Idaho state budget
Energy policy • Public education • School choice • Public pensions • State budget • Ballot measures
|Idaho state budget|
|State Credit Rating:||AA+ (as of May 2012)|
|Current Governor:||Butch Otter|
|GF expenses:||$2.7 billion|
|All funds expenses:||$7.2 billion (FY 2013 estimate)|
|Spending % Change:||7.4%|
|% from Federal Funding:||34.90%|
|Per Capita State Debt:||$9,459|
|Other state budgets|
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- 1 Budget process
- 2 Expenditures
- 3 Revenues
- 4 State budgets by year
- 5 Historical spending
- 6 State debt
- 7 Federal aid to state budget
- 8 Budget transparency
- 9 Accounting principles
- 10 Contact information
- 11 See also
- 12 External links
- 13 References
- A summary of the budget drafting process
- Trends in expenditures and revenues
- Current and past fiscal year budget developments
- Financial transparency measures
Between fiscal year 2009 and fiscal year 2013, Idaho's total expenditures increased by approximately $900 million, from $6.3 billion in 2009 to $7.2 billion in 2013. This represents a 12.5 percent increase, outpacing the cumulative rate of inflation during the same period (9.06 percent, calculated using the Consumer Price Indices for January 2009 and January 2013).
- Budget instructions are sent to state agencies in June of the year preceding the start of the new fiscal year.
- State agencies submit their budget requests to the governor by September.
- The governor submits his or her proposed budget to the Idaho State Legislature five days after the session convenes.
- In March the legislature adopts the budget. A simple majority is required to pass a budget.
In Idaho, the governor has line-item and item veto of appropriations authority.
The legislature is constitutionally required to pass a balanced budget; however, the budget does not have to be balanced in order for the governor to sign it into law.
Although each state executes its budget process differently, the National Association of State Budget Officers (NASBO) breaks down state expenditures into four general categories. This allows for comparisons among the 50 states. NASBO's categories are as follows:
- General fund: "The predominant fund for financing a state’s operations. Revenues are received from broad-based state taxes. However, there are differences in how specific functions are financed from state to state."
- Other funds: "Expenditures from revenue sources that are restricted by law for particular governmental functions or activities. For example, a gasoline tax dedicated to a highway trust fund would appear in the “Other funds” column. For Medicaid, other state funds include provider taxes, fees, donations, assessments, and local funds."
- Federal funds: "Funds received directly from the federal government."
- Bonds: "Expenditures from the sale of bonds, generally for capital projects."
The table below breaks down expenditures for fiscal year 2013 (comparable figures from surrounding states are provided to give additional context). Figures for all columns except "Per capita expenditures" are rendered in millions of dollars (for example, $2,448 translates to $2,448,000,000). Figures in the column labeled "Per capita expenditures" have not been abbreviated.
|Total state expenditures, FY 2013 ($ in millions)|
|State||General fund||Federal funds||Other funds||Bonds||Total||Per capita expenditures**|
| **Per capita figures are calculated by taking the state's total expenditures and dividing by the number of state residents according to United States Census estimates.|
Source: National Association of State Budget Officers
Expenditures by function
State expenditures in Idaho can be further broken down by function (elementary and secondary education, public assistance, etc.). Fiscal year 2012 data is included in the table below (information from neighboring states is provided for additional context). Figures are rendered as percents, indicating the share of the total budget spent per category.
|Expenditures by function, FY 2012 (as percents)|
|State||Elementary and secondary ed.||Higher ed.||Public assistance||Medicaid||Corrections||Transportation||Other|
|Source: National Association of State Budget Officers|
From 2008 to 2012, expenditures on elementary and secondary education, higher education and corrections fell. During the same time period, expenditures on Medicaid and transportation rose by 5.3 percentage points, a 24.2 percent increase in the share of the budget, and 0.5 percentage points, a 4.8 percent increase in the share of the budget, respectively. The table below details changes in expenditures from 2008 to 2012. Figures are rendered as percents, indicating the share of the total budget spent per category.
|Expenditures from 2008 to 2012 (as percents)|
|Year||Elementary and secondary ed.||Higher ed.||Public assistance||Medicaid||Corrections||Transportation||Other|
|Change in %||-2.9%||-0.2%||N/A||5.3%||-0.4%||0.5%||-2.2%|
|Source: National Association of State Budget Officers|
The table below breaks down general fund revenues by source in fiscal year 2013 (comparable figures from surrounding states are also provided to give additional context). Figures for all columns except "Per capita revenue" are rendered in millions of dollars (for example, $2,448 translates to $2,448,000,000). Figures in the column labeled "Per capita revenue" have not been abbreviated.
|Revenue sources in the general fund, FY 2013 ($ in millions)|
|State||Sales tax||Personal income tax||Corporate income tax||Gaming tax||Other taxes and fees||Total||Per capita revenue**|
| **Per capita figures are calculated by taking the state's total revenues and dividing by the number of state residents according to United States Census estimates for 2013.|
Source: National Association of State Budget Officers
The table below details the change in revenue sources in the general fund from 2009 to 2013. Figures for all columns except "Per capita revenue" are rendered in millions of dollars (for example, $2,448 translates to $2,448,000,000). Figures in the column labeled "Per capita revenue" have not been abbreviated.
|Revenue sources in the general fund, Idaho ($ in millions)|
|Year||Sales tax||Personal income tax||Corporate income tax||Gaming tax||Other taxes and fees||Total||Per capita revenue**|
|Change in %||12.72%||12.41%||37.59%||N/A||4.48%||13.55%||8.88%|
| **Per capita figures are calculated by taking the state's total revenues and dividing by the number of state residents according to United States Census estimates.|
Source: National Association of State Budget Officers
State budgets by year
Fiscal year 2014
See budget bill: 2013 Legislative Fiscal Report
|Idaho state budget -- 2014|
|Idaho State Legislature|
|Text:||SB 1174 (The FY 2014 budget is made up of many legislative bills, thus SB 1174 is only a portion of the entire budget.)|
|Introduced:||March 14, 2013|
|State House:||March 28, 2013|
|Vote (lower house):||61-5|
|State Senate:||March 25, 2013|
|Vote (upper house):||34-1|
|Signed:||April 9, 2013|
The state's fiscal year 2014 general fund budget of $2.78 billion passed the Idaho State Legislature in April 2013. That total was an $81 million increase over fiscal year 2013. Funding for elementary and secondary education, along with funding for higher education and other education costs, amounted to over 60 percent of the FY 2014 budget. Though the budget did increase by 2.9 percent over the previous year, many funds were cut for a number of different agencies, including the Department of Labor, the Office of Drug Policy and the Secretary of State's Office.
Fiscal year 2013
- See also: Idaho state budget (2012-2013)
Fiscal year 2012
- See also: Idaho state budget (2011-2012)
Fiscal year 2011
- See also: Idaho state budget (2010-2011)
Fiscal year 2010
- See also: Idaho state budget (2009-2010)
State budget historical spending below was compiled by the National Association of State Budget Officers. Figures reflect the reported "Total Expenditures" in Table 1. Figures for all columns are rendered in millions of dollars (for example, $2,448 translates to $2,448,000,000).
|Historical state budget spending in Idaho ($ in millions)|
|Fiscal year||General Fund||Other funds||Federal funds||Bonds||Budget totals|
|Total||% of Budget||Total||% of Budget||Total||% of Budget||Total||% of Budget|
|General Fund: The predominant fund for financing a state’s operations. Revenues are received from broad-based state taxes. However, there are differences in how specific functions are financed from state to state.|
Other funds: Expenditures from revenue sources that are restricted by law for particular governmental functions or activities. For example, a gasoline tax dedicated to a highway trust fund would appear in the “Other funds” column. For Medicaid, other state funds include provider taxes, fees, donations, assessments, and local funds.
Federal funds: Funds received directly from the federal government.
Bonds: Expenditures from the sale of bonds, generally for capital projects.
According to a January 2014 report by the nonprofit organization State Budget Solutions, Idaho had a state debt of over $15 billion. Its state debt per capita was $9,459. The report revealed that state governments faced a combined $5.1 trillion in debt, 33 percent of annual gross state product. The obligation amounts to $16,178 per capita in the nation. A bulk of the state debt -- 79 percent -- was linked to unfunded public pensions.
|Total state debt in Idaho|
|Total state debt||$15,094,322,000||45|
|Per capita debt||$9,459||44|
|State and other fund expenditures||$3,853,000,000||28|
A 2012 report from the Pew Center on the States noted that Idaho's pension system was funded at 79 percent at the close of fiscal year 2010, just below the 80 percent funding level experts recommend. Consequently, Pew designated the state's pension system as being "in need of improvement."
The funding ratio for the state's pension systems decreased from 104.49 percent in fiscal year 2007 to 84.87 percent in fiscal year 2012, a drop of 19.2 percentage points, or 18.4 percent. Likewise, unfunded liabilities increased from approximately -$500 million in fiscal year 2007 (a surplus) to more than $2 billion in fiscal year 2012.
States sometimes sell general obligation bonds to investors in order to finance large-scale undertakings (e.g., road construction and other public works projects). Credit rating agencies, such as Standard and Poor's, assign grades to states, evaluating their ability to pay the principal and interest on such bonds. Standard and Poor's grades range from AAA, the highest available, to BBB, the lowest. Generally speaking, a higher credit rating indicates lower risk for an investor, which in turn lowers costs for taxpayers.
The table below lists the Standard and Poor's credit rating for Idaho from 2001 to 2012 (grades from surrounding states are provided for additional context).
|S&P credit ratings from 2001 to 2012|
Federal aid to state budget
- See also: Federal aid to budgets in the 50 states
The chart below notes how much of the state’s general revenues come from the federal government. Figures were calculated by dividing each state’s federal intergovernmental revenue into its general revenue. The number in the rightmost column indicates the state's ranking in relation to the rest of the nation (e.g., if "1," the state receives the highest percentage of federal funding in the nation). Figures from neighboring states are included to provide additional context.
State governments receive aid from the federal government to fund a variety of joint programs, such as Medicaid. Federal aid varies considerably from state to state. For example, Mississippi received approximately $7.7 billion in federal aid in 2012, which accounted for more than 45 percent of the state's general revenues. By contrast, Alaska received roughly $2.9 billion in federal aid in 2012, just under 20 percent of the state's general revenues.
|Federal aid to state budgets in 2012|
|State||Federal aid as % of general revenue||Total federal aid||National rank|
According to Recovery.gov, the official government website for the Recovery Accountability and Transparency Board, under the American Recovery and Reinvestment Act, Idaho received $1.6 billion in federal stimulus funding between February 2009 to June 2013.
Idaho also received $104 million from the federal government under H.R. 1586, a $26 billion plan to give states money for Medicaid and education that the president signed into law on August 10, 2010.
The Idaho Constitution provides in Article 3, Section 15 that a bill be read on three days in each legislative chamber previous to the final vote. This provision is dispensable in case of urgency with a two-thirds majority of the members of the house where bill is pending. Final passage of all bills must be read at length.
- See also: Idaho transparency legislation
By a vote of 6-3, the Idaho House Commerce and Human Resources Committee killed a public records bill that proposed that 114 non-government organizations comply to the Public Records Law that participate in the state pension system.
Multi-measure budget transparency profile
The Institute of Government and Public Affairs at the University of Illinois created a multi-measure transparency profile for Idaho, which measured state transparency as of September 2011 using indicators from a range of organizations. These indicators measured both website transparency and other recognized facets of governmental transparency. In addition, IGPA presented four unique indicators of non-transparency based on the observation that transfers or reassignments between general and special funds can obscure the true fiscal condition of a state.
IGPA devised a budget transparency index based on information available from the National Association of State Budget Officers. Idaho tied for 46th in the nation with three other states, earning three out of eight possible points.
|Idaho - IGPA score for budget process, contents and disclosure|
|Budget transparency indicator||Yes or no?|
|"Generally Accepted Accounting Principles" budget|
|Binding revenue forecast|
|Legislative revenue forecast|
|Constitution or statutory tax/spend limitations|
In addition to the individual state profile, IGPA offers a 50-state comparison and profiles for other states.
U.S. PIRG "Following the Money" report
- See also: Following the Money 2014 Report
The U.S. Public Interest Research Group, a consumer-focused nonprofit organization based in Washington, D.C., released its annual report on state transparency websites in April 2014. The report, entitled "Following the Money," measured how transparent and accountable state websites are with regard to state government spending. According to the report, Idaho received a grade of F and a numerical score of 44, indicating that Idaho was "failing" in terms of transparency regarding state spending.
- See also: Idaho government accounting principles
The Legislative Audits Division of the Legislative Services Office, under the direction of the Legislative Council, is charged with the responsibility to audit the State of Idaho’s Comprehensive Annual Financial Report (CAFR) and perform the annual Federal Single Audit required by federal regulations. Their audit reports are published online and can be found here. Don Berg is the Manager of the Legislative Audits Division.
Donna M. Jones has been Idaho Controller since 2007. The Idaho Controller is one of seven statewide elected constitutional officers in the executive branch of the Idaho state government and serves a four-year term. In 1994, a constitutional amendment passed by Idaho voters changed the name of the state auditor to state controller. This amendment granted the state controller the authority to establish statewide internal pre-audit accounting controls to assure state funds are spent properly. The amendment transferred post-audit functions to the Legislative Services Office enabling separation of accounting and after-the-fact auditing operations.
The state controller is the chief fiscal officer of the state of Idaho, responsible for:
- Maintaining all accounting and financial records
- Paying all the state’s bills and employees
- Preparing the state’s annual financial report
- Operating the state’s Computer Service Center
Standard & Poor's boosted the state's credit rating from AA to AA+ in part because of the state's use-of-revenue assumptions that would put the state on more solid financial ground.
Idaho Division of Financial Management
304 N. 8th Street, 3rd Floor
PO Box 83720
Boise, ID 83720-0032
- Idaho government sector lobbying
- Idaho public pensions
- Governor of Idaho
- Idaho State Legislature
- Idaho State Senate
- Idaho House of Representatives
- Idaho Controller
- State Budget Solutions, Idaho
- Idaho Freedom Foundation
- Idaho Division of Financial Management
- Idaho Legislature, Budget Process Information
- Idaho Government spending
- U.S. PIRG, "Report: Transparent & Accountable Budgets," April 8, 2014
- The New York Times, "Battles loom in many states over what to do with budget surpluses," February 3, 2014
- Center on Budget and Policy Priorities, "Policy Basics: The ABCs of State Budgets," February 7, 2013
- Refers to General Fund spending. Typically in state budgets the General Fund is spending that is most directly controlled by state legislators.
- This figure is derived by calculating the percent difference between the prior two years' spending levels according to the National Association of State Budget Officers.
- Bureau of Labor Statistics, "CPI Detailed Report Data for February 2014," accessed April 9, 2014
- InflationData.com, "Cumulative Inflation Calculator," February 28, 2014
- National Conference of State Legislatures "State Experiences with Annual and Biennial Budgeting," updated April 2011
- National Association of State Budget Officers "Budget Processes in the States, Summer 2008," accessed February 21, 2014
- National Association of State Budget Officers "State Expenditure Report, 2011-2013," accessed February 21, 2014
- United States Census Bureau, "Annual Estimates of the Resident Population: April 1, 2010 to July 1, 2013," accessed February 26, 2014
- National Association of State Budget Officers, "State Expenditure Report, 2009-2011," accessed February 24, 2014
- National Association of State Budget Officers, "State Expenditures Report, 2010-2012," accessed February 24, 2014
- National Association of State Budget Officers, "State Expenditure Report, 2009," accessed February 24, 2014
- National Association of State Budget Officers, "State Expenditure Report, 2008," accessed February 24, 2014
- United States Census Bureau, "Vintage 2009: Annual Population Estimates," accessed February 26, 2014
- NPR "What Idaho’s $2.78 Billion Budget Looks Like," accessed August 21, 2013
- "Budget Activities Summary 2013," accessed August 21, 2013
- State Budget Solutions, "State Budget Solutions' Fourth Annual State Debt Report," January 8, 2014
- Washington Examiner, "EXography: Unfunded public employee pensions drive state debts skyward," January 21, 2014
- State Budget Solutions "State Budget Solutions' Fourth Annual State Debt Report," January 8, 2014
- Pew Center on the States, "Widening Gap Update: Idaho," June 18, 2012
- Stateline: The Daily News Service of The Pew Charitable Trusts, "Infographic: S&P State Credit Ratings, 2001-2012," July 13, 2012
- United States Census Bureau, "State Government Finances: 2012," accessed February 24, 2014
- Recovery, "Stimulus Spending by State", February 2014
- Federal Fund Information for States “ARRA FMAP Extension & Education Jobs Fund Totals” Aug. 11, 2010
- Idaho Constitution, "Article 3, Section 15"
- Idaho State Legislature, "House Bill 177," 2009
- Magic Valley Times News, "Idaho House panel kills public records bill," March 18, 2011
- Institute of Government and Public Affairs at University of Illinois, "Home page," accessed February 21, 2014
- Institute of Government and Public Affairs at University of Illinois, "Budget Transparency Profiles - All 50 States," September 2011
- U.S. Public Interest Research Group, "Following the Money 2014 Report," accessed April 15, 2014
- Idaho Legislature, "The Legislative Audits Division," accessed October 20, 2009
- Office of the Idaho State Controller Website, "Duties of the State Controller," accessed October 20, 2009
- State of Indiana, “State Credit Ratings," June 24, 2009
- Dow Jones Newswire, "S&P Upgrades Idaho A Notch On Structural Balance, Pension Management," March 30, 2011