2023 Wyoming Statutes › Title 9 - Administration of the Government › Chapter 4 - Public Funds › Article 6 - Government Royalty Revenue › Section 9-4-601 - Distribution and Use; Funds, Accounts, Cities and Towns Benefited; Exception for Bonus Payments.

9-4-601. Distribution and use; funds, accounts, cities and towns benefited; exception for bonus payments.
(a) All monies received by the state of Wyoming from the secretary of the treasury of the United States under the provisions of the act of congress of February 25, 1920 (41 Stat. 437, 450; 30 U.S.C. 181, 191), as amended, or from lessees or authorized mine operators and all monies received by the state from its sale of production from federal mineral leases subject to the act of congress of February 25, 1920 (41 Stat. 437, 450; 30 U.S.C. 181, 191) as amended, except as provided by subsection (b) of this section, shall be deposited into an account and the first two hundred million dollars ($200,000,000.00) of revenues received in any fiscal year shall be distributed by the state treasurer as provided in this subsection. One percent (1%) of these revenues shall be credited to the general fund as an administrative fee, and the remainder shall be distributed as follows:
(i) Two and one-quarter percent (2 1/4%) to the highway fund to be expended by the transportation commission for permanent construction or maintenance work in the counties to which the royalties are attributable with priority given to roads and highways impacted by mineral development;
(ii) Subject to paragraph (xi) of this section, forty-four and eight-tenths percent (44.8%) to the public school foundation program account subject to allocations under W.S. 9-4-605;
Note: Effective 7/1/2024 this paragraph will read as:
(ii) Forty-seven and one-half percent (47.5%) to the public school foundation program account subject to allocations under W.S. 9-4-605;
(iii) Except as provided by W.S. 9-4-605(a), and as otherwise provided in this paragraph, twenty-six and one-quarter percent (26 1/4%) to the highway fund subject to allocations under W.S. 9-4-607. For fiscal years 2023 and 2024 funds under this paragraph shall be distributed to the general fund until such time as the distributions under this paragraph for both fiscal years 2023 and 2024 cumulatively equal the amount of funds received by the state of Wyoming and allocated to the department of transportation from the American Rescue Plan Act of 2021, P.L. 117-2, Section 602 for the provision of government services under Section 602(c)(1)(C). Upon reaching the total allocation from the American Rescue Plan Act of 2021, P.L. 117-2, under Section 602(c)(1)(C) and after the conditions of this paragraph have been met, the excess shall be credited to the highway fund;
(iv) Six and three-quarters percent (6 3/4%) to a separate account for the University of Wyoming. This revenue may be used only for the actual and necessary expenses of constructing, equipping and furnishing new buildings, the repairing of existing buildings, the purchasing of improved or unimproved real estate, the payment of principal and interest on securities issued to finance projects authorized by the legislature or for the payment of principal and interest on securities issued to refund the securities. Payments from this revenue shall be made by the state treasurer only for expenditures approved by the trustees of the university, provided that expenditures for capital construction projects shall only be for projects authorized by the legislature. The trustees of the university are authorized to approve expenditures from this revenue for the payment of principal and interest on any outstanding securities issued pursuant to this paragraph in accordance with the terms of the securities. The trustees of the university shall include within the university's biennial budget request submitted under W.S. 9-2-1013 a report on all expenditures under this paragraph in each of the immediately preceding two (2) fiscal years;
(v) Nine and three-eighths percent (9.375%) to incorporated cities and towns to be used for planning, construction or maintenance of public facilities or providing public services. Any city or town may expend these revenues or pledge future revenues for payment of revenue bonds issued to provide public facilities. However no city or town shall pledge future revenues to the federal government under 43 U.S.C. 1747 unless the city or town obtains a written determination from the governor, which he may make in connection with his consultation with the secretary of the interior under 43 U.S.C. 1747 or otherwise, that the pledge will not affect the distribution of mineral royalties provided in this section. The distribution provided under this paragraph to any city or town shall be reduced by an amount equal to the amount of federal mineral royalties withheld from the state by the federal government to repay any loan to the city or town under 43 U.S.C. 1747. Pledges of this income for revenue bonds shall not exceed ten (10) years. Each city and town shall receive:
(A) Twelve thousand dollars ($12,000.00) if the population is three hundred twenty-five (325) persons or less, or fifteen thousand dollars ($15,000.00) if the population is more than three hundred twenty-five (325) persons; plus
(B) An amount computed by the state treasurer as follows: after deducting the distribution provided by subparagraph (A) of this paragraph, the remainder shall be allocated for distribution to cities and towns within each county in an amount proportionate to the percentage obtained by dividing the average daily membership, as defined in W.S. 21-13-101, of all school districts within each county by the total average daily membership of all school districts in the state. The distribution to each city and town will then be made in the proportion that the population of the city or town bears to the total population of all cities and towns in the county.
(vi) Three and seventy-five hundredths percent (3.75%) to the capital construction account to be expended as provided by W.S. 9-4-604(k)(i) or to fund bonds the proceeds of which will be used under W.S. 9-4-604(g) and one and twenty-five hundredths percent (1.25%) to the highway fund, except for fiscal years 2017 and 2018 funds directed to the highway fund under this paragraph shall be distributed to the general fund;
(vii) Repealed by Laws 2023, ch. 175, 3.
(viii) Repealed by Laws 1988, ch. 82, 2.
(ix) Two and twenty-five one-hundredths percent (2.25%), to the highway fund, except for fiscal years 2017 and 2018 funds under this paragraph shall be distributed to the general fund;
(A) Repealed by Laws 1995, ch. 137, 1.
(B) Repealed by Laws 1995, ch. 137, 1.
(C) Repealed by Laws 1995, ch. 137, 1.
(x) Five--eighths percent (.625%) to the highway fund, except for fiscal years 2017 and 2018 funds under this paragraph shall be distributed to the general fund;
(A) Repealed by Laws 1995, ch. 137, 1.
(B) Repealed by Laws 1995, ch. 137, 1.
(xi) Repealed by Laws 2017, ch. 205, 2; ch. 206, 2.
(xii) If insufficient funds are available under W.S. 39-14-801(j) to fully satisfy any delinquent payment owed by a city or county under W.S. 15-5-203(h), the state treasurer shall withhold from any payment due to a city or county under this subsection an amount as necessary to satisfy any delinquent payment owed by a city or county under W.S. 15-5-203(h). The withheld amount shall be deposited to the legislative stabilization reserve account and credited against the delinquent entity's unpaid loan amount.
(b) The state treasurer shall ascertain and withhold all bonus payments received from the federal government attributable to coal, oil shale or geothermal leases of federal land within Wyoming and shall distribute it as follows:
(i) Fifty percent (50%), the first seven million five hundred thousand dollars ($7,500,000.00) of which shall be distributed as follows, and any amount in excess of seven million five hundred thousand dollars ($7,500,000.00) per year shall be deposited into the school capital construction account established under W.S. 21-15-111(a)(i), except for fiscal years 2019, 2021 and 2022 amounts in excess of seven million five hundred thousand dollars ($7,500,000.00) per year shall be deposited to the school foundation program reserve account created by W.S. 21-13-306.1:
Note: Effective 7/1/2024 this paragraph will read as:
(i) Fifty percent (50%), the first seven million five hundred thousand dollars ($7,500,000.00) of which shall be distributed as follows, and any amount in excess of seven million five hundred thousand dollars ($7,500,000.00) per year shall be deposited into the public school foundation program account:
(A) Three-fourths (3/4) shall be credited to the capital construction account for the purposes specified in W.S. 9-4-604(k)(i) or to fund bonds the proceeds of which will be used under W.S. 9-4-604(g);
(B) One-fourth (1/4) to the highway fund.
(ii) Repealed By Laws 2001, Ch. 209, 3.
(iii) Repealed By Laws 1998, ch. 5, 4.
(iv) And:
(A) Ten percent (10%) but not to exceed one million six hundred thousand dollars ($1,600,000.00) per year, to a separate account which may be expended by the community college commission in accordance with and in addition to appropriations available under W.S. 21-18-205(c). Any amount in excess of one million six hundred thousand dollars ($1,600,000.00) together with any unexpended revenues within the account at the end of any biennial budget period shall be credited to the school capital construction account established under W.S. 21-15-111(a)(i), except for fiscal years 2019, 2021 and 2022 these funds shall be deposited to the school foundation program reserve account created by W.S. 21-13-306.1;
Note: Effective 7/1/2024 this subparagraph will read as:
(A) Ten percent (10%) but not to exceed one million six hundred thousand dollars ($1,600,000.00) per year, to a separate account which may be expended by the community college commission in accordance with and in addition to appropriations available under W.S. 21-18-205(c). Any amount in excess of one million six hundred thousand dollars ($1,600,000.00) together with any unexpended revenues within the account at the end of any biennial budget period shall be credited to the public school foundation program account;
(B) Forty percent (40%) to be deposited to the school capital construction account established under W.S. 21-15-111(a)(i), except for fiscal years 2019, 2021 and 2022 these funds shall be deposited to the school foundation program reserve account created by W.S. 21-13-306.1.
Note: Effective 7/1/2024 this subparagraph will read as:
(B) Forty percent (40%) to be deposited to the public school foundation program account.
(v) Repealed By Laws 2010, Ch. 69, 204.
(c) Repealed by Laws 2000, Ch. 97, 4.
(d) Except as provided in subsections (k), (m) and (n) of this section, any revenue received under subsection (a) of this section in excess of two hundred million dollars ($200,000,000.00) shall be distributed as follows:
(i) Repealed by Laws 2000, Ch. 97, 4.
(ii) Repealed by Laws 2000, Ch. 97, 4.
(iii) Subject to paragraphs (v), (vi) and (viii) of this subsection, one-third (1/3) to the school foundation program account;
(iv) Subject to paragraphs (vii) and (ix) of this subsection, two-thirds (2/3) to the budget reserve account;
(v) From the amounts which would otherwise be distributed to the school foundation program account under paragraph (iii) of this subsection, amounts shall be deposited to the excellence in higher education endowment fund and the Hathaway student scholarship endowment fund created by W.S. 9-4-204(u)(vi) and (vii) in accordance with and subject to the requirements of this paragraph. The amounts specified in this paragraph shall be reduced as the state treasurer determines necessary to ensure that as of July 1 of each fiscal year, there is an unobligated, unencumbered balance of one hundred million dollars ($100,000,000.00) within the school foundation program account. Distributions under this paragraph shall be as follows:
(A) Seventy-nine percent (79%) to the Hathaway student scholarship endowment fund, until that account balance equals four hundred million dollars ($400,000,000.00);
(B) Twenty-one percent (21%) to the excellence in higher education endowment fund until distributions to that fund under this subparagraph equal one hundred five million dollars ($105,000,000.00);
(C) After the amounts specified in subparagraphs (A) and (B) of this paragraph are deposited to the appropriate fund, remaining funds shall be deposited pursuant to paragraph (vi) of this subsection and then to the school foundation program account as provided in paragraph (iii) of this subsection.
(vi) From the amounts which would otherwise be distributed to the school foundation program account under paragraph (iii) of this subsection and paragraphs (k)(i), (m)(i) and (n)(i) of this section, there is annually appropriated to the common school permanent fund reserve account the amount determined under W.S. 9-4-719(g). The appropriation shall be credited to the account as provided in W.S. 9-4-719(g);
(vii) From the amounts that would otherwise be distributed to the budget reserve account under paragraph (iv) of this subsection and paragraphs (k)(ii), (m)(ii) and (n)(ii) of this section, amounts necessary to make the required revenue bond payments as provided by W.S. 9-4-1003(d), but in no event more than eighteen million dollars ($18,000,000.00) annually;
(viii) Repealed by Laws 2017, ch. 205, 2; ch. 206, 2.
(ix) For the period beginning July 1, 2019 and ending June 30, 2049, from the amounts that would otherwise be distributed to the budget reserve account under paragraph (iv) of this subsection, the first eight million dollars ($8,000,000.00) shall be distributed to a separate account for the University of Wyoming. These funds are continuously appropriated to the university upon deposit to the account. The University of Wyoming shall reduce its standard budget request for the 2021-2022 biennium by an amount equal to the maximum amount of funds authorized to be deposited under this paragraph. The University of Wyoming shall acknowledge this reduction of its 2021-2022 budget request pursuant to this paragraph in each standard budget request submitted to the governor's office through June 30, 2048.
(e) Repealed By Laws 1998, ch. 5, 4.
(f) Repealed by Laws 2000, Ch. 97, 4.
(g) The state, should federal law not proscribe such action, is authorized and empowered to receive its gross percentage share of federal mineral royalties from the production of oil and gas which is due under the provisions of the act of congress of February 25, 1920 (41 Stat. 437, 450; 30 U.S.C. 181, 191) as amended, in the form of the actual production from federal mineral leases covered under that act of congress. If directed by the governor, the production shall be taken by the state in lieu of royalty receipts. The production shall be taken in the same percentage of volume as the gross percentage of royalty proceeds allowed by the act of congress. Any sale or disposal of the production shall be administered by the director of the office of state lands and investments or his designee. The director, subject to criteria established by the governor, shall sell or dispose of any production taken by the state from federal mineral leases. Prior to receipt of any royalties, the director shall promulgate necessary rules and regulations to carry out this subsection.
(h) Repealed by Laws 2002, Ch. 45, 2, Ch. 62, 2.
(j) The state, should federal law not proscribe such action, is authorized and empowered to receive its gross percentage share of federal mineral royalties from the production of solid minerals which is due under the provisions of the act of congress of February 25, 1920 (41 Stat. 437, 450; 30 U.S.C. 181, 191) as amended, in the form of a direct cash payment to the state from the lessee or authorized mine operator. If directed by the governor, such payment shall be taken by the state in lieu of royalty payments from the federal government. Prior to exercising this option, the director of the office of state lands and investments shall promulgate necessary rules and regulations to implement this program which shall include defining the appropriate reporting requirements to ensure proper payment. To the extent possible, the rules and regulations shall rely on current reporting programs and avoid duplicative or additional administrative requirements. The state shall exercise such option for a minimum period of one (1) year and with no less than ninety (90) days notice to the lessee or authorized mine operator.
(k) For the period beginning March 15, 2018 for fiscal years 2018, 2019 and 2020, any revenue received under subsection (a) of this section in excess of five hundred million dollars ($500,000,000.00) shall be distributed as follows:
(i) For fiscal years 2018 and 2019, two-thirds (2/3) and for fiscal year 2020 one-half (1/2) to the school foundation program account; and
(ii) For fiscal years 2018 and 2019, one-third (1/3) and for fiscal year 2020 one-half (1/2) to the budget reserve account.
(m) For fiscal year 2021, any revenue received under subsection (a) of this section in excess of four hundred eighty-five million five hundred thousand dollars ($485,500,000.00) and for fiscal year 2022, any revenue received under subsection (a) of this section in excess of five hundred million eight hundred thousand dollars ($500,800,000.00) shall be distributed as follows:
(i) One-half (1/2) to the school foundation program account; and
(ii) One-half (1/2) to the budget reserve account.
(n) For fiscal year 2023, any revenue received under subsection (a) of this section in excess of four hundred fifty-nine million dollars ($459,000,000.00) and for fiscal year 2024, any revenue received under subsection (a) of this section in excess of four hundred twenty-nine million two hundred thousand dollars ($429,200,000.00) shall be distributed as follows:
(i) Forty percent (40%) to the school foundation program account; and
(ii) Sixty percent (60%) to the budget reserve account.