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 required to form a new community college district if the vote takes place at a general election, and a Democratic attempt to revive the plan in the full House fell short. 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 schools Supt. Tom Luna’s proposed public school budget, which calls for a 7 percent increase in state funding, while the Senate Education Committee recommended additions to that budget including offsetting lost Craig-Wyden funding for rural school districts and upping funding for teacher raises and mentoring programs.
Taxes
With the sales tax now at 6 percent – lawmakers raised it from 5 percent in a special session in August – attention has turned to the fact that Idaho is one of only nine states that fully taxes 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 a targeted grocery tax credit to give a big credit to low-income Idahoans, but lawmakers on the House’s tax committee rejected it in favor of a pricier proposal from Rep. Cliff Bayer, R-Boise, to raise the credit for everyone. That measure passed the House 62-7 but ran into trouble in the Senate tax committee, which decided to put the bill up for amendment. The measure would raise the current $20 annual credit to $50, and for seniors, the credit would double to $70. The cost of the proposal – $47.5 million in lost sales tax revenue – is raising concerns. Meanwhile, the Idaho Association of Commerce and Industry is pushing for phasing out a large property tax on business equipment, which eventually would grant businesses an annual tax break of more than $100 million.
Growth
Idaho’s growing population and changing economy have created pressure on everything from roads to prisons to water use.
Where things stand: The Senate passed legislation to raise the maximum sentence for shooting at an occupied house from five years in prison to 15 years. Lawmakers heard that Idaho’s transportation costs have been skyrocketing, but the revenue source that pays for transportation in Idaho – the 25-cents-a-gallon state gas tax – has been relatively flat for more than a decade. 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 needs are growing in other areas, including prisons, universities and the state police.