Idaho’s public health districts face budget hole
Idaho’s seven public health districts are facing a $1.27 million expense next year due to the 27th pay period on the state payroll, a quirk of the calendar that happens once every 11 years. The districts requested that the state pick up the full cost, including for employees who are funded by non-general fund sources, mainly county funds, grants and fees, but Gov. Butch Otter didn’t recommend funding it; instead, his budget includes only the $227,000 for the 27th payroll period for the general fund portion of the health districts’ budget.
Sen. Dean Mortimer, R-Idaho Falls, asked why not. Jani Revier, Otter’s budget director, said, “The governor did not recommend any of the requests for the 27th payroll fund shift that came in this year,” including from the state’s universities. She said the expense occurs once every 11 years, and everyone knew it was coming; Otter’s budget covers only the general-fund portion. “Our dedicated fund agencies have planned for that expense,” Revier told JFAC.
Maggie Mann, director of the Southeastern Idaho Public Health District, said, “That’s something that we’re really struggling with. It is, in fact, something that happens, as you know, every 11 years. I was not in this position 11 years ago to begin planning, and quite frankly, our budgets have been fairly tight over the last eight years.”
The health districts, she said, can’t make up the money by increasing fees, for various reasons. Among them: Their fees can’t exceed the cost of services; and many are on a sliding scale based on ability to pay – and many of the districts’ clients “slide to zero,” paying nothing. Other fees are set in statute, so only the Legislature can change them; and county commissioners have been reluctant to make sharp increases in fees charged to local businesses. Plus, counties can’t increase their funding to the districts by more than 3 percent a year.
Mann said the health districts have identified more than $2 million in increased costs they’ll face next year, including the 27th payroll period, increases in health insurance costs, and increases in fees for state services, and are struggling to address it. “Even a 3 percent increase from our counties will not then allow us to make up this kind of a hole,” she said. “Some districts are in an OK position and others are not. Some districts are potentially looking at maybe having to make some staffing changes to cover these costs.” She added, “It’s not looking really great. I wish I could paint a fiscal picture for you like the CAT fund did.”
JFAC Co-Chair Rep. Maxine Bell, R-Jerome, responded, “Well, the CAT fund will help you, and help us perhaps.”
