Committee questions proposed termination of long‑running Vermont Legal Aid Medicaid contract

Committee members flagged a line item for Vermont Legal Aid and questioned a proposed termination of a long‑running contract tied to Medicaid‑Medicare billing.

During packet review, staff identified line 7 as funding for Vermont Legal Aid, describing it as the MAP contract that has historically supported appeals and billing work related to Medicare and Medicaid. A staff member said the contract had been held historically by D.V.A. and that the department proposed terminating the contract for fiscal year 2027, "that they have not seen cost savings from the contract," according to the summary of D.V.A.'s testimony.

Members pressed who administers the money and were told the contract had been administered through D.V.A.; one member called the sequence—signing a contract in November and learning of cancellation in January—"flabbergasting" for a long‑running arrangement. Staff said more detail is available on the committee page and encouraged members to flag the item on their prioritization worksheets so staff can obtain verification from agencies and the Joint Fiscal Office.

No formal motion was made on the contract during the meeting, and staff said they will verify whether restoring the contract would produce state Medicaid savings or require a general fund match before the committee advances any funding recommendation.