JFAC approves multiple agency budget actions including $8.6 million hazmat transfer; ombudsman funding fails in House

BOISE — The Joint Finance-Appropriations Committee (JFAC) on Feb. 14 approved a package of supplemental and fiscal year 2026 budget actions affecting the military division, veterans services, agriculture, finance, insurance, and several education and health programs, while a proposal to fund a new Health and Social Services ombudsman failed to gain a House majority.

The most consequential single transaction was a motion to transfer $8.6 million from the state emergency relief fund into the miscellaneous revenue fund to equip hazardous materials regional response teams housed at local fire departments. The transfer was approved by the committee after a roll call that produced 19 ayes and 1 nay (Senate: 9–1; House: unanimous), and will be carried forward with a due-pass recommendation to the full legislature.

Why it matters: JFAC’s actions move executive and departmental requests closer to final appropriation. As budget analyst Keith Bybee told the committee, “I hope you're starting to see, for those of you new to the committee, the connection now between the policies that pass and then the obligation we have to the fiscal notes, if if they pass.” That connection underpinned much of the committee’s scrutiny of supplemental requests and FY2026 enhancements.

Key approvals and votes at a glance

- Hazardous substance emergency response deficiency: one-time transfer of $34,200 from the General Fund to the Hazardous Substance Emergency Response Fund; moved by Senator Ward Engelking, seconded by Rep. Petzke; passed unanimously, 20–0.

- Military division — public safety communications supplemental: one-time $540,001 from the General Fund to contract installation work and build four installation bays so Idaho State Police vehicles can be put into service; moved by Senator Ward Engelking, seconded by Rep. Handy; passed, 20–0.

- Military division — IT infrastructure upgrade: one-time $759,200 from the General Fund to upgrade IT infrastructure and licensing to create an independent public safety communications network; moved by Rep. Petzke, seconded by Senator Ward Engelking; passed (total 19 ayes, 1 nay).

- Military division — FY2026 package: a net FY2026 increase of $9,117,100 across general, dedicated and federal funds (including replacement items, IT hardware and hazmat equipment for regional teams); moved by Rep. Petzke, seconded by Senator Ward Engelking; passed (total 19 ayes, 1 nay).

- Transfer for Hazmat regional response: one-time $8,600,000 transfer from the continuously appropriated State Emergency Relief Fund to the Military Division’s miscellaneous revenue fund for regional hazmat equipment; moved by Rep. Petzke, seconded by Senator Ward Engelking; passed (total 19 ayes, 1 nay).

- Division of Veterans Services — FY2026 package: adjustments including a $1.2 million transfer to create a temporary nursing staffing pool, replacement items and reappropriation authority for federal construction grants (Boise and Lewiston veterans homes); motion carried (total 19 ayes, 1 nay).

- Department of Agriculture — deficiency and FY2026 enhancements: a $1,724,300 one-time transfer to cover exotic species monitoring and control costs (Japanese beetles, Mormon crickets) passed unanimously, and a separate FY2026 enhancement package that included pay-structure adjustments, replacement vehicles/equipment and IT hardware was approved (committee vote totals varied by motion; the FY2026 package passed with the reported affirmative majority).

- Department of Finance — staff and examiner additions: JFAC approved five new full-time equivalents and $765,800 from dedicated funds to add financial examiners, investigators (including cybersecurity and forensic accounting specialists) and $52,600 for IT hardware; motion passed (committee recorded majority in favor).

- Department of Insurance — two positions and State Fire Marshal increases: committee approved two FTEs (a staff actuary and a regulatory compliance specialist), a compensation increase for State Fire Marshal staff and replacement items; motion passed with committee majority.

- State Board of Education — Special Programs: enhancements approved include funding for the rural and underserved educator incentive program, small staffing additions for forest utilization research and the Idaho Geological Survey and other small program items; motion passed.

- Health education programs: committee approved residency and fellowship funding totaling roughly $954,500 and two full-time equivalents for additional resident slots and program support; motion passed.

- Licensing and certification (Department of Health and Welfare): JFAC approved intent language exempting the licensing and certification appropriation from a statutory transfer restriction that had limited transferring personnel funds to operating to permit use of contract nurses. The committee also adopted a requirement that Health and Welfare work with the Division of Occupational and Professional Licenses (DOPL) and prepare a JFAC report (including potential draft legislation) examining a transfer of the licensing and certification program; the motion passed on a roll call (committee split on final tally).

- Department of Health and Welfare — indirect support services: committee approved replacement and IT hardware funding for Indirect Support Services and added reporting language requiring a December 15 report to JFAC on state vehicle fleet utilization and appropriateness; motion passed.

- Office of Health and Human Services Ombudsman: a one-time $50,000 general fund increase for the new ombudsman was moved by Senator Wintrow but failed to pass the House; final roll call totaled 13 ayes, 4 nays, 3 absent/excused and the motion did not carry in the House.

What members emphasized and dissent

Several members pushed for clearer totals and better presentation of cumulative fiscal exposure. Representative Tanner asked staff to add a simple total line for revenue and appropriation bills to show how much potential fiscal impact is ‘out there.’ Representative Petzke urged structural changes to how small special-program requests are submitted, saying the current setup makes it “absolutely impossible for us to determine what to do with a request for 0.03 of an FTP.”

Representative Price explained his nay on the ombudsman funding: “I am going to vote no for this budget ... being a brand new program and us increasing it already just sends concerns about this growth of this program already.”

Process notes and next steps

Most motions carried with a due-pass recommendation to the full legislature. Several items included clear language requiring departmental reports back to JFAC (notably the licensing and certification review with DOPL and the Health and Welfare vehicle fleet report due Dec. 15). Absent or dissenting votes were recorded on several enhancement packages (typical split was 9–1 in the Senate with one or two nays or an absent member).

JFAC reconvened and will continue budget work at its next scheduled meeting; the committee noted several items will be revisited as JFAC reviews the full set of departmental requests for FY2026.