Vermont Administration Secretary Jeb Spaulding says the state was surprised that the federal government has determined the state hospital is not eligible for 90 percent federal funds for its replacement following Tropical Storm Irene.
But Spaulding told lawmakers on Wednesday the administration is confident that it will get significant funding to replace the hospital.
He expects the state to get 90 percent federal funding for parts of the hospital, which is slated to cost nearly $43 million.
Spaulding told lawmakers that plans to replace the hospital and state office complex in Waterbury are on track.
The state hopes to break ground on a new 25-bed facility in Berlin next month and is moving forward with plans for a seven-bed secure recovery residence in Middlesex and eight temporary beds in Morrisville.
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