Idaho to receive $1.25 billion in federal aid; governor fast-tracking health care help

Under the most recent coronavirus aid package approved by Congress on Friday, Idaho is set to receive $1.25 billion in federal aid to help offset the toll on the state’s economy.

“The package will provide critical relief to Idahoans,” Gov. Brad Little said during a Friday news conference.

Little announced several actions, including fast-tracking money to medical providers for the purchase of personal protective equipment for health care workers, ventilators, rapid test kits, lab supplies, hospital beds and other critical needs to battle the health care crisis.

In addition to rushing aid to the medical community, Little also announced changes to help unemployed workers, small businesses and the state budget.

Record low unemployment numbers will flip

Over the last couple of years, Idaho has experienced record-low unemployment rates. Within a matter of weeks, that number flipped to what likely will be record-high unemployment numbers.

“The number of unemployed in Idaho jumped 1,200% in a matter of days,” Little said.

Idaho Department of Labor reported Thursday that workers laid off due to the coronavirus outbreak filed 13,341 new unemployment claims, up 12,310 claims from the previous week.

Little said the state does not yet have fully vetted new unemployment numbers and the federal government is asking states to hold off on issuing preliminary numbers.

“They are not 2.7%,” Little said, referring to the state’s unemployment rate just weeks ago before the virus broke out.

Little issued a proclamation to streamline help for Idahoans who are temporarily unable to work through no fault of their own because of coronavirus-related illness, quarantines, layoffs or work reductions.

Changes include waiving the one-week waiting period to file and making it easier for employees to return to their jobs.

Employers who pay a quarterly unemployment tax will not be charged when employees are laid off due to the coronavirus, which causes the COVID-19 disease.

Additionally, employers and employees will have an additional 14 days to appeal claims decisions beyond the normal 14 days.

Small businesses, too, can get help via low-interest disaster, paycheck protection and other loans along with grants and other aid through the Small Business Administration

State cuts spending, not services

Even though Idaho and other states are getting an influx of federal cash, Little said the state budget “will take a hit from the disruption in our economy.”

“While the impact of the pandemic on state revenue is yet unknown, we must do everything we can to ensure the state is positioned for long-term success,” he said. “I want to assure Idahoans we have a plan to ensure governmental services will continue and we will meet our constitutional requirement for a balanced state budget without having to raise taxes.”

Little ordered all state agencies to cut general fund spending by 1%, which will save approximately $40 million statewide.

The cuts don’t apply to agencies providing “direct support to the state’s coronavirus response.”

Little explained that with schools closed and some state agencies idled by the economy grinding to a halt or the stay-home order, “there are a lot of variable costs that are not accruing.” These savings should help ease spending cuts.

“There are a lot of agencies whose workload for whatever reason has gone down,” Little said, noting that some other agencies, like ones in the health care field, are seeing their workload greatly increase.

Little said cutting services and laying off state employees may not be the best solution in the long run.

“We want to be in the best position when this thing turns back, so we can flip the switch and start to grow.”

Little staying healthy

Since announcing Idaho’s first coronavirus case just two weeks ago, on March 13, Little has been traveling the state, attending numerous meetings and holding regular news conferences.

When asked by a reporter how he’s doing, Little said he’s doing well.

“Believe me, you don’t go into one of these battles without a good team, like I have, and that makes things a lot easier,” he said.

Little said he hasn’t been tested for the virus and he’s practicing social distancing everywhere he goes.

In addition to his physical health, Little said his “mental health and social health” are also doing well “because I’m confident that I’m doing the right thing for the people of Idaho.”

“I’m doing fine,” he said, “but believe me, there’s pressure.”

This story was originally published March 27, 2020 at 3:24 PM.