Note: This year IFF rated maintenance bills according to a more refined system. This is an enhancement bill, and will be rated as a standalone bill. IFF will only consider enhancement line items in these ratings. This means that FTP reductions passed in maintenance legislation will not be evaluated here, among other things.
Bill Description: Senate Bill 1434 is an enhancement of $3,829,100 and 0.00 full-time positions for the Department of Health and Welfare (DHW) for the Division of Welfare for fiscal year 2027. This legislation appropriates a total of $136,170,800 and 609.50 full-time positions to the agency.
Rating: -1
Is the continuation or growth in ongoing spending, if any, inappropriate for the changes in circumstances, scope of the agency, or current economic environment? Conversely, is the continuation or growth in ongoing spending appropriate given any change in circumstances or economic pressures?
This legislation authorizes an ongoing spending enhancement for the Division of Welfare of $1,868,400. Last year this division did not have an enhancement budget. FY26’s ongoing spending is wrapped into FY27’s base increase, making ongoing spending especially important to scrutinize. Volatility in these increases (or decreases) is to be expected, and makes discernment on the propriety of new spending imperative.
This legislation includes two ongoing enhancements. The first of these is the Medicaid Expansion Work Requirements implementation ($1,868,400 FF). Implementation is expected to reduce the number of medicaid expansion recipients, exceeding the cost of implementation.
(0)
Does this budget incur any wasteful spending among discretionary funds, including new line items? Conversely, does this budget contain any provisions that serve to reduce spending where possible (i.e. base reductions, debt reconciliation, etc.)?
This legislation authorizes onetime spending for the Division of Welfare of $1,960,700. Last year this division did not have an enhancement budget. Onetime spending is often even more volatile than ongoing spending, which is to be expected due to the onetime expenses generally being utilized for projects or capital outlay. This also calls for special scrutiny and discernment.
This ongoing expenditure consists of one enhancement. This is for Medicaid Eligibility System Changes ($1,960,700 FF). While this is an enhancement, its costs are projected to be offset by reductions in ineligible persons being enrolled into medicaid, as well as reductions to fraud.
(0)
Does this budget perpetuate or expand state dependence on federal dollars, thereby violating principles of federalism? Conversely, does this budget actively reduce the amount of federal dollars used to balance this budget?
This legislation shows a decrease in federal enhancements because of the SNAP Federal Rate Adjustment, which changes the cost sharing on administrative costs for SNAP from 50/50 to 75/25, forcing the state to pick up the tab on the general fund to the amount of $4,321,200. While federal money decreased, this shows the perils of relying on the federal government for funds. These are increasingly borrowed as debt and the federal government will eventually force an ever greater share of the cost onto Idaho.
(-1)
