Senate advances supplemental budget with cuts, new litigation account and targeted restorations

The Wyoming Senate spent much of its Jan. 31, 2025 session on Senate File 1, the supplemental budget, discussing and voting to advance the Joint Appropriations Committee's (JAC) package of changes that reduce some of the governor's recommendations, restore select programs and create a new natural resource litigation account. Senator Salazar, chairman of the Joint Appropriations Committee, told colleagues: "All amendments are due to the LSO legal staff by the end of committee of the whole on Monday for second reading."

Why it matters: The supplemental budget makes targeted funding changes across state government ahead of the 2025-26 fiscal year. The package trims several one-time governor requests, reallocates or restores money for programs such as school finance, wildfire response and university medical training, and creates or moves accounts that will govern how certain funds may be used. Those decisions affect schools, universities, natural‑resource litigation funding and agency hiring across the state.

Senate File 1 explained and key changes

Senator Driscoll, speaking in committee of the whole as members reviewed agency sections, summarized JAC's approach to agency "flex" authority and line‑item choices, saying, "These agencies are the DEQ, Department of Environmental Quality, the Department of Corrections, DOC, and the Department of Health." JAC repeatedly restricted broad "super‑flex" transfer authority and restored what members described as "mini‑flex" limits to keep agencies from moving funds between payroll (100 series) and other spending lines without legislative notice.

On specific line items, committee members described these notable actions taken by JAC and reported in committee:

- Office of the Governor: JAC revoked a governor‑filled charter school liaison position and reduced funding for the state hazard mitigation plan and a Wyoming Innovation Partnership (WIP) efficiency study (reducing the WIP 1‑time recommendation from $5,200,000 to $200,000).

- Natural resource litigation: JAC created a new Section 345 (natural resource litigation account) and decreased the governor's $7.5 million recommendation to $3.6 million, specifying the funds "be used only for legal counsel." "3,600,000 has been set aside, for the litigation on natural resources," Senator Smith said during the discussion. Committee members said the new account combines prior coal‑related litigation dollars and other litigation resources under a single authority.

- School finance and ECA: JAC amended the superintendent's school finance letter, reducing the total recommended increase (the package reduced certain line items by roughly $13.8 million as described by members) and adjusted the distribution among entitlements, special education and the education cost adjustment (ECA). Members described the ECA figures as a contentious judgment by JAC.

- University of Wyoming: JAC denied the governor's $1.5 million supplemental request to help pay an NCAA settlement but approved $550,000 ongoing to establish a new agreement with the University of Utah School of Medicine for five Wyoming students. Senators described the medical training funding as a ramp‑up partnership aimed at producing more physicians for rural Wyoming.

- State Lands and Investments, emergency fire response and mineral grants: JAC adopted a $20 million 1‑time recommendation to replenish the emergency fire suppression account and added $2.75 million ongoing for single‑engine air tanker operations; it reduced a governor request for the mineral royalty grant program from $20.1 million to $15 million.

- Department of Corrections: JAC adopted a governor recommendation for out‑of‑state inmate housing funds, reflecting ongoing staffing shortages and the continuing practice of placing some inmates outside Wyoming while in‑state capacity is limited.

- Wyoming State Shooting Complex: JAC authorized use of previously appropriated funds and added $3 million from the Wyoming Tourism Reserve Projects account and $500,000 from Game and Fish funds for development and operation, citing educational components (hunter and outdoor education) that the Wyoming Game and Fish Department would help provide.

Procedure and formal actions

The Senate moved into committee of the whole to consider Senate File 1 and then returned to the floor to report and adopt the committee's recommendation. Procedural actions included the re‑referral of Senate File 123 to appropriations by unanimous/"absent objection," the motion to resolve into committee of the whole, the committee's report that Senate File 1 "do pass," and a subsequent motion on the Senate floor to adopt the committee's actions on the budget. Those motions were passed by voice vote; no roll‑call tallies were recorded in the transcript.

What senators emphasized and outstanding questions

Committee members repeatedly emphasized constraints on new employee counts and a preference for limiting ongoing payroll increases. Several senators asked for more detail on particular footnotes, funding sources or program mechanics (for example, how natural disaster mitigation loans would work, the contents of specific footnotes referencing water litigation, and how the University of Wyoming would cover any settlement shortfall). JAC members frequently deferred detailed operational questions to agency staff or promised to supply follow‑up figures before second reading.

Next steps

Senator Salazar and other JAC members reminded colleagues that amendments to Senate File 1 are due to the Legislative Service Office legal staff by the end of the committee of the whole on Monday, ahead of the second reading. Members indicated they expect additional budget amendments in the coming days and that some carryover and contingency items may change before final passage.

Votes at a glance

- Re‑referral of Senate File 123 to Appropriations: "Absent objection, Senate file 123 is re referred to committee number 2, appropriations." (adopted by voice: absent objection)

- Motion to resolve into committee of the whole to consider Senate File 1 (moved on the floor): motion carried (voice vote)

- Committee of the Whole recommends Senate File 1 do pass (motion presented by Senator Salazar): reported by committee; committee rose and reported

- Motion to adopt the committee of the whole report on Senate File 1 (moved on the floor by Senator Hicks): report adopted (voice vote)

Details on formal motions and outcomes appear in the actions array in this package. The Senate scheduled second reading and reiterated the submission deadline for amendments to LSO legal staff.

Ending: The Senate advanced Senate File 1 to the next stage with the Joint Appropriations Committee's package intact subject to amendments. Members signaled additional data and amendments would follow before final votes in the coming days.