SF0057 • 2020

Local government distributions.

AN ACT relating to local government funding; providing funding to cities and towns; providing funding to counties; providing local government funding formulas and distributions; providing legislative intent; providing an appropriation; and providing for an effective date.

Budget Taxes

Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor: Appropriations
Last action: 2020-03-10
Official status: enrolled
Effective date: 7/1/2020

Plain English Breakdown

Official source material does not specify exact amounts distributed to cities, towns, or counties beyond total appropriation figures.

Local Government Funding Act

This act appropriates $105 million from the legislative stabilization reserve account to cities, towns, and counties based on specific formulas.

What This Bill Does

Appropriates $105 million from the legislative stabilization reserve account for local government funding.
Distributes funds to cities and towns and counties based on various factors including population, assessed valuation, and per capita sales tax collection.

Who It Names or Affects

Cities and towns receive funds based on specific formulas.
Counties receive funds based on their assessed valuation and other factors.

Terms To Know

Biennium: A two-year period used by some governments for budgeting purposes.
Assessed Valuation: The value of property as determined by the government for tax purposes.

Limits and Unknowns

It is unclear how future changes in population or economic factors might affect funding distributions.
The formulas used to distribute funds are complex and may require detailed calculations by the Office of State Lands and Investments.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

SF0057H2001

2nd reading • Representative Zwonitzer

Failed

Plain English: The amendment aims to increase the tax base for local government distributions by removing a sales tax exemption on food intended for home consumption.

Adds language to the bill that increases the tax base for distribution by eliminating an existing sales tax exception for food meant for personal use at home.

The amendment text does not provide details about how much additional revenue this change would generate or its impact on local government funding formulas.
It is unclear from the provided information what specific section of W.S. 39-15-105(a)(vi)(E) is being repealed and why.

SF0057H2002

2nd reading • Representative Connolly

Withdrawn

Plain English: The amendment reduces the funding amounts for cities and towns from $15,000 to $10,000 and from $35,000 to $20,000.

Changes the minimum funding amount for cities and towns from $15,000 to $10,000.
Reduces the higher funding amount for cities and towns from $35,000 to $20,000.

The amendment does not provide details on which specific cities or towns will receive these amounts.

SF0057H2003

2nd reading • Representative Connolly

Failed

Plain English: The amendment changes specific funding amounts for local governments from higher to lower figures.

Changes the amount of $15,000 to $12,500 in the bill text.
Changes the amount of $35,000 to $27,500 in the bill text.

SF0057H3001

3rd reading • Representative Zwonitzer

Corrected, Withdrawn

Plain English: The amendment adds an additional appropriation of $2,899,562 to be distributed to cities and towns over two fiscal years.

Adds a new section that appropriates $2,899,562 from the legislative stabilization reserve account to the office of state lands and investments for distribution to cities and towns.
Specifies that half of this amount will be distributed in fiscal year 2021 and the other half in fiscal year 2022.

The amendment text does not specify how the funds will be allocated among specific cities and towns, only that they follow a formula provided elsewhere in the bill.

SF0057H3002

3rd reading • Representative Furphy

Failed

Plain English: The amendment changes the percentage from five percent to six percent in two places within the bill.

Changes 'five percent' to 'six percent' on page 2, line 6.
Replaces '(5%)' with '(6%)' on page 2, line 7.

The amendment text does not specify the context or purpose of these percentage changes, making it unclear how this will affect local government funding formulas and distributions.

SF0057H3003

3rd reading • Representative Gray

Corrected, Failed

Plain English: This amendment modifies a bill about local government funding by adding conditions on how funds are distributed and reducing distributions if certain municipal taxes are imposed.

Removes an existing amendment (SF0057H3001/AE) entirely.
Adds new language to the bill that reduces funding distributions for municipalities that impose specific types of taxes, with conditions on how these reductions are calculated and reported.
Requires municipalities to report tax collection amounts twice a year to receive full funding.

The amendment text is technical and may be hard to understand without additional context about the original bill's provisions.

SF0057H3004

3rd reading • Representative Zwonitzer

Failed

Plain English: The amendment adds new funding for cities and towns, changes how some parts of the bill are numbered, and makes small edits to wording.

Adds $2,899,562 from a special account to be given to cities and towns over two years.
Changes 'appropriation' to 'appropriations' in one place.
Inserts new text after line 13 on page 14 to add more details about how the money is distributed.
Updates section numbers to avoid confusion.

The exact impact of changing 'appropriation' to 'appropriations' isn't clear without context.

SF0057HS001

Standing Committee • House Appropriations Committee

Failed

Plain English: The amendment reduces the funding amounts for cities and towns from $15,000 to $10,000 and from $35,000 to $20,000.

Changes the minimum funding amount for cities and towns from $15,000 to $10,000.
Reduces the higher funding threshold for cities and towns from $35,000 to $20,000.

The amendment does not specify which cities or towns will receive these reduced amounts.

SF0057S3001

3rd reading • Senator Rothfuss

Failed

Plain English: The amendment changes the percentage from five percent to six percent in two places within the bill.

Changes 'five percent' to 'six percent' on page 2, line 6.
Replaces '(5%)' with '(6%)' on page 2, line 7.

The amendment text does not specify the context or purpose of these percentage changes, making it unclear how this will affect local government funding formulas and distributions.

Bill History

2020-03-10 LSO
Assigned Chapter Number 33
2020-03-10 Governor
Governor Signed SEA No. 0024
2020-03-06 House
H Speaker Signed SEA No. 0024
2020-03-06 Senate
S President Signed SEA No. 0024
2020-03-06 LSO
Assigned Number SEA No. 0024
2020-03-05 House
H 3rd Reading:Passed 54-6-0-0-0
2020-03-04 House
H 2nd Reading:Passed
2020-03-03 House
H COW:Passed
2020-02-28 House
H Placed on General File
2020-02-28 House
H02 - Appropriations:Recommend Amend and Do Pass 7-0-0-0-0
2020-02-24 House
H Introduced and Referred to H02 - Appropriations
2020-02-14 House
H Received for Introduction
2020-02-14 Senate
S 3rd Reading:Passed 27-2-1-0-0
2020-02-13 Senate
S 3rd Reading:Laid Back
2020-02-12 Senate
S 2nd Reading:Passed
2020-02-11 Senate
S COW:Passed
2020-02-11 Senate
S Placed on General File
2020-02-11 Senate
S02 - Appropriations:Recommend Do Pass 5-0-0-0-0
2020-02-10 Senate
S Introduced and Referred to S02 - Appropriations 28-0-2-0-0
2020-02-07 Senate
S Received for Introduction
2020-01-24 LSO
Bill Number Assigned

Official Summary Text

Bill Summary - 20LSO-0431
Bill No.:

SF0057

Effective:

7/1/2020 12:00:00 AM

LSO No.:

20LSO-0431

Enrolled Act No.:

SEA No. 0024

Chapter No.:

33

Prime Sponsor:

Joint Appropriations Committee

Catch Title:

Local government distributions.

Subject:

Appropriation for cities, towns and counties.

Summary/Major Elements:

The act appropriates one hundred five million dollars ($105,000,000.00) to cities, towns and counties.

From the appropriation, cities and towns receive sixty-eight million dollars ($68,000,000.00) and counties receive thirty-seven million dollars ($37,000,000.00).

Funds appropriated in this act are directly distributed to local governments based on various factors, including population, assessed valuation and per capita sales and use tax collection.

The appropriated funds are distributed on August 15, 2020 and January 15, 2021 for fiscal year 2021, and August 15, 2021 and January 15, 2022 for fiscal year 2022.

The above summary is not an official publication of the Wyoming Legislature and is not an official statement of legislative intent. While the Legislative Service Office endeavored to provide accurate information in this summary, it should not be relied upon as a comprehensive abstract of the bill.

Current Bill Text

Read the full stored bill text

20LSO-0431

ORIGINAL Senate

File No
.
SF0057

ENROLLED ACT NO. 24,

SENATE

SIXTY-FIFTH LEGISLATURE OF THE STATE OF WYOMING
2020 Budget Session

AN ACT relating to local government funding; providing funding to cities and towns; providing funding to counties; providing local government funding formulas and distributions; providing legislative intent; providing an appropriation; and providing for an effective date.

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

[LOCAL GOVERNMENT DISTRIBUTIONS I]

Section 1
.

(a)

From the legislative stabilization reserve account created by W.S. 9
‑
4
‑
219(a) there is appropriated one hundred five million dollars ($105,000,000.00) to the office of state lands and investments to be allocated pursuant to the following and as further provided in this section:

(i)

Two
‑
thirds (2/3) of eighty
‑
nine percent (89%) of the total amount appropriated, for direct distribution to cities and towns provided that five percent (5%) of the amount available under this paragraph shall only be distributed for direct distributions to cities and towns as provided in paragraph (b)(ii) of this section;

(ii)

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

(iii)

Five and one
‑
half percent (5.5%) of the total amount appropriated, for direct distribution to cities and towns provided that five percent (5%) of the amount available under this paragraph shall only be
distributed for direct distributions to cities and towns as provided in paragraph (b)(ii) of this section;

(iv)

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

[CITY AND TOWN DIRECT DISTRIBUTION ALLOCATIONS]

(b)

Funds appropriated in paragraphs (a)(i) and (iii) of this section shall be distributed to cities and towns with one-half (1/2) of the amount available distributed in the first fiscal year of the biennium and one-half (1/2) of the amount available distributed in the second fiscal year of the biennium. Distributions in each fiscal year shall be made in equal amounts on August 15 and January 15 of each fiscal year as calculated prior to the August 15 distribution, subject to the following:

(i)

From these distributions each municipality with a population of thirty-five (35) or less shall first receive fifteen thousand dollars ($15,000.00) and each municipality with a population over thirty-five (35) shall first receive thirty-five thousand dollars ($35,000.00). From the remainder, each 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 lands and investments as follows:

(A)

For each fiscal year calculate the per capita sales and use tax revenues available to each municipality using the sales and use tax distributions to each county attributable to fiscal year 2019 for distributions under this paragraph during fiscal year 2021 and the sales and use tax distributions to each county attributable to fiscal year 2020 for distributions under
this paragraph during fiscal year 2022, 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)

Calculate the inverse by dividing one (1) by the per capita sales and use tax determined under subparagraph (A) of this paragraph for each municipality;

(C)

Calculate the normalized per capita sales and use tax number for each municipality by dividing the number determined under subparagraph (B) of this paragraph for the municipality by the total of all inverse per capita sales and use tax numbers calculated under subparagraph (B) of this paragraph;

(D)

Multiply the normalized per capita sales and use tax number for each municipality by seventy-five percent (75%);

(E)

For each fiscal year calculate the per capita assessed value for the prior tax year corresponding to the most recently completed calendar year for each municipality by dividing the total assessed valuation within the municipality by the population of the municipality;

(F)

Calculate the inverse by dividing one (1) by the per capita assessed value determined under subparagraph (E) of this paragraph for each municipality;

(G)

Calculate the normalized per capita assessed value number for each municipality by dividing the number determined under subparagraph (F) of this paragraph for the municipality by the total of all inverse per capita assessed value numbers calculated under subparagraph (F) of this paragraph;

(H)

Multiply the normalized per capita assessed value number for each municipality by twenty-five percent (25%);

(J)

Multiply the sum of subparagraphs (D) and (H) of this paragraph by the population of the municipality;

(K)

Calculate the normalized index for each municipality by dividing the number determined under subparagraph (J) of this paragraph for the municipality by the sum of all numbers calculated under subparagraph (J) of this paragraph;

(M)

Determine the amount to distribute to each municipality by multiplying the normalized index number determined under subparagraph (K) of this paragraph by the amount remaining available for distribution under this paragraph.

(ii)

From the amounts available as provided in paragraphs (a)(i) and (iii) of this section, each city or town shall receive amounts in accordance with a city and town revenue challenged formula as provided in this paragraph. The revenue challenged formula shall be calculated by the office of state lands and investments as follows:

(A)

For each fiscal year, calculate the lowest quartile amount received by cities and towns on a
per capita basis using amounts received under this section plus amounts distributed to each city and town using the sales and use tax distributions to each county attributable to fiscal year 2019 for distributions under this paragraph during fiscal year 2021 and the sales and use tax distributions to each county attributable to fiscal year 2020 for distributions under this paragraph during fiscal year 2022, 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)

Determine each city or town that received a per capita amount that is less than the lowest quartile amount determined under subparagraph (A) of this paragraph;

(C)

For each city or town that received a per capita amount that is less than the lowest quartile amount as provided in subparagraph (B) of this paragraph, determine the amount that would be necessary to increase the per capita amount distributed to that city or town to the lowest quartile amount determined under subparagraph (A) of this paragraph;

(D)

Determine the amount to distribute to each city or town that received an amount that is less than the lowest quartile amount determined under subparagraph (A) of this paragraph by distributing the amount available under this paragraph on a pro rata basis, up to the lowest quartile amount, based on the amounts determined under subparagraph (C) of this paragraph.

[COUNTY DIRECT DISTRIBUTION ALLOCATIONS]

(c)

Funds appropriated in paragraphs (a)(ii) and (iv) of this section are to be distributed to counties with one-half (1/2) of the amount available distributed in the first fiscal year of the biennium and one-half (1/2) of the amount available distributed in the second fiscal year of the biennium. Distributions in each fiscal year shall be made in equal amounts on August 15 and January 15 of each fiscal year as calculated prior to the August 15 distribution. From these distributions each county shall receive the following:

(i)

From these distributions each county with an assessed value for the prior tax year corresponding to the most recently completed calendar year of less than three hundred thousand dollars ($300,000.00) per mill shall first receive an amount equal to three (3) times the difference between three hundred thousand dollars ($300,000.00) and the actual value of one (1) mill within the county. From the remainder, each county shall receive amounts in accordance with a county supplemental funding formula as provided in this paragraph. The county supplemental funding formula shall be calculated by the office of state lands and investments as follows:

(A)

For each fiscal year calculate the per capita sales and use tax revenues available to each county using the sales and use tax distributions to each county attributable to fiscal year 2019 for distributions under this subsection during fiscal year 2021 and the sales and use tax distributions to each county attributable to fiscal year 2020 for distributions under this subsection during fiscal year 2022, excluding distributions to each municipality within that county, under W.S. 39
‑
15
‑
111 and 39
‑
16
‑
111;

(B)

Calculate the inverse by dividing one (1) by the per capita sales and use tax determined under subparagraph (A) of this paragraph for each county;

(C)

Calculate the normalized per capita sales and use tax number for each county by dividing the number determined under subparagraph (B) of this paragraph for the county by the total of all inverse per capita sales and use tax numbers calculated under subparagraph (B) of this paragraph;

(D)

Multiply the normalized per capita sales and use tax number determined under subparagraph (C) of this paragraph for each county by twenty-four percent (24%);

(E)

For each fiscal year calculate the per capita assessed value for each county by dividing the total assessed valuation within the county for the prior tax year corresponding to the most recently completed calendar year by the population of the county;

(F)

Calculate the inverse by dividing one (1) by the per capita assessed value determined under subparagraph (E) of this paragraph for each county;

(G)

Calculate the normalized per capita assessed value number for each county by dividing the number determined under subparagraph (F) of this paragraph for the county by the total of all inverse per capita assessed value numbers calculated under subparagraph (F) of this paragraph;

(H)

Multiply the normalized per capita assessed value number determined under subparagraph (G) of
this paragraph for each county by seventy-six percent (76%);

(J)

Calculate a cost of government index for each county, which shall be determined by multiplying six hundred twenty-eight (628) by the population of the county and then adding nine million nine hundred thousand (9,900,000) to the result;

(K)

Calculate the normalized cost of government index number for each county by dividing the number determined under subparagraph (J) of this paragraph for the county by the total of all cost of government index numbers calculated under subparagraph (J) of this paragraph;

(M)

Multiply the sum of subparagraphs (D) and (H) of this paragraph by the normalized cost of government index number determined in subparagraph (K) of this paragraph for each county;

(N)

Calculate the normalized index for each county by dividing the number determined under subparagraph (M) of this paragraph for the county by the total of all numbers calculated under subparagraph (M) of this paragraph;

(O)

Determine the amount to distribute to each county by multiplying the normalized index number determined under subparagraph (N) of this paragraph by the amount remaining available for distribution under this paragraph.

(d)

For purposes of this section, population is to be determined by resort to the 2010 decennial federal census as reported by the economic analysis division within the department of administration and information.

(e)

It is the intent of the legislature that the funds distributed under this section shall not be used for salary adjustments, additional personnel or increased personnel benefits.

Section 2
.

This act is effective July 1, 2020
.

(END)

Speaker of the House

President of the Senate

Governor

TIME APPROVED: _________

DATE APPROVED: _________

I hereby certify that this act originated in the Senate.

Chief Clerk

1