Oil and gas bonding pool-investment and earnings.

Plain English Breakdown

The bill summary does not provide details on how funds will be invested, leaving this aspect unspecified.

Oil and Gas Bonding Pool Investment

This law requires the State Treasurer to invest funds collected for an oil and gas bonding pool, with earnings going into a conservation fund.

What This Bill Does

• Allows the Oil and Gas Conservation Commission to collect assessments from participating operators based on their production starting July 1, 2025.
• Specifies that funds collected through these assessments must be invested by the State Treasurer according to state law.
• States that any earnings from investments must go into a conservation fund established under W.S. 30-5-116(b).
• Sets an effective date of July 1, 2026.

Who It Names or Affects

• Oil and gas operators in Wyoming who need financial assurance for federal bonding requirements.
• The State Treasurer responsible for investing the collected funds.
• The Oil and Gas Conservation Commission managing the bonding pool and conservation fund.

Terms To Know

bonding pool

A fund created by oil and gas operators to provide financial assurance, such as meeting federal bonding requirements.

assessment

A fee or charge imposed on participating oil and gas operators based on their production.

Limits and Unknowns

• The law only applies to assessments collected after July 1, 2025.
• Details about how the funds will be invested are not specified in this act.

Official Summary Text

Bill Summary - 26LSO-0153

Bill No.:

HB0005

Effective:

7/1/2026

LSO No.:

26LSO-0153

Enrolled Act No.:

HEA No. 0002

Chapter No.:

2

Prime Sponsor:

Joint Minerals, Business & Economic Development Interim Committee

Catch Title:

Oil and gas bonding pool-investment and earnings.

Has Report:

No

Subject:

Authorizing investment of bonding-pool funds.

Summary/Major Elements:

In 2025, the Legislature enacted a law to require the Oil and Gas Conservation Commission to create a bonding pool for oil-and-gas operators to utilize for financial assurance for, among other things, federal bonding requirements.

This act requires the State Treasurer to invest funds collected for the bonding pool in accordance with law, and all investment earnings shall be deposited into the Commission's conservation fund.

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

26LSO-0153

ORIGINAL House

Bill No
.
HB0005

ENROLLED ACT NO. 2,

HOUSE OF REPRESENTATIVES

SIXTY-EIGHTH LEGISLATURE OF THE STATE OF WYOMING
2026 Budget Session

AN ACT relating to oil and gas; providing for the investment of bonding pool assessment proceeds; specifying the disposition of investment earnings; and providing for an effective date.

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

Section 1
.

W.S. 30
‑
5
‑
129(a)(v) is amended to read:

30
‑
5
‑
129.

Oil and gas bonding; rules for operators; requirements; reports; assessments.

(a)

The commission shall promulgate rules to establish bonding options in addition to those specified in W.S. 30
‑
5
‑
104(d)(i)(D) for operators requiring bonds for producing oil or gas in Wyoming. The program required under this subsection shall be in accordance with all of the following:

(v)

The commission may impose an assessment on each participating operator on the fair cash market value, as provided in W.S. 39
‑
14
‑
203, of all oil and gas produced, sold or transported from the operator's wells in Wyoming that are covered under this subsection in accordance with this paragraph. Beginning on July 1, 2025 through June 30, 2030, the assessment shall be zero (0) mills on the dollar. Beginning July 1, 2030, the commission may impose an assessment under this paragraph in an amount not to exceed five
‑
tenths of one (1) mill ($0.0005) on the dollar. All funds collected under this paragraph shall be deposited in the separate account established under W.S. 30
‑
5
‑
116(b). For purposes of accounting and investing, funds collected under this paragraph shall be accounted for separately.
The state treasurer shall invest funds collected under this paragraph in accordance with law, and all investment earnings shall be deposited in the separate account established under W.S. 30
‑
5
‑
116(b).
Funds collected
and investment earnings deposited
under this paragraph shall be expended only on the bonding pool established under paragraph (iii) or (iv) of this subsection;

Section 2
.

This act is effective July 1, 2026
.

(END)

Speaker of the House

President of the Senate

Governor

TIME APPROVED: _________

DATE APPROVED: _________

I hereby certify that this act originated in the House.

Chief Clerk

1