Idaho State president vows tighter controls after forensic lab funding probe, outlines FY2026 needs

Idaho State University President Robert Wagner told the Joint Finance‑Appropriations Committee on Jan. 29 that the university will strengthen financial controls and return state funds related to a proposed Eastern Idaho forensic pathology laboratory after an internal review found accountability lapses.

The issue surfaced in late 2023, Wagner said, when ISU discovered its campus would no longer be the preferred host for the pathology facility. Wagner told the committee the university spent a “small portion” of the appropriation on a consultant and that, following a memorandum of understanding, the remaining funds were transferred to the county. Wagner said in retrospect ISU “should have kept those funds” and instituted invoice procedures or other protocols to track legislative funds more closely. Representatives and co‑chairs in the committee thanked Wagner and said the funds will be returned to the state; an audit has been requested and is in process, the committee announced.

The funding‑and‑accountability exchange occurred during Kevin Campbell’s budget overview of Idaho State University. Campbell, a Budget and Policy Analyst with the Legislative Services Office, told the committee ISU has an enrollment of more than 12,000 students, about 1,244 full‑time equivalent positions and a base budget of approximately $171,100,000. He highlighted a technical reporting error in the tuition and fees slide the office presented and said the Legislative Services Office is investigating that discrepancy; he added that ISU has not overdrawn its State Treasury account.

Campbell’s presentation noted that 74.8% of ISU’s expenditures are personnel costs, 21.2% are operating expenditures and 3.9% are capital outlay. The analyst walked the committee through five‑year appropriation and expenditure trends, explaining that “reappropriation” of tuition and fees (authorized because the academic year and budget year are not synchronized) appears as estimated expenditures in the budget book but does not mean the funds are uncommitted.

Wagner told the committee the university will take new steps to improve tracking and accountability for legislative appropriations. “Legislative intent is law and it's incredibly important for us as an institution when those funds come to us that we take full and complete responsibility,” Wagner said. He described actions he has directed to better identify ownership of legislative funds and to establish clearer accountability lines when multiple parties are involved.

Committee members also questioned Wagner about other ISU actions. Wagner described organizational changes made last year to refocus services on student completion. He said the university closed a diversity resource center and a gender resource center (effective Nov. 15) and reassigned the two FTEs: one to student involvement to support student clubs and one to the office of equal opportunity and Title IX, which now reports directly to the president. Wagner said ISU created a “Bengal Success Center” to centralize academic‑success efforts available to students across ISU’s campuses.

Wagner outlined partnership priorities for health‑care workforce development and said ISU will pursue opportunities to work with state agencies, counties and health providers to expand clinical sites and training pathways in Eastern Idaho. He told the committee ISU had expended modest consultant funds related to the pathology lab and that the university will return remaining funds to follow legislative intent.

On budget requests, Campbell summarized ISU’s FY2026 asks: operational capacity enhancement, adjustments to endowment‑fund distributions and enrollment workload adjustments. Campbell reported ISU’s FY2026 request includes operational capacity enhancement in the amounts presented in ISU’s budget submittal (figures shown in ISU materials as $907,300 OCE; $233,700 endowment adjustment; $988,100 enrollment workload adjustment). Campbell cautioned the committee about the technical error in the tuition and fees slide and offered to supply corrected figures to the record.

Context and next steps

Committee leaders announced an audit is under way regarding the forensic pathology lab appropriation and thanked ISU’s leadership for cooperating with staff. Wagner pledged to provide follow‑up information and to return the funds in keeping with legislative intent. Campbell and ISU staff will provide corrected tuition‑fund balances and additional budget detail to the committee as requested.

Speakers quoted in this article spoke during the JFAC hearing on Jan. 29: Kevin Campbell (Budget and Policy Analyst, Legislative Services Office) and Rob Wagner (president, Idaho State University).