Emergency energy assistance trust fund.

WORKING DRAFT
2006
STATE OF
WYOMING
06LSO-0243

HOUSE BILL
NO.
HB0121

Emergency energy assistance trust fund.

Sponsored by:

Task Force on Utility and Tax Relief

A BILL

f
or

AN ACT relating to public welfare; creating the emergency energy assistance trust fund; providing for assistance payments for residential heating as specified; imposing conditions upon payments; providing for administration of the program; providing appropriations and for a continuous appropriation; specifying legislative findings; and providing for an effective date.

Be It Enacted by the Legislature of the State of
Wyoming
:

Section 1.

(a)

The legislature finds:

(i)

The average price for natural gas received by producers in
Wyoming
in 2002 was two dollars eleven cents ($2.11) per MCF;

(ii)

That average price received by producers in
Wyoming
increased to approximately seven dollars ($7.00) per MCF for 2005;

(iii)

The state has received extraordinary increases in severance tax revenues as a result of the increased value of natural gas;

(iv)

The state has also received state and federal mineral royalty increases corresponding to the increased value of natural gas over the same period;

(v)

Wyoming
residents have suffered higher heating bills as a result of higher energy commodity prices;

(vi)

Many Wyoming residents fail to qualify for state and federal energy assistance programs based upon income and other guidelines yet through conditions beyond their control are unable to afford the increased heating bills and still maintain an adequate standard of living;

(vii)

When the state coffers are filling at previously unseen rates based upon energy prices which inversely burden residents of the state with high heating bills, the state has a moral obligation, as that term is applied in
State v. Carter
, 30 Wyo. 223 (1923), to ensure that all residents can pay those bills to adequately heat their homes, while still maintaining an adequate standard of living;

(viii)

It is in the public interest to encourage industry and others enjoying high revenues based upon high energy prices to share those revenues in order to provide relief to those suffering as a result of the same high energy prices;

(ix)

The expenditure of public funds under this act will encourage the private sector to share monies with
Wyoming
citizens for the overall public good and is in fulfillment of both a moral obligation of the state and for a public purpose.

Section 2.

W.S. 42
‑
2
‑
501 through 42
‑
2
‑
504 are created to read:

ARTICLE 5
EMERGENCY ENERGY ASSISTANCE

42
‑
2
‑
501.

Definitions.

(a)

As used in this act:

(i)

"Department" means the department of family services created by W.S. 9
‑
2
‑
2101;

(ii)

"Heating bill" means a bill supplied to a residence which is for heating the residence;

(i
ii
)

"Holding account" means the energy assistance trust fund holding account established pursuant to W.S. 42
‑
2
‑
502(b);

(iv)

"Income account" means the energy assistance trust fund income account established pursuant to W.S. 42
‑
2
‑
502(c);

(v)

"Trust fund" means the energy assistance trust fund created by W.S. 42
‑
2
‑
502(a);

(vi)

"This act" means W.S. 42
‑
2
‑
501 through 42
‑
2
‑
504.

42
‑
2
‑
502.

Energy assistance trust fund created; holding account; income account; funding.

(a)

The
Wyoming
energy assistance trust fund is created. The trust fund shall consist of:

(i)

All funds received by the state of
Wyoming
and designated to the trust fund by gift from whatever source;

(ii)

Funds from the holding account deposited pursuant to subsection (b) of this section; and

(iii)

Other funds appropriated to the trust fund.

(b)

A holding account is created to retain appropriations for subsequent transfer to the trust fund in accordance with this act. Earnings on funds within the holding account shall be credited to the holding account. To the extent that funds are available in the holding account, the state treasurer shall match each deposit to the trust fund from nonstate funds made pursuant to paragraph (a)(i) of this section in the previous month by transferring an equivalent amount of funds from the holding account to the trust fund. The transfers from the holding account to the trust fund shall be made monthly.

(c)

Funds deposited to the trust fund are intended to be inviolate and constitute a permanent or perpetual fund which shall be invested by the state treasurer as authorized by law and in a manner to obtain the highest return possible consistent with preservation of the corpus. Any earnings from investment of the corpus of the trust fund shall be credited by the state treasurer into a separate income account. Revenues deposited into the income account are continuously appropriated to the department to be expended only as provided by this act.

(d)

Funds within the income account which are not expended nor obligated shall be transferred to the trust fund on July 1 of each year.

42
‑
2
‑
503.

Emergency energy assistance program; criteria for assistance.

(a)

Funds within the income account shall be expended for emergency energy assistance to
Wyoming
residents for residential heating bills in accordance with the following:

(i)

The household has a currently due or delinquent heating bill which cannot be paid with resources of members of the household while still providing for other living essentials, such as, but not limited to food, clothing and health care;

(ii)

All other sources of state and federal public energy assistance which are available to the household shall have been exhausted;

(iii)

The maximum yearly expenditure under this program shall be determined by the department on a yearly basis, but shall not exceed one thousand dollars ($1,000.00) to any household in any state fiscal year;

(iv)

Expenditures under the program shall be limited by the amount within the income account and shall otherwise be upon a first come-first served basis.

42
‑
2
‑
504.

Administration; administrative expenses; rulemaking.

(a)

The department shall administer the program through a contract basis with a private nonprofit entity located in
Wyoming
. The contract shall require the administrator to actively seek private donations to the trust account and may provide for cooperative endeavors with other public and private energy assistance programs, so long as funds are only expended under the program in accordance with this act.

(b)

The department may annually expend not more than five percent (5%) from the annual amount of funds deposited to the income account for administration of this act.

(c)

No funds received by individuals pursuant to this program shall be deemed as income for purposes of any other assistance program funded entirely with state funds.

(d)

The department shall adopt rules and regulations to implement the provisions of this act.

Section 3.

W.S. 9
‑
2
‑
2101 by creating a new subsection (k) is amended to read:

9
‑
2
‑
2101.

Department of family services; duties and responsibilities; state grants; authority to contract for shelters; definitions; youth programs.

(k)

The department shall administer the emergency energy assistance program in accordance with W.S. 42
‑
2
‑
501 through 42
‑
2
‑
504.

Section 4.

(a)

There is appropriated from the general fund to the energy assistance trust fund holding account established pursuant to W.S. 42
‑
2
‑
502(b), ten million dollars ($10,000,000.00). Notwithstanding W.S. 9
‑
4
‑
207, funds within the holding account shall not lapse at the end of the fiscal biennium, but are continuously appropriated to the state treasurer for purposes of matching contributions to the energy assistance trust fund as provided by W.S. 42
‑
2
‑
502(b). Funds not used for those matching purposes shall lapse to the general fund on June 30, 2011.

(b)

There is appropriated fifty thousand dollars ($50,000.00) from the general fund to the department of family services for publicizing the emergency energy assistance program, for initial contract administration, and rulemaking to implement the program. All funds appropriated under this subsection may be used for the purposes specified, notwithstanding the limitation of W.S. 42
‑
2
‑
504(b).

Section 5.

This act is effective immediately upon co
m
pletion of all acts necessary for a bill to become law as provided by Article 4, Section 8 of the Wyoming Constit
u
tion.

(END)

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HB0121