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House approves repeal of budget reserve account after heated debate over spending policy
Summary
After extended debate and three proposed amendments, the Wyoming House voted 45–15 (2 excused) to pass Senate File 168, a bill that eliminates the state's Budget Reserve Account and changes how certain mineral and severance tax revenues flow into the general fund and other reserve accounts.
CHEYENNE, Wyo. — The Wyoming House voted to pass Senate File 168 on third reading Wednesday after extended floor debate over how the state should manage mineral trust earnings and reserve accounts.
The bill repeals the Budget Reserve Account (BRA) and moves revenues that previously flowed into that separate account into the general fund while preserving many of the spending-policy allocations by statute. Representative Mark Harshman, the bill's floor sponsor, said the measure "is just guaranteeing the spending policy" and argued the change would simplify state finances while keeping existing protections for schools and other programs.
Supporters told colleagues the bill consolidates accounts, increases transparency and will make it easier for the public to see how mineral-related revenue is handled. Representative Lee Feiler, who questioned some details during debate, urged colleagues to consider the bill's technical fiscal impacts while noting committee work remains ahead on related items.
Opponents said consolidation risks turning the general fund into a second spending account and could reduce the interest income that the state earns on funds previously held in the BRA. Representative Timothy Behr said the amendments his side proposed were necessary to avoid creating what he called "tips that this body doesn't have any oversight on." Representative Behr also said the bill, as amended earlier in the process, could reduce transparency rather than increase it.
Two amendments were offered on the floor and both failed; a third amendment was withdrawn. After votes on amendments, the House recorded final passage by a roll call of 45 ayes, 15 nays and 2 excused.
Key details raised on the floor included the bill's fiscal note showing a one-time transfer of roughly $365 million into the general fund in the coming year as federal mineral royalty and severance tax receipts are reclassified; debate participants also cited Legislative Stabilization Reserve Account (LSRA) balances of about $1.3 billion and referenced a long-run target figure near $1.8 billion. Representatives warned the consolidation could cost the state roughly $2 million per year in lost interest if funds that previously earned a market return are held instead in the noninterest-bearing general fund.
Representatives on both sides said they expect further follow-up in appropriations and fiscal committees to clarify spending-policy mechanics and the downstream effects on programs that currently receive set percentages of mineral trust earnings.
Votes at a glance: Third-reading vote on Senate File 168 — Passed, 45 yes, 15 no, 2 excused.
The bill now proceeds to the Senate (as part of the enrolled-bill process) and may be subject to technical adjustments as committees reconcile statutory language and the fiscal impacts identified by members during floor debate.
Ending: Members said additional statutory cleanup and technical fixes are likely as the Legislature finalizes related bills affecting the permanent mineral trust, LSRA and other reserve accounts.
