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Idaho corrections budget shortfall tied to falling dedicated funds prompts holdback exemption

Joint Senate Finance and House Appropriations Committee · January 26, 2026
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

Analysts told a joint Senate‑House budget panel that declines in the inmate‑labor and probation/parole receipts funds drove DOC’s exemption from the governor’s 3% holdback and forced use of general funds to cover bills that dedicated revenues once paid.

Noah Peterson, a budget policy analyst with the Legislative Services Office, told the Joint Senate Finance and House Appropriations committee that falling cash balances in two dedicated funds prompted the Department of Correction’s exemption from the governor’s proposed 3% holdback. "Those cash balances are really the story," Peterson said, highlighting the inmate labor fund and the probation/parolee receipts fund as key pressures.

Peterson said the inmate labor fund receives revenue from…

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