Governor Little’s State of The State Proposes “Keeping Promises” Theme

Today, Governor Brad Little delivered the annual State of the State address to kick off the Idaho legislative session. He touted Idaho’s “safe communities, bustling economic activity, increasing incomes, tax relief, fewer regulations, fiscal responsibility, and common-sense values.” He shared this year’s theme, “Keeping Promises.” He reminisced about past promises made to Idahoans for tax relief, including income and property tax cuts and an increased grocery tax rebate, and promised more tax cuts to come with a proposed round of another $100 million in tax cuts.

He shared, “My keeping promises play builds on those investments in schools, the American worker, water, roads, fire, outdoor recreation, and other infrastructure without raising taxes.”

The governor made clear that education funding is still his number one priority. He proposed additional investments in public schools while acknowledging a growing clamor for expanding education options. He proposed $50 million “to expand school choice especially for students with unique physical or developmental conditions.” He emphasized that his support was conditional based on ensuring that accountability and oversight are included and, “it must prioritize the families that need it most and it must not take away funds from public schools.” His Keeping Promises plan includes $150 million for public schools. He hopes to “address gaps in rural school facilities, mental health, school safety, and literacy.”

Governor Little also spoke about natural resources particularly focusing on fire and water. He said, “Our farmers confronted a real problem head on, the long-term decline of water in the aquifer that sustains Idaho agriculture. Our farmers worked hard to secure a new water deal that safeguards Idaho’s water sovereignty.” He went on to thank the farmers, legislators, and Lt. Governor Scott Bedke, for crafting “a new play that maintains control of our water destiny, not other states, not the feds, and not the men and women in robes.” He committed to assist in tackling unfunded water projects to secure water for the future while protecting Idaho agriculture.

Other proposals included in Governor Little’s Keeping Promises plan that may directly impact counties include the following:

Infrastructure

– 3% increase for state and local transportation projects. The recommendation is for the Strategic Initiatives Program that funds Safety and Capacity and Road and Bridge maintenance. The increase ensures a total of $311.8 million will continue to fund critical transportation projects while keeping up with the costs of construction inflation.

– $30 million for critical water infrastructure. The ongoing funding will support Idaho’s main economic driver across the state – agriculture. With hundreds of millions in potential storage capacity projects, aquifer recharge needs, particularly in the Eastern Snake Plain Aquifer, and innovative water efficiency tools, ongoing funding will ensure the Idaho Water Resource Board prioritizes effective recharge projects resulting in reliable water for Idaho Growers.

Justice & Public Safety

– $85,000 for a new North Idaho prosecutor. The new Special Assistant U.S. Attorney will be stationed in Coeur d’Alene and will assist local and state law enforcement in combating drug trafficking along the I-90 corridor and along US 95. The new position adds to ongoing efforts in eastern Idaho and the Treasure Valley to fight drug related crimes in Idaho.

– $500,000 for the continuation of the successful Fentanyl Takes All awareness campaign to fight fentanyl impacts in Idaho.

– Governor Little recommends $37 million in additional funds for the State Public Defenders Office to shore up staffing shortages and ensure a successful transition in public defense from the counties to the State of Idaho following the passage of HB735 in 2022.

Tax Relief

– $100 million in additional tax relief. Governor Little is committed to continuing Idaho’s tradition of cutting taxes and putting money back in the pockets of Idahoans. Whether income tax relief, property tax relief, or grocery tax relief, Governor Little stands committed to the tradition of reducing taxes in times of continued economic prosperity. This priority investment in Governor Little’s FY 2026 budget will bring the cumulative total in tax cuts to $4.7 billion since Governor Little took office.

– $15 million for workforce housing. This investment will continue the successful investments the Legislature greenlit in 2022, which will help increase the supply of affordable homes, addressing Idaho’s housing shortage and making it easier for families to own a home.

Permitting Reforms

In addition to addressing needed permitting reforms to increase housing supply and make the American Dream of owning a home within reach for more Idahoans, the Governor’s Keeping Promises plan recommends:

– $480,000 for Energy and Mining Permitting Reform. The funds will accelerate major energy and mining projects, promoting energy independence, national security, and attracting private investment while reducing unnecessary delays.