What to Expect From the 2025 Wyoming Legislative Session
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What to Expect From the 2025 Wyoming Legislative Session

Brownstein Client Alert, Jan. 13, 2025

Hold on to your hats, pardners.

Wyoming’s 67th Legislative Session begins on Jan. 14. The Wyoming Legislature alternates between a 40-day General Session in odd-numbered years and a 20-day Budget Session in even-numbered years. The bodies will hold opening ceremonies after swearing in newly elected members and legislative leadership. Following a brief recess, they will begin the introduction and referral of bills. The Legislature will convene a joint session of the Wyoming Senate and House of Representatives on Wednesday, Jan. 15, starting at 10:00 a.m. Gov. Mark Gordon will deliver his State of the State message, followed by Chief Justice Kate Fox delivering the State of the Judiciary message.

 

Wyoming State Legislature

The composition and leadership of the Wyoming Legislature feature several new members. After the Wyoming primary and general elections, the Wyoming Freedom Caucus gained a majority in the Wyoming House of Representatives. Rep. Chip Neiman (R-Crook, Weston), first elected in 2020, will serve as speaker of the House. Rep. Scott Heiner (R-Lincoln, Sweetwater, Uinta), also elected in 2020, will serve as majority floor leader. On the Senate side, Sen. Larry Hicks (R-Carbon, Sweetwater), who was first elected in 2010 and held the position of Senate majority floor leader from 2023-2024, was viewed as the presumptive candidate to assume the role of Senate president, following a long tradition of Senate leadership ascending from the rank of majority floor leader to Senate president. Earlier this fall, Sen. Hicks, alongside Sen. Cheri Steinmetz (R-Goshen, Niobrara, Weston) and Sen. Brian Boner (R-Converse, Natrona), took the unprecedented step of issuing a press release announcing their intentions to serve as Senate president, vice president and majority floor leader. Traditionally, campaigns for Senate leadership have been kept private among senators. However, after a contentious end to the 2024 Budget Session involving infighting between Sen. Hicks and outgoing Senate President Ogden Driskill (R-Campbell, Crook, Weston), the Wyoming Senate voted to elect new leadership. Sen. Bo Biteman (R-Sheridan) will serve as Senate president, Sen. Tim Salazar (R-Fremont) will serve as vice president and Sen. Tara Nethercott (R-Laramie) will serve as majority floor leader. The change in leadership in both the House and Senate prompted significant changes in committee assignments and chairmanships.

Before the 2025 General Session, members of the Freedom Caucus held a press conference at the state Capitol on Jan. 7 to outline their legislative priorities.

Among their top issues, their “Five and Dime Plan,” includes: election registration rules, invalidating driver licenses issued to unauthorized immigrants by other states, prohibiting the University of Wyoming from including diversity, equity and inclusion (DEI) standards in its hiring processes, banning the state from investing in funds that prioritize environmental, social or governance standards, and providing a 25% property tax cut to residential property owners.

Other Freedom Caucus members have added additional top legislative priorities, such as banning gun-free zones in Wyoming. On Jan. 8, 2025, the State Building Commission unanimously approved new rules that will allow carrying of concealed weapons without a permit in the Wyoming State Capitol, with exceptions being in rooms that host legislative meetings.

Rep. Jeremy Haroldson (R-Wheatland) has stated that he will bring back a bill repealing gun-free zones in Wyoming. HB0125 was introduced during the 2024 budget session and ultimately vetoed by Gov. Gordon. If the bill were signed into law in 2025, it would supersede the rules established by the State Building Commission and Attorney General’s Office.

Other priorities for the Freedom Caucus include: removing obscenity exemptions for Wyoming’s libraries, addressing eminent domain laws, banning transgender participation in female sports at the collegiate level and establishing universal school choice.

The Freedom Caucus has asserted that the results of Wyoming’s 2024 elections evidence a “mandate” from voters to pursue its agenda, but Gov. Gordon has taken issue with this conclusion. Gordon noted that Wyoming’s primary election had the lowest voter turnout since 2016; thus, he believes a very large portion of the state has not been heard from. Even so, Gov. Gordon has elected to take the high road when it comes to the Freedom Caucus. While he labeled the upcoming session’s political dynamic “interesting” multiple times in a recent press conference, Gordon has nevertheless said he is optimistic about the session and looking forward to working with the 2025 Legislature to ensure the people of Wyoming are well served in the legislative process.

More than 200 bills are currently published on the Legislature’s website, and nearly 600 bill requests have been made to the Legislative Services Office. During the last nonbudget sessions, 497 bills were introduced in 2023, 441 in 2021 and 503 in 2019.

 

Budget

When the Legislature was convened in March of 2024, a $10 billion-plus budget was approved to cover the next biennium. In November of 2024, Gov. Gordon released his request for a $692 million supplemental budget, of which approximately one-third would be directed toward rebuilding resources to fight wildfires, which were depleted during a devastating wildfire season in the summer and fall of 2024. Approximately 850,000 acres across the state were impacted by wildfire, depleting the state’s Emergency Fire Suppression Account, Office of Homeland Security and the governor’s contingency accounts.

Additionally, the governor proposed adding $526,000 to the attorney general’s budget to fight federal regulatory efforts that restrict mineral production and access to federal lands. The Wyoming Legislature appropriated $1.2 million for the state’s Coal Litigation Fund to fight federal efforts targeted against coal production, such as the Bureau of Land Management’s decision to end new federal coal leasing in the Powder River Basin through an amendment to the Buffalo Resource Management Plan.

Gov. Gordon also requested $9.3 million to continue housing Wyoming prisoners in out-of-state detention centers and a $11.1 million budget increase for the Department of Corrections.

Gordon aims to increase the Medicaid rates paid to providers to improve access to obstetric and mental health care services. Earlier this year, Evanston Regional Hospital announced it would discontinue its labor and delivery services at the end of 2024, making it the third hospital in Wyoming to eliminate obstetrician services in recent years. Medicaid eligible births account for approximately one-third of the deliveries in Wyoming and the governor has requested an additional $2.3 million for the Wyoming Department of Health to cover these deliveries.

In addition to the governor’s request, other statewide elected officials have requested additional funding from the supplemental budget. State Treasurer Curt Meier requested an additional $1.6 million to add five new employees and for two position pay raises. Additionally, Secretary of State Chuck Gray is seeking a $322,600 increase in his budget for the addition of three new employees. Notably, neither State Auditor Kristi Racines nor State Superintendent of Public Instruction Megan Degenfelder requested additional funding.

Finally, the State Construction Department has requested $226 million for school construction and maintenance.

 

Energy

Majority Floor Leader-elect Rep. Scott Heiner (R-Green River) will head the Freedom Caucus’ energy efforts to maximize coal production in Wyoming. In addition to being majority floor leader, Heiner will be chair of the Joint Minerals, Business and Economic Development Interim Committee. The committee produced more than a dozen committee-sponsored bills, with bills aimed at enhanced oil recovery and assisting oil and gas operators by providing bonding options. Several of the committee’s bills were tax related with one bill, HB0011, extending the sunset date on the manufacturing sales tax exemption from 2027 to 2037. Another bill, HB0012, provides a two-year property tax exemption for industrial equipment and would include equipment used in extraction and processing of minerals.

During the interim, the Joint Agriculture Committee reviewed multiple bills concerning eminent domain. One bill proposes limiting its use to wind energy collector systems, while another sought to prohibit eminent domain for CO2 pipeline projects. Although both bills failed, they are likely to resurface as standalone proposals in the upcoming session. The committee did, however, approve a more widely supported joint resolution, HJ002, addressing foreign ownership, which aligns restrictions with the U.S. State Department’s list of foreign adversaries.

Sen. Cheri Steinmetz (R-Goshen, Niobrara, Weston) and House Majority Floor Leader John Bear (R-Campbell) introduced SF0092, the “Make Carbon Dioxide Great Again” law, which would ban carbon reduction efforts in Wyoming. If enacted, the law would repeal legislation enacted in 2020 that sought to extend the life of coal-fueled power plants by retrofitting those facilities with carbon capture, use and storage technologies. The Wyoming Department of Environmental Quality (DEQ) believes the legislation would end their role with underground injection control (UIC) permitting for carbon capture and sequestration projects in Wyoming, and that role would revert back to the Environmental Protection Agency (EPA). Opponents of the bill argue that it may unintentionally affect the support for coal-fueled power plants, which could result in a faster phase-out of coal-powered facilities altogether.

Chairman Heiner and Corporations Chairman Christopher Knapp released “Wyoming’s Common Sense Energy Policy.” The policy aims to maximize fossil fuel production. They also support the development of alternative energy sources, with the exception of large-scale solar projects. Additionally, the policy encourages the exploration of nuclear energy. In terms of environmental stewardship, it promotes enhanced oil recovery using carbon dioxide, while excluding the support for permanent carbon sequestration.

 

Education

In 2022, the Wyoming Education Association sued the State of Wyoming. alleging that Wyoming had violated its Constitution by failing to adequately fund public schools. Eight school districts joined the lawsuit as intervenors to challenge the state. Article 7 of the Wyoming Constitution states that the Legislature “shall provide for the establishment and maintenance of a complete and uniform system of public instruction.” In prior litigation, a series of cases referred to as the “Campbell decision,” which began in the mid-1990s, held that Wyoming’s funding model was inequitable. The decision requires the Legislature to “recalibrate,” or assess changes in school costs, at least every five years and adjust inflation annually. State education spending has increased from $443 million, or $4,372 per student, in 1985, to $1.5 billion, or $16,751 per student, in 2022, making Wyoming one of the region’s highest spenders on K-12 education. Wyoming assembled a Select Committee on School Finance Recalibration in 2020, but the Legislature rejected its recommendations in subsequent legislation brought in 2021. Since then, Wyoming has provided a series of external cost adjustments.

During the end of the 2024 interim, the Legislature’s Management Council, which is primarily comprised of leadership from both chambers, asked the Legislative Service Office to prepare legislation to create a Select Committee on School Finance Recalibration. Historically, this committee was composed of legislators. With the change in leadership in both the House and Senate, it is unclear how the new Management Council will view recalibration efforts in 2025.

In addition to recalibration, several newly elected legislators have pledged to support more options for school choice. In recent years, the Legislature revamped its laws on charter schools by providing a statewide authorizer instead of requiring charter school organizers to seek approval solely from their local school districts. The Legislature also enacted the Wyoming Education Savings Account Act, which will provide eligible families up to $6,000 to cover various education expenses beginning in the 2025-26 school year.

Legislators will also consider bills directing school districts to ban the use of cell phones and smart watches by students (SF0021) and requiring expulsion of students who possess deadly weapons on school grounds (HB0037).

 

Gaming

Although gambling is illegal in Wyoming, the Wyoming law allows for specific types of gaming activity. Historically, Wyoming law permitted bets to be placed on live horse racing events. However, due to the high costs associated with organizing live races, beginning in 2013, the Wyoming Legislature allowed the public to place wagers on historical horse races. This is done through machines that are often mistaken for slot machines. During the last decade, the number of historic horse racing (HHR) machines has increased considerably, with more than 2,500 HHR terminals in 43 locations statewide. In addition to HHR machines, the Wyoming Legislature and Gov. Gordon enacted laws to allow for the use of skill-based amusement games and online sports betting. During the 2024 interim, the Joint Appropriations Committee (JAC) examined the acceleration of gaming activity to determine if the state’s laws were adequate and whether Wyoming’s gaming market was saturated.

The Legislature provided funding for the JAC and Wyoming Gaming Commission to hire a consultant to conduct a feasibility study of the state’s regulatory system and authorized gaming operations. The selected consultant, Spectrum Gaming Group, released its report in December 2024. The report contained several recommendations with the JAC, which, due to timing, did not address the proposed legislation. However, the JAC produced several draft bills to modify existing gaming statutes, particularly regarding HHR machines. These bills would consolidate existing gaming statues; impose additional taxes and fees on pari-mutuel wagering; provide further restrictions on the number of HHR machines based on location and population; and provide cities, in addition to counties, with the ability to approve HHR facilities and change the composition of the Wyoming Gaming Commission.

Although the JAC drafted and approved these bills for introduction, new leadership in the House has assigned, and will likely assign, the gaming bills to the House Revenue Committee for consideration.

In addition to these bills, Rep. Bob Davis (R-Carbon and Sweetwater) will likely reintroduce legislation to further expand gaming by legalizing online slots, poker, blackjack and other casino-style games.

 

Financial Services

The 2025 Legislative session will consider several bills regarding financial services in Wyoming. The state of Wyoming continues to see a diversification of revenue streams

House members Steve Harshman (R-Natrona), Lloyd Larsen (R-Fremont), Bob Nicholas (R-Laramie) and Sen. Eric Barlow (R-Cambell) introduced HB0107, the Wyoming Generational Investment Account. This bill would create a long-term investment account ensuring sustainable growth and would be managed by the state treasurer. After 14 years, any investment earnings would be transferred to the General Fund. The funds in the account would be used to support state programs and infrastructure in Wyoming.

Currently, the General Fund and Budget Reserve Accounts are used for state programs and services, and the School Foundation Program is reserved for K-12 education funding.

The Legislature will also consider SF0070, the “Investment Modernization-State Nonpermanent Funds bill,” which is sponsored by the Select Committee on Capital Financing and Investments. This bill aims to loosen restrictions and increase investment opportunities, with the hopes of expanding growth of public funding and would provide revenue for initiatives in Wyoming.

Rep. Christopher Knapp (R-Campbell) and other members of the Freedom Caucus introduced House Bill 80, the “Stop ESG-State funds fiduciary act,” which would prohibit state funds from being invested with any asset manager that has taken ESG-related action, supports access to abortion, sex or gender changes, or limits the manufacturing or sale of firearms. Opponents of the bill argue that this bill would decrease revenues by hundreds of millions of dollars in upcoming fiscal years.

In recent years, several states have attempted to pass anti-ESG laws, which have resulted in lawsuits. Notably, in 2023 the Securities Industry and Financial Markets Association sued the Missouri secretary of state and Missouri Securities Commissioner regarding their anti-ESG legislation. The judge found that the statutes were unconstitutional and issued a statewide permanent injunction prohibiting the state from implementing or enforcing the statutes.

In recent years, several bills have been introduced concerning the tracking of firearm purchases. This session, Rep. Bill Allemand (R-Natrona) has put forward HB108, which seeks to prevent the separate categorization of firearms and ammunition merchants from general merchandise and sporting goods retailers.


THIS DOCUMENT IS INTENDED TO PROVIDE YOU WITH GENERAL INFORMATION REGARDING the 2025 LEGISLATIVE SESSION in wyoming. THE CONTENTS OF THIS DOCUMENT ARE NOT INTENDED TO PROVIDE SPECIFIC LEGAL ADVICE. IF YOU HAVE ANY QUESTIONS ABOUT THE CONTENTS OF THIS DOCUMENT OR IF YOU NEED LEGAL ADVICE AS TO AN ISSUE, PLEASE CONTACT THE ATTORNEYS LISTED OR YOUR REGULAR BROWNSTEIN HYATT FARBER SCHRECK, LLP ATTORNEY. THIS COMMUNICATION MAY BE CONSIDERED ADVERTISING IN SOME JURISDICTIONS.

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