Amends existing law to authorize the Department of Commerce to use certain tax revenue to fund state institutions of higher education.

LEGISLATURE OF THE STATE OF IDAHO Sixty-eighth Legislature Second Regular Session - 2026 IN THE HOUSE OF REPRESENTATIVES HOUSE BILL NO. 861 BY WAYS AND MEANS COMMITTEE AN ACT1 RELATING TO THE DEPARTMENT OF COMMERCE; AMENDING SECTION 67-4703, IDAHO2 CODE, TO PROVIDE FOR CERTAIN POWERS AND DUTIES OF THE DEPARTMENT OF3 COMMERCE AND TO MAKE TECHNICAL CORRECTIONS; AMENDING SECTION 67-4715,4 IDAHO CODE, TO REVISE PROVISIONS REGARDING THE DUTIES AND POWERS OF5 THE TRAVEL AND CONVENTION INDUSTRY COUNCIL; AMENDING SECTION 67-4717,6 IDAHO CODE, TO REVISE PROVISIONS REGARDING THE REGIONAL AND STATEWIDE7 GRANT PROGRAM; AND DECLARING AN EMERGENCY AND PROVIDING AN EFFECTIVE8 DATE.9

Be It Enacted by the Legislature of the State of Idaho:10

SECTION 1. That Section 67-4703, Idaho Code, be, and the same is hereby11 amended to read as follows:12 67-4703. POWERS AND DUTIES. The department of commerce shall have the13 power and it shall be its duty to engage in advertising the state of Idaho,14 its resources, both developed and undeveloped, its tourist resources and15 attractions, its agricultural, mining, lumbering and manufacturing re-16 sources, its health conditions and advantages, its scenic beauty and its17 other attractions and advantages; and in general either directly, indi-18 rectly or by contract do anything and take any action which will promote19 and advertise the resources and products of the state of Idaho, develop its20 resources and industries, promote tourist travel to and within the state of21 Idaho, and further the welfare and prosperity of its citizens.22 The department shall also have the following duties when it deals with23 promoting economic development and tourism within the state:24 (1) Survey To survey and investigate the social, economic and physi-25 cal resources of the state, including land, water, minerals, facilities for26 power, transportation, communications, recreation, health, education and27 other resources and facilities; endeavor to aid the legislature and the cit-28 izens of the state of Idaho in formulating a program for the development and29 utilization of these resources and facilities, and for balancing our agri-30 cultural, timber and mining economy with industrial capacity. It shall co-31 operate with local and regional agencies within the state. It shall cooper-32 ate with like agencies of other states, with agencies maintained by private33 persons or corporations, and with agencies established or employed by the34 United States to promote the development of the country and the welfare of35 its people.36 (2) To develop and promote a comprehensive international marketing37 plan for Idaho's products.38 (3) To collect and compile reliable data for general dissemination39 which will tend to the development of the state of Idaho by inducing people40 and capital to come within our borders.41

2 (4) Keep To keep accurate records and preserve all data collected by it,1 and from time to time prepare and submit to the governor and the legislature,2 reports, programs, recommendations and plans for the comprehensive, long-3 range development, conservation and use of all the resources of the state of4 Idaho. It shall make such special investigations as to resources, facili-5 ties, and other matters as may be required by the governor or the legisla-6 ture.7 (5) Coordinate To coordinate those activities of local, state, federal8 and private agencies and departments when they deal with the promotion of9 Idaho's economic resources.10 (6) To require and receive from the various executive departments and11 public officials of the state of Idaho such information as may be required by12 the division to enable it to fulfill its functions and carry out the purposes13 of this act.14 (7) Administer To administer and perform any other related functions or15 activities assigned by the governor or the legislature.16 (8) Enter To enter into interagency agreements with other state agen-17 cies in developing economic and community plans and programs.18 (9) Provide To provide technical assistance to other state agencies19 upon request.20 (10) Contract To contract with universities, consultants and other pub-21 lic and private agencies to develop plans and programs.22 (11) Prepare To prepare a comprehensive economic development strategy.23 (12) Petition To petition for and receive moneys such as grants or24 gifts, to be used for state or local planning and economic development activ-25 ities.26 (13) To award grants pursuant to section 67-4717, Idaho Code, including27 to state institutions of higher education as defined in section 67-2332A,28 Idaho Code, for projects or programs that promote economic development or29 tourism within the state.30

SECTION 2. That Section 67-4715, Idaho Code, be, and the same is hereby31 amended to read as follows:32 67-4715. DUTIES AND POWERS OF THE COUNCIL. (1) Consistent with the33 general purposes of this chapter, the council shall advise the department34 upon the establishment of policies to be followed in the accomplishments of35 the purposes of this act.36 (2) In the administration of this act, the council shall have the fol-37 lowing duties, authorities and powers:38 (a) To review and recommend acceptance or denial of local grant re-39 quests submitted by nonprofit groups or organizations and state insti-40 tutions of higher education, for uses consistent with the purposes of41 this act. Such power shall include the right to approve disbursal of42 the department moneys to such nonprofit groups and state institutions43 of higher eduction under the grant program created by section 67-4717,44 Idaho Code.45 (b) To counsel and advise the department on matters concerning the pro-46 motion and marketing of Idaho tourism, including, but not limited to the47 following: (1) the type of promotion, (2) the media source of promo-48

3 tion, (3) market areas for promotion and (4) areas for travel and indus-1 try emphasis.2 (c) To encourage and assist in the coordination of the activities of3 persons, firms, associations, corporations, civic groups and govern-4 mental agencies engaged in publicizing, developing and promoting the5 scenic attractions and tourist advantages of the state.6 (d) To recommend such action as the council deems necessary and advis-7 able in order to stabilize and promote the travel industry and the over-8 all economic development of the state so as to benefit the health and9 welfare of the public.10 (e) To cooperate with any local, state, or national organization or11 agency, whether voluntary or created by the law of any state or by fed-12 eral legislation, engaged in activities similar to the work of the13 council. The council may, through the department, enter into contracts14 and agreements with such organizations or agencies for carrying on a15 joint campaign of research, education and publicity.16 (f) To adopt, rescind, modify and amend all necessary and proper or-17 ders, resolutions and regulations for the procedure and exercise of its18 powers and the performance of duties.19 (g) To keep books, records and accounts of all its activities, which20 books, records and accounts shall be open to inspection and audit. Such21 books shall also be open to the public.22 (h) To report annually its activities and expenditures to the economic23 advisory council created by section 67-4704, Idaho Code.24

SECTION 3. That Section 67-4717, Idaho Code, be, and the same is hereby25 amended to read as follows:26 67-4717. REGIONAL AND STATEWIDE GRANT PROGRAM. (1) There is hereby es-27 tablished within the state of Idaho a travel and convention industry grant28 program. Such program shall be administered jointly by the council and the29 department. The source of funding for the program shall be from the assess-30 ment imposed by section 67-4718, Idaho Code.31 (2) Fifty percent (50%) of all funds derived from this act, less32 one-half (1/2) of the administrative costs, shall be returned to local33 nonprofit organizations having as their primary purpose the promotion of34 travel and conventions within a planning region, to expend for the promotion35 of travel and conventions within their area. Each planning region shall36 be awarded grants totaling an amount equal to the regional proportion of37 one-half (1/2) the total sum raised by the assessment imposed by section38 67-4718, Idaho Code. No allocations to a planning region shall lapse, but39 shall be continuously available for use for promotion purposes within the40 planning region.41 (3) The remaining fifty percent (50%) of all funds derived from this42 act, less one-half (1/2) of the administrative costs, shall be expended by43 the department for the promotion and development of statewide travel and44 convention programs and to fund state institutions of higher education as45 defined in section 67-2332A, Idaho Code, to promote economic development46 within the state. The department shall be counseled and advised in its cre-47 ation and execution of such programs by the council as provided by section48 67-4712, Idaho Code.49

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SECTION 4. An emergency existing therefor, which emergency is hereby1 declared to exist, this act shall be in full force and effect on and after2 July 1, 2026.3