The Idaho Senate took its turn to start killing budgets on Monday. This time, the state tax commission was in the crosshairs.
That’s because the budget included extra spending related to House Bill 93, a private school subsidy tax credit passed earlier this session.
The Idaho Tax Commission said it needs seven new employees, totaling $675,000 to implement the law. The original financial estimate only anticipated one new full-time position costing roughly $70,000.
Idaho’s new law offers $50 million in tax credits to families who enroll their children in private school or use the money for other educational expenses.
Senate Republican Leader Lori Den Hartog (R-Meridian), who sponsored that program, said the cost for the new positions will come out of the original $50 million.
“It’s not in addition or on top of that, so the fiscal note is still the same. It is more [full-time positions] than we had originally known at the time of passage,” Den Hartog said.
Several lawmakers who opposed the bill, including Sen. Dave Lent (R-Idaho Falls), said these surprise costs aren’t acceptable.
“It troubles me that somehow we soften it by saying the money comes out of the original [$50 million] so it somehow makes that OK,” Lent said.
The Joint Finance and Appropriations Committee will now have to redraft the budget in order to cover those costs.
Shortly after, state senators killed another budget: the enhancements for the Idaho Department of Fish and Game.
House Bill 450 totaled $18.9 million. The proposal would’ve paid for an office renovation, replacement vehicles, hatchery fish trailer tanks and more.
Federal funds, along with fees collected by IDFG, would’ve covered the entire budget.
No one debated against the bill, but it failed 16-19.
State senators did sign off on Idaho’s Medicaid budget after a protracted debate involving an hour-long recess, though.
The extra spending totals $674 million – all but $70 million coming from the federal government.
Sen. Todd Lakey (R-Nampa) said he hesitantly supported the budget.
“This bill is paying our contracts, meeting our obligations. It’s meeting state law,” said Lakey. “Until we change those things, I feel like I need to support this because Idaho pays its bills.”
Opponents said the budget is growing out of control and could leave Idaho holding the bag if federal officials make changes to the cost sharing ratio.
Idaho’s Medicaid budget typically faces strong headwinds in the legislature. It still needs approval from the House to reach the governor’s desk.
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