Wyoming Revenue Projections Positive

Posted by Bobbie Frank on November 1, 2024

The Joint Appropriations Committee kicked off its budget work this week in Cheyenne. Top on the agenda was the October 2024 Consensus Revenue Estimating Group Report presentation from Don Richards, Legislative Service Office, Fiscal Administrator and Kevin Hibbard, Director of the Governor’s Budget Office.

The Consensus Revenue Estimating Group is charged with providing a revenue forecast to the administration and legislature providing projections of revenue available for appropriation.

The report includes an analysis of actual revenue compared to January 2024 forecast. The actual revenues exceeded the January forecast by $122 million. Due to the strong investment revenues, over $179 million in investment earnings from the Permanent Mineral Trust Funds were transferred to the Legislative Stabilization Reserve Account (the “rainy day” account) and the Strategic Investments and Projects Account (SIPA). Most major revenue streams exceeded the January forecast except for sales and use taxes. Investment income exceeded forecasts by $62.9 and oil and gas production outpaced forecasts.

Richards provided a summary of Wyoming’s state revenue themes which included Wyoming’s revenues are volatile given reliance on energy and financial markets. He did stress that the state’s revenue has seen significant diversification in the past. In fiscal year 2006, the peak, severance taxes and federal mineral royalties comprised 56.7 percent of revenue. In 2024 this amount declined to 28.3 percent of revenue. However, he stressed oil and gas is still “king.”

The Governor will release his supplemental budget on the third Monday of November. The Joint Appropriations Committee will begin budget hearings the week of December 9.

Posted in Advocacy on the Move, Wyoming Advocacy.