Relates to the appropriation to the Department of Health and Welfare for fiscal year 2027.

LEGISLATURE OF THE STATE OF IDAHO Sixty-eighth Legislature Second Regular Session - 2026 IN THE SENATE SENATE BILL NO. 1428 BY FINANCE COMMITTEE AN ACT1 RELATING TO THE APPROPRIATION TO THE DEPARTMENT OF HEALTH AND WELFARE; AP-2 PROPRIATING ADDITIONAL MONEYS TO THE DEPARTMENT OF HEALTH AND WELFARE3 FOR THE DIVISION OF EARLY LEARNING AND DEVELOPMENT FOR FISCAL YEAR 2027;4 APPROPRIATING ADDITIONAL MONEYS TO THE DEPARTMENT OF HEALTH AND WELFARE5 FOR THE DIVISION OF YOUTH SAFETY AND PERMANENCY FOR FISCAL YEAR 2027;6 APPROPRIATING ADDITIONAL MONEYS TO THE DEPARTMENT OF HEALTH AND WELFARE7 FOR THE DIVISION OF FAMILY AND COMMUNITY PARTNERSHIPS FOR FISCAL YEAR8 2027; AUTHORIZING ADDITIONAL FULL-TIME EQUIVALENT POSITIONS; PROVID-9 ING REAPPROPRIATION AUTHORITY FOR THE IDAHO CHILD CARE PROGRAM; REQUIR-10 ING A REPORT FOR THE IDAHO HOME VISITING PROGRAM; DIRECTING THE USE OF11 FUNDS FOR THE IDAHO CHILD CARE PROGRAM FOR PROGRAM CAPACITY; PROVIDING A12 TRANSFER LIMITATION EXEMPTION FOR THE DEPARTMENT OF HEALTH AND WELFARE13 FOR THE DIVISION OF EARLY LEARNING AND DEVELOPMENT; PROVIDING A TRANS-14 FER LIMITATION EXEMPTION FOR THE DEPARTMENT OF HEALTH AND WELFARE DI-15 VISION OF YOUTH SAFETY AND PERMANENCY; PROVIDING A TRANSFER LIMITATION16 EXEMPTION BETWEEN PROGRAMS FOR THE DEPARTMENT OF HEALTH AND WELFARE17 DIVISION OF YOUTH SAFETY AND PERMANENCY AND SOUTHWEST IDAHO TREATMENT18 CENTER PROGRAM FOR FISCAL YEAR 2027; PROVIDING FOR CONDITIONS, LIMI-19 TATIONS, AND RESTRICTIONS; PROVIDING A TRANSFER LIMITATION EXEMPTION20 BETWEEN THE DEPARTMENT OF HEALTH AND WELFARE DIVISION OF YOUTH SAFETY21 AND PERMANENCY AND SOUTHWEST IDAHO TREATMENT CENTER PROGRAM FOR FISCAL22 YEAR 2026; AND DECLARING AN EMERGENCY AND PROVIDING EFFECTIVE DATES.23

Be It Enacted by the Legislature of the State of Idaho:24

SECTION 1. In addition to any other appropriation provided by law,25 there is hereby appropriated to the Department of Health and Welfare for26 the Division of Early Learning and Development the following amounts to be27 expended according to the designated programs and expense classes from the28 listed funds for the period July 1, 2026, through June 30, 2027:29 FOR30 FOR31 FOR FOR TRUSTEE AND PERSONNEL32 OPERATING CAPITAL BENEFIT COSTS33 EXPENDITURES OUTLAY PAYMENTS TOTAL I. EARLY LEARNING AND DEVELOPMENT:34 FROM:35 Cooperative Welfare (General)36 Fund37 $600,000 $600,000 Cooperative Welfare (Federal)38 Fund39 $426,300 $478,600 3,337,900 4,242,800 TOTAL40 $426,300 $478,600 $3,937,900 $4,842,800

2 FOR1 FOR2 FOR FOR TRUSTEE AND PERSONNEL3 OPERATING CAPITAL BENEFIT COSTS4 EXPENDITURES OUTLAY PAYMENTS TOTAL II. IDAHO CHILD CARE PROGRAM:5 FROM:6 Cooperative Welfare (Federal)7 Fund8 $485,500 $18,500 $23,000 $15,473,000 $16,000,000 III. SOUTHWEST IDAHO TREATMENT CENTER:9 FROM:10 Cooperative Welfare (Dedicated)11 Fund12 $14,500 $14,500 Cooperative Welfare (Federal)13 Fund14 5,500 5,500 TOTAL15 $20,000 $20,000 GRAND TOTAL16 $911,800 $497,100 $43,000 $19,410,900 $20,862,800

SECTION 2. In addition to any other appropriation provided by law,17 there is hereby appropriated to the Department of Health and Welfare for the18 Division of Youth Safety and Permanency the following amounts to be expended19 according to the designated programs and expense classes from the listed20 funds for the period July 1, 2026, through June 30, 2027:21 FOR22 FOR23 TRUSTEE AND OPERATING24 BENEFIT EXPENDITURES25 PAYMENTS TOTAL I. YOUTH SAFETY & PERMANENCY:26 FROM:27 Cooperative Welfare (General)28 Fund29 $250,000 $250,000 II. FOSTER & ASSISTANCE PAYMENTS:30 FROM:31 Cooperative Welfare (General)32 Fund33 $431,900 $431,900 GRAND TOTAL34 $250,000 $431,900 $681,900

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SECTION 3. In addition to any other appropriation provided by law,1 there is hereby appropriated to the Department of Health and Welfare for the2 Division of Family and Community Partnerships $180,000 from the Cooperative3 Welfare (Federal) Fund to be expended for operating expenditures for the4 period July 1, 2026, through June 30, 2027, for the purpose of the Kinship5 Navigation Grant.6

SECTION 4. FTP AUTHORIZATION. In addition to any other authorization7 provided by law, the full-time equivalent position authorization provided8 to the Department of Health and Welfare Division of Early Learning and De-9 velopment is hereby increased by eight (8.00) for the period July 1, 2026,10 through June 30, 2027.11

SECTION 5. REAPPROPRIATION AUTHORITY FOR THE IDAHO CHILD CARE PROGRAM.12 There is hereby reappropriated to the Department of Health and Welfare Divi-13 sion of Early Learning and Development any unexpended and unencumbered bal-14 ances appropriated or reappropriated to the Department of Health and Wel-15 fare Division of Early Learning and Development for the Idaho Child Care Pro-16 gram in fiscal year 2026, in an amount not to exceed $14,000,000, to be used17 for nonrecurring expenditures for the period July 1, 2026, through June 30,18 2027. The Office of the State Controller shall confirm the reappropriation19 amount, by fund, expense class, and program, with the Legislative Services20 Office prior to processing the reappropriation authorized herein.21

SECTION 6. REQUIRING A REPORT FOR THE IDAHO HOME VISITING PROGRAM. The22 Department of Health and Welfare shall submit a report to the Joint Finance-23 Appropriations Committee by December 31, 2026, identifying outcomes and re-24 turn on investment for moneys appropriated for the Idaho Home Visiting Pro-25 gram. The format and content of this report will be determined in consul-26 tation with the Budget and Policy Analysis Division of the Legislative Ser-27 vices Office.28

SECTION 7. IDAHO CHILD CARE PROGRAM CAPACITY. (1) Of the amount appro-29 priated or reappropriated for year two of the Idaho Child Care Program Capac-30 ity through the Cooperative Welfare (Federal) Fund, the Department of Health31 and Welfare shall prioritize: executing contracts, programs and grants to32 expand the availability of licensed, license-exempt, and unlicensed home-33 based child care, out-of-school child care programs, or center-based child34 care. No less than $9 million shall be reserved for home-based child care,35 out-of-school child care programs, and underserved children. For the pur-36 poses of this funding, underserved populations are foster children, chil-37 dren with disabilities, infants and toddlers, children needing non-tradi-38 tional hours care, homeless children, and school-aged children. After all39 qualifying providers are approved, the department may make available to all40 child care providers unused funding from the set-aside. The funds shall be41 used to start or expand capacity for such programs and may not be used to sup-42 plant existing costs.43 (2) The director of the Department of Health and Welfare shall not allo-44 cate funds:45 (a) For construction or major renovations as defined in 45 CFR 98.2;46

4 (b) For activities prohibited by 45 CFR 98.56;1 (c) For minor remodeling;2 (d) To a school district;3 (e) To any provider who is currently under investigation by the depart-4 ment, the attorney general, or a county prosecutor for fraud or the mis-5 use of public funds; or6 (f) To any provider who has admitted or was previously found by a court,7 administrative tribunal, jury, or other neutral factfinder to have com-8 mitted fraud or misused public funds.9 (3) For purposes of subsection (2)(e) of this section, a provider shall10 not be deemed to be under investigation solely on the basis of having re-11 ceived a civil investigation demand requesting information, where no subse-12 quent investigative or enforcement action has been taken.13

SECTION 8. TRANSFER LIMITATION EXEMPTION. Notwithstanding any other14 provisions of law to the contrary, the Department of Health and Welfare Di-15 vision of Early Learning and Development may transfer moneys appropriated16 for personnel costs and trustee and benefit payments pursuant to Section17 67-3511, Idaho Code, for the period of July 1, 2026, through June 30, 2027.18

SECTION 9. TRANSFER LIMITATION EXEMPTION. Notwithstanding any other19 provisions of law to the contrary, the Department of Health and Welfare20 Division of Youth Safety and Permanency may transfer moneys appropriated21 for personnel costs and trustee and benefit payments pursuant to Section22 67-3511, Idaho Code, for the period of July 1, 2026, through June 30, 2027.23

SECTION 10. TRANSFER LIMITATION EXEMPTION. Notwithstanding any other24 provisions of law to the contrary, the Department of Health and Welfare Di-25 vision of Youth Safety and Permanency is hereby exempted from the provision26 of Section 67-3511(2), Idaho Code, allowing unlimited transfers into the27 Southwest Idaho Treatment Center Program for all moneys appropriated to the28 division for the period July 1, 2026, through June 30, 2027.29

SECTION 11. CONDITIONS, LIMITATIONS, AND RESTRICTIONS. Appropriations30 made pursuant to this act are subject to the conditions, limitations, and re-31 strictions specified in this act.32

SECTION 12. TRANSFER LIMITATION EXEMPTION. Notwithstanding any other33 provisions of law to the contrary, the Department of Health and Welfare Di-34 vision of Youth Safety and Permanency is hereby exempted from the provision35 of Section 67-3511(2), Idaho Code, allowing unlimited transfers into the36 Southwest Idaho Treatment Center Program for all moneys appropriated to the37 division for the period July 1, 2025, through June 30, 2026.38

SECTION 13. An emergency existing therefor, which emergency is hereby39 declared to exist, Section 12 of this act shall be in full force and effect on40 and after passage and approval, and Sections 1 through 11 of this act shall be41 in full force and effect on and after July 1, 2026.42