Editor's note: This is an updated version of a story that was first published on May 12.

The Vermont legislature's new Democratic supermajority clearly used its power during the 2023 session that ended last Friday, passing bills to address childcare costs, guns and climate change — measures that in past years might have had little chance of success.

But Democrats are on a collision course with Gov. Phil Scott over the $8.4 billion state budget. Scott has promised a veto, and it's not clear whether Democrats have the votes for an override, given the party's internal disagreements about a program that placed homeless people in motels during the pandemic.

The impending eviction of those people when the program ends on July 1 led to an impassioned floor debate in the House during the session's closing hours. The budget passed the House, but only by a vote of 90 to 53 — well short of the 100 needed for an override.

Nevertheless, lawmakers will return to Montpelier on June 20 to consider expected vetoes of the budget as well as bills that impose new gun restrictions and shore up the childcare system.

A number of Democratic and Progressive lawmakers have said they cannot support the budget unless more is done to help the 2,800 homeless people still living in hotels.

"The budget before us abandons our most vulnerable Vermonters," Rep. Brian Cina (P/D-Burlington) charged during Friday's debate.

The number of people who will be evicted from the motels in coming weeks is equal to 70 encampments the size of the one that the City of Burlington dismantled on Sears Lane in 2021, Cina said.

"The mass eviction from hotels is going to create a new public health emergency," he said.

Rep. Mari Cordes (D-Lincoln) criticized the administration, saying it knew for a long time that the emergency program would end but failed to make plans to move people into long-term housing.

"It is not a money problem, but a problem of political will and a disaster in the making," Cordes said.

Rep. Troy Headrick (P/D-Burlington) said he was stunned to learn that instead of addressing people's desperate housing needs, the budget "parked" $14 million until 2025 to match future federal infrastructure dollars. The $8 million-per month motel program, he said, has been a "very small Band-Aid" on the wound of homelessness in Vermont.

"This budget is simply ripping off that Band-Aid while that wound is still trying to heal," Headrick said.

Many lawmakers who expressed disappointment over the motel program nevertheless said they supported the budget because it includes money for housing and other initiatives they support.

"This budget, while not perfect ... still makes over $200 million of investments in helping the most vulnerable Vermonters," Rep. Tom Stevens (D-Waterbury) said.

The uproar over the motel program was due in no small part to the relentless lobbying of Brenda Siegel, an advocate for homeless Vermonters and the 2022 Democratic candidate for governor.

Siegel posted a series of videos of motel dwellers describing their fear of what will happen to them if they lose their motel vouchers. She predicted that by the time lawmakers return in June, hundreds of homeless people will have been forced onto the streets. "It's going to be pretty brutal to watch," she said.

Conor Kennedy, chief of staff for House Speaker Jill Krowinski (D-Burlington), acknowledged that the budget vote tally was a concern. "Not having those 10 [votes] is not insignificant," he said. But he said there is time to address lawmakers' concerns before they reconvene.

It's one thing for Democrats and Progressives to vote no on a budget that is going to pass anyway, he said. It's another to vote no to override a budget veto when doing so risks blowing up funding for many important programs.

As lawmakers departed, Krowinski and Senate President Pro Tempore Phil Baruth (D/P-Chittenden-Central) thanked them for their hard work and urged them to take pride in the progress they made this session.

"Together we have governed with purpose and built a stronger foundation for Vermont, one that moves all 14 Vermont counties forward," Krowinski said shortly before adjourning.

Here's a look at the high-profile bills passed this session.

Home Dollars Stretched

Under pressure to address the state's housing crisis, lawmakers tried to make big new investments in affordable housing and relax development restrictions in downtowns.

The result was the sprawling "HOME" bill, S.100, which spends millions on housing programs. It dedicates $40 million to mixed-income affordable housing, $10 million to expand shelter capacity, $10 million in grants to fix up rental properties, $10 million to speed the construction of homes for middle-income Vermonters and $1 million for first-time home buyers.

The bill's changes to municipal zoning and Vermont's Act 250 often received more debate than the financing, however. S.100 would loosen restrictive zoning that some developers say blocks the construction of affordable housing. One change requires communities to allow duplexes wherever single-family homes are permitted.

Related changes to Act 250, the state's land-use law, include raising the cap on the number of homes a developer can build within five miles and five years without facing review under the law. Instead of 10, the new limit would be 25 units in downtowns and areas designated for growth.

Hikes for Tykes

Most lawmakers agreed the state's childcare system faces an affordability and staffing crisis and needs a major shot of cash to stabilize it. But they disagreed sharply on how to pay for it.

House leaders wanted a combination of higher corporate and personal income taxes to fund much of the $130 million infusion, while senators thought payroll taxes made more sense because employers and workers would benefit most from the system's expansion and improvement.

A deal struck last week was hailed as a compromise that would lead to a historic investment. Scott, who had proposed spending $50 million, with no tax increase, has vowed to veto the bill.

In another investment in Vermont's children, lawmakers separately agreed to provide free meals for 80,000 schoolkids. Cost: $29 million.

Greener Heat

Weaning a northern state such as Vermont off fossil fuel heating sources is a challenge, but lawmakers made a commitment to figure it out. They passed S.5, the clean heat standard, and then overrode Scott's veto, hailing the bill as a crucial step to reduce emissions from burning oil, propane, kerosene and natural gas.

"This is probably one of the most important things I've done here and as a parent," Rep. Laura Sibilia (I-Dover) said after the vote.

The bill directs energy regulators to craft a program requiring the state's fossil fuel dealers to lower the greenhouse gas emissions from their products, either by switching customers to lower-carbon fuels or reducing demand by helping make homes more energy efficient.

Republicans blasted the bill as likely to hurt low-income Vermonters who can't afford to switch, but supporters said reducing the cost of heating for low-income people is the program's priority.

All Bottled Up

Wine bottles and plastic water bottles will soon be returnable for a deposit under a long-sought expansion of the state's beverage redemption program. Currently, only certain glass and aluminum beverage containers can be returned to recover the 5-cent deposit.

H.158 will add a 15-cent deposit on wine bottles and a 5-cent deposit on hard cider, water and sports drink containers.

Advocates originally wanted to increase the base deposit for most bottles from 5 to 10 cents. Instead, state officials must report by 2025 whether that would likely increase recycling rates.

Retailers worry they won't have the room to handle all the additional containers. Gov. Scott has said he prefers improving the blue-bin recycling system, but it's not clear whether this bill will be on his veto list.

Legislative Raises

Lawmakers agreed to boost members' pay beginning in 2025 and grant themselves access to the same health benefits state workers receive, saying that will make it easier for working-class Vermonters to serve in the General Assembly.

The bill, S.39, will boost salaries during the 18-week session and pay lawmakers one-fifth of that salary when they're out of session. Rank-and-file lawmakers currently receive $14,616 plus allowances for food and lodging. By 2027, their salary would more than double, to at least $29,766 annually, and they could get health insurance coverage.

Democrats said the increase was only fair. Republicans blasted it as shameful.

Testing, Testing

Lawmakers agreed to continue funding PCB testing in schools, rejecting an effort to pause the program. They approved $32 million in grants to help communities pay for testing and remediation. Some wanted to pause the program while the issue was examined further, but a majority felt testing older schools should continue.

The funds include $16 million for the demolition and site remediation of the former Burlington High School, which was abandoned due to PCB contamination.

The state could claw that money back, however, in the event that Burlington recovers some of the costs of its new high school through litigation against PCB maker Monsanto.

Firearms Waiting Period

A sweeping new gun bill that aims to reduce suicide risk will create a 72-hour waiting period for firearms purchases. The bill, H.230, was sponsored by Rep. Alyssa Black (D-Essex), whose son, Andrew, died by suicide on the day he bought a handgun in 2018. The bill also expands red flag laws by allowing family members to petition a court for an order to prevent a loved one from buying or possessing a firearm.

It also requires people in households with children to store firearms safely.

Another bill passed this session, S.3, was inspired by Slate Ridge, the unpermitted firearms training outpost in West Pawlet. The measure would ban the operation of paramilitary training camps in Vermont.

Shield Law

Vermont health workers who provide reproductive and gender-affirming care to patients will be shielded from legal threats in other states under abill lawmakers passed earlier in the session.

The bill, H.89, protects both patients and providers from civil or criminal actions brought by individuals or prosecutors in other states.

That risk is seen as a real one in the aftermath of the U.S. Supreme Court decision overturning Roe v. Wade. Several states have passed laws intended to make it difficult for their residents to go elsewhere to obtain abortions, by threatening health care workers in other states with legal jeopardy if they help a woman obtain the procedure.

The bill would block Vermont courts from honoring out-of-state subpoenas, prohibit state employees from cooperating in such investigations, and allow medical providers to countersue to recover damages and fees.

Ensuring Coverage

A lower-profile but important bill for bars, clubs and restaurants limits the liability of businesses that sell alcohol to customers who then choose to drive. Bar and club owners in Vermont have seen a sharp increase in insurance rates; some have struggled to obtain coverage at all.

Vermont law has allowed people harmed by a drunk driver to sue not only the business that served the person but its landlord, as well. The bill, which Scott signed this week, now protects landlords from liability by requiring proof of negligence.