JFAC approves multi-part behavioral health package, including federal grant spend and transfer exemptions

The Joint Finance-Appropriations Committee approved supplemental and FY2026 budget actions on multiple behavioral health items covering the Idaho Behavioral Health Plan, psychiatric hospitalization and substance-abuse services during its meeting.

The committee voted to appropriate federal grant carry-forwards for the Idaho Behavioral Health Plan (IBHP) and to approve related FY2026 enhancements and transfer exemptions. A supplemental motion added $6,743,800 federal Cooperative Welfare funds for IBHP implementation for FY2025; the committee recorded a 15-5 roll call in favor and sent the item forward with a due-pass recommendation. Committee members later approved a FY2026 enhancement of $261,400 (federal funds) for the IBHP implementation and associated transfer-exemption language that permits the Division of Mental Health Services to transfer certain trustee/benefit and personnel appropriations in accordance with Idaho Code 67-3511.

The committee handled multiple psychiatric hospitalization items separately: it approved a FY2025, one-time $2,663,500 general-fund supplemental for community civil-commitment costs and approved forecast-based fund shifts at State Hospital West and State Hospital South that move smaller forecasted expenditures between federal, dedicated and general funds. Those hospital forecast adjustments were recorded in committee roll calls as passing by wide margins and were accompanied by language similar to the mental-health transfer exemption so divisions can reclassify spending between expense classes when authorized.

For the Division of Substance Abuse Treatment and Prevention, the panel approved a FY2026 reallocation between federal and dedicated spending to align trustee and benefit and personnel costs; after a technical correction and a clarified motion the committee approved the net-zero impact adjustment (final recorded tally: 15 ayes, 5 nays).

Committee members repeatedly adopted “conditions, limitations and restriction” language that will travel with the enhancement packets. Separately, the panel approved a broadly applicable federal-funding restriction/reporting clause requested by members that directs agencies to report and protects the Legislature from state-dollar replacement of federal appropriations if those federal funds are revoked, reduced or eliminated.

Supporters said grant carry-forwards and the transfer authority are needed to finish IBHP implementation and to let the department align spending categories after unanticipated timing changes. Opponents raised typical concerns about federal- funding dependency and wanted assurances that state general funds would not supplant federal dollars if grants change.

What’s next: The committee forwarded the behavioral-health items with due-pass recommendations and accompanying transfer-exemption and limitation language to be included in the enhancement bill for behavioral health. The items recorded multiple roll-call votes during the session and will appear on the Legislature’s formal packets going to the full chambers.