This bill amends Chapter 2, Title 56 of the Idaho Code by adding a new section, 56-276, which establishes provisions for Medicaid for workers with disabilities and home and community-based services. The legislation emphasizes the importance of encouraging work, self-sufficiency, and personal responsibility for individuals with disabilities. It directs the Department of Health and Welfare to identify and evaluate policy options that prioritize continuity for individuals transitioning from the Medicaid for workers with disabilities program, maintain incentives for work and saving, and support community living to reduce unnecessary institutionalization.

The Department is tasked with examining various options, including modifying eligibility limits, asset protections, and alternative income considerations, while also assessing the fiscal impact and administrative feasibility of these options. The bill mandates collaboration with community organizations and input from affected individuals and their families. A report detailing the findings, options, and recommendations is required by December 1, 2026, to be submitted to the health and welfare committees of the Idaho Senate and House of Representatives. An emergency clause is included, allowing the act to take effect immediately upon passage and approval.