FEDERAL CUTS: Detrimental to Idaho

According to recent data, Idaho is home to approximately 10,993 federal employees. These individuals play critical roles in managing our public lands, ensuring national security, and providing essential services to our communities.

Recently proposed changes by the U.S. House of Representatives, including increasing employee contributions to the Federal Employees Retirement System (FERS) to 4.4% for all employees and shifting the Federal Employees Health Benefits (FEHB) program to a voucher model, would place undue financial burdens on these workers. These benefits cuts would amount to, on average for a federal employee, an effective $25,000 pay cut! Think just for a moment if your company came and told you, “Next year I’m going to need you to keep doing your job and pick up more work due to layoffs, but your take home pay is going to be $25,000 less.”

Such measures not only undermine the financial well-being of our federal workforce but also diminish the attractiveness of federal employment, making it more challenging to recruit and retain talent, particularly in national security positions such as at the Acoustic Research Detachment in Bayview.

These cuts could have detrimental effects on Idaho’s economy. Federal employees contribute significantly to local economies through their spending and by supporting local businesses. Reductions in their income or job losses will lead to decreased economic activity in our communities. Additionally, the bulk of the redirected salary into benefits would become non-taxable and be spent outside of Idaho, resulting in a loss of approximately $250,000,000 in tax base in the state. The tax revenue lost equates to about 30% of the recently signed school choice law.

CHRIS ROETTGEN

Hayden