Idaho Department of Labor seeks $7.33 million in dedicated authority to stabilize unemployment operations as federal funding drops

The Idaho Department of Labor asked the Joint Finance-Appropriations Committee for increased dedicated-fund spending authority and described the state unemployment-insurance trust fund as solvent but subject to federal grant variability.

Janie Rivera, director of the Idaho Department of Labor, told the committee the department is requesting $7,330,000 in dedicated-fund authority for unemployment-insurance operations to offset a drop in federal grant funding and to avoid sudden staffing gaps. Rivera said the request is not for general fund.

Why it matters: the department administers unemployment benefits and an under-resourced UI adjudication system can delay benefits or appeals processing; lawmakers pressed for data on staffing, spending and long-term trust-fund health.

What the request would do

Rivera said the department received large federal grants during the pandemic and added staff (about 100 positions at the peak) to handle the surge of claims. As pandemic-era federal funding declines, the department must use dedicated…