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Bill

H 62

An Act relative to extending certain COVID-19 measures adopted during the state of emergency

194th Legislature (2025-2026)

DHW may partner with the State Tax Commission to share income tax data to speed and improve public assistance fraud investigations while enforcing strict privacy protections.

Signed by the Governor, Chapter 2 of the Acts of 2025
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Bill Summary · H 62

Summary of Idaho H 62 (Public Assistance – Information Exchange with the State Tax Commission)

Overview

  • Bill: House Bill 62 (H 62)
  • Purpose: Amend Idaho law to authorize and regulate the exchange of certain information between the State Tax Commission (STC) and the Department of Health and Welfare (DHW) for public assistance fraud investigations. Establish confidentiality protections and a DHW fraud control program separate from the Medicaid Fraud Control Unit.
  • Status and timing: Reported and signed by the Governor on March 13, 2025; Chapter 61; effective July 1, 2025. Emergency clause declares immediate effect, with full force on July 1, 2025.
  • Primary subjects: Health and Welfare, Public Assistance, Taxation, Income.

Purpose and Intent

The bill authorizes DHW to enter into a written agreement (an MOU) with the State Tax Commission to share state income tax return records and related information for the purpose of investigating suspected fraud in public assistance programs. The overarching goal is to speed up investigations and prosecutions by providing a more complete picture of a household’s income, compared with subpoenas for banking information alone.

Key Provisions

  • Exchange of Information
    • DHW and STC may enter into a written agreement to exchange state income tax return records and related information.
    • Shared information is confidential to the recipient and may be used by DHW solely to determine whether a violation of the fraud provisions has occurred.
    • Information disclosed under this section shall not be made public unless used in a judicial proceeding under Idaho law.
    • Disclosures must comply with applicable privacy laws, including 5 U.S.C. 552a (the Privacy Act) and other relevant state/federal laws.
  • Confidentiality and Use Restrictions
    • Shared information is limited to purposes of detecting or proving fraud related to public assistance.
    • Use, handling, and disclosure are tightly regulated to protect claimant privacy.
  • DHW Fraud Control Program
    • DHW must establish and operate a fraud control program to investigate suspected fraud relating to public assistance benefits (distinct from the Medicaid Fraud Control Unit).
    • The department must establish procedures to coordinate information with prosecuting attorneys to prosecute fraud offenses under the relevant statutes.
  • Relationship to Existing Law
    • The bill references and retains existing fraud penalties under Idaho Code 56-227 for fraudulent acts related to public assistance, including false statements, misrepresentation, or concealing income/resources.
    • Categories of public assistance remain those covered by federal/state law and any future programs funded with public or federal funds.

Fiscal and Administrative Impact

  • Fiscal: The revised fiscal note indicates no direct fiscal impact on DHW; potential monetary recovery from criminal/civil proceedings is possible but not quantified.
  • Implementation: The MOA/MOU with the STC would be the mechanism to share data; the federal/state privacy frameworks govern disclosures.

Affected Parties

  • Primary: Department of Health and Welfare (DHW), State Tax Commission (STC), individuals or entities receiving or applying for public assistance, and public assistance fraud prosecutors.

Timeline and Legislative History

  • Introduced: January 27, 2025
  • Passed through House/Senate as indicated in the Actions log
  • Governor’s signature: March 13, 2025
  • Effective date: July 1, 2025 (emergency clause in effect)

Practical Impact

  • Investigative Efficiency: Access to tax data is intended to reduce time spent collecting income information and improve accuracy in determining eligibility and fraud.
  • Privacy Safeguards: Strong confidentiality rules limit data use and public disclosure.
  • Scope: Applies to public assistance fraud investigations beyond Medicaid-specific fraud, expanding DHW’s investigative authority in collaboration with the STC.

Compiled from official sources — confirm details with the bill’s official record.

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