Health and Welfare proposes reorganization, fleet replacements and IT upgrades as JFAC begins budget hearings

The Idaho Department of Health and Welfare (DHW) briefed the Joint Finance‑Appropriations Committee on Jan. 13 on a proposed organizational realignment and related budget requests as the committee began its 2026 budget hearings.

Budget and policy analyst Alex Williamson opened with an agency overview and described the requested alignments of budgeted programs to the agency’s internal operating structure. The changes appearing in the governor’s request and the agency’s program maintenance submission include splitting Family and Community Services from other divisions, renaming and regrouping divisions, and creating a new child, youth and family services division. Williamson said the agency is asking the legislature to align appropriation units to where the work is being done.

The reorganization, as described by Director Alex Adams and LSO staff, would move several programs and staff into Medicaid oversight: community developmental disabilities (to capture the children’s DD program), the Idaho Behavioral Health Plan staff and the Medicaid program‑integrity unit. Extended Employment Services (EES) would be moved as a budgeted program under Medicaid because Medicaid currently…