An act relating to licensure of freestanding birth centers

House Bill 40 establishes a licensing system for freestanding birth centers in Vermont, removing the requirement for them to obtain state approval (certificate of need) before opening. It mandates that health insurance plans and Medicaid cover prenatal, maternity, birthing, postpartum, and newborn care services provided at licensed birth centers. Birth centers must meet state safety and operational standards and pay a $250 licensing fee to operate. This aims to expand access to birth center options, which have demonstrated improved health outcomes and lower costs for mothers and babies compared to hospital births.