Idaho Department of Finance requests six new exam and cybersecurity positions; governor omits two investigator roles

The Idaho Department of Finance on Jan. 21 asked the Joint Finance Appropriations Committee for six full‑time positions and $816,600 in ongoing state regulatory funds for fiscal year 2026 to expand information‑technology and investigative capacity, including cybersecurity and forensic accounting specialists.

The request matters because the department oversees state‑chartered financial institutions, non‑depository consumer finance providers and the securities market; directors and some legislators said the added staff would help address rising cybercrime and fraud targeting older Idahoans.

Budget analyst Noah Peterson of the Legislative Services Office told the committee the six requested positions are an IT examiner for the Financial Institutions Bureau, a financial examiner (non‑IT), two Financial Investigator 3 positions focused on IT examinations (one for mortgage/credit services and one for consumer services), a Financial Investigator 3 for cybersecurity in the Securities Bureau, and a financial examiner with a forensic accounting specialty for the Securities Bureau. The package also included one‑time capital outlay for laptops, docking stations and portable field monitors recommended by the Office of Information Technology Services.

Director Patty Perkins said the department has increased its focus on cybercrime and elder‑targeted fraud in recent years and has partnered with the Idaho State Police and other law enforcement to "follow the money," including cases that involve cryptocurrency and cross‑border actors. "We have a small investigation staff and so we are looking to build that up so that we can counter the increased fraud," Perkins said.

Senator Melissa Wintrow said she had met with department staff about a rise in cases involving swindling of older residents and asked the director to provide more detailed workload and outcome information to the committee. "It seems to me like a logical investment to really protect and to, you know, go forward in the future to help folks not be swindled," Wintrow said. Peterson told members he did not have the department's case counts or quantified return‑on‑investment figures in his prepared remarks but offered to work with the agency to provide supporting data.

The analyst noted the positions would be funded from the department's state regulatory funds. Peterson also summarized the department's three dedicated funds: the state regulatory funds (fees, assessments, fines used to operate the agency), the mortgage recovery fund (fees from mortgage applications; the department is authorized to use up to $50,000 annually for administration) and the securities investing/training fund (civil penalties/administrative fines; statutorily limited to $50,000 for investor education). He reported the agency has averaged about 92.5% spending of appropriations over recent years and that personnel made up about 77.8% of fiscal‑year 2024 expenditures.

Perkins and Senator Cook both asked for data points the committee could use to measure workload and later outcomes if the positions are funded. "I would like to be able to see that where you're at and why we are justifying having four new FTPs," Cook said, asking for baseline metrics so the committee can evaluate impact next year.

Peterson told members the governor recommended all of the enhancement items described except for line item 3: the two Financial Investigator 3 positions requested for the Consumer Finance Bureau. The requests that remain unresolved with the legislature will be considered through the usual JFAC budget process; no final appropriation was made at the Jan. 21 hearing.

The department also described prior enhancements: in 2024 it added three positions (a mortgage examiner, a public outreach specialist and a securities technician) and purchased an investigation management software package; net new FTP in 2024 was two after HR consolidation moved one position to the division of human resources.

Perkins told the committee she would provide additional case‑work and workload detail to support the enhancement request. The committee did not take a formal vote at the Jan. 21 session; funding decisions remain pending as part of the broader JFAC budget process.

Less critical details: the FY2026 capital outlay one‑time hardware request recommended by OITS was $52,600 (roughly $42,000 for laptops, $6,100 for docking stations and $4,500 for portable field monitors). Several salary amounts were shown in the agency request: the IT examiner and the non‑IT financial examiner were budgeted at $121,300 (100% of policy for salary grade P); the Financial Investigator 3 and cybersecurity specialist positions were budgeted at $82,500 (100% of policy for salary grade M), and the forensic‑accounting examiner was budgeted at $82,500 (salary grade M).