Bill Analyses and Ratings

Rating: –1

Bill Summary:

House Bill 390 appropriates an additional $3,641,000 to the Public Employee Retirement System of Idaho (PERSI) for fiscal year 2026. The funding includes $3,000,000 for operating expenses and $615,600 for capital outlay under the Retirement Administration program, drawn from the PERSI Administrative Fund. An additional $25,400 is allocated to the Portfolio Investment program from the PERSI Special Fund. This bill supplements previously authorized spending and is intended to support ongoing administrative and investment operations within the state’s public employee pension system. It includes an emergency clause and takes effect July 1, 2025.

Reason for Rating:

While framed as a routine budget measure, House Bill 390 increases government spending by over $3.6 million without any explanation of need, measurable outcomes, or cost-saving alternatives. The Idaho Republican Party Platform calls for fiscally responsible budgeting, transparency, and a shift away from bloated public pension structures. The bill heavily funds administrative overhead and continues to support a defined-benefit pension model that diverges from private-sector best practices. It also bypasses conservative budgeting principles such as zero-based budgeting and performance audits. For these reasons, H0390 is rated at –1.