JFAC approves $177.4 million CEC package to raise state pay bands, with dissent over compression and scope

The Joint Finance-Appropriations Committee on Feb. 6 approved a compensation package to fund statewide salary adjustments recommended as committee-executive commission (CEC) actions, totaling $177,429,100 across general, dedicated and federal funds, committee staff said.

Representative Doug Miller (Representative Miller), who sponsored the motion, told the committee the package would “provide $84,411,100 for a dollar 55 per hour per employee for permanent employees of state agencies and institutions,” and included targeted adjustments for community colleges, salary-schedule increases for employees at minimum pay, additional funding for the Idaho Military Division and 4.5% increases for IT and engineering staff. The package also included funds to provide up to an 8% total increase for Idaho State Police troopers and additional funding for nursing and health-care workers to receive $1.55 per hour or 3%, whichever is greater. The motion named $84,669,500 for public schools and the Idaho Educational Services for the Deaf and the Blind and totaled $177,429,100 when including dedicated and federal funds.

Representative Miller moved the motion; Senator Groves seconded. The committee debated the measure at length. Senator Ward Engleking and Senator Wintrow voiced opposition, arguing the package did not address compression issues for higher-paid, highly trained employees and did not meet the statutory direction to provide a competitive salary package. “I think we're compressing the salary schedule, and I think it's going to continue to cause us problems in the future in retaining state employees and being able to recruit them,” Senator Ward Engleking said. Senator Wintrow added she could not support the motion for similar reasons.

Others supported the approach while noting trade-offs. Senator Cook said she would support the motion but described it as “a little short sighted,” arguing the across-the-board component gives raises irrespective of performance. Senator Woodward said the approach may create “compression issues” and a “use it or lose it scenario,” but indicated she would support the motion to move the budget process forward.

Roll-call results were recorded in committee. The Senate side recorded eight ayes and two nays; the House side recorded 18 ayes and two nays as read into the record; the motion carried and will be incorporated into the maintenance-bill package sent to the floor with a due-pass recommendation.

What the language does: committee staff explained the proposed bill language would fund a $1.55-per-hour minimum increase for state full-time-equivalent positions, require agencies to report any additional pay changes, prevent transfers of the new funding to non-personnel categories, and require Division of Human Resources and Office of the State Controller to provide a monthly report identifying pay changes.

Why it matters: The package is a major infusion for statewide employee compensation for FY 2026 and includes specific targeted increases for public safety, IT and health-care staff while creating reporting requirements intended to track implementation. Debate focused on whether the package adequately addresses salary compression and long-term retention for higher-paid personnel.

The committee moved on after the vote; staff were asked to compile additional CEC-related requests that agencies submit beyond this action.