CHEYENNE, WY — Wyoming lawmakers are considering three new bills that could significantly reduce funding for K-12 public schools by more than $80 million per year. This amount does not even include possible additional property tax relief programs, which could further impact school funding.

Lawmakers Push for More Savings, Less Spending on Schools

Representative John Bear, a Republican from Gillette and a member of the Wyoming Freedom Caucus, has introduced two bills that would redirect state funds into savings instead of education. As the chairman of the House Appropriations Committee, Bear believes that Wyoming should cut spending now and save more money for the future.

These bills—House Bill 270 (HB 270) and House Bill 271 (HB 271)—would decrease funds flowing into the School Foundation Program (SFP) by over $30 million each year. The SFP is responsible for financing Wyoming’s K-12 schools, covering teachers’ salaries, staff wages, classroom supplies, and energy costs.

According to fiscal estimates, HB 271 would reduce school funding by $24.7 million starting in 2026, while HB 270 would cut another $11.5 million in the same year. These reductions stem from decreasing the percentage of money taken from state investment accounts to support education.

Bear argued that this change is necessary to improve Wyoming’s financial future. “This is an effort to reduce our spending so that we live within our means, put more money into savings, and earn more from interest and dividends,” he said.

The School Foundation Program (SFP) relies on several funding sources, including:

• Statewide property taxes (mill levies)
• Federal mineral royalties
• The Common School Permanent Land Fund

Reducing the percentage of funds taken from these sources means less money for public education.

A Similar Decision in 2017 Led to Problems

This is not the first time Wyoming lawmakers have tried cutting spending to increase savings. In 2017, the Legislature passed House Bill 55, which made a similar change. However, Rep. Steve Harshman, R-Casper, later admitted that it was a mistake.

“The thing about trust funds is that you have to be careful,” Harshman said. “There’s always a debate between helping people today versus saving for future generations.”

Lawmakers were forced to reverse the 2017 policy when Wyoming faced a revenue crisis due to declining coal industry profits. However, Bear believes that this time will be different. He pointed out that Wyoming’s investments are performing well, and state sales tax revenue is increasing.

Concerns Over Public Education and Private School Funding

Some lawmakers and education experts believe now is the wrong time to reduce school funding. Many are worried because other proposals this year include expanding private school vouchers and offering additional property tax relief, both of which could further weaken public school finances.

Rep. Trey Sherwood, a Democrat from Laramie, was the only House Appropriations Committee member to vote against Bear’s bills. She argued that such financial decisions should be studied more carefully during the Legislature’s off-season.

Sherwood also pointed out that House Bill 199 (HB 199), the Wyoming Freedom Scholarship Act, could divert $44.7 million from public schools to private school vouchers by 2026. If passed, families could use public education funds to send their children to private schools instead.

Education advocates, including Tate Mullen from the Wyoming Education Association (WEA), are alarmed. Mullen said that other states with similar voucher programs have seen unexpected spikes in costs. “The $44 million impact is just the beginning,” he warned.

Property Tax Cuts Could Make Things Worse

Public schools in Wyoming also depend on property taxes. Last year, lawmakers approved some property tax relief programs, and more are being considered this year. If passed, these measures could further reduce money flowing into the 12-mill levy, a key source of school funding.

Mullen emphasized that these tax cuts, combined with school funding reductions and voucher programs, could create a serious financial crisis for public education in Wyoming.

The Impact of Education Budget Cuts

A January 2025 study by the Regional Economic Modeling Inc. (REMI) found that cutting education funding would have wide-ranging negative effects on Wyoming’s economy.

• A $5 million cut to education funding would result in:
  • 67 teachers losing their jobs
  • A $4 million reduction in personal income
  • A $600,000 drop in Wyoming’s GDP
• A $20 million cut would lead to:
  • 267 education jobs lost
  • A $16.5 million decrease in personal income
  • A $25 million decline in statewide GDP

Since federal mineral royalties also help fund schools, using them for voucher programs instead of public education could worsen these issues.

What Happens Next?

These bills are still being debated in the House. They could be amended before they move to the Senate for approval. As the discussion continues, Wyoming lawmakers must decide whether prioritizing state savings over education is the best path forward.

With growing concerns over teacher layoffs, economic losses, and shifting education funds to private schools, the fate of Wyoming’s public school funding remains uncertain.

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