Relates to the maintenance appropriation to Natural Resources for fiscal year 2027.

LEGISLATURE OF THE STATE OF IDAHO
Sixty-eighth Legislature Second Regular Session - 2026
IN THE SENATE
SENATE BILL NO. 1363
BY FINANCE COMMITTEE
AN ACT	1
RELATING TO APPROPRIATIONS TO NATURAL RESOURCES; APPROPRIATING MONEYS TO	2
THE DEPARTMENT OF ENVIRONMENTAL QUALITY, THE DEPARTMENT OF FISH AND	3
GAME, THE ENDOWMENT FUND INVESTMENT BOARD, THE DEPARTMENT OF LANDS,	4
THE DEPARTMENT OF PARKS AND RECREATION, AND THE DEPARTMENT OF WATER	5
RESOURCES FOR FISCAL YEAR 2027; LIMITING THE NUMBER OF AUTHORIZED	6
FULL-TIME EQUIVALENT POSITIONS; PROVIDING REMEDIATION PROJECT RE-	7
PORTING REQUIREMENTS; APPROPRIATING AND TRANSFERRING MONEYS FROM THE	8
WATER POLLUTION CONTROL FUND TO THE ENVIRONMENTAL REMEDIATION (BASIN)	9
FUND; APPROPRIATING AND TRANSFERRING MONEYS FROM THE WATER POLLUTION	10
CONTROL FUND TO THE AGRICULTURAL BEST MANAGEMENT PRACTICES (BMP) FUND;	11
PROVIDING REQUIREMENTS FOR THE USE OF THE WATER POLLUTION CONTROL FUND;	12
PROVIDING REAPPROPRIATION AUTHORITY FOR THE ARPA STATE FISCAL RECOV-	13
ERY FUND; PROVIDING REQUIREMENTS FOR THE USE OF THE ARPA STATE FISCAL	14
RECOVERY FUND; DIRECTING THE USE OF THE GENERAL FUND APPROPRIATION;	15
PROVIDING A CONTINUOUS APPROPRIATION FOR CERTAIN COSTS OF THE ENDOW-	16
MENT FUND INVESTMENT BOARD; PROVIDING FOR THE TRANSFER OF MONEYS FROM	17
EARNINGS RESERVE FUNDS TO INCOME FUNDS; EXEMPTING THE APPROPRIATION FOR	18
THE FOREST AND RANGE FIRE PROTECTION PROGRAM FROM EXPENSE CLASS TRANS-	19
FER LIMITATIONS; PROVIDING REAPPROPRIATION AUTHORITY FOR THE CAPITAL	20
DEVELOPMENT PROGRAM; EXEMPTING THE APPROPRIATION FOR THE DEPARTMENT OF	21
PARKS AND RECREATION FOR OPERATIONS PROGRAM GRANTS FROM EXPENSE CLASS	22
TRANSFER LIMITATIONS; APPROPRIATING AND TRANSFERRING MONEYS FROM THE	23
GENERAL FUND TO THE SECONDARY AQUIFER PLANNING, MANAGEMENT, AND IMPLE-	24
MENTATION FUND; APPROPRIATING AND TRANSFERRING MONEYS FROM THE GENERAL	25
FUND TO THE WATER MANAGEMENT FUND FOR FLOOD MANAGEMENT; APPROPRIATING	26
AND TRANSFERRING MONEYS FROM THE GENERAL FUND TO THE WATER MANAGEMENT	27
FUND FOR WATER PROJECTS; DIRECTING THE USE OF FUNDS FOR WATER MANAGEMENT	28
FUND PROJECTS; PROVIDING FOR ACCOUNTABILITY REPORTS; PROVIDING FOR	29
CONDITIONS, LIMITATIONS, AND RESTRICTIONS; AND DECLARING AN EMERGENCY	30
AND PROVIDING AN EFFECTIVE DATE.	31
Be It Enacted by the Legislature of the State of Idaho:	32
SECTION 1. There is hereby appropriated to Natural Resources the fol-	33
lowing amounts to be expended according to the designated programs and ex-	34
pense classes from the listed funds for the period July 1, 2026, through June	35
30, 2027:	36

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2
FOR	1
FOR	2 FOR FOR TRUSTEE AND
PERSONNEL	3 OPERATING CAPITAL BENEFIT
COSTS	4 EXPENDITURES OUTLAY PAYMENTS TOTAL
I. DEPARTMENT OF ENVIRONMENTAL QUALITY:	5
A. ADMINISTRATION AND SUPPORT SERVICES:	6
FROM:	7
Department of Environmental Quality (General)	8
Fund	9 $3,369,500 $1,825,700 $1,855,800 $7,051,000
Air Quality Permitting	10
Fund	11 232,900 51,600 23,500 308,000
Public Water System Supervision	12
Fund	13 350,300 73,000 74,500 497,800
Environmental Remediation (Box)	14
Fund	15 15,500 10,000 25,500
Environmental Remediation (Basin)	16
Fund	17 20,000 14,400 12,600 47,000
Department of Environmental Quality (Receipts)	18
Fund	19 351,700 111,100 95,900 558,700
Idaho Underground Storage Tank Program	20
Fund	21 59,100 15,900 18,400 93,400
IPDES Program	22
Fund	23 318,000 50,500 58,100 426,600
Bunker Hill Trust	24
Fund	25 4,200 6,800 5,900 16,900
Department of Environmental Quality (Federal)	26
Fund	27 1,680,000 1,211,600 1,180,200 4,071,800
ARPA State Fiscal Recovery	28
Fund	29 4,900 0 0 4,900
TOTAL	30 $6,406,100 $3,370,600 $3,324,900 $13,101,600
B. AIR QUALITY:	31
FROM:	32
Department of Environmental Quality (General)	33
Fund	34 $5,297,200 $213,600 $5,510,800
Air Quality Permitting	35
Fund	36 1,526,800 59,700 1,586,500
Department of Environmental Quality (Receipts)	37
Fund	38 446,400 393,000 $300,000 1,139,400

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3
FOR	1
FOR	2 FOR FOR TRUSTEE AND
PERSONNEL	3 OPERATING CAPITAL BENEFIT
COSTS	4 EXPENDITURES OUTLAY PAYMENTS TOTAL
Department of Environmental Quality (Federal)	5
Fund	6 1,242,600 1,971,200 1,241,400 4,455,200
TOTAL	7 $8,513,000 $2,637,500 $1,541,400 $12,691,900
C. WATER QUALITY:	8
FROM:	9
Department of Environmental Quality (General)	10
Fund	11 $9,937,200 $1,765,500 $488,500 $12,191,200
Public Water System Supervision	12
Fund	13 1,677,800 299,700 1,977,500
Department of Environmental Quality (Receipts)	14
Fund	15 663,900 743,700 1,771,600 3,179,200
IPDES Program	16
Fund	17 1,371,400 196,400 1,567,800
Department of Environmental Quality (Federal)	18
Fund	19 6,542,500 13,440,000 2,333,200 22,315,700
ARPA State Fiscal Recovery	20
Fund	21 32,900 0 0 32,900
TOTAL	22 $20,225,700 $16,445,300 $4,593,300 $41,264,300
D. COEUR D'ALENE BASIN COMMISSION:	23
FROM:	24
Department of Environmental Quality (General)	25
Fund	26 $214,500 $10,200 $224,700
Environmental Remediation (Basin)	27
Fund	28 186,800 15,500 202,300
Department of Environmental Quality (Federal)	29
Fund	30 16,100 0 $50,000 66,100
TOTAL	31 $417,400 $25,700 $50,000 $493,100
E. WASTE MANAGEMENT AND REMEDIATION:	32
FROM:	33
Department of Environmental Quality (General)	34
Fund	35 $3,094,800 $156,200 $94,600 $3,345,600
Environmental Remediation (Box)	36
Fund	37 283,800 97,300 210,500 591,600

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4
FOR	1
FOR	2 FOR FOR TRUSTEE AND
PERSONNEL	3 OPERATING CAPITAL BENEFIT
COSTS	4 EXPENDITURES OUTLAY PAYMENTS TOTAL
Environmental Remediation (Basin)	5
Fund	6 292,900 58,500 280,000 631,400
Department of Environmental Quality (Receipts)	7
Fund	8 1,067,200 1,166,600 51,800 2,285,600
Idaho Underground Storage Tank Program	9
Fund	10 296,800 25,000 321,800
Bunker Hill Trust	11
Fund	12 139,900 4,390,000 375,000 4,904,900
Department of Environmental Quality (Federal)	13
Fund	14 3,183,000 8,242,900 2,500,500 13,926,400
ARPA State Fiscal Recovery	15
Fund	16 13,400 0 0 13,400
TOTAL	17 $8,371,800 $14,136,500 $3,512,400 $26,020,700
F. IDAHO NATIONAL LABORATORY OVERSIGHT:	18
FROM:	19
Department of Environmental Quality (General)	20
Fund	21 $179,100 $8,700 $187,800
Department of Environmental Quality (Federal)	22
Fund	23 1,301,200 1,318,800 $146,900 2,766,900
TOTAL	24 $1,480,300 $1,327,500 $146,900 $2,954,700
DEPARTMENT	25
TOTAL	26 $45,414,300 $37,943,100 $3,324,900 $9,844,000 $96,526,300
II. DEPARTMENT OF FISH AND GAME:	27
A. ADMINISTRATION:	28
FROM:	29
Fish and Game	30
Fund	31 $6,206,600 $5,893,100 $12,099,700
Fish and Game (Other)	32
Fund	33 1,071,600 283,800 1,355,400
Fish and Game Set-Aside	34
Fund	35 31,300 31,300
Fish and Game Set-Aside (Other)	36
Fund	37 22,200 22,200

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5
FOR	1
FOR	2 FOR FOR TRUSTEE AND
PERSONNEL	3 OPERATING CAPITAL BENEFIT
COSTS	4 EXPENDITURES OUTLAY PAYMENTS TOTAL
Expendable Big Game Depredation	5
Fund	6 2,900 2,900
Fish and Game Expendable Trust	7
Fund	8 8,100 8,100
Fish and Game Nonexpendable Trust	9
Fund	10 3,600 3,600
Fish and Game (Federal)	11
Fund	12 4,473,700 5,841,300 10,315,000
TOTAL	13 $11,751,900 $12,086,300 $23,838,200
B. ENFORCEMENT:	14
FROM:	15
Fish and Game	16
Fund	17 $13,500,400 $2,895,600 $16,396,000
Fish and Game (Other)	18
Fund	19 186,000 77,000 263,000
Fish and Game Set-Aside (Other)	20
Fund	21 20,600 20,600
Fish and Game Expendable Trust	22
Fund	23 26,400 26,400
Fish and Game (Federal)	24
Fund	25 2,300 6,700 9,000
TOTAL	26 $13,688,700 $3,026,300 $16,715,000
C. FISHERIES:	27
FROM:	28
Fish and Game	29
Fund	30 $5,223,700 $7,691,400 $12,915,100
Fish and Game (Other)	31
Fund	32 3,655,800 8,333,200 11,989,000
Fish and Game Set-Aside	33
Fund	34 400,700 575,700 976,400
Fish and Game Set-Aside (Other)	35
Fund	36 179,200 165,700 344,900
Fish and Game Expendable Trust	37
Fund	38 36,000 333,000 369,000

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6
FOR	1
FOR	2 FOR FOR TRUSTEE AND
PERSONNEL	3 OPERATING CAPITAL BENEFIT
COSTS	4 EXPENDITURES OUTLAY PAYMENTS TOTAL
Fish and Game Nonexpendable Trust	5
Fund	6 33,200 33,200
Fish and Game (Federal)	7
Fund	8 16,656,500 14,465,100 31,121,600
TOTAL	9 $26,151,900 $31,597,300 $57,749,200
D. WILDLIFE:	10
FROM:	11
Fish and Game	12
Fund	13 $7,881,400 $6,625,600 $174,800 $14,681,800
Fish and Game (Other)	14
Fund	15 632,000 1,054,100 1,686,100
Fish and Game Set-Aside	16
Fund	17 192,200 3,666,000 3,858,200
Fish and Game Set-Aside (Other)	18
Fund	19 1,336,900 325,300 1,662,200
Expendable Big Game Depredation	20
Fund	21 1,800,000 1,800,000
Fish and Game Expendable Trust	22
Fund	23 319,400 896,100 1,215,500
Fish and Game Nonexpendable Trust	24
Fund	25 11,500 2,300 13,800
Fish and Game (Federal)	26
Fund	27 8,218,000 10,546,400 0 18,764,400
TOTAL	28 $18,591,400 $23,115,800 $1,974,800 $43,682,000
E. COMMUNICATIONS:	29
FROM:	30
Fish and Game	31
Fund	32 $2,016,700 $704,800 $2,721,500
Fish and Game (Other)	33
Fund	34 49,600 35,700 85,300
Fish and Game Expendable Trust	35
Fund	36 30,900 89,000 119,900

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7
FOR	1
FOR	2 FOR FOR TRUSTEE AND
PERSONNEL	3 OPERATING CAPITAL BENEFIT
COSTS	4 EXPENDITURES OUTLAY PAYMENTS TOTAL
Fish and Game (Federal)	5
Fund	6 1,908,800 518,600 2,427,400
TOTAL	7 $4,006,000 $1,348,100 $5,354,100
DEPARTMENT	8
TOTAL	9 $74,189,900 $71,173,800 $1,974,800 $147,338,500
III. ENDOWMENT FUND INVESTMENT BOARD:	10
FROM:	11
Miscellaneous Revenue	12
Fund	13 $81,900 $14,500 $96,400
Endowment Earnings Administrative	14
Fund	15 718,600 204,700 923,300
TOTAL	16 $800,500 $219,200 $1,019,700
IV. DEPARTMENT OF LANDS:	17
A. BUSINESS SERVICES:	18
FROM:	19
General	20
Fund	21 $541,600 $415,100 $956,700
Indirect Cost Recovery	22
Fund	23 160,900 129,000 289,900
Department of Lands	24
Fund	25 942,200 671,100 1,613,300
Navigable Waterways	26
Fund	27 1,600 1,600
Endowment Earnings Administrative	28
Fund	29 2,898,400 3,230,300 6,128,700
TOTAL	30 $4,544,700 $4,445,500 $8,990,200
B. FOREST RESOURCES MANAGEMENT:	31
FROM:	32
General	33
Fund	34 $1,138,400 $494,400 $20,000 $1,652,800
Indirect Cost Recovery	35
Fund	36 75,500 324,000 399,500

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8
FOR	1
FOR	2 FOR FOR TRUSTEE AND
PERSONNEL	3 OPERATING CAPITAL BENEFIT
COSTS	4 EXPENDITURES OUTLAY PAYMENTS TOTAL
Department of Lands	5
Fund	6 1,604,500 908,100 2,512,600
Endowment Earnings Administrative	7
Fund	8 388,200 82,900 471,100
Community Forestry	9
Fund	10 20,000 20,000 40,000
Federal Grant	11
Fund	12 1,204,700 3,125,700 5,415,400 9,745,800
TOTAL	13 $4,411,300 $4,955,100 $5,455,400 $14,821,800
C. TRUST LAND MANAGEMENT:	14
FROM:	15
General	16
Fund	17 $153,500 $2,200 $155,700
Department of Lands	18
Fund	19 172,200 279,000 451,200
Endowment Earnings Administrative	20
Fund	21 16,467,900 13,829,300 $50,000 30,347,200
TOTAL	22 $16,793,600 $14,110,500 $50,000 $30,954,100
D. FOREST AND RANGE FIRE PROTECTION:	23
FROM:	24
General	25
Fund	26 $4,860,800 $766,100 $1,660,900 $7,287,800
Department of Lands	27
Fund	28 5,321,800 989,800 956,500 7,268,100
Endowment Earnings Administrative	29
Fund	30 57,500 57,500
Federal Grant	31
Fund	32 826,400 1,305,000 450,000 2,581,400
TOTAL	33 $11,009,000 $3,060,900 $3,124,900 $17,194,800
E. SCALING PRACTICES:	34
FROM:	35
Department of Lands	36
Fund	37 $264,600 $58,200 $322,800

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9
FOR	1
FOR	2 FOR FOR TRUSTEE AND
PERSONNEL	3 OPERATING CAPITAL BENEFIT
COSTS	4 EXPENDITURES OUTLAY PAYMENTS TOTAL
F. MINERALS, PUBLIC TRUST, OIL AND GAS:	5
FROM:	6
General	7
Fund	8 $936,900 $134,000 $1,070,900
Department of Lands	9
Fund	10 571,300 901,900 1,473,200
Oil and Gas Conservation	11
Fund	12 165,900 107,800 273,700
Navigable Waterways	13
Fund	14 1,022,400 443,800 1,466,200
TOTAL	15 $2,696,500 $1,587,500 $4,284,000
DIVISION	16
TOTAL	17 $39,719,700 $28,217,700 $50,000 $8,580,300 $76,567,700
V. DEPARTMENT OF PARKS AND RECREATION -- PARK OPERATIONS PROGRAM:	18
FROM:	19
General	20
Fund	21 $3,217,100 $940,900 $4,158,000
Indirect Cost Recovery	22
Fund	23 325,200 199,600 524,800
Parks and Recreation	24
Fund	25 12,378,000 5,513,200 $420,000 18,311,200
Recreational Fuels	26
Fund	27 719,400 928,500 2,971,800 4,619,700
Parks and Recreation Registration	28
Fund	29 1,520,100 1,351,400 10,350,000 13,221,500
Miscellaneous Revenue	30
Fund	31 19,600 92,100 111,700
Public Recreation Enterprise	32
Fund	33 898,000 1,429,000 2,327,000
Parks and Recreation Expendable Trust	34
Fund	35 610,600 405,600 1,016,200
Federal Grant	36
Fund	37 1,339,500 631,200 4,227,500 6,198,200
TOTAL	38 $21,027,500 $11,491,500 $17,969,300 $50,488,300

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10
FOR	1
FOR	2 FOR FOR TRUSTEE AND
PERSONNEL	3 OPERATING CAPITAL BENEFIT
COSTS	4 EXPENDITURES OUTLAY PAYMENTS TOTAL
VI. DEPARTMENT OF WATER RESOURCES:	5
A. MANAGEMENT AND SUPPORT SERVICES:	6
FROM:	7
General	8
Fund	9 $933,800 $919,700 $1,853,500
Indirect Cost Recovery	10
Fund	11 194,700 198,100 392,800
Water Administration	12
Fund	13 21,800 21,800
Miscellaneous Revenue	14
Fund	15 0 177,400 177,400
TOTAL	16 $1,128,500 $1,317,000 $2,445,500
B. PLANNING AND TECHNICAL SERVICES:	17
FROM:	18
General	19
Fund	20 $4,044,500 $30,823,500 $6,713,400 $41,581,400
Indirect Cost Recovery	21
Fund	22 65,900 65,900
Aquifer Planning and Management	23
Fund	24 1,250,100 457,400 1,707,500
Miscellaneous Revenue	25
Fund	26 164,500 164,500
ARPA State Fiscal Recovery	27
Fund	28 50,000,000 50,000,000
Federal Grant	29
Fund	30 379,700 857,700 0 1,237,400
TOTAL	31 $5,674,300 $32,369,000 $56,713,400 $94,756,700
C. WATER MANAGEMENT:	32
FROM:	33
General	34
Fund	35 $7,482,900 $2,274,300 $9,757,200
Indirect Cost Recovery	36
Fund	37 70,900 70,900

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11
FOR	1
FOR	2 FOR FOR TRUSTEE AND
PERSONNEL	3 OPERATING CAPITAL BENEFIT
COSTS	4 EXPENDITURES OUTLAY PAYMENTS TOTAL
Water Administration	5
Fund	6 1,742,500 235,000 1,977,500
Miscellaneous Revenue	7
Fund	8 1,121,200 320,200 1,441,400
Federal Grant	9
Fund	10 303,900 348,800 652,700
TOTAL	11 $10,650,500 $3,249,200 $13,899,700
D. NORTHERN IDAHO ADJUDICATION:	12
FROM:	13
General	14
Fund	15 $291,800 $196,300 $488,100
Northern Idaho Adjudication	16
Fund	17 97,500 38,700 136,200
TOTAL	18 $389,300 $235,000 $624,300
E. BEAR RIVER BASIN ADJUDICATION:	19
FROM:	20
General	21
Fund	22 $620,900 $162,500 $783,400
Bear River Basin Adjudication	23
Fund	24 97,500 0 97,500
TOTAL	25 $718,400 $162,500 $880,900
DIVISION	26
TOTAL	27 $18,561,000 $37,332,700 $56,713,400 $112,607,100
GRAND TOTAL	28 $199,712,900 $186,378,000 $3,374,900 $95,081,800 $484,547,600
SECTION 2. FTP AUTHORIZATION. In accordance with Section 67-3519,	29
Idaho Code, each of the programs in Natural Resources is authorized no more	30
than the following number of full-time equivalent positions at any point	31
during the period July 1, 2026, through June 30, 2027, unless specifically	32
authorized by the Governor. The Joint Finance-Appropriations Committee	33
will be notified promptly of any increased positions so authorized.	34
Department of Environmental Quality ..........................375.00	35
Department of Fish and Game ...................................550.00	36
Endowment Fund Investment Board ................................4.00	37
Department of Lands ..........................................334.93	38
Department of Parks and Recreation ............................195.80	39

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12
Department of Water Resources ................................171.00	1
SECTION 3. REMEDIATION PROJECT REPORTING REQUIREMENTS. Moneys de-	2
posited into the Environmental Remediation (Basin) Fund shall be used for	3
remediation of the Coeur d'Alene Basin in accordance with the Superfund	4
contract with the Environmental Protection Agency. The Department of En-	5
vironmental Quality shall submit an annual report to the Governor, the	6
Legislature, and the Basin Environmental Improvement Project Commission on	7
the remediation progress and the expenditures involved.	8
SECTION 4. CASH TRANSFER FOR WASTE REMEDIATION. There is hereby ap-	9
propriated to the Department of Environmental Quality and the Office of the	10
State Controller shall transfer $1,500,000 from the Water Pollution Control	11
Fund to the Environmental Remediation (Basin) Fund on July 1, 2026, or as	12
soon thereafter as practicable for the period July 1, 2026, through June 30,	13
2027, to be used for Superfund cleanup projects in the Coeur d'Alene Basin.	14
SECTION 5. CASH TRANSFER FOR AGRICULTURAL BEST MANAGEMENT PRACTICES	15
FUND. There is hereby appropriated to the Department of Environmental Qual-	16
ity and the Office of the State Controller shall transfer $279,000 from the	17
Water Pollution Control Fund to the Agricultural Best Management Practices	18
(BMP) Fund on July 1, 2026, or as soon thereafter as practicable for the pe-	19
riod July 1, 2026, through June 30, 2027.	20
SECTION 6. REQUIREMENTS FOR USE OF THE WATER POLLUTION CONTROL FUND.	21
The appropriation of moneys from the Water Pollution Control Fund in this	22
act for the Department of Environmental Quality shall specifically super-	23
sede the provisions of Section 39-3630, Idaho Code.	24
SECTION 7. REAPPROPRIATION AUTHORITY FOR THE ARPA STATE FISCAL RECOV-	25
ERY FUND. There is hereby reappropriated to the Department of Environmen-	26
tal Quality any unexpended and unencumbered balances appropriated to the De-	27
partment of Environmental Quality from the ARPA State Fiscal Recovery Fund	28
for water infrastructure and remediation projects for fiscal year 2026 from	29
the ARPA State Fiscal Recovery Fund, to be used for nonrecurring expendi-	30
tures related to water infrastructure and remediation projects for the pe-	31
riod July 1, 2026, through June 30, 2027. The Office of the State Controller	32
shall confirm the reappropriation amount, by fund, expense class, and pro-	33
gram, with the Legislative Services Office prior to processing the reappro-	34
priation authorized herein.	35
SECTION 8. REQUIREMENTS FOR USE OF THE ARPA STATE FISCAL RECOVERY FUND.	36
It is the intent of the Legislature to provide no more than $325,000,000	37
of ARPA funding to support construction of drinking water and wastewater	38
projects. Moneys shall be appropriated from the ARPA State Fiscal Recovery	39
Fund for this purpose. The Department of Environmental Quality may use the	40
ARPA State Fiscal Recovery Fund to fund all eligible planning grant requests	41
received consistent with existing processes. The Department of Environmen-	42
tal Quality shall provide ARPA funding in the form of grants for construction	43
of drinking water and wastewater projects using a tiered approach that pro-	44

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13
vides the highest level of grant funding to systems with the greatest level	1
of need but least ability to pay, as determined by factors including size of	2
system (smaller systems rank higher), monthly user rates, median income, and	3
readiness to proceed. The Department of Environmental Quality may consider	4
all projects meeting the intended criteria where costs were incurred after	5
March 3, 2021, and where construction will be completed prior to December	6
31, 2026. This includes funding cost overruns for existing state revolving	7
loan-funded projects currently under construction if they are due to factors	8
such as increased labor and material costs. The Department of Environmental	9
Quality shall provide a written update of recipients to germane legislative	10
committees upon approval by the Board of Environmental Quality. The Depart-	11
ment of Environmental Quality shall submit a report to the Governor and the	12
Legislature detailing progress and expenditures by January 12, 2027.	13
SECTION 9. USE OF GENERAL FUND APPROPRIATION. Notwithstanding the pro-	14
visions of Idaho Code, or any other provision of law to the contrary, the di-	15
rector of the Department of Environmental Quality is prohibited from reduc-	16
ing the allocation of General Fund moneys provided to the Lake Pend Oreille,	17
Pend Oreille River, Priest Lake and Priest River Commission and the Bear Lake	18
Regional Commission for the period July 1, 2026, through June 30, 2027.	19
SECTION 10. CONTINUOUS APPROPRIATION -- ENDOWMENT FUND INVESTMENT	20
BOARD. The Endowment Fund Investment Board is hereby granted continuous	21
appropriation authority for consulting fees, custodial fees, investment	22
manager fees, and other portfolio-related external costs for the period July	23
1, 2026, through June 30, 2027.	24
SECTION 11. TRANSFERS FROM EARNINGS RESERVE FUNDS -- ENDOWMENT FUND	25
INVESTMENT BOARD. For the period July 1, 2026, through June 30, 2027, it is	26
hereby appropriated and the Endowment Fund Investment Board shall trans-	27
fer $117,278,400 as follows: $72,366,000 from the Public School Earnings	28
Reserve Fund to the Public School Income Fund; $2,222,400 from the Agricul-	29
tural College Earnings Reserve Fund to the Agricultural College Endowment	30
Income Fund; $8,113,160 from the Charitable Institutions Earnings Reserve	31
Fund to the Charitable Institutions Endowment Income Fund; $8,494,800 from	32
the Normal School Earnings Reserve Fund to the Normal School Endowment In-	33
come Fund; $3,585,600 from the Penitentiary Earnings Reserve Fund to the	34
Penitentiary Endowment Income Fund; $7,465,200 from the Scientific School	35
Earnings Reserve Fund to the Scientific School Endowment Income Fund;	36
$7,776,000 from the Mental Hospital Earnings Reserve Fund to the Mental	37
Hospital Endowment Income Fund; and $7,255,200 from the University Earnings	38
Reserve Fund to the University Endowment Income Fund.	39
SECTION 12. EXEMPTIONS FROM EXPENSE CLASS TRANSFER LIMITATIONS -- DE-	40
PARTMENT OF LANDS. The Department of Lands is hereby exempted from the pro-	41
visions of Section 67-3511(1) and (3), Idaho Code, allowing unlimited trans-	42
fers between expense classes for all moneys appropriated to the Forest and	43
Range Fire Protection Program for the period July 1, 2026, through June 30,	44
2027. Legislative appropriations shall not be transferred from one fund to	45
another fund unless expressly approved by the Legislature.	46

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14
SECTION 13. REAPPROPRIATION AUTHORITY FOR THE CAPITAL DEVELOPMENT PRO-	1
GRAM -- DEPARTMENT OF PARKS AND RECREATION. There is hereby reappropriated	2
to the Department of Parks and Recreation any unexpended and unencumbered	3
balances appropriated or reappropriated to the Department of Parks and	4
Recreation for the Capital Development Program for fiscal year 2026 to be	5
used for nonrecurring expenditures in the Capital Development Program for	6
the period July 1, 2026, through June 30, 2027. The Office of the State Con-	7
troller shall confirm the reappropriation amount, by fund, expense class,	8
and program, with the Legislative Services Office prior to processing the	9
reappropriation authorized herein.	10
SECTION 14. EXEMPTIONS FROM EXPENSE CLASS TRANSFER LIMITATIONS -- DE-	11
PARTMENT OF PARKS AND RECREATION. Notwithstanding the provisions of Section	12
67-3511(2), Idaho Code, trustee and benefit payments appropriated to the De-	13
partment of Parks and Recreation for grants in the Operations Program may	14
be transferred to capital outlay in the Capital Development Program to re-	15
flect grants awarded to the Department of Parks and Recreation for the period	16
July 1, 2026, through June 30, 2027. Legislative appropriations shall not	17
be transferred from one fund to another fund unless expressly approved by the	18
Legislature.	19
SECTION 15. CASH TRANSFER FOR AQUIFER MANAGEMENT -- DEPARTMENT OF WATER	20
RESOURCES. Of the amount appropriated to the Department of Water Resources	21
in Section 1 of this act for the Planning and Technical Services Program	22
from the General Fund, the Office of the State Controller shall transfer	23
$5,000,000 to the Secondary Aquifer Planning, Management, and Implementa-	24
tion Fund on July 1, 2026, or as soon thereafter as practicable for the period	25
July 1, 2026, through June 30, 2027, to be used for aquifer recharge and man-	26
agement.	27
SECTION 16. CASH TRANSFER FOR THE FLOOD MANAGEMENT PROGRAM -- DEPART-	28
MENT OF WATER RESOURCES. Of the amount appropriated to the Department of	29
Water Resources in Section 1 of this act for the Planning and Technical	30
Services Program from the General Fund, the Office of the State Controller	31
shall transfer $1,000,000 to the Water Management Fund on July 1, 2026, or as	32
soon thereafter as practicable for the period July 1, 2026, through June 30,	33
2027, to be used for hydrologic data collection, monitoring and modeling,	34
flood-damaged stream channel repair, stream channel improvement, flood risk	35
reduction, or flood prevention projects. These moneys shall be administered	36
by the Idaho Water Resource Board through a competitive, matching grant	37
process that prioritizes projects based on the public benefits they provide.	38
SECTION 17. CASH TRANSFER FOR WATER PROJECTS -- DEPARTMENT OF WATER RE-	39
SOURCES. There is hereby appropriated to the Department of Water Resources	40
and the Office of the State Controller shall transfer $30,000,000 from the	41
General Fund to the Water Management Fund on July 1, 2026, or as soon there-	42
after as practicable for the period July 1, 2026, through June 30, 2027, to be	43
used for water projects.	44

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SECTION 18. WATER MANAGEMENT FUND PROJECTS. Of the amount appropriated	1
to the Department of Water Resources in Section 1 of this act, $30,000,000	2
shall be used for water projects pursuant to the following criteria:	3
(1) The Water Resource Board shall use the funds for planning, con-	4
struction, rehabilitation, reconstruction, and improvement of water infra-	5
structure throughout the state. Projects shall prioritize:	6
(a) Aquifer recharge, ground water management, and other projects	7
aimed at sustaining aquifer health and long-term water availability;	8
(b) Development and rehabilitation of water storage and conveyance	9
systems, including reservoirs, diversion structures, pipelines, and	10
canals;	11
(c) Water supply and delivery improvements that enhance efficiency and	12
conservation; and	13
(d) Emergency water infrastructure repairs and upgrades to ensure the	14
resilience of vital water systems.	15
(2) Of the moneys appropriated in a single year, no more than 50% of the	16
funds appropriated in this section may be used within a single board dis-	17
trict, as defined in section 42-1732, Idaho Code, unless there are no com-	18
peting funding applications for water infrastructure projects in other dis-	19
tricts for the current fiscal year.	20
(3) The Department of Water Resources shall provide a report to the	21
Joint Finance-Appropriations Committee, to the relevant germane legisla-	22
tive committees, and to the Budget and Policy Analysis Division of the	23
Legislative Services Office no later than December 5, 2026. This report	24
shall include information required in Section 42-1760(3), Idaho Code, in a	25
format determined in consultation with the Budget and Policy Analysis Divi-	26
sion of the Legislative Services Office.	27
SECTION 19. ACCOUNTABILITY REPORTS. Funds specifically identified in	28
statute or in an appropriation act as intended for a certain purpose may	29
be used only for that purpose. Funds provided in this act are subject to	30
accountability reports and management reviews in accordance with Section	31
67-702, Idaho Code, provided the Legislative Services Office auditor has	32
sufficient resources to conduct those reports. State agencies that are	33
authorized to contract for outside audits shall submit those reports to the	34
Joint Finance-Appropriations Committee when those reports become avail-	35
able.	36
SECTION 20. CONDITIONS, LIMITATIONS, AND RESTRICTIONS. Appropriations	37
made pursuant to this act are subject to the conditions, limitations, and re-	38
strictions specified in this act.	39
SECTION 21. An emergency existing therefor, which emergency is hereby	40
declared to exist, this act shall be in full force and effect on and after	41
July 1, 2026.	42

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