Committee approves fix to ad valorem penalty distribution to match state statute

The Revenue Committee voted 8-0, with one member excused, to pass House Bill 38, Ad Valorem Taxation Payment and Credit Penalties.

Department of Revenue staff told the committee the bill reconciles conflicting statutory directions about where civil or administrative penalties collected by the Department should be deposited. The change was drafted after Legislative Service Office staff identified a clash between existing language and Wyoming statute 8-11-109.

Brenda Henson, director of the Department of Revenue, read the relevant statutory language for the committee and said the bill ensures penalties are paid to the state treasurer and credited as Wyoming statute 8-11-109 requires: "Unless otherwise specifically provided by law, all civil or administrative fines or penalties collected ... shall be paid over to the state treasurer to be credited to the public school fund of the county in which the violation for which the finer penalty was imposed occurred," she said.

The change applies to penalties the Department assesses for late filings and annual-report penalties for public utilities and private rail cars, among other ad valorem filers, Henson said. Committee members did not propose amendments, and the measure passed on a roll call with unanimous support among members present.

Committee staff said they would remain briefly after the meeting to identify a member to carry the bill to the House floor.