JFAC approves $644,400 in dedicated-fund enhancements for Idaho State Liquor Division

The Joint Finance-Appropriations Committee on March 20 approved $644,400 in FY2026 enhancements from dedicated funds for the Idaho State Liquor Division, moving the agency’s request forward with a due-pass recommendation to the full legislature.

The committee vote followed a presentation by Kellen McGurkin, a budget and policy analyst with the Legislative Services Office, who outlined the division’s mission and the enhancement requests. McGurkin said the division “accrues revenues from its sales, pays its own cost to operate and then distributes profits from those sales back to the state each fiscal year,” and cited Idaho code section 23-404 as the authority that directs distributions.

The approved package included: a $57,400 ongoing pay increase to raise part-time retail staff hourly wages from $15.00 to $15.45; $72,000 ongoing for shrink-wrap required by a new freight contract; $100,000 one-time to bring the agency website into compliance with web content accessibility guidelines; $775,300 in one-time retail store replacement items (shelving, coolers, flooring and signage); $205,000 to replace motorized warehouse equipment and two modified fleet vehicles; $25,000 for 100 battery backups, $100,000 for two server replacements and $110,000 for security systems at 20 stores; and $75,000 one-time and $2,000 ongoing to implement LaserPhish document management software, among smaller items described in the analyst’s briefing.

Senator Wintrow, speaking during debate, urged prudence but support for the motion, saying, “we have to be cautious with budgets that are dedicated funds, this is a business and it is essential that we allow the business to run as it is prescribed.” Senator Ziderfeld criticized government ownership of the liquor business in principle, saying “this is probably the reason why government shouldn't be involved in business.”

Senator Carlson moved the enhancement package; Representative Tanner seconded. The combined Senate and House committee votes produced a total tally of 15 ayes, 4 nays, and 1 absent/excused. The majority in both chambers voted affirmatively and the motion carries a due-pass recommendation.

The vote advances the Liquor Division’s maintenance and replacement requests into the next stage of the budget process. The analyst also reported that the division experiences roughly an 80% annual turnover in the affected part‑time retail positions, which the pay enhancement is intended to address.

Costs and authority: the analyst noted the Liquor Division operates from dedicated fund revenues and that distributions to the state are governed by Idaho Code § 23-404. The accessibility work would be contracted through a formal bidding process, and many replacement items are one-time hardware and store infrastructure expenditures.