Investment in Wyoming housing.25LSO-0632, 1.2
HB0272
FISCAL NOTE
This bill transfers on July 1, 2025 up to $10,000,000 from unobligated funds in
the Legislative Stabilization Reserve Account (LSRA) to the proposed Wyoming
Housing Investment Account (Account).
The Wyoming Community Development Authority (Authority) shall administer the
proposed Wyoming Housing Investment Program (Program) and administer the proposed
Account. All funds in the Account are continuously appropriated to the Authority
for purposes of the program.
DETAIL OF APPROPRIATION
Agency Name: Wyoming Community Development Authority
EXPENDITURE BY SERIES AND YEARFY 2025FY 2026FY 20270100 Personnel/Benefit Costs$0 $93,400 $0 0400 Central/Data Services Costs$0 $3,678 $0 0600 Grant & Aid Payments$0 $9,900,000 $0 Total Expenditure Per Year:$0 $9,997,078 $0 Grand Total Expenditure:$9,997,078 Total Appropriated to Agency:$10,000,000 Total Appropriated by Fund:LEGISLATIVE STAB. RES. ACCT.$10,000,000
Description of expenditure:
Not more than 1% of the account balance in any fiscal year may be expended for
administration, with the remaining 99% expended for grants and/or loans as
described in the three grant/loan categories in the W.S. 9-7-126(d) proposed in
the bill.
FY 2026FY 2027FY 2028NON-ADMINISTRATIVE IMPACTAnticipated Expenditure increaseLEGISLATIVE STAB. RES. ACCT.$0 $10,000,000 $0 STRATEGIC INVESTMENTS AND PROJECTS ACCT$0 $0 unknown
Source of expenditure increase:
On July 1, 2026 (FY 2027), the State Treasurer shall transfer up to $10.0 million
from unobligated funds in the LSRA to the proposed Account.
Beginning on July 1, 2025 (FY 2026) and again on July 1, 2026 (FY 2027) the State
Treasurer shall transfer up to $10.0 million from unobligated funds in the
Strategic Investment and Projects Account (SIPA) to the proposed Account.
Beginning on July 1, 2027 (FY 2028) and on July 1 of each fiscal year thereafter
through July 1, 2030 (FY 2031), the State Treasurer shall transfer up to $20.0
million from unobligated funds in the SIPA. Investment in Wyoming housing.25LSO-0632, 1.2
HB0272
Assumptions:
Based on the Legislative Service Office (LSO) Fiscal Profile dated January 13,
2025, it is assumed there will be sufficient unobligated funds in the LSRA to
transfer $10.0 million on both July 1, 2025 and July 1, 2026.
The LSO Fiscal Profile dated January 13, 2025 shows no unobligated funds in the
SIPA on June 30, 2026. Therefore, no transfers from the SIPA to the proposed
account on July 1, 2025 (FY 2026) and July 1, 2026 (FY 2027) are anticipated. The
unobligated funds in the SIPA to transfer to the proposed Account on July 1, 2027
(FY 2028) through July 1, 2030 (FY 2031) are unknown, and will be based on future
unobligated SIPA balances, which will depend on future legislative action.
The State Treasurer’s Office indicates that the transfers from the LSRA and SIPA
to the proposed Account will result in an opportunity cost of decreased
investment income, estimated at roughly $400,000 per fiscal year for each $10.0
million transferred.
The State Treasurer’s Office projects yields in FY26 through FY28 to be 2.98%,
3.07%, and 3.02% respectively for permanent funds and 4.28%, 4.12%, and 4.02%
respectively for State Agency Pool funds. Yield is defined as the interest and
dividend income from the investment. Over the long term, total returns for
permanent funds are expected to be 6.75%, while total returns for State Agency
Pool funds are expected to be 4.05%. This is in accordance with the State’s
Investment Policy. Total return is defined as growth in the value of the
investment, including both yield and realized & unrealized gains.
Prepared by: Dean Temte, LSO Phone: 777-7881
(Information provided by Scott Hoversland, Wyoming Community Development
Authority, 307-265-0603; Samantha Dailey, State Treasurer's Office, 777-7408)