JFAC approves multiyear transportation funding, rejects smaller substitute reductions

Joint Finance-Appropriations Committee members voted to approve a bundle of appropriations and language directing how Idaho Transportation Department (ITD) funds may be used for fiscal 2025–2026, including large transfers from the state general fund to transportation dedicated funds and reappropriation authority for construction projects.

The committee approved multiple motions that together provide dedicated- and federal-fund spending authority for capital facilities, aeronautics grants, highway operations equipment and public transit reimbursements, and it adopted bill language that conditions some grants on airports’ compliance with federal non‑aeronautical-use policies.

Why it matters: The package includes both ongoing and one-time authority for major projects and fund transfers that affect how quickly ITD can award grants, move on construction projects and maintain equipment. The committee also placed conditions on grant awards tied to federal airport policy and directed money toward specific road projects in the Boise area.

Most significant actions

- Reappropriation authority and aeronautics funding: The committee approved supplemental appropriations and reappropriation authority for ITD capital facilities and aeronautics programs, including a governor’s initiative of $10,000,000 from the state aeronautics dedicated fund for grants and equipment. The Transportation Services Division motion (motion maker: Representative Galaviz) carried after debate and a failed substitute, with recorded committee tallies showing the Senate voting 8–2 and the House 7–3 in favor.

- Highway operations package: The committee approved a larger highway operations package that included $3,324,000 for targeted compensation enhancements for highway operations workers, $10,208,900 for new heavy equipment, $1,360,000 for an automated materials module, $11,400,000 tied to public transit and other items. The motion passed with a combined committee vote of 13 ayes and 7 nays (Senate 6–4; House 7–3).

- Public transit supplemental: For fiscal year 2025 ITD was authorized an additional $5,000,000 from the State Highway Federal Fund to reimburse local public transportation jurisdictions for eligible federal obligations; the motion passed unanimously in both chambers (20–0 total).

- Metropolitan planning reimbursement: A separate $500,000 federal supplemental to reimburse metropolitan planning organizations was approved unanimously (20–0 total).

- Capital construction and right-of-way spending authority: The committee approved a one-time supplemental of $60,000,000 (split $10,000,000 State Highway Local Fund; $50,000,000 State Highway Federal Fund) for construction and right-of-way acquisitions for the current fiscal year, and later approved an FY2026 motion providing $5,000,000 from dedicated funds and $107,276,000 from federal funds (total $112,276,000) and reappropriation authority not to exceed $300,000,000 for contract construction and right-of-way acquisition.

- General fund transfers to transportation funds: The committee approved a motion transferring $275,000,000 from the general fund to dedicated transportation funds (split described on the motion as $165,000,000 to the Strategic Initiatives Program dedicated fund and $110,000,000 to the local highway distribution fund). A substitute motion to transfer $150,000,000 (90/60 split) failed; the original $275,000,000 motion later passed in committee.

- Targeted language for specific projects: Committee members approved intent language requiring at least $13,200,000 be used for widening a town‑center arterial with 20,000+ average annual daily traffic and requiring at least $50,000,000 be used for a residential mobility arterial that connects a state highway to a U.S. highway. Both pieces of language were accepted by unanimous consent.

What was not adopted

- A substitute motion offered to reduce some aeronautics and capital appropriations and to reduce two full-time positions failed on a committee roll call. The committee returned to the original motion and approved the larger package.

Committee debate and context

Analysts from the Legislative Services Office described the ITD budget as “complicated,” noting it combines state, federal and local sources and that the requested equipment funding is largely driven by heavy equipment replacement (backhoes, loaders, snowplows). Lawmakers debated the need for highway safety campaigns, the continuing use of CARES Act money for transit, and the appropriate size of general‑fund transfers to support transportation. Some members said the transfers reflect a shift away from a historical preference for funding ITD exclusively from dedicated sources; others pointed to fuel tax erosion by inflation as a driver of the change.

Votes at a glance (selected motions)

- Transportation Services Division (capital facilities/aeronautics reappropriations): Motion passed — Senate 8 aye, 2 nay; House 7 aye, 3 nay; outcome: passed (due pass recommendation). - Highway Operations package (equipment, targeted CEC, public transit, etc.): Motion passed — Senate 6 aye, 4 nay; House 7 aye, 3 nay; outcome: passed. - FY2025 Public transit supplemental ($5,000,000 State Highway Federal Fund): Passed unanimously, total 20 ayes. - Metropolitan planning supplemental ($500,000 State Highway Federal Fund): Passed unanimously, total 20 ayes. - Contract construction/ROW FY2026 (federal + dedicated reappropriation authority): Passed — Senate 9 aye, 1 nay; House 10 aye, 0 nay; outcome: passed. - Transfer $275,000,000 general fund to transportation dedicated funds: Passed — Senate 8 aye, 2 nay; House 10 aye, 0 nay; outcome: passed.

Clarifying details

- Aeronautics: governor’s initiative — $10,000,000 from state aeronautics dedicated fund for grants and equipment (motion text). - Capital Facilities: $9,600,000 one-time from State Highway Dedicated Fund for State Street headquarters renovations (motion text). - Highway Operations replacement items: $55,613,000 requested for heavy equipment replacement (motion text). - Contract construction/ROW reappropriation: committee authorized reappropriation authority not to exceed $300,000,000 for construction projects (motion text).

Proper names and entities

Idaho Transportation Department; State Highway Dedicated Fund; State Aeronautics Dedicated Fund; Office of Information Technology Services (OITS); Linder (Linder/Linder Road) widening (Boise area); Metropolitan Planning Organizations (MPOs); Governor’s initiative (aeronautics).

Meeting context

Discussion was vigorous and included several substitute motions. Analysts answered multiple requests for equipment lists and clarifications about CARES Act pass-throughs to local transit agencies. Members noted the multi-source nature of the ITD budget and the difficulty of comparing year-to-year appropriations because prior-year figures included large one-time allocations.

Ending

The committee’s approvals give ITD authority to proceed with several large projects and reallocations, while leaving unresolved the underlying policy choices about future transportation revenue sources, a conversation members signaled will continue in subsequent sessions.