This Issue Update newsletter is part of a series that provides more information on each priority issue on the Alliance's 2026 Legislative Agenda. The Legislative Agenda is crafted annually in partnership with early childhood organizations that are advancing legislative policy solutions related to health, safety, food security, economic security, and early care and education. The priority issues were selected by the Alliance's Steering Committee.

The Alliance is continuing to host virtual Issue Spotlights that will focus on issues from our 2026 Legislative Agenda. Our next session will be held Monday, April 13, at 3:00 pm, and will focus on two important issues – efforts by Voices for Vermont’s Children to get full funding for Reach Up and eliminate the arbitrary asset limit to simplify eligibility, and work to support the state’s CIS and SAG programs.

 

Reach Up: Ending Child Poverty is a Policy Choice

Reach Up is tasked with improving children’s well-being by providing for immediate basic needs, including food, housing, transportation, and clothing while parents work toward economic stability. Persistent underfunding of Reach Up and outdated eligibility guidelines keep thousands of Vermont’s children experiencing hardship known to be harmful to their health and development. An enrolled parent working to overcome barriers to employment, with two children, receives just $880 to cover basic needs, including a $268 housing allowance. This amount is less than 40% of what the Department for Children and Families has set as a subsistence-level budget. This policy choice endangers children and contributes to Vermont’s homelessness crisis. Persistent poverty also increases the chance that children are separated from their families and placed in foster care, which is both costly and traumatic. Unlike other safety net programs, Reach Up imposes an arbitrary asset limit when determining eligibility, which serves as a counterintuitive penalty against families saving for housing, education, training, or to buy a car – all investments in long-term financial security. 

The Alliance supports Voices for Vermont’s Children in their request that the Legislature fully fund Reach Up and eliminate the arbitrary asset limit to simplify eligibility. 

 

Legislative Update

H 657 passed the House last week and is now in the Senate, where it will be considered by the Health and Welfare Committee. The bill includes language that eliminates the Reach Up asset limit. JFO estimated that eliminating the asset limit would cost approximately $140,000, and the House included that funding in their FY27 Budget bill. Eliminating the asset limit would ease a burden for families on Reach Up and for the case workers who have to constantly monitor asset changes to make sure they stay under the current limit. Advocacy is focused on mobilizing Senators to support the bill and champion it over the finish line. You can read more about this bill on the Voices' blog. 

Additionally, Voices is asking partners to sign onto a letter to Senators urging them to oppose the Administration's proposed $3.4 million cut to Reach Up. Advocacy is also underway to support language in the House Budget that calls for a new iteration of a 2024 report on the cost of removing the ratable reduction.  

 
 

Lead Organization

Voices for Vermont's Children and the Vermont Reach Up Coalition

Voices for Vermont’s Children is a statewide, multi-issue child policy research and advocacy organization that has shaped the landscape around child wellbeing in Vermont by advocating during the Vermont Legislative session; organizing and working in state and regional coalitions; providing up-to-date information, policy briefs and fact sheets on issues important to children and youth. They are currently engaged in significant work to explicitly integrate anti-oppression principles and strategies into their mission and policies, and are building a team and stakeholder community that is representative of and accountable to the communities most impacted by inequity.

 

Children's Integrated Services (CIS): Funding the CIS System and SAG

Children’s Integrated Services (CIS) coordinates care and service delivery in four key areas – Early Intervention, specialized child care, early childhood and family mental health, and home visiting – to provide better outcomes to children and young families. Recent state investments have not substantially improved the ability of the under-resourced community-based agencies that provide CIS services to retain over-worked staff and meet patient needs. A study conducted by Burns and Associates in 2024 determined the actual costs for CIS providers were 12% higher than the current reimbursement rate. Federal funding of an expanded Special Accommodations Grant (SAG) program has been fully utilized to support the system and providers, but has now been fully expended.

The Alliance supports efforts to secure: 1) an FY27 Budget increase of about $1.8m to allow for full funding of the per member/per month rate of $738 identified by the recent study of the true cost of care; 2) identification of a permanent funding source that will provide at least $3 million in annual funding to the SAG program; and 3) full funding for the development of CIS data management software.

Legislative Update

While behind-the-scenes advocacy continues in support of additional support for and investments in the CIS system, at this time legislative leaders are indicating that due to budget pressures funding increases and/or program enhancements will be considered for few if any programs like CIS. The Governor’s Recommended FY27 Budget outlines level funding for CIS rates. 

The Governor’s Recommended FY27 Budget also includes $300,000 in funding for the SAG program, a continuation of current funding levels. Leadership at CDD has also secured $2 million in funding for SAG through the large federal PDG grant the state received in January. Given that in recent years the SAG program has distributed between $2 and $2.3 million annually, this funding should be sufficient to continue the supports at current levels. While there are some complications regarding the timing of how the federal funding money must be spent (by 12/31/26), CDD leaders are working to ensure that adequate funding will be available for the entirety of the coming fiscal year (7/1/26-6/30/27). Note that full funding for SAG is unfortunately still not part of the state base/ongoing budget.

 
 

Lead Organization

Vermont Early Childhood Advocacy Alliance

The Vermont Early Childhood Advocacy Alliance is a statewide coalition of early childhood professionals and providers, parents, organizations, and businesses working together to improve public policies that impact children from birth to age eight and families in the areas of health, safety, food security, economic security, and early childhood education.

To achieve this goal, the Alliance focuses on the creation and support of an annual Legislative Agenda in the Vermont legislature. The Agenda includes priority issues for the coalition's diverse voices from around the state.

 

Alliance ‘26 Legislative Agenda Issue Spotlight – Reach Up and CIS – 4/13

The Alliance is continuing to host virtual Issue Spotlights that will focus on issues from our 2026 Legislative Agenda

Our next session will be held Monday, April 13, at 3:00 pm, and will focus on two important issues – efforts by Voices for Vermont’s Children to get full funding for Reach Up and eliminate the arbitrary asset limit to simplify eligibility, and work to support the state’s CIS and SAG programs.

Hosted by Voices for Vermont’s Children and the Alliance, this session is a great opportunity to learn more about these important issues, where they stand in the Legislature, and how to get involved. 

 

The Vermont Early Childhood Advocacy Alliance is a statewide coalition formed in 2000 of early childhood professionals, parents, organizations, businesses, and strategic partners committed to improving public policies that impact young children between birth and age eight in the areas of health, safety, food security, economic security, and early care and education.

The Alliance crafts an annual Legislative Agenda in partnership with early childhood organizations, provides year-round advocacy support, and facilitates meaningful interactions with policymakers at key times during the decision making process.

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Alliance Issue Spotlight – Reach Up and CIS – 4/13; WOYC 4/11-17; Alliance Equity Discussion – 4/17 ; VT Schools and Early Childhood Education Local Food Purchasing Evaluation Released; Join the Alliance

Issue Update - PCCN and Doula Association of VT

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The Vermont Early Childhood Advocacy Alliance is a program of the Vermont Community Loan Fund.

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