Idaho Code 72-1716 (Premium Reduction Qualification) and 72-1717 (State Construction Contracts) Explained for Employers

Sections 72-1716 and 72-1717 of the Idaho Drug-Free Workplace Act shifts the conversation from legal requirements to financial and contractual advantage. If Boise employers establish and maintain a compliant drug- and alcohol-free workplace program, they may qualify for a 5% workers’ compensation premium reduction. And for those contractors bidding on state construction projects, compliance is not optional but mandatory.

5% Workers’ Compensation Premium Reduction (72-1716)

Under Idaho’s Drug-Free Workplace Act, employers can receive a 5% discount on their workers’ compensation insurance premiums if they establish and maintain a drug- and alcohol-free workplace program that complies with Idaho Code §§72-1701 through 72-1715.

This is not automatic. The program must be fully compliant with the statute. That means having a written testing policy in place, following proper collection and confirmation procedures, ensuring confidential handling of results, establishing defined disciplinary standards, and adhering to all statutory requirements throughout the Act. In other words, partial compliance does not qualify. The program must align with the full legal framework.

For Boise employers, this discount can represent significant annual savings, particularly for industries with higher workers’ compensation classifications such as construction, manufacturing, transportation, and industrial services.

Idaho also allows public entities to qualify for the premium reduction if they test all non-exempt positions in accordance with the law.

State Construction Contracts Require a Compliant Program (72-1717)

For contractors bidding on Idaho state construction projects, the rules are stricter.

Idaho Code 72-1717 requires contractors to maintain a compliant drug-free workplace program if they want to bid on state construction work.

Contractors must maintain a drug and alcohol free workplace program that complies with the Act, and make sure that subcontractors also maintain compliant programs. They also need to submit an affidavit verifying compliance as part of their bid. If the affidavit is missing or inaccurate, the bid may be rejected.

Why This Matters for Boise Employers

Sections 72-1716 and 72-1717 transform drug and alcohol testing from a compliance exercise into a strategic advantage.

For private employers, compliance can reduce insurance costs.

For public entities, compliance can qualify them for the same discount when testing non-exempt positions.

For construction contractors, compliance determines whether they can even compete for state-funded projects.

This is where many employers discover that having “some testing” is not enough. The program must align with the statute. From policy language to collection standards to documentation.

How Fastest Labs of Boise Helps Employers Qualify and Compete

Fastest Labs of Boise works directly with employers to build and maintain programs that meet Idaho’s statutory requirements.

We support Boise employers with:

• Statute-aligned drug and alcohol testing
• Written policy guidance
• Proper collection and confirmation procedures
• Supervisor training
• Documentation that supports workers’ comp premium qualification
• Program structure that supports state construction bidding requirements
   

If your organization wants the 5% premium reduction or plans to bid on state construction projects, your testing program must meet Idaho’s standards from top to bottom.

We can help you get there:

Fastest Labs of Boise

📞 208-877-8228
🌐 www.fastestlabs.com/boise