Severance tax distribution revision.

22LSO-0211
2022
STATE OF WYOMING
22LSO-0211
Numbered
2.0

HOUSE BILL NO. HB0036

Severance tax distribution revision.

Sponsored by: Joint Revenue Interim Committee

A BILL

for

AN ACT relating to severance tax distributions; increasing the cap on specified severance tax distributions; providing for distribution of the increased amount; revising existing distributions to maintain the same dollar amount of distributions; providing applicability; and providing for an effective date.

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

Section 1.

W.S. 39
‑
14
‑
801(d)(intro), (e)(i) through (iv), (v)(intro), (vi), (vii)(intro), (viii) through (x) and by adding a new paragraph (xi) is amended to read:

39
‑
14
‑
801.

Severance tax distributions; distribution account created; formula.

(d)

After making distributions pursuant to subsections (b), (c) and (f) of this section, distributions under subsection (e) of this section shall be made from the severance tax distribution account. The amount of distributions under subsection (e) of this section shall not exceed
one hundred fifty
‑
five million dollars ($155,000,000.00)
two hundred million dollars ($200,000,000.00)
in any fiscal year. To the extent that distributions under subsection (e) of this section would exceed that amount in any fiscal year, except as provided in subsections (g) and (h) of this section, the excess shall be credited:

(e)

Deposits into the account created by subsection (a) of this section shall be distributed as follows, subject to subsections (b) through (d) and (f) of this section:

(i)

To the general fund,
sixty
‑
two and twenty
‑
six hundredths percent (62.26%)
forty
‑
eight and two thousand five hundred fifteen ten-thousandths percent (48.2515%)
;

(ii)

To water development account I under W.S. 41
‑
2
‑
124(a)(i),
twelve and forty
‑
five hundredths percent (12.45%)
nine and sixty
‑
four thousand eight hundred seventy
‑
five hundred thousandths percent (9.64875%)
;

(iii)

To water development account II under W.S. 41
‑
2
‑
124(a)(ii),
two and one tenth percent (2.1%)
one and six thousand two hundred seventy
‑
five ten-thousandths percent (1.6275%)
;

(iv)

To the highway fund,
except for the fiscal years commencing July 1, 2016 and July 1, 2017, four and thirty
‑
three hundredths percent (4.33%)
three and thirty
‑
five thousand five hundred seventy
‑
five hundred thousandths percent (3.35575%)
, except that if the total unencumbered revenues within the state park road account created by W.S. 24
‑
14
‑
102 are less than five hundred thousand dollars ($500,000.00) on July 1, 2001 or on July 1 of any even
‑
numbered year thereafter, the state treasurer shall first distribute revenues to that account in an amount equal to five hundred thousand dollars ($500,000.00) less the total unencumbered revenues in the account on July 1 of that year
;
.

For the fiscal years commencing July 1,
2016 and July 1, 2017 funds under this paragraph shall be distributed to the general fund;

(v)

To counties,
seventy
‑
eight hundredths percent (0.78%)
six thousand forty
‑
five ten-thousandths percent (0.6045%)
, subject to the following formula:

(vi)

To counties,
three and one
‑
tenth percent (3.1%)
two and four thousand twenty
‑
five ten-thousandths percent (2.4025%)
, each county to receive an amount in the proportion which the population of the county bears to total state population;

(vii)

To the road construction and maintenance funds of the various counties as provided by W.S. 24
‑
2
‑
110,
two and nine
‑
tenths percent (2.9%)
two and two thousand four hundred seventy
‑
five ten-thousandths percent (2.2475%)
, except that each county's share of funds under this subsection shall be computed as follows:

(viii)

To cities and towns,
nine and twenty
‑
five hundredths percent (9.25%)
seven and sixteen thousand eight hundred seventy
‑
five hundred thousandths percent
(7.16875%)
, each city or town to receive an amount in the proportion which the population of the city or town bears to the population of all cities and towns in Wyoming;

(ix)

To the capital construction account,
two and thirty
‑
three hundredths percent (2.33%)
one and eighty thousand five hundred seventy
‑
five hundred thousandths percent (1.80575%)
, to be expended for the purposes specified in W.S. 9
‑
4
‑
604(k)(ii);

(x)

To the water development account III,
five
‑
tenths of one percent (.5%)
three thousand eight hundred seventy
‑
five ten-thousandths percent (0.3875%)
, to be expended for the purposes specified in W.S. 41
‑
2
‑
124(d)
;
.

(xi)

To the school foundation program account, twenty
‑
two and five
‑
tenths percent (22.5%).

Section 2
.

The revisions to severance tax distributions under section 1 of this act shall apply to severance taxes from mineral production occurring on or after July 1, 2022.

Section 3
.

This act is effective July 1, 2022
.

(END)

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HB0036