Distribution of investment income.

2018
STATE OF WYOMING
18LSO-0340
Numbered
1.5

HOUSE BILL

NO.
HB0185

Distribution of investment income.

Sponsored by:
Representative(s) Harshman, Byrd, Furphy, Madden, Obermueller, Walters and Wilson and Senator(s) Boner, Christensen and Wasserburger

A BILL

for

AN ACT relating to public funds; providing for allocation of funds within the permanent Wyoming mineral trust fund reserve account as specified; providing for allocation of funds within the common school permanent fund reserve account as specified; and providing for an effective date.

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

Section
1
.

W.S. 9
‑
4
‑
719(b)
and (f)
is amended to read:

9
‑
4
‑
719
.

Investment earnings spending policy permanent funds.

(b)

There is created the permanent Wyoming mineral trust fund reserve account. Beginning July 1, 2016 for fiscal year 2017 and each fiscal year thereafter, the state treasurer shall transfer unobligated funds from this account to the general fund as necessary to ensure that an amount equal to two and one
‑
half percent (2.5%) of the previous five (5) year average market value of the permanent Wyoming mineral trust fund, calculated on the first day of the fiscal year, is available for expenditure annually during each fiscal year. As soon as possible after the end of each of the fiscal years beginning on and after July 1, 2017
,
revenues in this account in excess of one hundred fifty percent (150%) of the spending policy amount in subsection (d) of this section shall be credited to the
permanent Wyoming mineral trust fund.
following accounts and funds, in descending priority with each priority listed in a paragraph to be fully funded prior to the treasurer making deposits under a priority contained in the subsequent paragraph:

(
i
)

To the permanent Wyoming mineral trust fund an amount equal to the severance taxes collected under W.S. 39
‑
14
‑
104(a)(
i
) and (b)(
i
) and 39
‑
14
‑
204(a)(
i
) for the same
fiscal year as determined by the department of revenue multiplied by the consumer price index for urban consumers published by the United States department of labor, bureau of labor statistics, for the preceding calendar year;

(
ii)

To the permanent Wyoming mineral trust fund an amount equal to the beginning cost basis of the fund calculated on the first day of the fiscal year, multiplied by the average consumer price index for urban consumers published by the United States department of labor, bureau of labor statistics, for the preceding five (5) calendar years;

(iii)

The remainder to the following funds in the following proportions:

(A)

Sixty percent (60%) to the permanent
Wyoming mineral trust fund;

(B)

Forty percent (40%) to the legislative stabilization reserve account, except as provided in subparagraph (C) of this paragraph;

(C)

The state treasurer shall not transfer funds as provided in subparagraph (B) of this paragraph if on the first day of the fiscal year in which the transfer is to be made the total funds available for appropriation from the legislative stabilization reserve account exceed the total of all funds appropriated from the general fund, the budget reserve account and the legislative stabilization reserve account for the immediately preceding fiscal biennium. If a transfer is not made to the legislative stabilization reserve account pursuant to this subparagraph, the state treasurer shall:

(I)

Report to the joint appropriations committee that the transfer to the legislative
stabilization
reserve account was not made pursuant to this
paragraph
;

(II)

Deposit those funds that would otherwise have been deposited to the legislative stabilization reserve account under subparagraph (B) of this
paragraph
to the permanent Wyoming mineral trust fund.

(f)

There is created
the common school permanent fund reserve account
. Beginning July 1, 2017 for fiscal year 2018 and each fiscal year thereafter, the state treasurer shall transfer unobligated funds from this account to the common school account within the permanent land income fund as necessary to ensure that an amount equal to the spending policy amount established in subsection (h) of this section is available for expenditure annually during the fiscal year. As soon as possible after the end of each of the fiscal years beginning on and after July 1, 2017, revenues in this account in excess of one hundred fifty percent (150%) of the spending policy amount shall be credited to
the
common school account within the permanent land fund
.
following accounts and funds, in descending priority with each priority listed in a paragraph to be fully funded prior to the treasurer making deposits under a priority contained in the subsequent paragraph:

(
i
)

To the common school account within the permanent land fund in an amount equal to the state royalties collected pursuant to article 7, section 2 of the Wyoming constitution for the same fiscal year as determined by the
office of state lands and investments
multiplied by
the consumer price index for urban consumers published by the United States department of labor, bureau of labor statistics, for the preceding calendar year;

(ii)

To the
common school account within the permanent land fund
an amount equal to the beginning cost basis of the account calculated on the first day of the fiscal year, multiplied by the average consumer price index for urban consumers published by the United States department of labor, bureau of labor statistics, for the preceding five (5) calendar years;

(iii)

The remainder to the following funds in the following proportions:

(A)

Sixty percent (60%) to common school account within the permanent land fund;

(B)

Forty percent (40%) to the school foundation program reserve account
;

(C)

The state treasurer shall not transfer funds as provided in subparagraph (B) of this paragraph if
on the first day of the fiscal year in whi
ch the transfer is to be made
the total funds available for appropriation from the
school foundation program
reserve account exceed the total of all funds appropriated from the
school foundation program account
and the school foundation program reserve account for the immediately preceding fiscal biennium. If a transfer is not made to
the
school foundation program reserve account pursuant to this subparagraph, the state treasurer shall:

(I)

Report to the joint appropriations committee that the transfer to the school foundation program reserve account was not made pursuant to this s
ubparagraph
;

(II)

Deposit those funds that would otherwise have been deposited to the school foundation program reserve account under subparagraph (B) of this
paragraph
to the common school account within the permanent land fund.

Section 2
.

This act is effective July 1, 201
8
.

(END)

1
HB0185