Amends existing law to revise provisions regarding the Commission on Hispanic Affairs.

LEGISLATURE OF THE STATE OF IDAHO Sixty-eighth Legislature Second Regular Session - 2026 IN THE HOUSE OF REPRESENTATIVES HOUSE BILL NO. 840 BY REVENUE AND TAXATION COMMITTEE AN ACT1 RELATING TO STATE AFFAIRS; AMENDING SECTION 67-7201, IDAHO CODE, TO REMOVE2 OBSOLETE PROVISIONS; AMENDING SECTION 63-2552A, IDAHO CODE, TO RE-3 VISE PROVISIONS REGARDING ADDITIONAL TAXES IMPOSED; AMENDING SECTION4 63-3029A, IDAHO CODE, TO REMOVE OBSOLETE LANGUAGE AND TO MAKE TECHNICAL5 CORRECTIONS; AND DECLARING AN EMERGENCY AND PROVIDING EFFECTIVE DATES.6

Be It Enacted by the Legislature of the State of Idaho:7

SECTION 1. That Section 67-7201, Idaho Code, be, and the same is hereby8 amended to read as follows:9 67-7201. COMMISSION CREATED -- APPOINTMENT OF MEMBERS. There is10 hereby created the Idaho Commission on Hispanic Affairs, hereafter referred11 to as the commission. The commission shall consist of nine (9) members,12 two (2) to be appointed by the president pro tempore of the senate from the13 members of the senate; two (2) to be appointed by the speaker of the house of14 representatives from the members of the house; and five (5) public members15 to be selected from the Hispanic community who reside in and represent the16 various geographical areas of the state which contain a significant Hispanic17 population. The five (5) public members shall be appointed by the governor.18 Of the five (5) public members first to be appointed, two (2) shall be ap-19 pointed for a term of one (1) year, two (2) shall be appointed for a term of20 two (2) years and one (1) shall be appointed for a term of three (3) years.21 The governor shall specify the term of each public member when making the22 initial appointments. All initial appointments shall commence on July 1,23 1987. All subsequent terms shall be for three (3) years. Vacancies shall be24 filled in the same manner as the original appointments and for the balance of25 the unexpired term.26

SECTION 2. That Section 63-2552A, Idaho Code, be, and the same is hereby27 amended to read as follows:28 63-2552A. ADDITIONAL TAX IMPOSED -- RATE. (1) In addition to the tax29 imposed in section 63-2552, Idaho Code, there is levied and there shall be30 collected an additional tax upon the sale, use, consumption, handling, or31 distribution of all tobacco products in this state at the rate of five per-32 cent (5%) of the wholesale sales price of such tobacco products; provided,33 however, that the combined tax on a cigar imposed by this section and section34 63-2552, Idaho Code, shall not exceed fifty cents ($0.50) per cigar. Such35 tax shall be imposed at the time the distributor:36 (a) Brings, or causes to be brought, into this state from without the37 state tobacco products for sale;38 (b) Makes, manufactures, or fabricates tobacco products in this state39 for sale in this state; or40

2 (c) Ships or transports tobacco products to retailers in this state to1 be sold by those retailers.2 (2) Fifty percent (50%) of the tax collected pursuant to this section3 shall be subject to appropriation to the public school income fund to be uti-4 lized to develop and implement school safety improvements and to facilitate5 and provide substance abuse prevention programs in the public school sys-6 tem and the Idaho bureau of educational services for the deaf and the blind,7 less two hundred thousand dollars ($200,000) that shall be remitted annually8 to the Idaho state police to increase toxicology lab capacity in the bureau9 of forensic services for drug testing of juveniles, and less eighty thou-10 sand dollars ($80,000) that shall be remitted to the commission on Hispanic11 affairs to be used for substance abuse prevention efforts in collaboration12 with the state department of education. Fifty percent (50%) of the tax col-13 lected pursuant to this section shall be subject to appropriation to the de-14 partment of juvenile corrections for distribution quarterly to the counties15 to be utilized for county juvenile probation services, based on the percent-16 age the population of the county bears to the population of the state as a17 whole. The moneys remitted to the Idaho state police shall be reviewed an-18 nually and any money in excess to the operations needs of the laboratory for19 juvenile drug testing will be deposited in the public school income fund for20 substance abuse prevention programs in the public school system. The labo-21 ratory may utilize this increased toxicology capacity for adult drug testing22 to the extent that timely testing for juveniles is not adversely impacted.23

SECTION 3. That Section 63-3029A, Idaho Code, be, and the same is hereby24 amended to read as follows:25 63-3029A. INCOME TAX CREDIT FOR CHARITABLE CONTRIBUTIONS -- LIMITA-26 TION. At the election of the taxpayer, there shall be allowed, subject to27 the applicable limitations provided herein, as a credit against the income28 tax imposed by chapter 30, title 63, Idaho Code, an amount equal to fifty29 percent (50%) of the aggregate amount of charitable contributions made by30 such taxpayer during the year to a nonprofit corporation, fund, foundation,31 trust, or association organized and operated exclusively for the benefit32 of institutions of higher learning located within the state of Idaho, in-33 cluding a university-related research park, to nonprofit private or public34 institutions of elementary, secondary, or higher education or their founda-35 tions located within the state of Idaho, to Idaho education public broadcast36 system foundations within the state of Idaho, to the Idaho state historical37 society or its foundation, to the council for the deaf and hard of hearing,38 to the developmental disabilities council, to the commission for the blind39 and visually impaired, to the commission on Hispanic affairs, to the state40 independent living council, to the Idaho commission for libraries and to41 public libraries or their foundations and library districts or their foun-42 dations located within the state of Idaho, to the Idaho STEM action center,43 to nonprofit public or private museums or their foundations located within44 the state of Idaho, to residency programs accredited by the accreditation45 council for graduate medical education or the American osteopathic associa-46 tion or their designated nonprofit support organizations based in Idaho and47 devoted to training residents in Idaho and to dedicated accounts within the48 Idaho community foundation inc. that exclusively support the charitable49

3 purposes otherwise qualifying for the tax credit authorized under the pro-1 visions of this section.2 (1) In the case of a taxpayer other than a corporation, the amount al-3 lowable as a credit under this section for any taxable year shall not exceed4 fifty percent (50%) of such taxpayer's total income tax liability imposed by5 section 63-3024, Idaho Code, for the year, or five hundred dollars ($500),6 whichever is less.7 (2) In the case of a corporation, the amount allowable as a credit un-8 der this section for any taxable year shall not exceed ten percent (10%) of9 such corporation's total income or franchise tax liability imposed by sec-10 tions 63-3025 and 63-3025A, Idaho Code, for the year, or five thousand dol-11 lars ($5,000), whichever is less.12 For the purposes of this section, "contribution" means monetary dona-13 tions reduced by the value of any benefit received in return such as food, en-14 tertainment, or merchandise.15 For the purposes of this section, "institution of higher learning"16 means only an educational institution located within this state meeting all17 of the following requirements:18 (a) It maintains a regular faculty and curriculum and has a regularly19 enrolled body of students in attendance at the place where its educa-20 tional activities are carried on.21 (b) It regularly offers education above the twelfth grade.22 (c) It is accredited by the northwest commission on colleges and uni-23 versities.24 For the purposes of this section, a "nonprofit institution of secondary25 or higher education" means a private nonprofit secondary or higher educa-26 tional institution located within the state of Idaho, which is accredited27 by the northwest commission on colleges and universities, or accredited by28 a body approved by the state board of education. A nonprofit private insti-29 tution of elementary education means a private nonprofit elementary educa-30 tional institution located within the state of Idaho and accredited by the31 state board of education pursuant to section 33-119, Idaho Code.32 For the purposes of this section, a nonprofit corporation, fund, foun-33 dation, trust, or association that invests contributions in an endowment or34 otherwise shall be subject to the standards of care imposed under section35 33-5003, Idaho Code.36

SECTION 4. An emergency existing therefor, which emergency is hereby37 declared to exist, Section 1 of this act shall be in full force and effect on38 and after July 1, 2026, and Sections 2 and 3 of this act shall be in full force39 and effect on and after July 1, 2028.40