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Committee approves $900,000 boost for graduate medical education; debate over shifting costs to rural health fund

JFAC (Joint Finance-Appropriations Committee) · March 2, 2026
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Summary

Lawmakers voted to add $900,000 and 2.5 FTEs to the FY2027 health education budget to support 15 new GME residency and fellowship slots; members debated language that would move funding to the Rural Health Transformation Program if those funds become available.

The Joint Finance-Appropriations Committee voted to add $900,000 and 2.5 full-time equivalent positions to the fiscal 2027 health education programs budget to support 15 new graduate medical education (GME) residents and fellowships.

Kevin Campbell, a budget and policy analyst with the legislative services office, outlined the request, which included psychiatry residents at Eastern Idaho Medical Residency, an additional Burley family medicine resident, an OB/GYN fellowship in Pocatello, family medicine residents in Nampa and additional child psychiatry residents placed through the University of Utah medical education program. "You have before you the requested budget for the health education programs," Campbell said.

Senator Galloway moved the package, saying the goal is "to create this pipeline" of physicians who will remain in Idaho. "I'm gonna support doctors in Idaho," he said. Representative Harris seconded the motion.

Senator Cook objected to language that would allow funding to be expended from the Rural Health Transformation Program (RHTP) "if such funds become available," arguing that RHTP dollars should go to smaller rural hospitals and clinics that are operating on thin margins. "Half of our hospitals in rural Idaho are operating at a 1% profit, and half of those are at a negative 1," she said, urging colleagues to reconsider using RHTP funds for residency and fellowship funding.

Other members noted that the RHTP is expected to convene a committee to set priorities and that the disputed language functions as a trigger: if RHTP funds become available before July 1, 2026, the GME slots would be funded from that program rather than the general fund, freeing general funds to support undergraduate medical education seats required by last session’s House Bill 368.

On the roll call, committee majorities in both houses voted in favor of the motion and it carried a pass recommendation. The committee also debated and later approved separate screen language spelling out the conditional shift to RHTP funds after an objection to unanimous consent was withdrawn and the language was put to a vote.

The committee’s action moves the request forward as a pass recommendation to the full budgets process; no final appropriation was made on the floor during this meeting.