internal appeals that were reversed by the independent decision-maker.

     (b)  During the legislative session, the report shall be submitted to the house committees on human services and on health  care and the senate committee on health and welfare.  During the interim, the report shall be submitted to the health access oversight committee created pursuant to chapter 24 of title 2.

Sec. 111b.  CHIROPRACTIC COVERAGE UNDER MEDICAID AND VHAP

     (a)  Effective on July 1, 2008, the agency of human services is directed to reinstate chiropractic coverage for adults in the Medicaid and VHAP programs  consistent with section 4088a of Title 8 and at rates comparable to payments for care or services by other health care providers.  The fiscal year 2009 Medicaid expenditure forecast adopted by the emergency board shall include the reinstatement of chiropractic coverage.

Sec. 112.  Office of Vermont health access - Medicaid program - long-term care waiver

                   Grants                                                    187,675,107

               Source of funds                                                               

                   General fund                                             76,928,027

                   Federal funds                                         110,747,080

                        Total                                                 187,675,107

Sec. 112a.  Sec. 1 of No. 56 of the Acts of 2005 is amended to read:

Sec. 1.  LONG-TERM CARE MEDICAID 1115 WAIVER; CHOICES FOR CARE

* * *

(b)(1)  Outside the legislative session, the health access oversight committee shall have oversight for the development, implementation, and ongoing operation of any long-term care Medicaid waivers applied for and received by the agency of human services. 

(2)(A)  The secretary of human services shall report to the committee upon its request and annually to the general assembly by January 15.

(B)  The department shall submit quarterly reports to the general assembly or the health access oversight committee about the utilization of services and expenses under Choices for Care.  The reports shall also include a comparison of actual expenditures to estimated expenditures and projected expenditures for the remainder of the fiscal year.

* * *

(g)(1)  Any savings realized due to the implementation of the long-term care Medicaid 1115 waiver shall be retained by the department and reinvested into providing home- and community‑based services under the waiver.  If at any time the agency reapplies for a Medicaid waiver to provide these services, it shall include a provision in the waiver that any savings shall be reinvested.

(2)  In its annual budget presentation, the department of disabilities, aging, and independent living shall include the amount of savings generated from individuals receiving home- and community-based care services instead of services in a nursing home through the Choices for Care waiver and a plan with details on the recommended use of the appropriation.  The plan shall include the base appropriation; the method for determining savings; how the savings will be reinvested in home- and community-based services, including the allocation between increases in caseloads and increases in provider reimbursements; and a breakdown of how many individuals are receiving services by type of service.

(h) Any funds appropriated for long-term care under the long-term care waiver authorized under this act shall be used for long-term care services to recipients.  In using these funds, the department shall give priority to services to individuals assessed as high and highest needs and meeting the terms and conditions of the waiver as approved by the Centers for Medicare and Medicaid Services.  Any remaining funds from the long-term care appropriation may be used for other long-term care services as defined in subsection (i) of this section.  The remaining funds shall be allocated and spent in ways that are sustainable into the future and do not create an unsustainable base budget.  Any funds that are not spent in the year for which they were appropriated shall be carried over to the next fiscal year.

(h)(i)  “Long-term care” means care or services received by an individual in a nursing home, or through home- and community‑based services designed to assist older Vermonters and people with disabilities to remain independent and avoid inappropriate institutionalization.  “Home- and community‑based services” include:

* * *


Sec. 112b.  REPEAL; SPECIAL RATE CHANGE

     (a)  Sec. 128(c) of No. 122 of the Acts of 2004 is hereby repealed.

Sec. 113.  Office of Vermont health access - Medicaid non-waiver matched

                   Grants                                                      58,390,811

               Source of funds                                                               

                   General funds                                           21,845,389

                   Federal funds                                           36,545,422

                        Total                                                   58,390,811

Sec. 114.  Office of Vermont health access - Medicaid program - state only

                   Grants                                                      29,124,517

               Source of funds                                                               

                   General funds                                           28,869,330

                   Global Commitment fund                               255,187

                        Total                                                   29,124,517

Sec. 115.  Health - administration and support

                   Personal services                                        5,623,417

                   Operating expenses                                    2,268,996

                   Grants                                                             50,000

                        Total                                                     7,942,413

               Source of funds                                                               

                   Special funds                                                   24,525

                   Global Commitment fund                            1,812,709

                   Federal funds                                             6,101,179

                   Interdepartmental transfer                                  4,000

                        Total                                                     7,942,413

Sec. 115a.  DEPARTMENT OF HEALTH - ORGANIZATIONAL STRUCTURE

     (a)  The secretary of the agency of human services and the commissioner of finance and management shall present to the joint fiscal committee for approval a plan to realign the structure of the department of health.  The plan shall include changes required as a result of Act No. 15 of 2007, establishing a department of mental health.  If approved, the commissioner of finance is authorized to adjust the fiscal year 2008 appropriations of the department of health and the department of mental health, but may not alter the total amount appropriated from any funding source. 


Sec. 116.  32 V.S.A. § 1003(e) is added to read:

     (e)  Notwithstanding the maximum salary established in subsection (b) of this section, the maximum salary for the commissioner of health may not exceed $150,000.00. 

Sec. 117.  Health - Blueprint for Health

                   Personal services                                        2,851,522

                   Operating expenses                                       385,783

                   Grants                                                        1,570,403

                        Total                                                     4,807,708

               Source of funds                                                               

                   Global Commitment fund                            2,933,398

                   Catamount fund                                          1,846,713

                   Federal funds                                                  27,597

                        Total                                                     4,807,708

     (a)  From the funds appropriated in this section, the department of health shall provide incentive grants and stipends to physician practices participating in the pilot projects developed under the Vermont blueprint for health established in section 702 of Title 18. 

     (b)  In fiscal year 2009, monies appropriated for the blueprint for health from the Catamount fund established in 33 V.S.A. § 1986 shall not exceed $1,850,000. 

Sec. 118.  Health - health protection

                   Personal services                                        3,974,089

                   Operating expenses                                       757,012

                   Grants                                                        1,789,500

                        Total                                                     6,520,601

               Source of funds                                                               

                   General fund                                                  445,730

                   Special funds                                              1,313,121

                   Global Commitment fund                               147,502

                   Federal funds                                             4,210,313

                   Interdepartmental transfer                              403,935

                        Total                                                     6,520,601

Sec. 119.  Health - health surveillance

                   Personal services                                        9,710,579

                   Operating expenses                                    2,471,432

                   Grants                                                        2,524,499

                        Total                                                   14,706,510

               Source of funds                                                               

                   General fund                                               1,901,636

                   Special funds                                              1,307,500

                   Global Commitment fund                            2,498,893

                   Federal funds                                             8,923,937

                   Permanent trust funds                                      10,000

                   Interdepartmental transfer                                64,544

                        Total                                                   14,706,510

     (a)  The amount of $335,000 of the above general fund/Global Commitment fund appropriation shall be appropriated to the following Vermont AIDS service organizations and peer-support organizations for client-based support services.  It is the intent of the general assembly that if Global Commitment fund monies in this subsection are unavailable, the total funding for Vermont AIDS service organizations and peer-support organizations for client-based support services shall be maintained through the general fund or other state-funding sources.  The department of health AIDS program shall meet at least quarterly with the community advisory group (CAG) with current information and data relating to service initiatives.  The funds shall be allocated as follows: 

          (1)  AIDS Project of Southern Vermont - $63,529

          (2)  ACORN - $25,225

          (3)  IMANI - $40,173

          (4)  VT CARES - $141,073

          (5)  Twin States Network - $30,000

          (6)  People with AIDS Coalition - $35,000

     (b)  Of the above federal funds, Ryan White Title II funds for AIDS services and the AIDS Medication Assistance Program shall be distributed in accordance with federal guidelines.  These guidelines shall not apply to programming funded by state general funds.

     (c)  The amount of $140,000 of the above general fund appropriation shall be used for assistance to individuals in the HIV/AIDS Medication Assistance Program (AMAP), including the costs of prescribed medications, related laboratory testing, and nutritional supplements.  These funds may not be used for any administrative purposes by the department of health or by any other state agency or department.  Any remaining AMAP general funds at the end of the fiscal year shall be distributed to Vermont AIDS service organizations in the same proportions as those outlined under subsection (a) of this section. 

     (d)  The amount of $100,000 of the above general fund appropriation shall be appropriated to the Vermont AIDS service organizations and other Vermont HIV/AIDS prevention providers for community-based HIV prevention programming which is currently not supported by federal funds due to federal restrictions.  These funds shall be used for HIV/AIDS prevention purposes, including, but not limited to, improving the availability of confidential and anonymous HIV testing; prevention work with at-risk groups such as women, intravenous drug users, and people of color; anti-stigma campaigns; and promotion of needle exchange programs.  No more than 15 percent of the funds may be used for the administration of such services by the recipients of these funds.  The method by which these prevention funds shall be distributed shall be determined by mutual agreement of the department of health, AIDS service organizations, and CAG.  The department of health AIDS program shall be guided and advised by CAG on an ongoing basis in prioritizing prevention service needs in the disbursement of these funds.

     (e)  The secretary of human services shall immediately notify the joint fiscal committee if, at any time, there are insufficient funds in AMAP to assist all eligible individuals.  The secretary shall work in cooperation with persons living with HIV/AIDS to develop a plan to continue access to AMAP medications until such time as the general assembly can take action. 

     (f)  The secretary of human services shall work in conjunction with the AMAP advisory committee, which shall be comprised of no less than 50 percent of members who are living with HIV/AIDS.  The committee shall make recommendations regarding the program’s formulary of approved medication, related laboratory testing, nutritional supplements, and eligibility for the program. 

Sec. 120.  Health - health improvement

                   Personal services                                        8,051,727

                   Operating expenses                                    1,038,409

                   Grants                                                      12,101,405

                        Total                                                   21,191,541

               Source of funds                                                               

                   General fund                                               1,432,640

                   Special funds                                                 729,800

                   Tobacco funds                                           2,780,225

                   Global Commitment fund                            7,990,718

                   Federal funds                                             8,251,158

                   Interdepartmental transfer                                  7,000

                        Total                                                   21,191,541

     (a)  The department of health may carry forward any unspent portion of funds designated for health professional loan repayment.  These funds may be used either alone or to match federal National Health Service Corps loan repayment funds, local funds, or private funds and shall be deposited into the loan repayment fund established under 18 V.S.A. § 10a or for the Vermont student assistance corporation for loan forgiveness programs for health care providers through the dental hygienist incentive loan program and the nursing incentive loan program.

     (b)  The above tobacco fund appropriation and $1,059,409 in Global Commitment funds in this section shall be utilized according to the provisions of 18 V.S.A. chapter 225 as follows: 

          (1)  community-based programs - $1,023,624;  

          (2)  media and public education - $1,007,799;  

          (3)  tobacco cessation programs - $1,400,211; these funds may also be used to provide tobacco cessation counseling services to persons incarcerated in Vermont correctional facilities, and $80,000 shall be used to make nicotine replacement therapies available to all persons enrolled in tobacco cessation counseling; and $15,000 shall be granted to Washington County Mental Health Agency, Inc. for a special cessation program;

          (4)  surveillance and evaluation activities - $333,000;

          (5)  statewide provider education - $75,000.  

     (c)  Of the above general fund/Global Commitment appropriation, $450,000 shall be granted to the area health education center (AHEC) to support the work and infrastructure of the statewide AHEC network to ensure an adequate and appropriate health care workforce, to bring quality improvement programs to health care professionals, and to create partnerships across community-based health care services to improve health care access and integration. 

     (d)  Any funds not expended by the AHEC during fiscal years 2006, 2007, and 2008 shall be carried forward to be available for use in subsequent fiscal years.  The AHEC will provide the department of health with a final progress report and financial report detailing the unexpended funds to be carried forward at the close of each fiscal year. 

     (e)  Of the above appropriation, $160,000 is for development and implementation of a patient safety surveillance and improvement system established pursuant to 18 V.S.A. § 1913.  In addition, the department of health, with assistance from the department of banking, insurance, securities, and health care administration, shall collect and utilize for such purposes the sum of $40,000 to be contributed from hospitals licensed in Vermont.

     (f)  Of the above Global Commitment fund appropriation, $1,400,000 shall be deposited into the Vermont educational loan repayment fund and used for the purposes of loan repayment for health care providers and health care educators pursuant to 18 V.S.A. § 10a to be allocated as follows:

          (1)  $700,000 to primary care physicians and health care professionals;

          (2)  $175,000 for dentists;

          (3)  $400,000 for nurses;

          (4)  $75,000 for nurse educators;

          (5)  $50,000 for disciplines based on emerging health care needs and workforce shortages.

     (g)  Of the above appropriation, $80,000 is allocated for the Vermont student assistance corporation for loan forgiveness programs for health care providers through the dental hygienist incentive loan program and nursing incentive loan program. 

     (h)  Of the above appropriation, $1,090,000, which includes $500,000 of federal substance abuse grant funds, is for the coordinated healthy activity, motivation, and prevention programs to be used for community wellness grants awarded pursuant to 18 V.S.A. § 104b. 

     (i)  In the event payment of strategic tobacco payments made to the state under the master tobacco settlement exceed $13,000,000 in fiscal year 2008, then, up to $500,000 of the excess amount shall be appropriated from the tobacco litigation settlement fund to the department of health to be spent based on the recommendation of the Vermont tobacco control board.  These funds shall be in addition to funds appropriated above.

     (j)  Of the above Global Commitment funds, $440,000 shall be used to support the Vermont coalition of clinics for the uninsured health care and dental services provided by clinics for uninsured individuals and families.

     (k)  Of the above Global Commitment funds, $200,000 shall be used for federally qualified health center (FQHC) look-alike uncompensated care pool funds.  All or a portion of these funds shall be reallocated to support the Vermont coalition of clinics for the uninsured health care and dental services provided by clinics for uninsured individuals and families, if federal Section 330 grant funds awards are received by Vermont look-alike FQHCs before June 30, 2007.  Any reallocation of these funds shall be pro-rated; fairly based on federal awards received.


Sec. 121.  Health -  community public health

                   Personal services                                      14,449,064

                   Operating expenses                                    2,127,292

                   Grants                                                      21,581,824

                        Total                                                   38,158,180

               Source of funds                                                               

                   General fund                                                  900,638

                   Special funds                                              3,231,400

                   Global Commitment fund                          15,830,919

                   Catamount fund                                          4,000,000

                   Federal funds                                           14,080,223

                   Interdepartmental transfer                              115,000

                        Total                                                   38,158,180

Sec. 122.  Health -  alcohol and drug abuse programs

                   Personal services                                        9,360,208

                   Operating expenses                                    1,097,983

                   Grants                                                      20,712,146

                        Total                                                   31,170,337

               Source of funds                                                               

                   General fund                                               3,229,571

                   Special funds                                                 235,499

                   Tobacco funds                                           2,382,834

                   Global Commitment fund                          16,461,136

                   Federal funds                                             8,711,297

                   Interdepartmental transfer                              150,000

                        Total                                                   31,170,337

     (a)  For the purpose of meeting the need for outpatient substance abuse services when the preferred provider system has a waiting list of five days or more or there is a lack of qualified clinicians to provide services in a region of the state, a state-qualified alcohol and drug abuse counselor may apply to the department of health, division of alcohol and drug abuse programs, for time-limited authorization to participate as a Medicaid provider to deliver clinical and case coordination services, as authorized. 

     (b)(1)  In accordance with federal law, the division of alcohol and drug abuse programs may use the following interim criteria to determine whether to enroll a state-supported Medicaid and uninsured population substance abuse program in the division’s network of designated providers, as described in the state plan: 

               (A)  The program is able to provide the quality, quantity, and levels of care required under the division’s standards, licensure standards, and accreditation standards established by the commission of accreditation of rehabilitation facilities, the joint commission on accreditation of health care organizations, or the commission on accreditation for family services.  

               (B)  Any program that is currently being funded in the existing network shall continue to be a designated program until further standards are developed, provided the standards identified in this subdivision (1) of this subsection are satisfied.  

               (C)  All programs shall continue to fulfill grant or contract agreements.  

          (2)  The provisions of subdivision (1) of this subsection shall not preclude the division’s “request for bids” process.  

     (c)  Of the above interdepartmental transfer, $150,000 shall be used to support the gambling addiction program. 

     (d)  Of the funds appropriated above, $35,000 shall be used to support the drug court program in Chittenden County, $25,000 shall be used to support the drug court program in Rutland County, and $25,000 shall be used for court coordination in Bennington County.

     (e)  The department of health shall be advised by an executive council of Vermont’s recovery center network on an ongoing basis to prioritize service and funding needs for recovery centers, to assist with the review of recovery center funding proposals, and to provide recommendations for disbursement of funds to the recovery centers and their support needs.  This executive council will consist of a board member of each recovery center.  The executive council will hire a network coordinator with the appropriation in subsection (f) of this section.  The network coordinator will work for the executive council and provide technical assistance and training to recovery centers.  The executive council, working with the department of health, will have oversight of the recovery centers.

     (f)  Of the above appropriation, $45,000 shall be granted to the Vermont recovery center network. 

Sec. 122a.  PUBLIC INEBRIATE PROGRAM STUDY

     (a)  There are questions about the continuing relevance and applicability of the existing inebriate statutes, as well as concerns about the funding, program policies, and availability of services to individuals classified as “public inebriates.”  This complex public health issue transcends medical, criminal, and public policy arenas and has significant economic impact across several state agencies.  As a result of the complexity of this public health problem, the department of health is directed to convene a study committee to evaluate the current practice and policy in this area and make recommendations for improvements.

     (b)  The study committee shall include representatives from:

          (1)  the office of the defender general; 

          (2)  public safety and local law enforcement;

          (3)  hospitals;

          (4)  public treatment programs;

          (5)  emergency services workers, including emergency medical technicians;

          (6)  transportation services;

          (7)  department of corrections personnel;

          (8)  peer recovery staff.

     (c)  Recommendations included in the study shall include but not be limited to changes in statutes, program protocols, and resources used to address this important issue.  The department shall report on the results of this review to the house and senate committees on appropriations, the house committee on human services, and the senate committee on health and welfare no later than January 15, 2008. 

Sec. 122b.  SUBSTANCE ABUSE TREATMENT SYSTEM; REPORT AND PLAN

     (a)  While over the past four years systematic efforts have been made to enhance prevention and treatment services in communities across Vermont, and partnerships have been engaged between the agency of human services, courts, community providers, and schools, substance abuse presents a major health challenge to Vermonters and their families: 

          (1)  Early use by youth results in a high number of teens and preteens using alcohol and drugs regularly. 

          (2)  Untreated problems develop into serious addictive disorders in the adult population. 

          (3)  The growing number of individuals incarcerated due to their drug/alcohol use presents a challenge to the criminal justice system. 

          (4)  Crises resulting from severe alcoholism and drug dependence stress our emergency rooms and corrections facilities.

     (b)  The department of health shall convene a high level task force to include representation and participation from members of the preferred provider treatment system, to review the treatment services currently in place and to identify how to integrate them into a more systematic response to addictive problems. 

          (1)  The task force will work with staff to analyze the population projected to be in need of treatment services, and will create a design for the services needed in communities by level of care, and to support long-term recovery.  This plan should be based on the Blueprint for Health chronic care approach.

               (A)  Agency of human services field directors and district health directors shall map local services across the continuum of care and across the sectors from health to criminal justice.  These maps will inform the task force’s analysis of the services and supports that are currently available.

          (2)  The analysis shall be evidence-based and project numbers of people that can be diverted from more expensive and crisis-oriented services if we build a more continuous, recovery-based system of supports.  Of particular interest is savings that can be realized in the department of corrections.

          (3)  The analysis shall also look at workforce preparation and what needs to be done to develop a mechanism for clinicians to be certified to treat co-occurring mental health and substance abuse disorders. 

     (c)  The department shall prepare and submit a report and plan by January 15, 2008 to the house and senate committees on appropriations. 

Sec. 123.  Mental health - mental health

                   Personal services                                        4,653,064

                   Operating expenses                                       640,626

                   Grants                                                    126,737,194

                        Total                                                 132,030,884

               Source of funds                                                               

                   General fund                                                  698,116

                   Global Commitment fund                        127,296,709

                   Federal funds                                             4,036,059

                        Total                                                 132,030,884

     (a)  Of the above appropriation, $110,000 shall be used to maintain the Burlington downtown outreach program to develop a model program for expansion to other areas of the state.

     (b)  The department shall ensure that the mental health and substance abuse treatment needs are fully funded for eligible children, adolescents, and community rehabilitation and treatment (CRT) program beneficiaries with co-occurring substance abuse and mental health disorders.  The department shall work with the designated service provider agencies and report to the general assembly in January 2008 as to the funds expended to date and as to the adequacy of funding for the remainder of the fiscal year.

     (c)  Success Beyond Six is a fiscal mechanism that allows local schools and local designated agencies for community mental health services to enter into contractual relationships for school-based service provision supported in part through state-approved Medicaid billing in the department of health – mental health division.  This fiscal mechanism has reduced the schools’ cost in providing these services by up to 60 percent.  To date, however, these contracts have been approved conditioned on compliance with Medicaid rules and general fiscal management, not specifically on best practice, efficiency or outcome models.  Under Vermont’s Global Commitment for Health Waiver, Medicaid is no longer an unlimited funding stream; rather it must be managed to a fixed capped amount.  The secretary of the agency of human services and the commissioner of education shall convene a summer study group to ensure that expenditures in this area utilize best practices, yield positive outcomes, and are managed to a predictable rate of growth. 

          (1)  This study will result in recommendations regarding:

               (A)  Mechanisms for managing Success Beyond Six services in a capped Medicaid environment to ensure the effective delivery of services to school-age children and controlled growth;

               (B)  Prioritizing Success Beyond Six populations and/or services for growth within the constraints of the waiver cap.  This will include exploring whether prevention and mental health wellness programs can or should be funded within this model;

               (C)  Decreasing administrative burdens of service provision whereever possible.

          (2)  A report on the recommendations and a plan for implementation by the agency of human services and department of education will be presented to the house committees on education and on human services and the senate committees on education and on health and welfare no later than January 15, 2008.

Sec. 124.  Mental health - Vermont state hospital

                   Personal services                                      19,039,338

                   Operating expenses                                    1,819,499

                   Grants                                                               3,000

                        Total                                                   20,861,837

               Source of funds                                                               

                   General fund                                             20,341,837

                   Special funds                                                 170,000

                   Federal funds                                                  50,000

                   Interdepartmental transfer                              300,000

                        Total                                                   20,861,837

Sec. 124a.  COMMISSIONER OF MENTAL HEALTH; VERMONT MENTAL HEALTH SERVICES

     (a)  The commissioner of mental health shall be responsible for the implementation of a comprehensive strategic plan for the delivery of services currently provided by the Vermont state hospital developed as part of long-range planning for a comprehensive continuum of care for mental health services.

     (b)  The principles guiding implementation of the comprehensive strategic plan for the delivery of services including those currently provided by the Vermont state hospital shall include the following:

          (1)  an understanding of the role of active treatment within the goal of recovery;

          (2)  an understanding of the role of trauma in the lives of individuals;

          (3)  accessible general medical care;

          (4)  minimal use of involuntary interventions such as seclusion, restraint, and involuntary medication;

          (5)  staff training in the use of safe and appropriate alternatives to involuntary interventions;

          (6)  consumers’ participation in the development and implementation of their treatment plans;

          (7)  consumers’ right to privacy and the right to have information regarding their care remain confidential, unless disclosure is authorized by the consumer or required under the law;

          (8)  ongoing consumer and community input with regard to program oversight and development; and

          (9)  accountability for all components of the mental health care system.

Sec. 124b.  Sec. 141c of No. 122 of the Acts of 2004 (creating the mental health oversight committee), as amended by Sec. 293a of No. 215 of the Acts of 2006 (extending sunset to July 1, 2009; requiring progress report), is amended as follows:

Sec. 141c.  THE MENTAL HEALTH OVERSIGHT COMMITTEE

     (a)  The mental health oversight committee is created to oversee the development and implementation of the secretary of human services’ strategic plan to develop alternatives for services currently provided by the Vermont state hospital and to ensure that consumers have access to a comprehensive and adequate continuum of care and Vermont has a financially sustainable department of developmental and mental health services designated agency provider system mental health services.  The committee shall be composed of one member from each of the house committees on human services, institutions, and appropriations and a member-at-large to be appointed by the speaker of the house, not all from the same party, and one member from each of the senate committees on health and welfare, institutions, and appropriations and one member-at-large to be appointed by the committee on committees, not all from the same party. Initial appointments shall be made upon passage.

     (b)  The committee shall review whether the secretary’s study on the department of developmental and mental health services designated agency provider system required in Sec. 141 of this act, the strategic plan for developing alternatives to the Vermont state hospital required in Sec. 141a of this act, and the department of corrections mental health services plan achieve the goals and principles stated herein effectively, efficiently, and satisfactorily, including that the findings and recommendations of the reports are coordinated and complementary.  The committee shall specifically: Members of the committee shall serve as the liaison to their respective legislative standing committees with primary jurisdiction over the various components of Vermont’s mental health system.  The committee shall work with, assist, and advise the other committees of the general assembly, members of the executive branch, and the public on matters related to Vermont’s mental health system.

          (1)  solicit input from individuals and their families served by the mental health system;

          (2)  monitor the study and planning processes and time lines;

          (3)  measure the efforts of the agency of human services against the goals and principles described in this act; and

          (4)  review and approve, modify, or disapprove the recommendations contained in the reports required by Secs. 141 and 141a of this act and authorize preliminary implementation steps for developing alternatives to the services currently provided by the Vermont state hospital developed within the context of long-range planning for a comprehensive continuum of care for mental health services.

     (c)  Based on the reports required by Secs. 141, 141a, and 141b of this act, the committee shall recommend areas of further study needed to develop a comprehensive continuum of care for mental health services.

     (d)  The committee is authorized to meet up to six times per year while the general assembly is not in session to perform its functions under this section.

     (e)(d)  The secretary of the agency of human services commissioner of mental health shall report to the committee as required by the committee and Secs. 141 and 141a of this act and this section.

     (f)(e)  Members of the committee shall be entitled to compensation and reimbursement for expenses under section 406 of Title 2.

     (g)(f)  The secretary of administration, the legislative council, and the joint fiscal office shall provide staff support requested by the committee.

     (h)(g)  The mental health oversight committee shall provide a progress report to each of the committees represented thereon no later than January 15 of each year. 

     (i)  The committee shall cease to exist on July 1, 2009.

Sec. 124c.  REPEAL

     (a)  Sec. 141a of No. 122 of the Acts of 2004 (creating the VSH future planning advisory group), as amended by Sec. 293 of No. 215 of the Acts of 2006 (extending sunset to July 1, 2009), is repealed. 

Sec. 124d.  ADVISORY COUNCIL FOR MENTAL HEALTH SERVICES TRANSFORMATION

     (a)  It is the intent of the general assembly that all mental health programs, services, and supports, including inpatient psychiatric services, be provided to individuals with psychiatric disabilities or diagnoses or emotional disorders in a holistic, comprehensive continuum of care, that consumers be treated at all times with dignity and respect, that public resources be allocated efficiently and produce the best positive outcomes, and that direct services overseen and provided by the agency of human services and its community partners be client- and family-centered and ‑driven, accessible, and culturally competent.

     (b)  There is created an advisory council for mental health services transformation.  Members of the council shall be appointed by the commissioner of mental health and shall include consumers and their family members.

     (c)  Members of the council not receiving compensation for service on the council from another source are entitled to compensation under section 1010 of Title 32.

     (d)  The commissioner of mental health shall coordinate and staff the council for the purpose of seeking input on  mental health program options and policies and ensuring that such programs and policies are consistent with the legislative intent stated in subsection (a) of this section.

     (e)  For purposes of this section, the council shall cease to exist on July 1, 2009.

Sec. 124e.  Sec. 1(c) of No. 9 of the Acts of 2007, is amended to read:

     (c)  Notwithstanding any provision of law to the contrary, the remaining balance of the $1 million appropriated in Sec. 271(a)(3) of No. 215 of the Acts of the 2005 Adj. Sess. (2006) shall remain not be subject to the requirements as directed in Sec. 4 of No. 147 of the Acts of the 2005 Adj. Sess. (2006), subdivisions (a)(2)(A)(ii) (a)(2)(A) (work necessary to complete a conceptual certificate of need application and a certificate of need application in connection with the Futures Plan) and (a)(2)(B) (itemization approved by MHOC and JFC), and shall be available for use by the department of buildings and general services for the agency of human services to continue planning, designing, and permitting associated with the creation of a new inpatient facility to replace the current Vermont state hospital as authorized by the conceptual certificate of need and necessary to complete an application for a certificate of need under subchapter 5 of chapter 221 of Title 18, except such funds expended for consulting services described in subsection (d) of this section.  During the legislative interim, however, the agency regularly shall inform the mental health oversight committee of expenditures made under this subsection.

Sec. 125.     Health - medical practice board

                   Personal services                                           617,224

                   Operating expenses                                       407,785

                        Total                                                     1,025,009

               Source of funds                                                               

                   Special funds                                                 905,009

                   Global Commitment fund                               120,000

                        Total                                                     1,025,009

Sec. 126.  Department for children and families - administration & support services

                   Personal services                                      33,748,978

                   Operating expenses                                    6,094,778

                   Grants                                                        1,150,215

                        Total                                                   40,993,971

               Source of funds                                                               

                   General fund                                             12,377,866

                   Global Commitment fund                          12,890,508

                   Federal funds                                           14,815,041

                   Interdepartmental transfer                              910,556

                         Total                                                   40,993,971

     (a)  Of the above appropriation, $14,000 in general funds shall be provided as a grant to the Vermont girl scouts for a program enabling girl scouts and their siblings to visit mothers in prison. 

Sec. 127.  Department for children and families - family services

                   Personal services                                      20,267,158

                   Operating expenses                                    3,118,322

                   Grants                                                      63,287,929

                        Total                                                   86,673,409

               Source of funds                                                               

                   General fund                                             16,270,209

                   Special funds                                              1,756,152

                   Tobacco funds                                                75,000

                   Global Commitment fund                          41,832,990

                   Federal funds                                           26,059,058

                   Interdepartmental transfer                              680,000

                        Total                                                   86,673,409

     (a)  Of the above appropriation, up to $100,000 may be allocated for teen parent education programs.

Sec. 127a.  15A V.S.A. § 1-113 is amended to read:

§ 1-113.  CRIMINAL RECORD CHECKS

(a)  Criminal record checks required under this title shall be obtained as provided in this section.

(b)  The commissioner of the department of social and rehabilitation services for children and families or any judge of the probate court shall obtain from the Vermont criminal information center the record of Vermont convictions and pending criminal charges for any person being evaluated to be an adoptive parent.

(c)  The commissioner or probate judge, through the Vermont criminal information center shall request the record of convictions and pending criminal charges of the appropriate criminal repositories in all states in which there is reason to believe the applicant has resided or been employed.

(d)  If no disqualifying record is identified at the state level, the The commissioner or probate judge through the Vermont criminal information center shall request from the Federal Bureau of Investigation (FBI) a national criminal history record check of the applicant’s convictions and pending criminal charges.  The request to the FBI shall be accompanied by a set of the applicant’s fingerprints and a fee established by the Vermont criminal information center which shall be paid by the applicant and shall reflect the cost of obtaining the record from the FBI.

(e)  The Vermont criminal information center shall send to the requester any record received pursuant to this section or inform the requester that no record exists.

(f)  The requester shall promptly provide a copy of any record of convictions and pending criminal charges to the applicant and shall inform the applicant of the right to appeal the accuracy and completeness of the record pursuant to rules adopted by the Vermont criminal information center.

(g)  Upon completion of the applicant process under this section, the applicant’s fingerprint card and any copies thereof shall be destroyed.

Sec. 127b.  33 V.S.A. § 309 is amended to read:

§ 309.  ACCESS TO RECORDS

(a)(1)  The commissioner may obtain from the Vermont crime information center the record of convictions of any person to the extent the commissioner has determined by rule that such information is necessary to regulate a facility or individual subject to regulation by the department.

(2)  In cases involving the prospective placement of a child in foster care, the commissioner shall for any prospective foster parent:

(A)  Obtain from the Vermont criminal information center the record of Vermont convictions and pending criminal charges.

(B)  Request, through the Vermont criminal information center, from the Federal Bureau of Investigation (FBI) a national criminal history record check of the prospective foster parent.  The request to the FBI shall be accompanied by a set of the applicant’s fingerprints, and a fee established by the Vermont criminal information center shall reflect the cost of obtaining the record from the FBI.

          (3)  The department shall bear all costs for obtaining criminal records for prospective foster parents licensed by the department.

(4)  The commissioner shall first notify  receive written authorization from the person  whose record is being requested before requesting the record from the Vermont crime information center.

(b)(1)  The owner or operator of a facility or program licensed or, registered, or otherwise regulated by the department may ask the commissioner for the record of convictions criminal record and the record of substantiated reports of child abuse and neglect registry record of the following individuals:

(A)  a current employee or;

(B)  a person to whom the owner or operator has given a conditional offer of employment; or

(C)  any other person to the extent the commissioner has determined by rule that such information is necessary to regulate a facility or program.

(2)  The request shall be in writing and shall be accompanied by a release signed by the current or prospective employee person whose record is sought. The owner or operator release form shall inform the current or prospective employee person that he or she has the right to appeal the accuracy and completeness of the record.  Upon receiving a request under this subsection, the commissioner shall ask the Vermont crime information center for the record of convictions of the current or prospective employee and shall promptly search the child abuse and neglect registry.

(c)  If the person has a record of convictions, the commissioner shall provide the owner or operator of the facility or program that is licensed, registered, or otherwise regulated by the department with a copy of the record. If the person has a record of substantiated reports of child abuse in the child abuse and neglect registry, the commissioner shall inform the requesting owner or operator that such record exists.

(d)  Information released to an owner or operator under this section shall not be released or disclosed by the owner or operator to any other person except as authorized by law.  Release or disclosure of such information by an owner or operator may result in loss of license or, registration, or certification.

(e)  As used in this section,:

(1)  “Commissioner” means the commissioner or the commissioner’s designee.

(2)  “Employee” shall include volunteers.

(3)  “Substantiated reports of child abuse” “Child abuse and neglect registry record” means reports of child abuse substantiated under section 4915 of this title and entered into the child abuse and neglect registry maintained by the department pursuant to chapter 49 of this title.

(4)  “Volunteer” means an individual who without compensation provides services through a public or private organization.

Sec. 128.  Department for children and families - child development

                   Personal services                                        2,943,906

                   Operating expenses                                       762,228

                   Grants                                                      48,629,569

                        Total                                                   52,335,703

               Source of funds                                                               

                   General fund                                             21,585,001

                   Special funds                                                 865,000

                   Global Commitment fund                            3,040,746

                   Federal funds                                           26,619,204

                   Interdepartmental transfer                              225,752

                        Total                                                   52,335,703

Sec. 129.  Department for children and families - office of child support

                   Personal services                                        9,027,353

                   Operating expenses                                    3,797,607

                        Total                                                   12,824,960

               Source of funds                                                               

                   General fund                                               2,535,052

                   Special funds                                                 455,718

                   Federal  funds                                            9,446,590

                   Interdepartmental transfer                              387,600

                        Total                                                   12,824,960

Sec. 130.  Department for children and families - office of economic opportunity

                   Personal services                                           223,699

                   Operating expenses                                         80,705

                   Grants                                                        5,253,337

                        Total                                                     5,557,741

               Source of funds                                                               

                   General fund                                               1,038,546

                   Special funds                                                   57,340

                   Federal funds                                             4,210,782

                   Interdepartmental transfer                              251,073

                        Total                                                     5,557,741

     (a)  Of the above general fund appropriation, $692,000 shall be granted to community agencies for homeless assistance by preserving existing services, increasing services, or increasing resources available statewide.  These funds may be granted alone or in conjunction with federal McKinney emergency shelter funds.  Grant decisions shall be made with assistance from the coalition of homeless Vermonters.

Sec. 131.  Department for children and families - OEO - weatherization assistance

                   Personal services                                           159,531

                   Operating expenses                                       129,950

                   Grants                                                        7,735,000

                        Total                                                     8,024,481

               Source of funds                                                               

                   Special funds                                              6,745,753

                   Federal funds                                             1,278,728

                        Total                                                     8,024,481

     (a)  Of the above special fund appropriation, $400,000 is for the replacement and repair of home heating equipment.

     (b)  On or before January 30 of each year, the office of economic opportunity shall make a report to the house and senate committees on appropriations utilizing existing resources within state government available in the office of economic opportunity's weatherization data management system that compiles performance data available on households weatherized in the past year to include: 1) the number of households weatherized; 2) average program expenditure per household for energy efficiency; 3) average percent energy savings; 4) energy and nonenergy benefits combined; 5) benefits saved for every dollar spent; 6) average savings per unit for heating fuels; 7) gallons of oil saved related to equivalent number of homes heated; 8) projected number of households to be weatherized in the current program year; and 9) projected program expenditures for the current program year ending March 31.

Sec. 132.  33 V.S.A. § 2503(g) is amended to read:

     (g)  On or before August 7 of each year, the director of the state economic opportunity office shall set aside a sum of money equaling 12 and one-half  two and one-half percent of the tax receipts of the fuel gross receipts tax for the preceding fiscal year in an escrow account.  The monies in the escrow account are to be used for rebate, as approved under subsections (e) and (f) of this section, of the gross receipts tax established in subsection (a) of this section. Upon approval of rebates, the director shall pay the approved rebates out of the escrow account. In the event that the approved rebates exceed the amount of money set aside in the escrow account, the director shall prorate each rebate. Any balance of rebate awards remaining unpaid as a result of proration may be carried forward for payment in a succeeding year. If monies set aside exceed approved rebates, then the balance shall be returned to the trust fund.  The director of the state economic opportunity office shall use the remainder of the tax receipts of the fuel gross receipts tax for the preceding fiscal year to assure the provision of weatherization services as described in subsections (a), (b) and (c) of section 2502 of this title.

Sec. 133.  Department for children and families - Woodside rehabilitation center

                   Personal services                                        2,632,506

                   Operating expenses                                       624,317

                        Total                                                     3,256,823

               Source of funds                                                               

                   General fund                                               3,201,931

                   Interdepartmental transfer                                54,892

                        Total                                                     3,256,823

Sec. 134.  Department for children and families - disability determination services

                   Personal services                                        3,221,300

                   Operating expenses                                       574,946

                        Total                                                     3,796,246

               Source of funds                                                               

                   Federal funds                                             3,549,729

                   Interdepartmental transfer                              246,517

                        Total                                                     3,796,246

Sec. 135.  Department for children and families - aid to aged, blind and disabled

                   Personal services                                        1,570,699

                   Grants                                                        9,791,580

                        Total                                                   11,362,279

               Source of funds                                                               

                   General fund                                               7,612,279

                   Global Commitment fund                            3,750,000

                        Total                                                   11,362,279

     (a)  The commissioner in collaboration with the joint fiscal office shall perform an analysis comparing the cost of having the federal government process the supplemental benefit checks versus having the state or a private contractor process the checks.  The analysis shall include the cost of switching the responsibility for the check processing from the federal government to the state, the most effective time frame to effectuate the switch, and the potential savings from having the state process the checks.  The results of the analysis shall be presented to the house and senate committees on appropriations by December 1, 2007. 

Sec. 136.  Department for children and families - general assistance

                   Grants                                                        4,376,259

               Source of funds                                                               

                   General fund                                               2,854,939

                   Global commitment fund                                410,000

                   Federal funds                                             1,111,320

                         Total                                                     4,376,259

     (a)  Of the above appropriation, $527,000 in federal TANF funds and $50,000 in general funds are allocated to the department for children and families to provide families with rental or mortgage arrearage assistance under section 2114 of Title 33.

     (b)  Of the above appropriation, an amount not to exceed $150,000 ($75,000 in federal TANF and $75,000 in general funds) may be expended for temporary housing assistance to individuals and families that have reached the 28-day maximum allowed under department regulations and have a continued need for this type of emergency assistance.  Assistance shall be limited to an additional 56 cumulative days beyond the current 28-day maximum. 

     (c)  Assistance under this section is not an entitlement and shall cease upon expenditure of these allocated funds. 

Sec. 137.  GENERAL ASSISTANCE BENEFITS; FLEXIBILITY PILOT PROGRAM

     (a)  Commencing with state fiscal year 2007 and for a period of up to three years, the agency of human services may establish a pilot assistance program within the general assistance program to create flexibility to provide these general assistance benefits.  The purpose of the pilot program is to mitigate poverty and serve applicants more effectively than they are currently served with the same amount of general assistance funds.  The pilot program shall operate consistent within existing statutes and rules except that it may grant exceptions to this program’s eligibility rules and may create programs and services as alternatives to these rules during the period of the pilot program.

     (b)  The agency shall engage interested parties in the design and implementation of the pilot program.  The interested parties involved may include both statewide groups and local agencies and groups in the districts where the pilot programs is expected to be implemented. 

     (c)  The pilot program may operate in up to three districts designated by the secretary of human services.  This program will be budget neutral.  For each district in which the agency operates the program, it shall establish procedures for evaluating the pilot and its effects.  The agency shall report annually to the general assembly on its findings from the programs, its recommendations for changes in the general assistance program, and a plan for further implementation of the program. 

     (d)  The department for children and families shall evaluate the general assistance pilot projects established pursuant to Sec. 137a of No. 215 of the Acts of 2006 to determine whether the pilot projects are meeting the objectives of serving applicants for general assistance more effectively and mitigating poverty without increasing the amount of funds for the program.  The evaluation shall include an analysis of the effect of the modifications to the general assistance program on the outcomes for applicants.

     (e)  The department shall report to the house committees on appropriations and human services and the senate committees on appropriations and health and welfare no later than January 1, 2008 with a summary of the evaluation of the pilots and any recommended changes to the general assistance program.

Sec. 138.  Department for children and families - reach up

                   Grants                                                      39,205,606

               Source of funds                                                               

                   General fund                                             12,677,114

                   Special funds                                            19,403,000

                   Global Commitment fund                                 45,685

                   Federal funds                                             7,079,807

                        Total                                                   39,205,606

Sec. 139.  MAINTENANCE-OF-EFFORT; FUNDING; EARNED INCOME TAX CREDIT

     (a)  The department for children and families shall analyze state-funded programs to determine whether the programs meet the federal requirements for TANF maintenance-of-effort in order to maximize the excess maintenance-of-effort available to the state, to increase state flexibility in operating the state’s TANF-funded, solely state-funded, and separate state-funded programs, and to avoid federal financial penalties.

     (b)  Beginning in state fiscal year 2007, the department of taxes shall record and report the amount of earned income tax credit provided to families which include a dependent child to the department for children and families.  The department for children and families shall claim this amount as a use of federal temporary assistance for needy families (TANF) block grant funds.  The amount reported shall meet the requirements of federal law for purposes of reporting the TANF block grant funds. 

Sec. 140.  TANF EXEMPTION

     (a)  The commissioner may exempt all individuals domiciled in the state of Vermont from the implementation of Sec. 115(a) of Public Law 104-193 through June 30, 2008.

Sec. 141.  Department for children and families - home heating fuel assistance/LIHEAP

                   Personal services                                             20,000

                   Operating expenses                                         90,000

                   Grants                                                      10,146,117

                        Total                                                   10,256,117

               Source of funds                                                               

                   Special funds                                            10,256,117

     (a)  Of the funds appropriated for home heating fuel assistance/LIHEAP in this act, no more than $350,000 shall be expended for crisis fuel direct service/administration exclusive of statewide after-hours crisis coverage.

Sec. 142.  HOME HEATING FUEL ASSISTANCE/LIHEAP

     (a)  All federal funds granted to the state for home heating fuel assistance under the Low Income Home Energy Assistance Program (LIHEAP) or other similar federal program in fiscal year 2008 and all unexpended LIHEAP funds granted to the state in fiscal year 2007 are hereby transferred to the home heating fuel assistance trust fund for the provision of home heating fuel assistance, including program administration, under 33 V.S.A. chapter 26.

     (b)  For the purpose of a crisis set-aside, seasonal home heating fuel assistance through December 31, 2007, and program administration, the commissioner of finance and management shall transfer $2,550,000 from the home weatherization assistance trust fund to the home heating fuel assistance trust fund to the extent that federal LIHEAP or similar federal funds are not available.  An equivalent amount shall be returned to the home weatherization trust fund from the home heating fuel assistance trust fund to the extent that federal LIHEAP or similar federal funds are received.  Should a transfer of funds from the home weatherization assistance trust fund be necessary for the 2007-2008 crisis set-aside and seasonal home heating fuel assistance through December 31, 2007, and LIHEAP funds awarded as of December 31, 2007 for fiscal year 2008 do not exceed $2,550,000, subsequent payments under the home heating fuel assistance program shall not be made prior to January 30, 2008.  Notwithstanding any other provision of law, payments authorized by the office of home heating fuel assistance shall not exceed funds available, except that for fuel assistance payments made through December 31, 2007, the commissioner of finance and management may anticipate receipts into the home weatherization assistance trust fund.

     (c)  The secretary of the agency of human services shall propose to the joint fiscal committee at the committee’s July, 2007 meeting a margin over rack pricing agreement and a fixed price agreement for the purchase of heating fuel.  The committee shall review the proposals and make a determination as to whether one of the proposals should be approved.  The intent is to maximize the purchasing power of public funds used in connection with the home heating fuel assistance program.  The proposal required by this section shall include recommendations, where feasible, for all applicable fuels purchased by program beneficiaries.

Sec. 142a.  FUEL ASSISTANCE; ASSET LEVEL REPORT

     (a)  The commissioners of the department for children and families and the department of disabilities, aging, and independent living shall assess the asset eligibility levels for Vermont’s seasonal home heating assistance program, including but not limited to how any increase in such levels would increase caseloads and impact benefits.  In preparing the assessment, the commissioners shall consult with the Home Energy Assistance  Task Force established pursuant to 33 V.S.A. § 2501a(c).  The commissioners shall report their findings to the house and senate committees on appropriations on or before January 15, 2008.

Sec. 143.  33 V.S.A. § 2604(a) is amended to read:

     (a)  Household income eligibility requirements.  The secretary, by rule, shall establish household income and asset eligibility requirements of beneficiaries in the seasonal fuel assistance program including the income and assets of all residents of the household. 

          (1)  The income eligibility requirements shall require that households have a net household income no greater than 125 percent of the federal poverty level in order to be potentially eligible for benefits.  Net income shall be derived by making the following deductions from gross income: 20 percent of household members’ gross earned income; 100 percent of federal or state earned income credits received by household members; dependent care expenses that are within an allowable maximum, paid by a household member, and necessary to support a household member’s employment or training for employment, according to criteria established by the secretary by rule; child support or alimony payments made by a household member on behalf of a nonhousehold member that meet criteria established by the secretary by rule; $150.00 for each household member who is 60 years of age or older or disabled according to criteria established by the secretary by rule; any deductions or exclusions required by federal law or regulations; and any other deduction or exclusion established by the secretary by rule.

          (2)  In order to be eligible, a household shall have net household assets no greater than $5,000.00.  The secretary shall establish exclusions from the asset limit by rule. 

Sec. 144.  Department for children and families - food stamp cash out

                   Grants                                                      11,288,833

               Source of funds                                                               

                   Federal funds                                           11,288,833

Sec. 145.  Department for children and families - children's trust fund

                   Grants                                                           340,891

               Source of funds                                                               

                   General fund                                                  100,651

                   Special funds                                                   70,000

                   Federal funds                                                170,240

                        Total                                                        340,891

Sec. 146.  Disabilities, aging and independent living - administration & support

                   Personal services                                      23,442,892

                   Operating expenses                                    3,702,406

                        Total                                                   27,145,298

               Source of funds                                                               

                   General fund                                               6,467,588

                   Special Funds                                                952,910

                   Global Commitment fund                            5,940,176

                   Federal funds                                           11,352,141

                   Interdepartmental transfer                           2,432,483

                        Total                                                   27,145,298

     (a)  The department of disabilities, aging, and independent living, in cooperation with the Vermont center for independent living, shall investigate how many people with physical disabilities are at significant risk of, or living in, nursing homes and other inappropriate settings, and the degree to which additional funding to the home access program will allow individuals to live in the most integrated setting possible.  The department shall report its findings to the house and senate committees on appropriations, the house committee on human services, and the senate committee on health and welfare by January 15, 2008. 

Sec. 147.  [DELETED]

Sec. 148.  Disabilities, aging, and independent living - advocacy and independent living - grants

                   Grants                                                      21,295,486

               Source of funds                                                               

                   General fund                                              10,059,299

                   Global Commitment fund                            3,142,896

                   Federal funds                                             7,655,791

                   Interdepartmental transfer                              437,500

                         Total                                                   21,295,486

     (a)  Certification of adult day providers shall require a demonstration that the new program is filling an unmet need for adult day services in a given geographic region, and does not have an adverse impact on existing adult day services.

     (b)  Reimbursement for adult day services shall be at least $13.00 per hour. 

Sec. 149.  Disabilities, aging, and independent living - blind and visually impaired

                   Grants                                                        1,486,457

               Source of funds                                                               

                   General fund                                                  364,064

                   Special funds                                                 223,450

                   Global Commitment fund                               250,000

                   Federal funds                                                648,943

                        Total                                                     1,486,457

Sec. 150.  Disabilities, aging, and independent living - vocational rehabilitation

                   Grants                                                        5,921,471

               Source of funds                                                               

                   General fund                                               1,495,695

                   Federal funds                                             4,132,389

                   Interdepartmental transfer                              293,387

                        Total                                                     5,921,471

Sec. 151.  Disabilities, aging, and independent living - TBI home-and community-based waiver

                   Grants                                                        3,415,448

               Source of funds                                                               

                   Global Commitment fund                            3,415,448


Sec. 152.  Disabilities, aging, and independent living - developmental services

                   Grants                                                    127,545,146

               Source of funds                                                               

                   General fund                                                  162,964

                   Special funds                                                 185,463

                   Global Commitment fund                        126,872,324

                   Federal funds                                                324,395

                        Total                                                 127,545,146

Sec. 152a.  TRAUMATIC BRAIN INJURY STUDY COMMITTEE

(a)  A committee of the following members is created:  one member of the house committee on human services, appointed by the speaker of the house; one member of the senate committee on health and welfare, appointed by the committee on committees; four representatives of the agency of human services from the department of disabilities, aging, and independent living, the department of mental health, the division of developmental services, and the traumatic brain injury program, appointed by the secretary of human services; and one physician and one member of the psychiatric or mental health treatment community, appointed by the governor.

(b)  The committee shall evaluate the nature and scope of the need of Vermonters for help in performing activities of daily living as a result of traumatic brain injury, stroke, and substance-induced brain injury.  The committee shall also analyze insurance coverage for these conditions.

(c)  The committee may meet up to four times and file a report of its recommendations by December 15, 2007.

(d)  Members of the general assembly shall be entitled to the same per diem compensation and reimbursement for necessary expenses as those provided to members of standing committees under section 406 of Title 2.

Sec. 153.  Corrections - administration

                   Personal services                                        2,041,100

                   Operating expenses                                       316,087

                        Total                                                     2,357,187

               Source of funds                                                               

                   General fund                                               2,357,187

Sec. 153a.  CORRECTIONS; CORRECTIONAL FACILITIES AND SERVICES

     (a)  The general assembly finds that spending on corrections facilities and services is increasing at an unsustainable rate.  Therefore, the department of corrections shall develop a plan to decrease the cost of incarcerating offenders. 

(b)  The plan shall consider and recommend a variety of options to reduce facility costs, including but not limited to:

          (1)  Closing the Dale women’s facility and changing the use of the southeast state correctional facility in Windsor from a women’s correctional facility to either a work camp or a minimum security prison for men.

          (2)  Renovating the Chittenden regional correctional facility in South Burlington in order to make it into a women's correctional facility.

          (3)  Using one or more correctional facilities as detention facilities.

          (4)  Seeking contracts with public and private correctional services at out-of-state facilities that are as close to this state as possible.

(5)  Using existing facilities more efficiently by closing some facilities and replacing lost capacity by expanding others.

(6)  Establishing a dedicated substance abuse treatment facility.

(c)  The plan shall also consider and recommend a variety of options to reduce incarceration costs by $4,000,000, one-half of which shall be reinvested in reentry services.  Options considered shall include at a minimum: 

          (1)  Recommending changes to department policies and practices that will result in a reduction of at least 10 percent in the number of inmates incarcerated for nonviolent offenses by June 30, 2008.

          (2)  Using less costly community-based alternatives to incarceration for nonviolent offenders.

          (3)  Amending the eligibility criteria in order to expand the use of electronic monitoring through a global positioning system as means of reducing the nonviolent incarcerated population.

(4)  Providing in communities a continuum of treatment approaches for substance abuse, ranging from intensive outpatient services to secure treatment, for nonviolent offenders with mental health and substance abuse problems.

(d)  As the department develops the plan, it shall:

(1)  track the progress of the justice reinvestment initiative conducted by the Council of State Governments and use the information gathered to inform its work; and

(2)  consult with the police chiefs, sheriff, and state’s attorney of Chittenden County regarding the impacts of having no facility for incarcerating or detaining the male population in Chittenden County, and include a proposal to address these impacts. 

(e)  The department of corrections shall report the plan to the joint fiscal committee and the joint corrections oversight committee no later than November 1, 2007.

Sec. 153b.  JUSTICE REINVESTMENT INITIATIVE WORKING GROUP; CREATION

(a)  There is created a bipartisan, multi-branch justice reinvestment initiative working group to work with the Justice Center of the Council of State Governments to:

(1)  Analyze the corrections inmate population and spending to gain an understanding of why our corrections population is growing and why Vermont has very high recidivism rates.

(2)  Develop options that will result in decreased spending on corrections and increased public safety.

(b)  The justice reinvestment initiative working group shall consist of two members of the administration appointed by the governor, two members of the judiciary appointed by the chief justice, two members of the house appointed by the speaker, two members of the senate appointed by the committee on committees, and one member of the chief justice's task force on mental health and criminal justice appointed by the chief justice.  The working group may meet as necessary.  Legislative members shall receive a per diem and expenses pursuant to 2 V.S.A. § 406.

(c)  On or before December 15, 2007, the justice reinvestment initiative working group shall report on the data collected, options developed and analyzed, and recommendations for policy change.

Sec. 154.  Corrections - parole board

                   Personal services                                           306,179

                    Operating expenses                                         65,555

                        Total                                                        371,734

               Source of funds                                                               

                   General fund                                                  371,734

Sec. 155.  Corrections - correctional education

                   Personal services                                        3,875,474

                   Operating expenses                                       343,662

                        Total                                                     4,219,136

               Source of funds                                                               

                   General fund                                               3,321,986

                   Interdepartmental transfer                              897,150

                        Total                                                     4,219,136

Sec. 156.  Corrections - correctional services

                   Personal services                                      69,445,693

                   Operating expenses                                  31,361,582

                   Grants                                                        1,660,500

                        Total                                                 102,467,775

               Source of funds                                                               

                   General fund                                             98,170,305

                   Special funds                                                 547,919

                   Tobacco fund                                                  87,500

                   Global commitment fund                             2,894,144

                   Federal funds                                                686,861

                   Interdepartmental transfer                                81,046

                        Total                                                 102,467,775

     (a)  Of the above general fund appropriation, $103,000 shall be used as a grant to Dismas House of Vermont, Inc. 

     (b)  The commissioner of corrections and the commissioner of buildings and general services shall eliminate the projected $129,000 increase in fleet-related expenses.  The $129,000 shall be redirected to offender reentry programs of which $50,000 shall be granted to Return House in Barre.

     (c)  The commissioner of corrections shall present a proposal to the legislative joint corrections oversight committee regarding the implementation of an offender sliding scale medical co-payment for health care services.  The proposal shall include the experience of other states in this regard.

Sec. 157.  Corrections - correctional services - out-of-state beds

                   Operating expenses                                    9,621,342

               Source of funds                                                               

                   General fund                                               9,621,342

Sec. 158.  Corrections - correctional facilities - recreation

                   Personal services                                           603,012

                   Operating expenses                                       523,986

                        Total                                                     1,126,998

               Source of funds                                                               

                   General fund                                                  125,000

                   Special funds                                               1,001,998

                        Total                                                     1,126,998

Sec. 159.  Corrections - Vermont offender work program

                   Personal services                                        1,412,977

                   Operating expenses                                    1,909,635

                        Total                                                     3,322,612

               Source of funds                                                               

                   Internal service funds                                  3,322,612

Sec. 160.  Vermont veterans' home - care and support services

                   Personal services                                      13,342,317

                   Operating expenses                                    3,084,150

                        Total                                                   16,426,467

               Source of funds                                                               

                   Special funds                                            10,466,920

                   Global Commitment fund                               913,047

                   Federal funds                                             5,046,500

                        Total                                                   16,426,467

     (a)  If Global Commitment fund monies are unavailable, the total funding for the Vermont veterans' home shall be maintained through the general fund or other state funding sources.

     (b)  The veterans' home is authorized to spend up to $200,000 of carry forward funds from fiscal year 2007 to fiscal year 2008 on building maintenance and improvement projects.

Sec. 161.  Commission on women

                   Personal services                                           207,262

                   Operating expenses                                         58,628

                        Total                                                        265,890

               Source of funds                                                               

                   General fund                                                  260,890

                   Special funds                                                     5,000

                        Total                                                        265,890

Sec. 162.  Retired senior volunteer program

                   Grants                                                           131,096

               Source of funds                                                               

                   General fund                                                  131,096

Sec. 162a.  FISCAL YEAR 2008 HUMAN SERVICES; ONE-TIME FUNDING INITIATIVES

     (a) The funds appropriated in Sec. 381a(a)(9) of this act shall be allocated as follows:

          (1)  $100,000 to the department of disabilities, aging, and independent living for a state center on aging.

          (2)  $100,000 to the department of disabilities, aging, and independent living for a grant to the area agencies on aging.

          (3)  $50,000 to the department of health for a grant to the Serenity house program.

          (4)  $35,000 to the department for children and families-office of economic opportunity for a grant to the micro business development program.

          (5)  $35,000 to the department for children and families-office of economic opportunity for a grant to community action programs for the individual development accounts (IDA) program.

          (6)  $856,000  to the department for children and families-family services for grants to programs and services to enhance the well-being of Vermont children as follows:

               (A)  $250,000 for grants to mentoring programs statewide;

               (B)  $75,000 to the Vermont coalition of teen centers;

               (C) $100,000 for post-adoption services;

               (D)  $100,000 for flexible funding needs of the department’s field offices;

               (E)  $100,000 for grants to teen parent education programs;

               (F)  $75,000 for the building bright futures facilities fund;

               (G)  $39,000 for equal grants to each of the thirteen “learning together” programs;

               (H)  $20,000 for the “Voices” film project of Kingdom County Productions, a collaborative program for Vermont youth;

               (I)  $15,000 to the Vermont coalition for homeless and runaway youth;

               (J)  $6,000 to the kids on the block program;

               (K)  $6,000 to the  kid safe collaborative program;

               (L)  $70,000 to prevent child abuse Vermont.  Prevent child abuse Vermont shall submit a report to the house and senate committees on appropriations by December 15, 2007 on their statewide curriculum for child protection.


Sec. 163.  Total human services                               2,531,416,112

               Source of funds                                                               

                   General fund                                           493,209,047

                   Special funds                                            76,187,668

                   Tobacco fund                                           35,546,820

                   Global Commitment fund                        853,052,203

                   State health care resources fund              157,186,147

                   Catamount fund                                        13,015,143

                   Federal funds                                         883,671,653

                   Permanent trust funds                                      10,000

                   Internal service funds                                  3,322,612

                   Interdepartmental transfer                         16,214,819

                        Total                                              2,531,416,112

Sec. 164.  Labor - programs

                   Personal services                                      19,476,718

                   Operating expenses                                    4,317,857

                   Grants                                                        1,665,000

                        Total                                                   25,459,575

               Source of funds                                                               

                   General fund                                               2,135,711

                   Special funds                                              2,581,586

                   Catamount fund                                             315,258

                   Federal funds                                           18,326,794

                   Interdepartmental transfer                           2,100,226

                        Total                                                   25,459,575

Sec. 165.  Labor - administration

                   Personal services                                        2,463,105

                   Operating expenses                                       764,672

                        Total                                                     3,227,777

               Source of funds                                                               

                   General fund                                                  222,484

                   Special funds                                                 315,633

                   Catamount fund                                               78,814

                   Federal funds                                             2,307,234

                   Interdepartmental transfer                              303,612

                        Total                                                     3,227,777

     (a)  Any foster care payments excluded from the definition of gross income under the Internal Revenue Code Title 26, Section 131 shall not be considered wages under 21 V.S.A. § 1301 (12).

Sec. 166.  Labor - domestic and sexual violence survivors' transitional employment program

                   Grants                                                             30,000

               Source of funds                                                               

                   Special fund                                                     30,000

Sec. 167.  Total labor                                                   28,717,352

               Source of funds                                                               

                   General fund                                               2,358,195

                   Special funds                                              2,927,219

                   Catamount fund                                             394,072

                   Federal funds                                           20,634,028

                   Interdepartmental transfer                           2,403,838

                        Total                                                   28,717,352

Sec. 168.  Education - finance and administration

                   Personal services                                        4,930,371

                   Operating expenses                                    1,671,659

                   Grants                                                      14,505,600

                        Total                                                   21,107,630

               Source of funds                                                               

                   General fund                                               3,435,105

                   Special funds                                            14,983,034

                   Global Commitment fund                               822,999

                   Federal funds                                             1,859,375

                   Interdepartmental transfer                                  7,117

                        Total                                                   21,107,630

Sec. 169.  EDUCATION; EXCESS SPENDING; EXCEPTION

     (a)  Notwithstanding any provision of 32 V.S.A. § 5401(12) and upon approval of the commissioner of education, excess spending shall not include any deficit repayment that arose solely from the unexpected cost of paying for additional personnel who were needed after the budget was passed due to extraordinary circumstances resulting in the loss of life of school personnel on school grounds.

Sec. 170.  UNEXPECTED COST OF PERSONNEL; LOAN

     (a)  The executive director of the center for crime victims services shall lend up to $300,000, without interest, from the crime victims’ restitution special fund, created pursuant to 13 V.S.A. § 5363, to a school district to pay for a budget deficit that arose solely from the unexpected cost of paying for additional personnel who were needed purely because of extraordinary circumstances resulting in the loss of life of school personnel on school grounds, if the district’s loan request is approved by the commissioner of education.  The district shall fully repay the loan in installments made over a period not to exceed five years.  The center shall report annually to the state treasurer on the payments and receivables related to the loan.

Sec. 171.  Education - education services

                   Personal services                                      12,540,453

                   Operating expenses                                    1,962,260

                   Grants                                                    109,779,876

                        Total                                                 124,282,589

               Source of funds                                                               

                   General fund                                               7,734,165

                   Transportation fund                                       127,483

                   Special funds                                              1,971,782

                   Federal funds                                         114,200,027

                   Interdepartmental transfer                              249,132

                        Total                                                 124,282,589

Sec. 172.  Education - technical education

                   Grants                                                      11,633,000

               Source of funds                                                               

                   Education fund                                         11,633,000

     (a)  The appropriation in this section shall be authorized notwithstanding 16 V.S.A. § 1564.

Sec. 173.  Education - special education: formula grants

                   Grants                                                    133,794,159

               Source of funds                                                               

                   Education fund                                       133,564,159

                   Global Commitment fund                               230,000

                        Total                                                 133,794,159

     (a)  Of the appropriation authorized in this section and notwithstanding any other provision of law, an amount not to exceed $3,170,820 shall be used by the department of education in fiscal year 2008 as funding for 16 V.S.A.
§ 2967(b)(2)-(6).  In addition to funding for 16 V.S.A. § 2967(b)(2)-(6), up to $162,872 may be used by the department of education for its participation in the higher education partnership plan.


Sec. 174.  Education - state-placed students

                   Grants                                                      14,750,000

               Source of funds                                                               

                   Education fund                                         14,750,000

     (a)  The Independence Place program of the Lund Family Center shall be considered a 24-hour residential program for the purposes of reimbursement of education costs.

Sec. 175.  Education - adult education and literacy

                   Grants                                                        4,593,059

               Source of funds                                                               

                   General fund                                               2,717,398

                   Education fund                                           1,000,000

                   Federal funds                                                875,661

                        Total                                                     4,593,059

     (a)  Of the above appropriation, the amount from the education fund shall be distributed to school districts for reimbursement of high school completion services pursuant to 16 V.S.A. § 1049a(c). 

Sec. 176.  Education - adjusted education payment

                   Grants                                                 1,063,700,000

               Source of funds                                                               

                   Education fund                                    1,063,700,000

     (a)  Up to $140,000,000 of the fund appropriated shall be transferred to the department of taxes for the tax commissioner's transfer to municipalities of the education fund portion of property tax adjustment amounts as required under 32 V.S.A. §§ 6066 and 6066a.  The amount sent to each municipality shall be transferred to the school district treasurer in accordance with Sec. 290 of this act.

     (b)  By March 15, 2008, the department of taxes shall transfer back to the education fund any amounts received by the department under subsection (a) of this section which have not been transferred to a municipality.  Any property tax adjustment amount related to a claim filed between January 1 and September 1, 2007, which has not been transferred to a municipality by March 15, 2008, shall not be transferred to a municipality; but the commissioner of taxes shall instead notify the municipality of that adjustment amount, as provided in 32  V.S.A. § 6066a, as in effect at that time.


Sec. 177.  Education - essential early education grant

                   Grants                                                        5,199,124

               Source of funds                                                               

                   Education fund                                           5,199,124

Sec. 178.  Education - transportation

                   Grants                                                      14,453,479

               Source of funds                                                               

                   Education fund                                         14,453,479

Sec. 179.  Education - small school grants

                   Grants                                                        6,093,552

               Source of funds                                                               

                   Education fund                                           6,093,552

Sec. 180.  Education - capital debt service aid

                   Grants                                                           280,000

               Source of funds                                                               

                   Education fund                                              280,000

Sec. 181.  Education - tobacco litigation

                   Personal services                                           145,112

                   Operating expenses                                         18,119

                   Grants                                                           832,437

                         Total                                                        995,668

               Source of funds                                                               

                   Tobacco fund                                                995,668

Sec. 182.  Education - Act 117 Cost Containment

                   Personal services                                        1,070,190

                   Operating expenses                                       121,515

                   Grants                                                             91,000

                        Total                                                     1,282,705

               Source of funds                                                               

                   Special funds                                              1,282,705

     (a)  Notwithstanding any provisions of law, expenditures made from this section shall be counted under 16 V.S.A. § 2967(b) as part of the state’s 60 percent of the statewide total special education expenditures of funds which are not derived from federal sources.


Sec. 183.  FUND APPROPRIATION AND TRANSFER

     (a)  There is appropriated in fiscal year 2008 from the general fund for transfer to the education fund the amount of $280,200,000.

Sec. 184.  16 V.S.A. § 4025(a)(2) is amended to read:

          (2)  Funds appropriated or transferred by the general assembly, and in fiscal year 2006 and thereafter there is appropriated and transferred from the general fund to the education fund the amount appropriated and transferred in the prior fiscal year adjusted by the percentage change in general fund base spending in the current fiscal year For each fiscal year, the governor shall present a budget to the legislature providing for a general fund appropriation and transfer to the education fund in this amount, and the legislature shall appropriate and transfer this amount adjusted as necessary to reflect the actual amount of general fund base spending enacted by the legislature for that fiscal year.  For each fiscal year, the amount of the general funds appropriated or transferred to the education fund shall be $280,200,000 increased by the most recent New England economic project cumulative price index, as of November 15, for state and local government purchases of goods and services from fiscal year 2008 through the fiscal year for which the payment is being determined, plus an additional one-tenth of one percent.

Sec. 185.  ONE-TIME FUNDS; TEACHERS’ RETIREMENT

     (a)  $7,000,000 in general funds shall be reserved in fiscal year 2007 and appropriated to the state teachers’ retirement system in fiscal year 2008.

Sec. 186.  State teachers' retirement system

                   Personal services                                      20,887,841

                   Operating expenses                                       884,783

                   Grants                                                      32,549,097

                        Total                                                   54,321,721

               Source of funds                                                               

          General fund                                                       32,549,097

                   Pension trust funds                                    21,772,624

                        Total                                                   54,321,721

     (a)  Notwithstanding 16 V.S.A. § 1944(g)(2), the amount of annual contribution to the Vermont state teachers' retirement system shall be $32,549,097 in fiscal year 2008.

     (b)  In accordance with 16 V.S.A. § 1944(c)(2), of the above grant appropriation $26,567,961 is appropriated as the "normal contribution," and $5,981,136 is appropriated as the "accrued liability contribution."  The state teachers' retirement system will be fully funded for the actuarial recommendation for fiscal year 2008 by using one-time general fund revenues of $7,000,000 appropriated in Sec. 185 of this act combined with an estimated $1,200,000 of Medicare Part D reimbursement funds.

Sec. 187.  TAX DEPARTMENT - REAPPRAISAL AND LISTING PAYMENTS

     (a)  The amount of $3,228,945 in education funds is appropriated in fiscal year 2008 to implement the provisions of 32 V.S.A. § 4041a(a), relating to payments to municipalities for reappraisal costs, and § 5405(f), relating to payments of $1.00 per grand list parcel.

Sec. 188.  Renter rebate

               Grants                                                              7,624,823

               Source of funds                                                               

                   General fund                                               2,277,149

                   Education fund                                           5,347,674

                        Total                                                     7,624,823

Sec. 189.  Total general education and property

 tax assistance                                                          1,754,540,454

               Source of funds                                                               

                   General fund                                           335,912,914

                   Transportation fund                                       127,483

                   Education fund                                    1,259,249,933

                   Special funds                                            18,237,521

                   Tobacco fund                                                995,668

                   Global Commitment fund                            1,052,999

                   Federal funds                                         116,935,063

                   Pension trust funds                                    21,772,624

                   Interdepartmental transfer                              256,249

                        Total                                              1,754,540,454

Sec. 190.  University of Vermont

                   Grants                                                      42,271,844

               Source of funds                                                               

                   General fund                                             38,265,688

                   Global Commitment fund                            4,006,156

                        Total                                                   42,271,844

     (a)  The commissioner of finance and management shall issue warrants to pay one-twelfth of the appropriation to the University of Vermont on or about the fifteenth day of each calendar month of the year.

     (b)  Of the above appropriation, $396,115 shall be transferred to EPSCoR for the purpose of complying with state matching fund requirements necessary for the receipt of available federal or private funds, or both.

     (c)  If Global Commitment fund monies are unavailable, the total grant funding for the University of Vermont shall be maintained through the general fund or other state funding sources.

Sec. 191.  University of Vermont- Morgan horse farm

                   Grants                                                               5,500

               Source of funds                                                               

                   General fund                                                      5,500

Sec. 192.  Vermont public television

                   Grants                                                           605,737

               Source of funds                                                               

                   General fund                                                  605,737

Sec. 193.  Vermont state colleges

                   Grants                                                      24,146,750

               Source of funds                                                               

                   General fund                                             24,146,750

     (a)  The commissioner of finance and management shall issue warrants to pay one-twelfth of the appropriation to the Vermont state colleges on or about the fifteenth day of each calendar month of the year.

     (b)  Of the above appropriation, $446,652 shall be transferred to the Vermont manufacturing extension center for the purpose of complying with state matching fund requirements necessary for the receipt of available federal or private funds or both.

Sec. 194.  Vermont state colleges - allied health

                   Grants                                                        1,069,432

               Source of funds                                                               

                   General fund                                                  664,025

                   Global Commitment fund                               405,407

                        Total                                                     1,069,432

     (a)  If Global Commitment fund monies are unavailable, the total grant funding for the Vermont state colleges shall be maintained through the general fund or other state funding sources.


Sec. 195.  Vermont interactive television

                   Grants                                                           858,163

               Source of funds                                                               

                   General fund                                                  858,163

Sec. 196.  Vermont student assistance corporation

                   Grants                                                      19,153,758

               Source of funds                                                               

                   General fund                                              19,153,758

     (a)  Of the above appropriation, $25,000 is appropriated from the general fund to the Vermont student assistance corporation to be deposited into the trust fund established in 16 V.S.A. § 2845.  It is the intent of the general assembly that the amount of $25,000 continue to be appropriated from the general fund on an ongoing, annually recurring basis for this purpose.

     (b)  Except as provided in subsection (a) of this section, not less than 100 percent of grants shall be used for direct student aid.

     (c)  $350,000 of state funding available to the Vermont student assistance corporation, including funds transferred from the military department shall be used to support the purposes of 16 V.S.A. § 2856.  Any unexpended funds from this allocation shall carry forward for this purpose.

Sec. 196a.  Sec. 2 of No. 72 of the Acts of 2004 is amended to read:

Sec. 2.  APPROPRIATION; SUNSET

(a)  The amount of $25,000.00 is appropriated from the general fund to the Vermont Student Assistance Corporation for deposit into the trust fund established in 16 V.S.A. § 2845.  It is the intent of the general assembly to appropriate another $25,000.00 for this purpose in each of the next four fiscal years.

(b)  This act shall be repealed on July 1, 2008.  Notwithstanding 16 V.S.A. § 2845(a), in fiscal year 2008, the board of the Vermont Student Assistance Corporation may withdraw up to 100 percent of the assets in the trust fund established in Sec. 1 of this act.  If any funds remain in the trust fund upon repeal of this act, the funds shall be used by the Vermont Student Assistance Corporation to provide incentive grants under 16 V.S.A. § 2844.

Sec. 197.  New England higher education compact

                   Grants                                                              84,000

               Source of funds                                                               

                   General fund                                                    84,000


Sec. 198.  Total higher education and other                  88,195,184

               Source of funds                                                               

                   General fund                                             83,783,621

                   Global Commitment fund                            4,411,563

                        Total                                                   88,195,184

Sec. 199.  Natural resources - agency of natural resources - administration

                   Personal services                                        4,759,758

                   Operating expenses                                    1,828,960

                   Grants                                                             31,500

                        Total                                                     6,620,218

               Source of funds                                                               

                   General fund                                               4,906,556

                   Special funds                                              1,095,911

                   Federal funds                                                441,000

                   Interdepartmental transfer                              176,751

                        Total                                                     6,620,218

Sec. 200.  Connecticut river watershed advisory commission

                   Grants                                                             60,000

               Source of funds                                                               

                   General fund                                                    60,000

Sec. 201.  Citizens' advisory committee on Lake Champlain's future

                   Personal services                                               3,600

                   Operating expenses                                           3,900

                        Total                                                            7,500

               Source of funds                                                               

                   General fund                                                      7,500

Sec. 202.  Natural resources - state land local property tax assessment

                   Operating expenses                                    1,574,000

               Source of funds                                                               

                   General fund                                               1,312,500

                   Interdepartmental transfer                              261,500

                        Total                                                     1,574,000

Sec. 203.  Green up

                   Operating expenses                                           5,057

                   Grants                                                             10,550

                        Total                                                          15,607

               Source of funds                                                               

                   General fund                                                      5,057

                   Special funds                                                   10,550

                        Total                                                          15,607

Sec. 204.  Fish and wildlife - support and field services

                   Personal services                                      10,890,281

                   Operating expenses                                    4,316,728

                   Grants                                                           717,875

                        Total                                                   15,924,884

               Source of funds                                                               

                   General fund                                                2,131,687

                   Fish and wildlife fund                                13,775,694

                   Interdepartmental transfer                                17,503

                        Total                                                   15,924,884

Sec. 204a. 10 V.S.A. § 4502(b) is amended to read:

(b)  A person violating provisions of this part shall receive points for convictions in accordance with the following schedule (all sections are in Title 10 of Vermont Statutes Annotated):

(1)  Five points shall be assessed for any violation of statutes or rules adopted under this part except those listed in subdivisions (2) and (3) of this subsection.

(2)  Ten points shall be assessed for:

* * *

(3)  Twenty points shall be assessed for:

(A)  § 4192.  General powers and duties-failure to obey warden

(B)  § 4278.  Falconry license

(C)  Subchapter 2 of chapter 105.  Eel fishing

(D)  § 4606.  Taking fish by unlawful means, except for violations of subsection 4606(g) of this title

(E)  § 4702.  Use of light (firearm or bow involved)

* * *

Sec. 205.  Fish and wildlife - watershed improvement

                   Grants                                                             75,000

               Source of funds                                                               

                   Fish and wildlife fund                                       75,000


Sec. 206.  Forests, parks and recreation - administration

                   Personal services                                        1,002,905

                   Operating expenses                                       703,107

                   Grants                                                        1,830,100

                        Total                                                     3,536,112

               Source of funds                                                               

                   General fund                                               1,225,112

                   Special funds                                              1,406,000

                   Federal funds                                                905,000

                        Total                                                     3,536,112

     (a)  In order to mitigate the threat buckthorn poses to the forest products industry in Vermont, the commissioner of the department of forests, parks and recreation shall examine the potential for eradication and control of buckthorn and the estimated cost of an eradication program.

Sec. 207.  Forests, parks and recreation - forestry

                   Personal services                                        4,638,283

                   Operating expenses                                       668,116

                   Grants                                                           313,000

                        Total                                                     5,619,399

               Source of funds                                                               

                   General fund                                               3,932,399

                   Special funds                                                 360,000

                   Federal funds                                             1,300,000

                   Interdepartmental transfer                                27,000

                        Total                                                     5,619,399

Sec. 208.  Forests, parks and recreation - state parks

                   Personal services                                        5,131,552

                   Operating expenses                                    2,230,611

                        Total                                                     7,362,163

               Source of funds                                                               

                   General fund                                                  956,226

                   Special funds                                              6,405,937

                        Total                                                     7,362,163

Sec. 209.  Forests, parks and recreation - lands administration

                   Personal services                                           486,557

                   Operating expenses                                       230,261

                        Total                                                        716,818

               Source of funds                                                               

                   General fund                                                  486,818

                   Special fund                                                  145,000

                   Federal funds                                                  50,000

                   Interdepartmental transfer                                35,000

                        Total                                                        716,818

Sec. 210.  Forests, parks and recreation - youth conservation corps

                   Personal services                                           292,523

                    Operating expenses                                           9,593

                   Grants                                                           450,000

                        Total                                                        752,116

               Source of funds                                                               

                   General fund                                                    50,000

                   Special funds                                                 358,116

                   Federal funds                                                  94,000

                   Interdepartmental transfer                              250,000

                        Total                                                        752,116

Sec. 211.  Forests, parks and recreation - forest highway maintenance

                   Personal services                                           222,978

                   Operating expenses                                       101,000

                        Total                                                        323,978

               Source of funds                                                               

                   General fund                                                  323,978

Sec. 212.  Environmental conservation - management and support services

                   Personal services                                        3,024,560

                   Operating expenses                                       890,844

                   Grants                                                             79,024

                        Total                                                     3,994,428

               Source of funds                                                               

                   General fund                                               1,181,587

                   Special funds                                                 790,540

                   Federal funds                                             1,111,505

                   Interdepartmental transfer                              910,796

                        Total                                                     3,994,428

Sec. 213.  Environmental conservation - air and waste management

                   Personal services                                        7,788,764

                   Operating expenses                                    6,123,303

                   Grants                                                        1,704,585

                        Total                                                   15,616,652

               Source of funds                                                               

                   General fund                                               1,107,695

                   Special funds                                            11,180,272

                   Federal funds                                             3,154,700

                   Interdepartmental transfer                              173,985

                        Total                                                   15,616,652

Sec. 214.  Environmental conservation - office of water programs

                   Personal services                                      13,398,869

                   Operating expenses                                    2,169,397

                   Grants                                                        2,948,623

                        Total                                                   18,516,889

               Source of funds                                                               

                   General fund                                               6,917,948

                   Special funds                                              4,530,176

                   Federal funds                                             6,603,765

                   Interdepartmental transfer                              465,000

                        Total                                                   18,516,889

Sec. 215.  Environmental conservation - tax-loss-Connecticut river flood control

                   Operating expenses                                         40,000

               Source of funds                                                               

                   Special funds                                                   40,000

Sec. 216.  Natural resources board 

                   Personal services                                        2,400,747

                   Operating expenses                                       431,292

                        Total                                                     2,832,039

               Source of funds                                                               

                   General fund                                               1,057,827

                   Special funds                                              1,774,212

                        Total                                                     2,832,039

Sec. 217.  Total natural resources                                 83,587,803

               Source of funds                                                               

                   General fund                                             25,662,890

                   Fish and wildlife fund                                13,850,694

                   Special funds                                            28,096,714

                   Federal funds                                           13,659,970

                   Interdepartmental transfer                           2,317,535

                        Total                                                   83,587,803

Sec. 218.  Commerce and community development - agency of commerce and community development - administration

                   Personal services                                        2,113,879

                   Operating expenses                                       782,330

                   Grants                                                        1,071,200

                        Total                                                     3,967,409

               Source of funds                                                               

                   General fund                                               2,899,982

                   Federal funds                                                800,000

                   Interdepartmental transfer                              267,427

                        Total                                                     3,967,409

     (a)  The agency and the department shall present a report to the joint fiscal committee at its November 2007 meeting.  This report shall include recommendations for potential changes to the current funding and structure of the state’s regional economic development system.  These may include expansion, elimination, or consolidation of regional development corporations.

     (b)  Of the above general fund appropriation, $246,200 shall be granted to the sustainable jobs fund program.

     (c)  Of the above general fund appropriation, $50,000 shall be granted to the Vermont council on rural development.

Sec. 219.  Housing and community affairs

                   Personal services                                        2,307,833

                   Operating expenses                                       361,339

                   Grants                                                        4,415,137

                        Total                                                     7,084,309

               Source of funds                                                               

                   General fund                                               1,390,297

                   Special funds                                              3,991,815

                   Federal funds                                             1,646,697

                   Interdepartmental transfer                                55,500

                        Total                                                     7,084,309

     (a)  Of the above appropriation, no less than $60,000 in general funds shall be granted to the Champlain Valley office of economic opportunity's mobile home project for the "First Stop" program, which provides assistance to mobile home residents statewide.

     (b)  The division and programs funded by grants from this appropriation shall seek to reduce mailing expenses by using e-mail for notifications wherever appropriate.

Sec. 220.  Historic sites - operations

                   Personal services                                           636,402

                   Operating expenses                                       305,208

                        Total                                                        941,610

               Source of funds                                                               

                   General fund                                                  542,327

                   Special funds                                                 369,652

                   Interdepartmental transfer                                29,631

                        Total                                                        941,610

Sec. 221.  Historic sites - special improvements

                   Personal services                                           427,660

                   Operating expenses                                       778,705

                        Total                                                     1,206,365

               Source of funds                                                               

                   Special funds                                                   50,000

                   Federal funds                                                472,961

                   Interdepartmental transfer                              683,404

                        Total                                                     1,206,365

Sec. 222.  Community development block grants

                   Grants                                                        7,446,530

               Source of funds                                                               

                   Federal funds                                             7,446,530

     (a)  Community development block grants will carry forward until expended.

     (b)  Community development block grant (CDBG) funds shall be expended in accordance with and in the order of the following priorities:

          (1)  The greatest priority for the use of CDBG funds will be the creation and retention of affordable housing and jobs.

          (2)  The overarching priority and fundamental objective in the use of funds for all affordable housing is to achieve perpetual affordability through the use of mechanisms that produce housing resources that will continue to remain affordable over time. It is the goal of the state to maintain at least 45 to 55 percent of CDBG funds for affordable housing applications.

          (3)  Among affordable housing applications, the highest priorities are to preserve and increase the supply of affordable family housing, to reduce and strive to eliminate childhood homelessness, and to serve families and individuals at or below 30 percent of HUD Area Median Income and people with special needs as described in the Consolidated Plan.  Housing for seniors should be considered a priority when it meets clear unmet needs in the region for the lowest income seniors.

          (4)  Projects which address the ongoing deterioration of the existing housing stock through acquisition, preservation, and rehabilitation of units shall comply with housing quality standards with priority given to lead hazard reduction and energy efficiency.

          (5)  Preference shall be given to projects that maintain the historic settlement pattern of compact village and downtown centers separated by a rural working landscape.  Funds generally should not be awarded to projects that promote or constitute sprawl, defined as dispersed development outside compact urban and village centers, along highways, and in rural countryside.

     (c)  Up to $750,000 may be set aside for brownfield sites after submission of a plan to the joint fiscal committee.  Of this amount, the agency of commerce and community development may commit such amounts it deems necessary and appropriate to the regional revolving loan fund for the purpose of assisting income eligible homeowners to replace failed wastewater or potable water supply systems.  Funds not expended for this assistance in any grant round shall be made available for applications that address the priorities in subdivisions (1)-(5) of subsection (b) of this section.  By January 15, 2008, the agency shall report to the house and senate committees on appropriations and on natural resources and energy on the amounts expended to replace failed systems, including the number of homeowners assisted and the counties in which such assistance was provided.

Sec. 223.  Downtown transportation and capital improvement fund

                   Personal services                                             40,000

                   Grants                                                           760,000

                        Total                                                        800,000

               Source of funds                                                               

                   Special funds                                                 800,000

Sec. 224.  Economic development

                   Personal services                                        1,934,901

                   Operating expenses                                       639,216

                   Grants                                                        1,716,378

                        Total                                                     4,290,495

               Source of funds                                                               

                   General fund                                               3,574,675

                   Special funds                                                 517,350


                   Federal funds                                                198,470

                        Total                                                     4,290,495

(a)  Included in the above appropriation is a $72,000 increase over fiscal year 2007 for the regional development corporations.  These additional funds shall be distributed only to the regional development corporations that are fulfilling their contractual obligations in a timely and proper manner.

     (b)  Of the above general fund appropriation, $25,000 shall be granted to the Vermont employee ownership center.

Sec. 224a.  10 V.S.A. § 1(a) is amended to read:

(a)  There is established a commission on the future of economic development.  The commission shall consist of 12 voting members.  The governor shall appoint five members, including a chair of the commission; the speaker of the house shall appoint one member, who shall be a member of the house of representatives; and the committee on committees shall appoint one member, who shall be a member of the senate.  The speaker of the house and the president pro tempore of the senate shall jointly appoint two members who are not legislators.  The Vermont labor council shall appoint one member representing labor; the Vermont association of nonprofit organizations shall appoint one member representing nonprofit organizations, and the governor shall appoint a self-employed person.  In addition, the secretary of commerce and community development and the executive director of the economic incentive review board shall serve as ex officio nonvoting members.

Sec. 225.  UNIFIED ECONOMIC DEVELOPMENT BUDGET (UEDB)

     (a)  For purposes of evaluating the effect on economic development in this state, the commissioner of finance and management, in collaboration with the secretary of commerce and community development, shall submit a unified economic development budget as part of the annual budget report to the legislature under 32 V.S.A. § 306.

     (b)  The unified economic development budget shall include appropriations or expenditures for all of the types of development assistance, workforce training and education, and the development-related research granted or managed by the state during the prior two fiscal years by all agencies and departments of the state, including but not limited to the agencies of commerce and community development and agriculture, food and markets; the departments of labor and taxes; and the Vermont economic development authority.

     (c)  The unified development budget shall specifically include:

          (1)  the aggregate amount and program-specific amounts of all state economic development assistance, including grants, loans, and tax expenditures.

          (2)  The aggregate amount and program-specific amounts of uncollected or diverted state tax revenues resulting from each type of development assistance provided in the tax statutes, as reported in the annual tax expenditure report (32 V.S.A. § 312).  If current data is not available, the report may use the average of the three most recent years reported.

          (3)  Performance measurements, including estimated jobs created, payroll increases or decreases, and other measures of economic advancement, with clear descriptions of data sources and methodologies.

     (d)  The data presented shall be organized by categories such as administration, workforce education and training, tax expenditures, agriculture, tourism, technical assistance, planning, housing, transportation, technology, and research, among others deemed appropriate.

Sec. 226.  Vermont training program

                   Personal services                                           136,477

                   Operating expenses                                         19,928

                   Grants                                                        1,486,789

                        Total                                                     1,643,194

               Source of funds                                                               

                   General fund                                               1,608,194

                   Special funds                                                   35,000

                        Total                                                     1,643,194

Sec. 227.  Tourism and marketing

                   Personal services                                        1,635,474

                   Operating expenses                                    2,171,653

                   Grants                                                           367,000

                        Total                                                     4,174,127

               Source of funds                                                               

                   General fund                                               4,168,127

                   Special funds                                                     6,000

                        Total                                                     4,174,127

Sec. 228.  Vermont life

                   Personal services                                           693,124

                   Operating expenses                                         96,769

                        Total                                                        789,893


               Source of funds                                                               

                   Enterprise funds                                             789,893

Sec. 229.  Vermont council on the arts

                   Grants                                                           545,618

               Source of funds                                                               

                   General fund                                                  545,618

Sec. 230.  Vermont symphony orchestra

                   Grants                                                           122,343

               Source of funds                                                               

                   General fund                                                  122,343

Sec. 231.  Vermont historical society

                    Grants                                                           828,342

               Source of funds                                                               

                   General fund                                                  828,342

Sec. 232.  Vermont housing and conservation board

                   Grants                                                      25,087,472

               Source of funds                                                               

                   Special funds                                            15,383,258

                   Federal funds                                             9,704,214

                        Total                                                   25,087,472

     (a)  As required by 10 V.S.A. § 321(b), the housing and conservation board shall expend HOME funds solely for the development of perpetually affordable housing and to leverage additional funds for such purpose.  Notwithstanding the limitations in 10 V.S.A. § 321(b) and this subsection, the housing and conservation board may expend up to $200,000 of HOME funds in fiscal year 2008 to assist Vermont owners of affordable housing to replace failed wastewater or potable water supply systems, provided that 1) priority will be given to homes that are perpetually affordable; 2) HOME funds shall be highly leveraged by other public and private funds; and 3) HOME funds shall be secured by due-on-sale mortgages.

Sec. 232a.  10 V.S.A. § 6093(b) is amended to read:

     (b)  Easements required for protected lands.  All primary agricultural soils preserved for commercial or economic agricultural use by the Vermont housing and conservation board pursuant to this section shall be protected by permanent conservation easements (grant of development rights and conservation restrictions) conveyed to a qualified holder, as defined in section 821 of this title, with the ability to monitor and enforce easements in perpetuity.  Off-site mitigation fees may be used by the Vermont housing and conservation board to pay reasonable staff or transaction costs, or both, of the board and agency of agriculture, food, and markets to preserve primary agricultural soils or to implement section 6086(a)(9)(B) or 6093 of this title.

Sec. 233.  Vermont humanities council

                   Grants                                                           185,599

               Source of funds                                                               

                   General fund                                                  185,599

Sec. 233a.  FISCAL YEAR 2008 ECONOMIC DEVELOPMENT INITIATIVES

     (a)  To the extent funds are available through Sec. 277(c)(1) of this act, the funds shall be distributed for economic development initiatives as follows:

          (1)  $975,000 to the department of tourism and marketing, at least $100,000 shall be for cooperative marketing activities, and the remainder for general marketing activities.

          (2)  $50,000 to the department of tourism and marketing to send a Vermont holiday tree to the nation’s capital.

          (3)  $100,000 to the department of tourism and marketing for the Lake Champlain quadricentennial commission.

          (4)  $140,000 to the agency of commerce and community development for grants as follows:

               (A)  $25,000 to the software developers alliance;

               (B)  $75,000 to regional development corporations, these grants shall be distributed in addition to and consistent with the method of distribution in Sec. 224 of this act for the same purpose;

               (C)  $40,000 for a grant to the Vermont environmental consortium.

          (5)  $212,000 to the agency of commerce and community development as follows:

               (A)  $12,000 for the international trade commission;

               (B)  $50,000 for the environmental engineering initiative.

               (C)  $150,000 for the commission on the future of economic development.  The commission on the future of economic development shall utilize $4,000 of this appropriation to contract for video recording commission meetings and distributing DVDs to all community access television stations in Vermont that are willing to broadcast the meetings.

          (6)  $95,000 to the department of housing and community affairs for grants as follows:

               (A)  $20,000 to the Ethan Allen homestead;

               (B)  $75,000 for grants to communities related to ancient roads and unidentified corridors requirements.

          (7)  $165,000 to the Vermont economic development authority to reduce agricultural dairy loan interest by 1% for six months.

          (8)  $500,000 is to the department of information and innovation for a grant to Northern Enterprises, Inc. (North-Link) to be used to construct infrastructure that support provision of broadband or cellular services in areas of the state now unserved.  Prior to any such grant, the department shall require a submission of an expenditure and business plan with benchmarks and measurable outcomes to evaluate the activities funded.  It is further the intention of the general assembly to appropriate the amount of $500,000 in each of fiscal years 2009 and 2010 for further construction of the North-Link project.

          (9)  $40,000 for a grant to the crossroads regional marketing program.

Sec. 234.  Total commerce and community

development                                                                 59,113,306

               Source of funds                                                               

                   General fund                                             15,865,504

                   Special funds                                            21,153,075

                   Federal funds                                           20,268,872

                   Enterprise funds                                             789,893

                   Interdepartmental transfer                           1,035,962

                        Total                                                   59,113,306

Sec. 235.  TRANSPORTATION

     (a)  Transportation fund appropriations made available for the agency of transportation in cooperation with the federal government shall be available until expended and shall not revert.

     (b)  The commissioner of finance and management shall maintain and control transportation appropriations in separate state and federal appropriations, as needed, and may incur overdrafts in personal services and operating expenses pending distribution of payroll and employee charges to other appropriations.


Sec. 236.  Transportation - finance and administration

                   Personal services                                        8,878,609

                   Operating expenses                                    2,475,584

                        Total                                                   11,354,193

               Source of funds                                                               

                   Transportation fund                                  10,903,302

                   Federal funds                                                450,891

                        Total                                                   11,354,193

Sec. 237.  Transportation - aviation 

                   Personal services                                        1,761,751

                   Operating expenses                                    5,295,449

                   Grants                                                           160,000

                        Total                                                     7,217,200

               Source of funds                                                               

                   Transportation fund                                    2,123,200

                   Federal funds                                             5,094,000

                        Total                                                     7,217,200

Sec. 238.  Transportation - buildings

                    Personal services                                             76,579

                   Operating expenses                                     1,372,421

                        Total                                                     1,449,000

               Source of funds                                                               

                   Transportation fund                                    1,449,000

Sec. 239.  Transportation - program development

                   Personal services                                      35,867,267

                   Operating expenses                                112,896,085

                   Grants                                                      26,116,926

                        Total                                                 174,880,278

               Source of funds                                                               

                   Transportation fund                                  34,355,234

                   Local match                                               1,788,677

                   Federal funds                                         133,566,367

                   Interdepartmental transfer                           5,170,000

                        Total                                                 174,880,278

Sec. 240.  Transportation - rest areas

                   Personal services                                           100,000

                   Operating expenses                                    3,550,000

                        Total                                                     3,650,000

               Source of funds                                                               

                   Transportation fund                                       391,760

                   Federal funds                                             3,258,240

                        Total                                                     3,650,000

Sec. 241.  Transportation - maintenance state system

                   Personal services                                      32,933,303

                   Operating expenses                                  30,508,345

                   Grants                                                           206,500

                        Total                                                   63,948,148

               Source of funds                                                               

                   Transportation fund                                  59,824,213

                   Federal funds                                             3,723,935

                   Interdepartmental transfer                              100,000

                        Total                                                   63,948,148

Sec. 242.  Transportation - policy and planning

                   Personal services                                        4,751,662

                   Operating expenses                                    1,023,485

                   Grants                                                        5,253,815

                        Total                                                   11,028,962

               Source of funds                                                               

                   Transportation fund                                    2,380,861

                   Federal funds                                             8,148,101

                   Interdepartmental transfer                              500,000

                        Total                                                   11,028,962

Sec. 243.  Transportation - rail 

                   Personal services                                        5,102,227

                   Operating expenses                                  14,243,260

                   Grants                                                        3,320,000

                        Total                                                   22,665,487

               Source of funds                                                               

                   Transportation fund                                  10,053,487

                   Federal funds                                           12,612,000

                        Total                                                   22,665,487

Sec. 244.  Transportation - bridge maintenance

                   Operating expenses                                    4,865,945

               Source of funds                                                               

                   Transportation fund                                    1,734,495


                   Federal funds                                             3,131,450

                        Total                                                     4,865,945

Sec. 245.  Transportation - public transit

                   Personal services                                           948,669

                   Operating expenses                                         77,517

                   Grants                                                       18,125,383

                        Total                                                   19,151,569

               Source of funds                                                               

                   Special funds                                                  610,500

                   Transportation fund                                    6,642,668

                   Federal funds                                           11,898,401

                        Total                                                   19,151,569

Sec. 246.  Transportation - central garage

                   Personal services                                        3,245,502

                   Operating expenses                                  11,366,120

                        Total                                                   14,611,622

               Source of funds                                                               

                   Internal service funds                                14,611,622

Sec. 247.  Department of motor vehicles

                   Personal services                                      17,147,046

                   Operating expenses                                    7,629,667

                   Grants                                                           339,000

                        Total                                                   25,115,713

               Source of funds                                                               

                   Transportation fund                                  23,341,574

                   Federal funds                                             1,774,139

                        Total                                                   25,115,713

Sec. 248.  Transportation - town highway structures

                   Grants                                                        3,494,500

               Source of funds                                                               

                   Transportation fund                                    3,494,500

Sec. 249.  Transportation - town highway emergency fund

                   Grants                                                           750,000

               Source of funds                                                               

                   Transportation fund                                       750,000

Sec. 250.  Transportation - town highway Vermont local roads 

                   Grants                                                           375,000

               Source of funds                                                               

                   Transportation fund                                       235,000

                   Federal funds                                                140,000

                        Total                                                        375,000

Sec. 251.  Transportation - town highway class 2 roadway

                   Grants                                                        5,748,750

               Source of funds                                                               

                   Transportation fund                                    5,748,750

Sec. 252.  Transportation - town highway bridges

                   Personal services                                        3,650,000

                   Operating expenses                                  19,325,019

                   Grants                                                           382,200

                        Total                                                   23,357,219

               Source of funds                                                               

                   Transportation fund                                    3,792,636

                   Local match                                               1,162,726

                   Federal funds                                           18,401,857

                        Total                                                   23,357,219

Sec. 253.  Transportation - town highway aid program

                    Grants                                                      24,982,744

               Source of funds                                                               

                   Transportation fund                                  24,982,744

     (a)  The above appropriation is authorized notwithstanding 19 V.S.A. § 306(a).

Sec. 254.  Transportation - town highway class 1 supplemental grants

                   Grants                                                           128,750

               Source of funds                                                               

                   Transportation fund                                       128,750

Sec. 255.  Transportation - municipal mitigation grant program

                   Grants                                                        2,112,998

               Source of funds                                                               

                   Transportation fund                                       247,998

                   Federal funds                                             1,865,000

                        Total                                                     2,112,998


Sec. 256.  Transportation - public assistance grant program

                   Grants                                                           200,000

               Source of funds                                                               

                   Federal funds                                                200,000

Sec. 257.  Transportation board

                   Personal services                                             74,976

                   Operating expenses                                         12,820

                        Total                                                          87,796

               Source of funds                                                               

                   Transportation fund                                         87,796

Sec. 258.  Total transportation                                    428,875,874

               Source of funds                                                               

                   Transportation fund                                192,667,968

                   Special funds                                                  610,500

                   Local match                                               2,951,403

                   Federal funds                                         204,264,381

                   Internal service funds                                14,611,622

                   Interdepartmental transfer                           5,770,000

                        Total                                                 428,875,874

Sec. 259.  Debt service

                   Debt service                                             69,420,026

               Source of funds                                                               

                   General fund                                             64,929,281

                   Transportation fund                                    1,994,895

                   Special funds                                              2,495,850

                        Total                                                   69,420,026

Sec. 260.  Total debt service                                        69,420,026

               Source of funds                                                               

                   General fund                                             64,929,281

                   Transportation fund                                    1,994,895

                   Special funds                                              2,495,850

                        Total                                                   69,420,026

Sec. 261.  RELATIONSHIP TO EXISTING LAWS

(a)  Except as specifically provided, this act shall not be construed in any way to negate or impair the full force and effect of existing laws.


Sec. 262.  OFFSETTING APPROPRIATIONS

(a)  In the absence of specific provisions to the contrary in this act, when total appropriations are offset by estimated receipts, the state appropriations shall control, notwithstanding receipts being greater or less than anticipated. 

Sec. 263.  FEDERAL FUNDS

(a)  In fiscal year 2008 the governor, with the approval of the general assembly or the joint fiscal committee if the legislature is not in session, may accept federal funds available to the state of Vermont including block grants in lieu of or in addition to funds herein designated as federal.  The governor, with the approval of the legislature or the joint fiscal committee if the legislature is not in session, may allocate all or any portion of such federal funds for any purpose consistent with the purposes for which the basic appropriations in this act have been made.

(b)  If, during fiscal year 2008, federal funds available to the state of Vermont and designated as federal in this and other acts of the 2007 session of the Vermont general assembly are converted into block grants or are abolished under their current title in federal law and reestablished under a new title in federal law, the governor may continue to accept such federal funds for any purpose consistent with the purposes for which the federal funds were appropriated.  The governor may spend such funds for such purposes for no more than 45 days prior to legislative or joint fiscal committee approval.  Notice shall be given to the joint fiscal committee without delay if the governor intends to use the authority granted by this section, and the joint fiscal committee shall meet in an expedited manner to review the governor's request for approval.

Sec. 264.  DEPARTMENTAL RECEIPTS

     (a)  All receipts shall be credited to the general fund except as otherwise provided and except the following receipts, for which this subsection shall constitute authority to credit to special funds:

          Connecticut river flood control

          Public service department ‑ sale of power

          Tax department ‑ unorganized towns and gores

(b)  Notwithstanding any other provision of law, departmental indirect cost recoveries (32 V.S.A. § 6) receipts are authorized, subject to the approval of the secretary of administration, to be retained by the department.  All recoveries not so authorized shall be covered into the general fund, or, for agency of transportation recoveries, the transportation fund.


Sec. 265.  NEW POSITIONS

(a)  Notwithstanding any other provision of law, the total number of authorized state positions, both classified and exempt, excluding temporary positions as defined in 3 V.S.A. § 311(11), shall not be increased during fiscal year 2008 except for new positions authorized by the 2007 session.  Limited service positions approved pursuant to 32 V.S.A. § 5 shall not be subject to this restriction.

Sec. 266.  APPROPRIATIONS; PROPERTY TRANSFER TAX

(a)  This act contains the following amounts appropriated from special funds that receive revenue from the property transfer tax.  Expenditures from these appropriations shall not exceed available revenues:

(1)  The sum of $314,503 is appropriated from the property valuation and review administration special fund to the department of taxes for administration of the use tax reimbursement program.  Notwithstanding 32 V.S.A. § 9610(c), amounts above $314,503 from the property transfer tax that are deposited into the property valuation and review administration special fund shall be transferred into the general fund.

(2)  The sum of $14,383,258 is appropriated from the Vermont housing and conservation trust fund to the Vermont housing and conservation trust board. Notwithstanding 10 V.S.A. § 312, amounts above $14,383,258 from the property transfer tax that are deposited into the Vermont housing and conservation trust fund shall be transferred into the general fund.

(3)  The sum of $4,302,105 is appropriated from the municipal and regional planning fund. Notwithstanding 24 V.S.A. § 4306(a), amounts above $4,302,105 from the property transfer tax that are deposited into the municipal and regional planning fund shall be transferred into the general fund.  The $4,302,105 shall be allocated as follows:

(A)  $3,011,473 for disbursement to regional planning commissions in a manner consistent with 24 V.S.A. § 4306(b);

(B)  $860,421 for disbursement to municipalities in a manner consistent with 24 V.S.A. § 4306(b);

(C)  $430,210 to the Vermont center for geographic information.

          (4)  In fiscal year 2009, the appropriations in this subsection shall increase by at least 4.5 percent. 

     (b)  To the extent that the July, 2007 fiscal year 2008 general fund revenue forecast exceeds $1,157,700,000, enabling the appropriation in Sec. 269 of this act, any of this excess attributable to forecast property transfer tax revenues above $34,800,000, not to exceed $2,000,000, shall be deposited into the Vermont housing and conservation trust fund and appropriated to the Vermont housing and conservation board. 

Sec. 267.  REVENUE COMMITTEE

(a)  A committee is established to review management of the various revenues paid to the judiciary, the department of corrections, the department of motor vehicles, the department of labor, the office of child support, and the office of the secretary of state.  The committee shall be comprised of four members.  The commissioner of taxes, the commissioner of finance and management, and the state treasurer or their designees shall be permanent members.  The fourth member shall be a designee from the entity currently managing the revenue stream under review.  The committee shall systematically review each revenue stream to determine whether its management should remain substantially as is, be transferred to the treasurer’s lockbox services contract, or be transferred to the tax department.  The current administrator of the revenue stream, the lockbox service provider, and the tax department shall each provide the committee with a proposal to manage the revenue stream under review.  The proposals shall be evaluated in accordance with measures of effectiveness established by the committee in advance of receipt of any proposals.  It is anticipated that this review process will occur over the three years following enactment of this section and that where changes in the management of a particular revenue stream are deemed appropriate, the committee shall propose any legislation necessary to accomplish such change in the current or following legislative session.

(b)  The committee shall also identify collection tools currently used with respect to receivables related to the various revenue streams reviewed and develop a relational matrix that profiles optimal use of these tools with respect to the receivables.  The committee will make a recommendation to the legislature with respect to how these tools will be applied and whether the collection of receivables should be centralized in the tax department.

(c)  The revenue committee shall report to the joint fiscal committee at the September joint fiscal committee meeting in 2007, 2008, and 2009.  Said report shall include possible proposals for the upcoming session, potential financial impacts of proposals, and the work plan for the committee over the following twelve months. 

Sec. 268.  32 V.S.A. § 305a is amended to read:

§ 305a.  Official state revenue estimate

(a)  On or about January 15 and on or about again by July 15 31 of each year, and at such other times as the emergency board or the governor deems proper, the joint fiscal office and the secretary of administration shall provide to the emergency board their respective estimates of state revenues in the general, transportation, education, Catamount, state health care resources, and Global Commitment funds.  The January revenue estimate shall be for the current and next two succeeding fiscal years, and the July revenue estimate shall be for the current and immediately succeeding fiscal years.  Federal fund estimates shall be provided at the same times for the current fiscal year.

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Sec. 269.  FISCAL YEAR 2008 CONTINGENT APPROPRIATIONS

     (a)  To the extent that the official fiscal year 2008 revenue forecast for the available general fund adopted by the emergency board at its July 2007 meeting exceeds $1,152,700,000:

          (1)  Up to $4,300,000 is appropriated to the department of corrections for correctional services as an additional base fiscal year 2008 appropriation.

          (2)  Up to $700,000 is appropriated to the legislature as an additional base fiscal year 2008 expenditure.

Sec. 270.  [DELETED]

Sec. 271.  19 V.S.A. § 11a is amended to read:

§ 11a.  Transportation funds appropriated for support of government

The maximum amount of transportation funds that may be appropriated for the support of government, other than for the agency of transportation, the transportation board, transportation pay act funds, construction of transportation capital facilities used by the agency of transportation, and transportation debt service shall not exceed $35,440,855 $35,007,219.

Sec. 272.  [DELETED]

Sec. 273.  Sec. 114 of No. 71 of the Acts of 2005 is amended to read:

Sec. 114.  HUMAN SERVICES CASELOAD RESERVE TRANSFER/LOAN

(a)  From the human services caseload reserve, $1,300,000 shall be transferred to the general fund to offset caseload and transition expenditures for services at the Vermont state hospital. The secretary of administration and the secretary of human services shall ensure that these funds are repaid to the caseload reserve on or before July 1, 2008 2009.

Sec. 274.  FY 2008 GENERAL FUND ONE-TIME APPROPRIATIONS

     (a)   In fiscal year 2008, the following amounts are appropriated from the general fund:

          (1)   $820,000 to the agency of natural resources for the following:

               (A)  $335,000 to the department of environmental conservation for groundwater mapping;

               (B)  $350,000 to the department of environmental conservation to develop an electronic permitting capacity beginning with wastewater on-site permits, underground storage tank permit renewals, and the forests, parks and recreation use value appraisal program;

               (C)  $60,000 for the Vermont youth conservation corps of which $10,000 is for the shortfall due to the cemetery maintenance contract from fiscal year 2007;

               (D)  $50,000 to the department of fish and wildlife for nonmotorized boat access at state owned water access areas;

               (E)  $25,000 to the department of fish and wildlife for a grant to the nature conservancy for their Bald Mountain project.

          (2)  $150,000 to the legislature for the legislative documents and process office automation project.

          (3)  $25,000 in general funds and $35,000 in federal funds appropriated to the agency of human services for global commitment.  This gives $60,000 in funds appropriated from the Global Commitment fund to the department of disabilities, aging, and independent living for the caregiver registry.

          (4)  $700,000 to the department of education:

               (A)  $300,000 for science assessment;

               (B)  $400,000 for the department of education to transfer to the department of corrections for the special education program.

Sec. 275.  32 V.S.A. § 308c is amended to read:

§ 308c.  General fund and transportation fund surplus reserves

(a)  There is hereby created within the general fund a general fund surplus reserve.  After satisfying the requirements of section 308 of this title, and after other reserve requirements have been met, any remaining unreserved and undesignated end of fiscal year general fund surplus shall be reserved in the general fund surplus reserve. Monies from this reserve shall not be expended except by specific available for appropriation of by the general assembly.

(b)  There is hereby created within the transportation fund a transportation fund surplus reserve. After satisfying the requirements of section 308a of this title, and after other reserve requirements have been met, any remaining unreserved and undesignated end of fiscal year transportation fund surplus shall be reserved in the transportation fund surplus reserve.  Monies from this reserve shall not be expen