HB 129: Fixing the (public) Land Bank — 2025
ICL's position: Support
Current Bill Status: House Committee
Issue Areas: Idaho Department of Lands, Public Lands, State Issues
Reps. Ilana Rubel (D-Boise), John Vander Woude (R-Nampa) and Mark Sauter (R-Sandpoint) introduced House Bill 129 to extend the timeframe for the Idaho Land Board to use funds generated from the sale of state public lands, known as Endowment Lands. Currently, when state lands are sold (most revenue has come from the sale of cabin sites on Priest and Payette Lakes) the Idaho Land Board has five years to purchase new lands, if the monies aren’t spent, the funds automatically are transferred to the Permanent Fund, which is made up of stocks, bonds, and other investments on Wall Street.
Under HB 129, the five-year period would be extended to 10 years. This extension would enable the Land Board, which is made up of the Governor, Secretary of State, Attorney General, Schools Superintendent and Controller, to identify revenue-generating lands that can provide returns for endowment beneficiaries, including public schools, universities, and state hospitals. If at the end of the tenth year, the proceeds from the land sales have not used to acquire other lands within the state, the proceeds would be deposited in the Permanent Fund.
Over the past 10 years, $133 million of land sale proceeds have been transferred to Wall Street, while $100 million has been used to acquire new lands. While the Land Board and the Idaho Department of Lands have been seeking other lands to purchase, the volatility of the real estate market has delayed acquisition. If HB 129 fails to pass, $8.2 million would be transferred to Wall Street in 2025, and $26.9 million would be transferred in the ensuing fiscal year.