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New Vermont laws for Jan. 1: Minimum wage, town ethics, electric vehicle fee and more

A photo of a person walking by the golden dome and marble building of the Vermont Statehouse. There's snow on the ground and the sky is grey.
Elodie Reed
/
Vermont Public
An EV fee, minimum wage increase and several health care accessibility changes are among the laws taking effect at the start of 2025.

The new year brings a new set of laws into effect in Vermont.

The list includes an annual minimum wage increase and several changes that are intended to increase the accessibility of health care.

Here are eight of the laws that might affect you in 2025.

Minimum wage increase 

If you make the minimum wage in Vermont, which currently stands at $13.67 an hour, then the new year will bring a 34 cent per hour raise.

That’s due to legislation enacted in 2020 — over Republican Gov. Phil Scott’s objections — that gave a short-term boost to minimum wage in 2021 and 2022, and then tied it to the Consumer Price Index going forward.

For someone who works 40 hours every week for all 52 weeks in the year, the 2025 wage bump grosses out at $707.20.

More from New England Public Media: In 2025, minimum wage hits at least $15 an hour in half of New England states

Primary care paperwork reduction

This law says that Vermont private health insurance plans that are regulated by the state cannot require primary care providers to get “prior authorization” before ordering admissions, treatments, tests and procedures for their patients.

Prior authorization can still be required for prescription drugs and out-of-network health care.

Health insurers have argued that prior authorization is a way to control costs and avoid unnecessary services. A representative of BlueCross BlueShield of Vermont told state regulators this summer that the expense of lifting prior authorizations were partially baked into their rate increase for 2025. The executive added that the change will hopefully attract more primary care providers to Vermont.

The Legislature asked health insurers and health care providers to report back about the impacts of the change after a couple of years.

More from Vermont Public: How prior authorization reform earned Gov. Scott’s signature despite pushback from health insurers

The first deadline for greenhouse gas reductions

In 2020, Democratic lawmakers overrode Republican Gov. Phil Scott’s veto to enact the most aggressive climate bill the state has ever adopted.

The Global Warming Solutions Act requires Vermont to hit emissions-reduction milestones in 2025, 2030 and 2050. And the deadline for the first target — a 26% reduction in emissions from 2005 levels — arrives on Jan. 1.

Secretary of Natural Resources Julie Moore issued a progress report in July saying the state is on track to hit the threshold. But a lawsuit filed by the Conservation Law Foundation earlier this year says the model ANR used to calculate greenhouse gas emissions is faulty. According to data commissioned by the foundation, Vermont is about 300,000 metric tons of carbon dioxide equivalent short of hitting its goal — the equivalent of 785 million vehicle miles traveled in a gas-powered passenger car.

There are some potentially severe legal consequences if Vermont fails to meet the target, because the law that enshrined the mandates also allows individuals and organizations to sue the state if it fails to adhere to them.

If the Conservation Law Foundation, or any other prospective plaintiff, successfully convinces a judge that Vermont is out of compliance, then the secretary of the Agency of Natural Resources will have to initiate a special rulemaking process to fast-track emissions-reductions activities sufficient to hit the target.

Scott and Republican lawmakers say the 2030 emissions goal is unrealistic. And they’ll look to repeal or amend the law during the upcoming legislative session to avoid lawsuits in the future.

Open meeting law change

Starting on Jan. 1, all state decision-making bodies will be required to hold all regular and special meetings in both a physical location, and on an electronic platform. People who lead state and local boards, municipal managers, and mayors are now also required to participate in annual training on Vermont’s open meeting law.

The new law, Act 133, doesn’t require local boards to have both a physical and remote meeting option, but they’re allowed to conduct hybrid meetings if they want.

The changes are part of a law passed by the Legislature in 2024 which codified some temporary changes that were made to the state’s open meeting law during the COVID-19 pandemic. The temporary changes, which were set to expire in 2024, allowed state and local governance bodies to meet online to limit the spread of COVID-19.

Most of the changes made to Vermont’s open meeting law went into effect on July 1, except for the training requirements, and new rules for state decision-making bodies.

The new statute also creates two types of public bodies: advisory and non-advisory bodies. Advisory bodies, as the name suggests, only advise and don’t have any final statutory decision-making authority. A non-advisory body, also known as a decision-making body, has the power to make decisions about legislative, quasi-judicial, tax and budgetary matters. Advisory bodies are allowed to meet remotely without a physical meeting location.

Other changes in Act 133 include a requirement that public bodies electronically record and post their meetings for a minimum of 30 days, and that any electronic meeting platform must have the ability to allow the public to participate in the meeting.

Electric vehicle fee

More Vermonters than ever are driving electric vehicles.

As of July, according to Drive Electric Vermont, there were more than 15,000 plug-in EVs registered in the state, a nearly 50% increase over the year prior.

That’s good news for the climate. But not so great for the state’s Transportation Fund, which relies heavily on tax revenue from the sale of unleaded gasoline and diesel.

Both Democratic lawmakers and Republican Gov. Phil Scott say if the state wants to keep pace with the rising cost of maintaining transportation infrastructure, then the state needs to find ways to extract public revenue from the EV owners who purchase far less fuel at the pump.

And so starting Jan. 1, registered EV owners will begin paying an annual fee of $89. The money will be used to subsidize the installation of EV charging ports at workplaces and multi-unit residential complexes.

The assessment is just the beginning of a longer conversation in Montpelier about user fees for electric vehicles. And during the upcoming legislative session, lawmakers are likely to consider legislation that would impose a tax on EV owners based on the number of vehicle miles traveled.

Municipal code of ethics

People tend to trust their local government much more than state legislatures or Congress. And Vermont lawmakers apparently want to keep it that way.

Starting on Jan. 1, all select boards, planning commissions and other local public bodies will be subject to a "municipal code of ethics.”

The code lays out a number of prohibited activities:

  • Engaging in a conflict of interest, or the appearance thereof
  • Misuse of local government resources or confidential information
  • Preferential treatment based on social status, wealth, or family connection
  • Accepting gifts that could unduly influence government decisions

The statute also includes whistleblower protections and requires ethics training in local governments.

The Vermont League of Cities and Towns has panned the law, saying it abandons existing code of ethics policies, which are often already in place locally, “in favor of a state-knows-best approach that demonstrates a fundamental distrust of municipal government and burdens municipal officials with onerous training, reporting, and investigation requirements without a single new dollar to help them … comply.”

Lawmakers, meanwhile, said many of their constituents were insistent that Vermont do a better job ensuring accountability for municipal officials.

Colorectal cancer screenings 

Colorectal cancer is the third leading cause of cancer deaths in Vermont. And lawmakers want more residents to get screened for the disease while it’s still in its treatable phases.

Starting Jan. 1, health insurance plans will have to fully cover the cost of colorectal screenings for all Vermonters age 45 and older. That means no co-pay, no deductible and no cost-sharing of any kind for the patient.

The legislation aligns state law with best practices adopted by the U.S. Preventive Services Task Force. And it was championed in Montpelier by Montpelier Rep. Kate McCann, a colorectal cancer survivor who shared her story with colleagues.

“I'm honored to be in a position to share my story and use my experience to advocate for others,” McCann said. “Of all cancers, CRC will take the most lives of people under 50 by 2030.”

More from Vermont Public: Vermonters can get insurance coverage for colon cancer screening at a younger age starting Jan. 1

Telehealth pay parity 

For doctor’s appointments done by video or phone, Vermont health insurance companies have to pay providers the same amount as for an in-person visit. Video visits have been reimbursed at the same rate as in-person appointments for several years, a pandemic-era policy that was set to sunset in 2026. A new law makes the change permanent and expands the policy to phone visits.

Telehealth visits are only done at a patient’s request, and only for when it’s medically appropriate, like certain follow-up appointments for chronic conditions or after a procedure.

“You’re not going to have your annual physical over a phone call, but phone calls tend to work really well for things like medication management,” said Jessa Barnard, executive director of the Vermont Medical Society.

The option for video and phone visits can increase access to care, especially for people who might not have internet access, older adults and the sickest patients who can’t always easily get to an appointment in person.

“Patient satisfaction is really high,” Barnard said. “When it's their preference and when it's appropriate for the condition, it's really convenient.”

Have questions, comments or tips? Send us a message.

Lexi covers science and health stories for Vermont Public.
The Vermont Statehouse is often called the people’s house. I am your eyes and ears there. I keep a close eye on how legislation could affect your life; I also regularly speak to the people who write that legislation.
Liam is Vermont Public’s public safety reporter, focusing on law enforcement, courts and the prison system.

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