Vermont AG Reaches $483K Settlement with Mental Health Provider Over Safety Failures

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Vermont's attorney general has reached a $483,464 settlement with a Bennington County mental health care provider, United Counseling Service, following a yearslong investigation into allegations of ongoing service and supervision failures. The probe was triggered by a complaint alleging UCS failed to properly care for, monitor, and oversee some developmental disability service recipients who pose public safety risks, typically for behaviors involving sexual violence or crimes against children.

Why it matters

This settlement highlights ongoing concerns about the quality of care and safety oversight at some mental health providers, especially for vulnerable populations like those with developmental disabilities. The state's actions aim to force reforms at UCS to better protect Vermonters receiving Medicaid-funded services.

The details

Investigators said UCS staff knew about the ongoing failures and leaders refused to address them, posing serious safety risks. In addition to the financial penalty, UCS must implement dramatic organizational reforms, including appointing an external oversight monitor, hiring a new director of quality, and publicly reporting corrections for up to three years. The Department of Disabilities, Aging and Independent Living has also pulled its contracts with UCS, sending patients to other providers.

• The investigation into UCS was triggered by a complaint in 2021.
• The $483,464 settlement was reached on March 12, 2026.

What they’re saying

What’s next

UCS must implement the mandated organizational reforms, including appointing an external monitor, over the next three years while publicly reporting on the progress.