This bill amends Chapter 37, Title 33 of the Idaho Code by adding a new section, 33-3717D, which establishes limitations on scholarships awarded to student athletes at public institutions of higher education in Idaho. The bill defines key terms such as "Idaho resident," "intercollegiate athletics," "scholarship," "student athlete," and "United States resident." It mandates that the state board of education create rules, subject to legislative approval, to prioritize Idaho residents for scholarships and sets specific caps on the number of scholarships that can be awarded to non-United States residents. Specifically, no more than 10% of scholarships can go to non-residents in a given academic year, and no more than 50% of any athletic team can consist of scholarship recipients who are not United States residents.

Additionally, the bill stipulates that scholarships awarded to non-resident student athletes prior to July 1, 2026, will not be invalidated and will not count against the established caps for a maximum of four consecutive academic years. The state board of education is also required to report annually to the legislature on compliance with these provisions, detailing the number of scholarships awarded to Idaho residents, United States residents, and non-residents. The act is set to take effect on July 1, 2026, due to an emergency declaration.