VT H0040

Establishes a state licensing structure for freestanding birth centers in Vermont, with the Department of Health overseeing applications, inspections, and enforcement, and a $250 licensing fee

Exempts birth centers from certificate of need (CON) review requirements that apply to other health care facilities

Requires health insurance plans providing maternity benefits to cover prenatal, maternity, postpartum, and newborn services at licensed birth centers, including facility fees

Directs the Agency of Human Services to seek federal approval for Vermont Medicaid to cover and separately reimburse birth center services, with the request due by July 1, 2025

Takes effect January 1, 2026, with regulations to align with national birth center standards published by the American Association of Birth Centers