Idaho Employers To Pay The Cost Of Political Infighting

Mar 30, 2017

Credit Emilie Ritter Saunders / Boise State Public Radio

Idaho employers will pay millions of dollars more than necessary in unemployment insurance taxes after a bill that was supposed to lower those costs failed on the final day of the 2017 session.

Officials from the Idaho Department of Labor and Gov. C.L. "Butch" Otter's office had pushed lawmakers to reduce a key component in how Idaho calculates the unemployment insurance tax rate because the fund Idaho uses to pay unemployment benefits has more money in it than needed.

This would have saved employers an estimated $115 million over the next three years.

While the Senate successfully passed the unemployment insurance bill earlier this year, House Majority Leader Mike Moyle added a separate $28 million tax relief plan to it in the final days of the session.

Senate lawmakers then killed the tweaked version on Wednesday.