Governor's "keeping promises" budget proposes education boosts, transportation and water funding and holds $100M for tax relief

BOISE — Division of Financial Management Administrator Lori Wolfe told the Joint Finance and Appropriation Committee on Jan. 8 that the governor’s executive budget is a “keeping promises” budget that balances new investments with conservative revenue estimates.

Wolfe said the proposal leaves a healthy ending balance in both fiscal 2025 and 2026, directs transfers into the Budget Stabilization Fund and the Public Education Stabilization Fund, and holds $100 million for tax relief while recommending $151 million in agency enhancements for fiscal 2026.

The nut graf: The governor’s proposal prioritizes education, workforce training, transportation and water and fire management while keeping the general fund structurally balanced and increasing reserves. Wolfe emphasized a conservative revenue approach and said the administration aimed to protect long-term fiscal stability while funding targeted investments.

Top-level figures and balances

Wolfe told committee members the administration used a conservative revenue forecast in assembling the budget. Total general fund revenue for fiscal 2026 is shown on the budget summary at about $6.2 billion and the administration projects an ending general fund balance of roughly $227 million for FY26 after recommended appropriations and transfers. The state would also transfer $59 million to the Budget Stabilization Fund and $50 million to the Public Education Stabilization Fund under the plan.

Wolfe highlighted that reserves are unusually large by historical standards: the administration…