Legislative Session Extended with Important Legislation & Budget Updates

Why this matters: The Idaho Legislature is currently passing the 2026 State Budget which could impact many programs.

​Call to action: Let us know if there are budget items you are following that we can help track for you.

​The Idaho Legislative session has been extended due to complications surrounding the State’s 2026 budget process. ​

The Joint Finance-Appropriations Committee (JFAC), responsible for setting the state’s budget, focused on finalizing the remaining state agency budgets, including those for the Idaho State Historical Society and other state offices. The budget-setting process is expected to continue this week as the Idaho Legislature nears its conclusion.

​Medicaid Reform Bill signed by Governor & its impacts

The Medicaid Expansion Reform Bill will impact healthcare access around Idaho, impacting healthcare for nonprofit organizations and the populations they serve.

House Bill 345, signed by Governor Little, introduces sweeping changes to Idaho’s Medicaid program, including a shift to third-party managed care organizations (MCOs) for program administration. The bill mandates that work requirements be added for Medicaid expansion participants as well as the introduction of premiums and co-pays.
This bill marks a significant shift in how Medicaid is managed in Idaho, with potential impacts on accessibility and coverage for vulnerable populations that nonprofits in Idaho serve.

Idaho Nonprofit Hospital Property Tax Exemption Bill

Why this matters: The Medicaid Expansion Reform Bill will impact healthcare access around Idaho, impacting healthcare for nonprofit organizations and the populations they serve.

House Bill 345, signed by Governor Little, introduces sweeping changes to Idaho’s Medicaid program, including a shift to third-party managed care organizations (MCOs) for program administration. The bill mandates that work requirements be added for Medicaid expansion participants as well as the introduction of premiums and co-pays.
This bill marks a significant shift in how Medicaid is managed in Idaho, with potential impacts on accessibility and coverage for vulnerable populations that nonprofits in Idaho serve.

Other Important Idaho Legislation to Watch

Child Care Deregulation Bill (House Bill 243a)

Now on its way to the Governor’s desk, this bill loosens state-set minimum child-to-staff ratios. Many childcare advocates remain concerned about potential risks to children’s safety, as Idaho already has some of the loosest child-to-staff ratios in the nation. 

Homeless & Homeless Shelter Regulation Bill (Senate Bill 1166)

According to the Idaho nonprofit Interfaith Sanctuary, Senate Bill 1166, will not be heard again. The bill aims to impose significant restrictions on homeless shelters in cities with populations over 100,000 and new shelters would be prohibited from operating within 300 feet of residential properties. ​

While existing shelters can continue to operate, they would be unable to expand if updates violate the new distance rule. This bill could severely limit the options for nonprofits trying to address the growing homelessness crisis.

Idaho State Budget Legislation Updates

S1108, S1160, S1165: Includes a number of line items of nonprofit funding interest.

S1109: Includes crime victims funding that flows to domestic violence shelters.

S1110, S1178: Includes funding that flows to nonprofits providing senior citizen services; Includes commission on the arts funding that flows to nonprofit arts organizations, including the STEM Action Center which provides grants to nonprofit education groups, workforce development council funding which support programs that strengthen the nonprofit workforce, and additional ARPA funding for area agencies on aging programs run by nonprofits.

Looking for another one? Let us know if there are budget items you are following that we can help track for you.

​GOOD NEWS: Idaho Legislators Show Support for Rep. Brooke Green & Breast Cancer Awareness

Several Idaho legislators shaved their heads in support of Rep. Brooke Green, who is battling breast cancer and raising awareness for breast cancer screening. Rep. Green, sponsor of House Bill 134, successfully advocated for insurance coverage of supplemental screenings.
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The bill aims to improve early detection and access to life-saving care. Legislators from both parties participated in the head shave event, symbolizing their unity and commitment to addressing the breast cancer crisis in Idaho. The law will take effect in January 2026.