Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Wcda Bond Investments topic
No spam. Unsubscribe anytime.
Committee approves $60 million WCDA bond investment after adding borrower protections and sunset
Summary
The joint committee approved a bill authorizing the treasurer to invest up to $60 million in Wyoming Community Development Authority bonds after amending the measure to use the Permanent Fund, require the treasurer to act, and direct preferential terms and a sunset for targeted loan programs for veterans and first‑time buyers.
The Joint Corporations, Elections & Political Subdivisions Committee approved legislation to authorize a state investment in Wyoming Community Development Authority (WCDA) bonds, voting 8–6 to advance the measure as amended.
Josh Anderson of the Legislative Service Office introduced 25LSO0018 as a bill to permit the state treasurer to invest “not to exceed $60,000,000” in WCDA bonds. Dawn Williams, deputy state treasurer, told the committee the treasurer’s office would not choose this illiquid investment for its reserve accounts and urged changing the funding source and narrowing the treasurer’s obligations.
WCDA Executive Director Scott Hovarsland told the committee the funds could be used to deepen subsidies for priority groups such as veterans and essential workers and that WCDA bonds are investment‑grade. “We could do a veteran’s program that has a much deeper subsidy, say of, like, 1% below what the market is,” Hovarsland said.
Committee members adopted three key amendments before voting. Representative Harshman’s amendment deleted the reference to the “reserve account” so the money would come from the Permanent Fund rather than the smaller reserve account, and replaced permissive language “is authorized” with a directive that the treasurer “shall” invest the money. The committee also inserted programmatic language directing WCDA to prioritize loans (as amended in committee) for veterans and first‑time buyers on reduced interest terms with an automatic sunset, and instructed staff to work on technical language for implementation.
Deputy Treasurer Williams said the treasurer’s office would not elect to buy these bonds under its current investment principles and that $60 million is a small slice of a multibillion‑dollar portfolio; she warned the committee that the purchase would likely yield below‑market returns for the Permanent Fund but recognized it as a policy decision. "I would not choose to invest in this kind of a bond," Williams said.
Senators and representatives who opposed the measure said the state should prioritize regulatory fixes and local planning before subsidized finance, while supporters argued the modest investment could catalyze housing production targeted at veterans and other underserved groups.
The committee recorded an 8–6 roll call in favor of the amended bill, advancing it to the next stage for legislative consideration.
What happens next: The bill will proceed as amended for further consideration by the full legislature; implementing language (fund source details, interest‑rate mechanics and the sunset timetable) will be finalized in bill drafting and by the Treasurer’s Office and WCDA as the measure moves forward.
