Delaying Ethics Oversight (H.1/Act 44) - Overview & Analysis

The Senate version of H.1 (Act 44) delays the implementation of investigatory authority and other miscellaneous powers of the State Ethics Commission until September 1, 2027.

NOTE: the House version of the bill proposed to roll back ethics oversight permanently for both the legislative and judicial branches of state government. See our separate summary and analysis of that version of the bill.

The Details:

• The bill delays implementation of 2024 Act 171, which establishes the process for accepting and referring complaints that aren't under the direct jurisdiction of the Ethics Commission. Act 171 also added investigatory powers and the ability for the Commission to refer complaints to themselves for investigation instead of to another entity within the branch of government relevant to the subject of the complaint. 
  
  
• Delays a provision that the receiving entity (when an ethics complaint is forwarded) is required to consult with the Commission about the application of the statewide code of ethics.
  
  
• Delays a provision requiring a receiving entity to provide an update within 60 days on the status of the complaint. They must also provide an update on the final resolution of the complaint.
  
• Reinforces the requirement of confidentiality regarding any advice provided by the Commission to an entity that is referred a complaint.

Analysis:

The legislature has always been resistant to independent ethics oversight. The latest argument by legislative counsel is that the state constitution bars independent oversight of the legislative and judicial branches of state government because of the separation of powers doctrine. However, nearly every other state (43 by our count) has found a way to address these concerns.

In the vast majority of states, Ethics Commissions have the ability to investigate and bring enforcement actions against legislators when the conduct in question doesn't relate to core legislative functions (i.e. writing legislation, voting, committee assignments). In Vermont, the State Code of Ethics already exempts core legislative functions from 3rd party scrutiny, so separation of powers is not an issue here. Further, while the Ethics Commission is placed in the Executive Branch for administrative purposes (human resources, IT, etc.) it is not an agent of the executive branch and does not answer to the Governor or any other executive branch officer (which is where separation of powers concerns step from).

What the current statute requires is that the panels in the House and Senate and judicial conduct boards respectively must consult with the Commission regarding how to apply the statewide code of ethics and then report back to the Commission the status of their investigation and resolution of the complaint. This is minimal oversight by the Ethics Commission, just the requirement to consult (as noted previously nearly every state has gone much further than this level of "oversight").

This bill would put off, for another two years, even this meager accountability measure. Our state is ranked in the bottom ten for anti-corruption measures, largely due to the Commission's lack of enforcement powers. We will remain there if the legislature keeps kicking the can.

The second argument for this version of the bill, which admittedly does hold some merit, is that the Ethics Commission does not have the staffing to take on the new responsibilities that were slated to go into effect this fall. The budget request for two new staff positions was denied again this year by the legislature (they currently only have two part-time staff and a couple contractors). One argument for delaying is to give time for the legislature to find funding to provide the Commission.

Vermont needs stronger ethics oversight, not weaker. We enjoy an unprecedented level of access to our legislators, but that access should not be mistaken for transparency. At a time when trust in government institutions is at an all-time low, the solution is more sunlight, not less. Vermont needs a strong independent ethics oversight mechanism for all three branches of government. 

Current Status:

The bill was passed by the House and was rewritten by the Senate Government Operations Committee. The bill was then approved by the Senate on May 22, 2025 and the House Concurred the next day. The bill was delivered to the Governor on May 30th and become law without his signature on June 5, 2025.

Last updated: 6/20/2025

DISCLAIMER: Generative AI used to assist in the production of this report.