Capitol Notes Week Five

Hello {{CFirstName}},

This week and next at the Statehouse are what we call “Dump Week”, as the first procedural deadlines to print bills approach. With more than 100 bills printed, the sheer volume of legislation impacting school boards, administrators, and classroom operations is significant. In addition, JFAC adopted the “maintenance” budgets for FY2027, including significant cuts to state agencies. The Public Schools budget was adopted as expected, though they have modified the Health Insurance Discretionary to be 14.5% for those on the state plan, and 10.5% for schools and districts not on the state plan. The cuts to IDLA and virtual schools will come later in “enhancement” budgets.

Don’t get overwhelmed. There are a lot more bills in this newsletter than we have had so far this session, and there are even more that we didn’t include this week. To help navigate all the chaos, we have categorized these bills by their direct impact on your district or charter operations and budgets. The Bill Tracker will include all bills we’re monitoring for their impacts on public schools. As always, reach out to our team if you need specific support or have questions.

High Impact Legislation

HB 622: IDLA Funding Reduction

Following the Governor’s directive for a $10 million budget cut (approx. 40% of IDLA’s budget), this bill shifts financial responsibility from the state to local districts and charters.

Funding Cut: Reduces state distribution from $445 to $427 per enrollment.
Enrollment Caps: Students are capped at 3 state-funded courses per year (excludes summer/credit recovery).
Local Risk: If a student exceeds the cap or doesn't qualify (e.g., K-5 students, homeschool or private school, or those in virtual schools), districts or charters must cover the fees to maintain a free public education as per the Idaho Constitution.
Urban Impacts: School districts in cities or towns above 50,000 residents would no longer be able to use IDLA for “custom sections.”
Status: Awaiting hearing in House Education.

HB 601: Government Unions

This bill severs administrative ties between districts and local unions, prohibiting any taxpayer-funded support. ISBA is opposed because the civil penalty for union violations falls onto the school district.

The Mandate: Prohibition of using payroll systems for dues or school email/mailboxes or facilities for union business, or for providing “association” leave to employees unless the district is compensated for such leave.
Invoicing: Districts must invoice unions for pro rata value of of staff time spent on representation (negotiations, grievances, etc.).
Action Item: Boards should review Master Labor Agreements (MLAs) for any "indirect" subsidies (office space, email access) that would be rendered void.
Status: Awaiting a hearing in House Commerce and Human Resources

HB 625: Public Records, Filing Complaints

Impact: Creates a fast-track judicial process for denied public records. Judges must decide within 14 days. Boards must have "legal reasoning" ready at the moment of denial, as no new discovery or witnesses are allowed in this fast-track process. Boards are allowed to consult legal counsel, but no oral arguments are permitted.
Status: Awaiting a hearing in House Local Government

HB 572: Pediatric Secretive Transitions Parental Rights Act

This mandates proactive reporting regarding a student's gender identity. Schools should monitor this legislation as it will require careful compliance due to the severity of the statutory damages. It should be noted there are claims from sponsors that Idaho schools are “assisting” in gender transitions of students, which ISBA vehemently refutes.

The Mandate: Staff cannot withhold information regarding a child’s "expressed interest" in a social transition, including name, pronouns, mannerisms, or appearance.
Consent: Districts/charters cannot use a student’s preferred name/pronouns without express written parental consent. There are already laws on the books that cover this provision, however, under the current law, the primary "teeth" of the law are that a district can't discipline a teacher for refusing to use preferred pronouns, and parents could theoretically sue for a violation of parental rights.
Penalties: Establishes a "private right of action" with minimum statutory damages of $50,000 per violation as well as attorney general penalties of up to $100,000.
Status: Reported Printed, referred to Judiciary Rules and Administration

Student Impact Policy

HB 623: Mandatory Moment of Silence

Mandate: Requires all public schools to provide a daily period of silence (minimum 60 seconds) at the beginning of the school day.
Rule: Teachers cannot instruct students on what to do during this time; students may pray, meditate, or reflect silently.
Status: Awaiting a hearing in House Education

HB 656: Immigration Status Collection

Requirement: Would require schools to collect and report information on the specific immigration status of students to the State Board of Education. (Note: This is facing significant legal scrutiny regarding federal privacy laws and Plyler v. Doe).

This Week's Legislative Wins

The Bill	The Win	Current Status
H515	PASSED the House and Senate Committee. Updates reporting requirements for serious bullying and harassment incidents.	Senate Floor
HJR7	DEFEATED. Failed to meet the 2/3 supermajority needed to repeal the "Blaine Amendment."	Dead for the session.
HJM11	Advancing. Demands the federal government fulfill its 40% funding promise for Special Ed.	Passed 40-28
S1281	Introduced. Proposes a 4-5% "hold back" on the private school tax credit to match K-12 cuts.	In Local Government & Taxation Education.
HB624	Negotiated sideboards to virtual education programs	House Floor

Video Update: HJM11

ISBA Bill Tracker

As bills get published this year, we will share information about them weekly through our Capitol Notes Legislative Newsletter and the ISBA Bill Tracker. You can also click here to visit our Advocacy webpage, where you can find old Capitol Notes, the online bill tracker, advocacy documents, and more.