The big three

Education

The state Board of Education wants to require more math and science for Idaho high school students to graduate, along with other requirements. Community college expansion is a hot issue this year, with the Boise area pushing for its own campus. Education funding is the largest piece of the state budget, and lawmakers have more say over funding levels now that they’ve shifted basic school operational funding from the property tax to the state budget.

Where things stand: The House Revenue and Taxation Committee rejected legislation backed by Gov. Butch Otter to lower the supermajority to form a new community college district if the vote takes place at a general election. Both the House and Senate education committees voted overwhelmingly in favor of tougher math and science requirements for high school graduation, proposed by the state Board of Education. The House Education Committee voted unanimously to endorse state Superintendent Tom Luna’s proposed public schools budget, which calls for a 7 percent increase in state funding. Both houses’ education chairmen will report to the joint budget committee this week on their budget recommendations.

Taxes

With the sales tax now at 6 percent – lawmakers raised it from 5 percent in August – attention has turned to the fact that Idaho is one of only nine states that fully tax groceries. Many want to either repeal that tax or offset it with an enhanced grocery tax credit. Business interests are pushing for a big tax break on the personal property tax and are hoping to trim back property tax relief granted to homeowners last year.

Where things stand: Otter proposed his own, targeted grocery tax credit to give a big credit to low-income Idahoans, but lawmakers on the House tax committee rejected it in favor of a pricier proposal from Rep. Cliff Bayer, R-Boise, to raise the credit for everyone. That measure then passed the House, 62-7. It would raise the current $20 annual credit to $50, and for seniors, the credit would rise from $35 to $70. The cost of the proposal – $47.5 million in lost sales tax revenue – is raising concerns, however. As the bill moves to the Senate, the Senate’s tax chairman, Brent Hill, R-Rexburg, says he likes it, but the bill might have to be adjusted because of the cost – particularly if lawmakers also want to give businesses a personal property tax break.

Growth

Idaho’s growing population and changing economy have created pressure on everything from roads to prisons to water use.

Where things stand: Lawmakers heard that Idaho’s transportation needs, and their costs, have been skyrocketing, but the revenue that pays for such things in Idaho – the 25 cents-a-gallon state gas tax – has been relatively flat for more than a decade. Transportation officials are calling for huge fee increases and a surcharge on gas, but lawmakers are leery and Otter has made it clear he wants no fee increases enacted this year. An interim committee to study the issue may be formed. Legislative budget writers learned that caseload growth has slowed in the fast-growing Medicaid program, which provides health insurance for the poor and people with disabilities, primarily because of a strong economy. But they also learned that while Otter proposed paying for two nursing education buildings to address a nursing shortage, he didn’t recommend funding for more nursing instructors. He also proposed a new semi-permanent “sprung” structure to house prison inmates, but no new guards. The new state police director said Idaho needs more troopers on the roads.