Appropriations to local governments-codification.

2016
State of Wyoming
16LSO-0197
Introduced
1.2

SENATE FILE

NO.

SF0054

Appropriations to local governments-codification.

Sponsored by:
Joint Corporations, Elections & Political Subdivisions Interim Committee

A BILL

for

AN ACT relating to the administration of government; codifying funding formulas and standards related to appropriations to local governments; and providing for an effective date.

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

Section 1
.

W.S. 9
‑
2
‑
1014.2 and 9
‑
2
‑
1014.3 are
created to read:

9
‑
2
‑
1014.2
.

Local government capital project funding.

(a)

The legislature may appropriate funds to the office of state lands and investment
s
for the purpose of making grants for capital improvement projects to each
county. Appropriations made
pursuant to
this section shall be subject to subsection (b) of this section and shall be allocated for each county as follows:

(i)

To each county an amount equal to the amount allocated
pursuant to
this subsection multiplied by eighty percent (80%) divided by the total state population and multiplied by the county's population; plus

(ii)

To each county, an amount equal to the rema
inder of the amount allocated pursuant to
this subsection multiplied by each county's inverse per capita assessed valuation factor computed as follows:

(A)

Divide each county's assessed valuation
from the tax year corresponding to the most recently completed calendar year
by that county's population to compute county assessed valuation per capita
,
and the total state assessed valuation
from the tax year corresponding to the most recently completed calendar year
by the total state population to compute state assessed valuation per capita;

(B)

Divide the state assessed valuation per capita by each county's assessed valuation per capita to compute an inverse ratio for each county;

(C)

Sum all the county inverse ratios computed in subparagraph (B) of this paragraph for a state total inverse ratio;

(D)

Divide each county's inverse ratio by the state total inverse ratio to compute each county's inverse per capita assessed valuation factor.

(b)

Funds subject to subsection (a) of this section shall not be distributed until after July 1 of the
fiscal
year
for which the funds
are appropriated and shall only
be
expended for capital projects, including capital projects constructed by special districts. To be eligible for the grants, the board of county commissioners and the governing bodies of the cities and towns within that county that comprise at least seventy percent (70%) of the incorporated population shall certify to the state loan and investment board that they have reached agreement on the projects for which the funds will be used.

(c)

For purposes of this section, population is to be determined by resort to the
last
federal census as reported by the economic analysis division within the department of administration and information and as defined in W.S. 8
‑
1
‑
102(
a)(xv).

(d
)

Amounts granted for capital project funding under this section which are in excess of final project costs shall not revert upon project completion, but may be applied by the recipient governing bodies to any remaining project agreed upon in the consensus process at the county level as determined by the governing bodies. To the extent excess funds are not sufficient to complete an additional project those funds may be held by the county treasurer for future project use as authorized in this subsection. As determined by the governing body in each county, amounts granted to a recipient governing body for a future project for which the funds will not be formally encumbered during the biennium in which they were granted shall not revert.

(e)

This section is repealed
effective
July 1, 2025.

9
‑
2
‑
1014.
3
.

Local government funding.

(a
)

For the purpose of this section:

(i)

"Lo
cal government" means any county
or municipality;

(ii)

"Municipality" means any incorporated city or town.

(b
)

Any amounts appropriated by the legislature to the office of state lands and investment
s
for direct distributions to
local governments
under this section
shall be allocated pursuant to the following and as further specified in this section:

(i)

Two
‑
thirds (2/3) of eighty
‑
nine percent (89%) of the total amount appropriated, for direct di
stribution to
municipalities;

(ii)

One
‑
third (1/3) of eighty
‑
nine percent (89%) of the total amount appropriated, for d
irect distribution to counties;

(
iii
)

Five and one
‑
half percent (5.5%) of the total amount appropriated, for distribution to reven
ue challenged
municipalities
;

(
iv
)

Five and one
‑
half percent (5.5%) of the total amount appropriated, for distribution
to revenue challenged counties.

(c
)

Funds
identified in paragraph (b
)(
i) of this section are to be distributed to
municipalities
in
two (2)
equal distributions on
each
August 15 of
the biennium
for which the appropriation is made
,
subject to the following:

(i)

From these distributions each
municipality
with a population of thirty
‑
five (35) or less shall first receive ten thousand dollars ($10,000.00) and each
municipality
with a population over thirty
‑
five (35) shall first receive twenty thousand dollars ($20,000.00). From the remainder each
municipality
shall receive amounts in accordance with a municipal supplemental funding formula as provided in this paragraph with each
municipality
receiving amounts in the proportion which the adjusted population of
the
municipality
bears to the adjusted population of all
municipalities
in Wyoming. The municipal supplemental funding formula shall be calculated by the office of state la
nds and investments as follows:

(A)

Calculate the per capita distribution of sales and use tax revenues
to each county during
the
odd
‑
numbered year from the most recently completed biennium
, including distributions to
each municipality
within that county, under W.S. 39
‑
15
‑
111 and 39
‑
16
‑
111, but excluding the distribution exclusively to counties under W.S. 39
‑
15
‑
111(b)(iii) made from an amount equivalent to one percent (1%) of the tax collected under W.S. 39
‑
15
‑
104, and excluding the distribution exclusively to counties under W.S. 39
‑
16
‑
111(b)(iii) made from an amount equivalent to one percent (1%) of the tax
collected under W.S. 39
‑
16
‑
104;

(B)

Arrange the counties in ascending order by the per
capita distribution calculated;

(C)

Following the arrangement of counties in subparagraph (B) of this paragraph, list the population of each
municipality
within the county;

(D)

Apply the appropriate adjustment factor determined in subdivisions (I) through (V) of this subparagraph for a county to each
municipality
within that count
y:

(I)

Beginning with the county with the lowest per capita distribution, an adjustment factor of one and one
‑
half (1.5) shall be applied to each county listed under subparagraph (B) of this paragraph, so long as its incorporated population plus the incorporated population of each county with a lower per capita distribution is within the lowest tenth percentile. The adjustment factor shall be applied for each of these counties by multiplying the incorporated population of the county by one hundred fifty p
ercent (150%);

(II)

An adjustment factor determined under this subdivision shall be applied to the county with the next higher per capita distribution not qualifying for
the adjustment factor under subdivision (I) of this subparagraph. The adjustment factor for this
county shall be determined by:

(1)

Multiplying by one hundred fifty percent (150%) that portion of the incorporated population of that county which is with
in the lowest tenth percentile;

(2)

Multiplying by one hundred twenty
‑
five percent (125%) the incorporated population of that county which is within the lowest twentieth percentile and at
or above the tenth percentile;

(3)

If applicable, multiplying by one hundred percent (100%) the incorporated population of that county,
which is at or
above the twentieth percentile;

(4)

Dividing the sum of the products of subdivisions (II
)(
1) through (3) of this subparagraph by the incorpor
ated population of that county.

(III)

If an adjustment factor has not been applied under subdivision (I) or (II) of this subparagraph, an adjustment factor of one and one
‑
quarter (1.25) shall be applied to each county listed under subparagraph (B) of this paragraph, so long as its incorporated population plus the incorporated population of each county with a lower per capita distribution does not exceed the twentieth percentile. The adjustment factor shall be applied for each of these counties by multiplying the incorporated population of the county by one hund
red twenty
‑
five percent (125%);

(IV)

An adjustment factor determined under this subdivision shall be applied to the next higher listed county not qualifying for the adjustment factor under subdivision (III) of this subparagraph. The adjustment factor for this county shall be determined by:

(1)

Multiplying by one hundred twenty
‑
five percent (125%) that portion of the incorporated population of that county which is within t
he lowest twentieth percentile;

(2)

Multiplying by one hundred percent (100%) the incorporated population of that county which is at or above t
he lowest twentieth percentile;

(3)

Dividing the sum of the products of subdivisions (IV
)(
1) and (2) of this subparagraph by the incorpor
ated population of that county.

(V)

An adjustment factor of one (1) shall be app
lied to the remaining counties.

(E)

Distribute the remainder of the revenues under this paragrap
h
on a per capita basis using the total adjusted population for all
municipalities
and the adjusted population for each
municipality
as calculated under subp
aragraph (D) of this paragraph;

(F)

As used in this paragraph:

(I)

A
county's "incorporated population" means the population of all
municipalities
within the county;

(II)

"Percentile" means that portion of the incorporated population as listed in the arrangement of
municipalities
under subparagraphs
(B) and (C) of this paragraph.

(d
)

Fu
nds
identified
in paragraph
(b
)(
ii) of this section are to be distributed to counties in
two (2)

equal distributions on
each
August 15 of
the biennium
for which the appropriation is made
. From these distributions each coun
ty shall receive the following:

(i)

An equal share of fifteen percent (15%) of the tota
l amount to be distributed; and

(ii)

Of the remaining eighty
‑
five percent (85%), an amount to be distributed to each county in the proportion each county's population bears to the
total population of the state.

(e
)

Funds appropriated in
paragraph
(b
)(
iii) of this section are to be distributed to eligible
municipalities
in
two (2)

equal distributions on
each
August 15 of
the
biennium
for which the appropriation is made
,
subject to the following:

(i)

Each eligible
municipality
shall receive amounts in accordance with a municipal supplemental funding formula as provided in this paragraph. The municipal supplemental funding formula shall be calculated by the office of state la
nds and investments as follows:

(A)

Calculate the per capita distribution of sales and use tax revenues
to each county during the
odd
‑
numbered
fiscal year
from the most recently completed biennium

including distributions to each
municipality
within that county, under W.S. 39
‑
15
‑
111 and 39
‑
16
‑
111, but excluding the distribution exclusively to counties under W.S. 39
‑
15
‑
111(b)(iii) made from an amount equivalent to one percent (1%) of the tax collected under W.S. 39
‑
15
‑
104, and excluding the distribution exclusively to counties under W.S. 39
‑
16
‑
111(b)(iii) made from an amount equivalent to one percent (1%) of the tax
collected under W.S. 39
‑
16
‑
104;

(B)

Arrange the counties in ascending order by the per
capita distribution calculated;

(C)

Following the arrangement of counties in subparagraph (B) of this paragraph, list the population of each
municipality

within the county;

(D)

Apply the appropriate adjustment factor determined in subdivisions (I) through (V) of this subparagraph for a county to each
municipality
within that county:

(I)

Beginning with the county with the lowest per capita distribution, an adjustment factor of one and one
‑
half (1.5) shall be applied to each county listed under subparagraph (B) of this paragraph, so long as its incorporated population plus the incorporated population of each county with a lower per capita distribution is within the lowest tenth percentile. The adjustment factor shall be applied for each of these counties by multiplying the incorporated population of the county by on
e hundred fifty percent (150%);

(II)

An adjustment factor determined under this subdivision shall be applied to the county with the next higher per capita distribution not qualifying for the adjustment factor under subdivision (I) of this subparagraph. The adjustment factor for this coun
ty shall be determined by:

(1)

Multiplying by one hundred fifty percent (150%) that portion of the incorporated population of that county which is with
in the lowest tenth percentile;

(2)

Multiplying by one hundred twenty
‑
five percent (125%) the incorporated population of that county which is within the lowest twentieth percentile and at
or above the tenth percentile;

(3)

If applicable, multiplying by one hundred percent (100%) the incorporated population of that county
which is at or above the
twentieth percentile;

(4)

Dividing the sum of the products of subdivisions (II
)(
1) through (3) of this subparagraph by the incorpor
ated population of that county.

(III)

If an adjustment factor has not been applied under subdivision (I) or (II) of this subparagraph, an adjustment factor of one and one
‑
quarter (1.25) shall be applied to each county listed under subparagraph (B) of this paragraph, so long as its incorporated population plus the incorporated population of each county with a lower per capita distribution does not exceed the twentieth percentile. The adjustment factor shall be applied for each of these counties by multiplying the incorporated population of the county by one hund
red twenty
‑
five percent (125%);

(IV)

An adjustment factor determined under this subdivision shall be applied to the next higher listed county not qualifying for the adjustment factor under subdivision (III) of this subparagraph. The adjustment factor for this
county shall be determined by:

(1)

Multiplying by one hundred twenty
‑
five percent (125%) that portion of the incorporated population of that county which is within t
he lowest twentieth percentile;

(2)

Multiplying by one hundred percent (100%) the incorporated population of that county which is at or above the l
owest twentieth percentile;

(3)

Dividing the sum of the products of subdivisions (IV
)(
1) and (2) of this subparagraph by the incorpor
ated population of that county.

(V)

An adjustment factor of one (1) shall be app
lied to the remaining counties.

(E)

From the adjusted population of a
municipality
as calculated in subparagraphs (A) through (D) of this paragraph, subtract the actual population of the
municipality
to determine the resulting population adjustment. Distribute the funding under this paragraph in the proportion which the population adjustment of the
municipality
bears to the population adjustments of all
municipalities
in Wyoming as calculated under subp
aragraph (D) of this paragraph;

(F)

As used in this paragraph:

(I)

A
county's "incorporated population" means the population of all
municipalities
within the county;

(II)

"Percentile" means that portion of the incorporated population as listed in the arrangement of cities and towns under subparagraphs
(B) and (C) of this paragraph.

(f
)

Fu
nds
identified
in paragraph
(b
)(
iv) of this section are to be distributed to eligible counties in
two (2)
equal distributions on
each
August 15 of
the biennium
for which the appropriation is made
. The office of state lands and investments shall calculate the amounts to be distributed to eligible counties as determined
by this subsection as follows:

(i)

Multiply each county's total assessed valuation for
the
prior tax year corresponding to the most recently completed calendar year
by twelve mills (.012). This amount shall represent the
county property tax available;

(ii)

Calculate the sum of the following to det
ermine the county funding need:

(A)

One million two hundred thousan
d dollars ($1,200,000.00); plus

(B)

The product of the county population from zero (0) to five thousand (5,000) multiplied by one hundre
d sixty dollars ($160.00); plus

(C)

The product of the county population from five thousand one (5,001) to twenty
‑
five thousand (25,000) multiplied by one hundred
thirty dollars ($130.00); plus

(D)

The product of the county population above twenty
‑
five thousand (25,000) multiplied by
one hundred dollars ($100.00).

(iii)

Calculate the property tax shortfall for each county by subtracting the property tax available as determined by paragraph (i) of this subsection from the county funding need as determined by paragraph (ii) of this subsection. If the amount is greater than zero (0), the county shall be eligible for distribution
of money under this subsection;

(iv)

The
amount distributed under this subsection to each eligible county shall be in the proportion that the county's property tax shortfall bears to the total property tax shortfall of all counties eligible to receive a dist
ribution under this subsection.

(g
)

For purposes of this section, population is to be determined by resort to the
last
federal census as reported by the economic analysis division within the department of administration and information and as
defined in W.S. 8
‑
1
‑
102(
a)(xv).

(h
)

F
unds distributed under this section shall not be used for salary adjustments, additional personnel or increased personnel benefits.

(j)

This section is repealed
effective
July 1, 2025.

Section
2
.

This
act is effective July 1,
201
6
.

(END)

1
SF0054