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Veterans services seeks to convert some contract nursing to temporary state employees and presses federal waiver for veterans‑home rebuilds
Summary
The Division of Veteran Services proposed shifting $1.2 million of operating appropriation into personnel to create a 22‑position temporary nursing pool to reduce reliance on expensive contract nurses and asked the committee to note ongoing delays receiving federal state‑home construction funds due to Build America, Buy America waiver issues.
Frances Lippett, budget and policy analyst with the legislative services office, reviewed the Division of Veteran Services’ budget and described staffing pressures and construction grant timing for the state veterans homes.
Mark Shample, chief administrator for the Idaho Division of Veteran Services, told the Joint Finance‑Appropriations Committee the division is piloting a temporary nursing pool to reduce reliance on contract nurse agencies. "A lot of the questions circle around how much contracted staff we have. ... This will actually allow us to hire some of those folks that have expressed that interest and it should reduce our reliance on contracted staff, which cost about 3 times more than our state staff," Shample said.
Why it matters: the division operates four state veterans homes and two state veterans cemeteries. The homes provide skilled nursing for a medically vulnerable population; the division and analysts said vacancy and turnover rates elevated operating costs because contract staffing is disproportionately expensive.
Key details and requests
- Temporary nursing pool: The division requested a net transfer of $1,200,000 from operating to personnel to create a temporary, benefited nursing pool that would add 22 state temporary positions and reduce contracted nursing costs. Shample estimated the change could reduce contract staffing premiums and save roughly $600,000 annually compared with current contract costs.
- Staffing metrics: Lippett reported the division averaged 82.2% of authorized positions filled historically and that in FY2024 the division faced about a 35% turnover rate among skilled nursing staff. Shample said the national turnover rate for similar settings is much higher and that the division’s retention compares favorably to national averages.
- Federal construction and Build America, Buy America Act: The division has received a $43.1 million federal Department of Veterans Affairs grant allocation for rebuilding the Boise veterans home and renovating the Lewiston home, Lippett said, but construction has not begun because the VA requires compliance with the Build America, Buy America Act or a federal waiver. Administrator Shample said the division had documented unavailability of certain American‑made products and was awaiting grant waivers from the VA.
- One‑time requests and replacements: The division requested $588,400 one‑time for items including a shed and equipment at Post Falls and a dump truck for the Boise Veterans Cemetery; $354,700 in replacement items and $100,300 for IT hardware were also requested.
Operations and capacity
Shample told the committee all four state veterans homes are near capacity. The division also reported strong advocacy work, including more than 13,000 claims filed and $1 billion in benefits secured for Idaho veterans in the prior year.
What the committee asked for and next steps
Legislators requested additional comparative data on contract nurse pay and the pay differential between contract nurses and state employees. Lippett agreed to supply more detailed figures. The division said it will continue to pursue VA waivers for the construction grants; no appropriation votes occurred during the presentation.
