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Bill

Bill

S 190

An act relating to reference-based pricing and the Green Mountain Care Board

2025-2026 Regular Session Introduced by Ginny Lyons

S 190 expands Vermont's health board authority to implement reference-based pricing for hospital reimbursement and regulate outsourcing of clinical care services to control costs and ensure care quality oversight.

Senate Message: Vetoed by Governor June 16, 2026
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Bill Summary · S 190

Legislative bill overview

S 190 modifies Vermont's Green Mountain Care Board authority to implement reference-based pricing models for healthcare reimbursement and establishes regulatory oversight of hospitals that outsource clinical care services to external providers. The bill grants the board expanded powers to negotiate and set payment rates based on benchmarked pricing rather than traditional cost-plus models.

Why is this important

Healthcare cost containment is a critical issue in Vermont, where medical expenses consume significant portions of state budgets and insurance premiums. Reference-based pricing can potentially reduce healthcare spending by tying reimbursement to evidence-based benchmarks, though implementation affects hospital operations, provider compensation, and patient access to services. Hospital outsourcing of clinical functions raises questions about care quality, continuity, and workforce stability.

Potential points of contention

  • Provider compensation impact: Hospitals and healthcare providers may resist lower reimbursement rates resulting from reference-based pricing, potentially affecting salaries and service capacity
  • Care quality and continuity concerns: Outsourcing clinical care to external entities raises questions about coordination, accountability, and whether patients receive consistent quality care
  • Implementation complexity: The Green Mountain Care Board would need substantial resources and expertise to establish valid benchmarks and enforce outsourcing regulations without disrupting existing care delivery

Compiled from official sources — confirm details with the bill’s official record.

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