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JFAC approves payments to resume Idaho rural nursing loan-repayment program after earlier motion fails in Senate
Summary
After an initial motion to implement multiple funding steps for the rural nursing loan repayment program failed in the Senate committee, JFAC approved a one-time FY2025 supplemental payment and an ongoing FY2026 appropriation to resume payments under House Bill 213.
The Joint Finance-Appropriations Committee on March 12 considered multiple actions to fund the rural nursing loan repayment program established in House Bill 213 (2023). An initial motion that would have transferred remaining cash into the dedicated loan repayment fund and set multi-year appropriations failed in the Senate committee and was recorded as failed and to be sent to the Senate for further handling.
Following that, the committee approved two narrower actions to provide cash to get the program operating. First, members approved a one-time supplement of $375,000 from the rural nursing loan repayment fund for FY2025 to enable year-two awards that had not been disbursed because no additional cash had been appropriated. That motion passed on a roll-call that produced a combined committee vote of 12 ayes, 6 nays and 2 absent/excused.
The committee then approved an ongoing FY2026 appropriation of $625,000 from the rural nursing loan repayment fund to allow the program to continue operations during the life of the five-year program; that motion carried by similar roll-call margins and was given a due-pass recommendation.
Supporters said the program was properly authorized by the Legislature and the funding lapse had been inadvertent; several nurses had reported they did not receive expected loan repayments. Opponents raised concerns about redundancy with other scholarship and federal programs that also support rural nursing, and noted the Legislature has options to consolidate or repeal duplicative policy if desired.
Because the program was authorized by statute (H.B. 213), committee members said JFAC is obligated to provide appropriations where policy already exists unless the policy is repealed through the legislative process. The motions instruct the Department of Health and Welfare to use the dedicated fund to make the rural nursing loan repayments in accordance with the statute and the original fiscal design of the program.
