APPENDIX
Part
I:
INTRODUCTION
Appointments to the
Tax Reform 2000 Committee
Five (5) members appointed by Governor Jim Geringer:
Warren
Morton
Casper businessman and former Speaker of the Wyoming State House
139 West 2nd Street, #3-A
Casper, WY 82601
Beryl
Churchill
Park County farmer and former member of the Park County Commission
848 Road 10
Powell, WY 82435
Shelby
Gerking
Professor of Economics, University of Wyoming
2526 Mountain Shadow Lane
Laramie, WY 82070
Phil Noble
Cheyenne businessman
315 West 8th Avenue
Cheyenne, WY 82001
Rob
Hurless
Publisher of the Casper Star Tribune and community volunteer
P.O. Box 80
Casper, WY 82602
Three (3) members appointed by the 1997-1998 President of the Senate, Bob Grieve:
Senator Grant Larson, R-Teton
P.O. Box 3490
Jackson, WY 83001
Senator Bob Peck, R-Fremont
P.O. Box 993
Riverton, WY 82501
Former Senator Ray Sarcletti, D-Sweetwater
809 Maple Street
Rock Springs, WY 82901
Three (3) members appointed by the 1997-1998 Speaker of the House of Representatives, Bruce Hinchey:
Representative John Hines, R-Campbell
714 West Echeta Road
Gillette, WY 82716
Representative Denny Smith, R-Park
601 Road 10
Powell, WY 82435
Representative Ross Diercks, D-Niobrara
P.O. Box 541
Lusk, WY 82225
Executive Director employed by Tax Reform 2000 Committee:
Irene
Archibald
P. O. Box 472
Encampment, WY 82325
(307) 327-5148 Work
(307) 327-5910 Fax
E-Mail: irarchib@union-tel.com
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Date |
Location |
1.
|
September 16, 1997 |
Casper, Wyoming |
2.
|
October 22, 1997 |
Riverton, WY |
3.
|
November 19-20, 1997 |
Casper, WY |
4.
|
January 19-20, 1998 |
Cheyenne, WY |
5.
|
March 18-19, 1998 |
Casper, WY |
6.
|
April 23, 1998 |
Casper, WY |
7.
|
May 27-28, 1998 |
Gillette, WY |
8.
|
June 19-20, 1998 |
Jackson, WY |
9.
|
July 29-30, 1998 |
Rock Springs, WY |
10.
|
August 21-22, 1998 |
Saratoga, WY |
11.
|
September 23-24, 1998 |
Powell and Cody, WY |
12.
|
October 29-30, 1998 |
Riverton, WY |
13.
|
November 18-19, 1998 |
Casper, WY |
14.
|
December 15, 1998 |
Cheyenne, WY |
15.
|
January 9, 1999 |
Cheyenne, WY |
16.
|
February 27, 1999 |
Cheyenne, WY |
17.
|
March 29, 1999 |
Casper, WY |
18.
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April 22-23, 1999 |
Casper, WY |
19.
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May 27, 1999 |
Riverton, WY |
20.
|
June 23, 1999 |
Cheyenne, WY |
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State of
Wyoming |
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Tax Reform 2000
Committee |
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Statement of Revenues
and
Expenditures |
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July 1,1997 to June 30,
1999 |
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Revenues |
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State Appropriation |
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$ 200,000.00 |
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Total
Revenues |
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$ 200,000.00 |
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Expenditures |
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Current Operating: |
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Salaries and Benefits |
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$ 58,590.52 |
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Travel Reimbursement |
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19,341.52 |
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Office Expenses |
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9,611.61 |
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Research Expenses |
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4,526.98 |
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Publication Expenses |
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20,176.00 |
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Total
Expeditures |
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$ 112,246.63 |
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Excess
Revenues over Expenditures |
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$ 87,753.37 |
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* The Tax Reform 2000 Committee will sunset on December 31, 1999. |
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CRITERIA FOR DETERMINING AND
EVALUATING
STATE AND LOCAL REVENUE OPTIONS
The mission of the Tax Reform 2000 Committee is to recommend standards and options for developing a fair, viable and economically competitive state and local tax structure capable of generating sufficient revenues to meet expected needs of the 21st century.
Task one, established by the act to meet this mission, is to develop criteria for determining and evaluating state and local revenue options. It is the belief of the Tax Reform 2000 Committee that Wyoming’s revenue system should:
1. Be accountable to taxpayers. Tax laws should be explicit, not hidden. Tax choices should openly be discussed in full view of the electorate to stimulate debate. It means that policy makers must avoid hidden tax preferences for favored firms or groups of individuals. In a larger sense, accountability means policy makers must examine the costs and benefits of using revenue measures as tools to put non-fiscal policies into effect. Lawmakers have a responsibility to ensure that the policy produces the intended effect and does so at a reasonable cost.
2. Rely on a balanced variety of
revenue
sources that will provide income to the state in a reliable
manner. A balanced variety of revenue
sources
ensures stable revenues and avoids a concentration of tax burdens
on a few
sources as to make rates distort economic behavior. A reliable manner also includes the concepts of
certainty and
sufficiency. The former
provides that
the number and types of tax changes will be kept to a minimum;
the latter
requires raising enough revenue to fund the level of services the
state wishes
to provide as determined by what voters and their representatives
are willing
to fund. When earmarking
is used, there
should be a direct link between the recipient of the funds and
the earmarked
revenue sources.
3. Treat individuals and businesses equitably, imposing similar tax burdens on people and businesses in similar circumstances and minimizing regressivity. Taxpayers must believe that the tax system does not benefit some groups or individuals at the expense of others. Business taxpayers must believe that the tax system creates a level playing field. The measures of regressivity or progressivity should be applied to state and local tax systems as a whole, not to particular taxes and user charges. A tax is regressive when taxpayers at lower incomes pay a greater percentage of their income in tax than do payers at higher incomes. Progressivity is the opposite of regressivity in that taxpayers at higher incomes pay a greater percentage of their income in tax than do payers at lower incomes
4. Be framed in such a way to enhance economic development efforts. The revenue system should attract rather than deter businesses seeking to move into the state, or desiring to stay in Wyoming. The total package a state has to offer for economic development includes public services, energy and labor costs, access to markets, the availability of capital and its tax policies and structure. The total package is the measure of a state’s competitiveness. Taxes should help in providing a level playing field with similar treatment for all industries and all firms within a given industry within a state.
5. Be composed of elements that support the ability of local governments to raise revenue to meet their needs. The state must recognize the inter-relationship of state and local governments in revenue needs and service obligations. State policymakers must be aware of local government’s costs and assure adequate redistribution of state resources to fund local government programs, avoiding competition between state and local governments for tax bases. States should recognize inequalities that may exist between local governments. State government should avoid unfunded mandates on local governments.
6. Be easy to understand and administer, and therefore easy for the taxpayer to comply with as well as for the administrator to apply the system. Ease of administration, sometimes called simplicity, encompasses several closely related principles:
· Minimizing costs to the collecting government (administrative cost) and to the taxpayer (compliance cost).
· Improving enforcement and preventing evasion.
· Reinforcing confidence in the tax system.
Complexity in the tax system encourages special provisions that erode fairness and lowers confidence in tax systems and the elected officials who created them. Simplicity makes it easy for taxpayers to comply with the law, for businesses to plan, for the state to administer, and for citizens to understand the system so that they know that others are also paying their fair share.
7. Be responsive to interstate
and
international economic competition and to changes in business.
Interstate and international
economic
competition is increasing and the way commerce is conducted has
changed
significantly since the 1970’s.
A
state’s overall tax policy needs to be considered in the
competitive arena and
respond to changes in the business environment. A favorable
business climate
may encourage new business to come and existing business to
remain and expand.
8. Minimize its involvement in spending and land use decisions. The revenue system should ideally leave expenditures to the budgetary system and land use decisions to the owners and elected or appointed officials with jurisdiction over the land. A revenue system may include deductions, exemptions and credits to foster certain spending activities and earmark revenues for specific purposes. Policymakers should be certain that these measures not only do what is expected of them, but also reach their goal at a reasonable cost. State policymaker’s influence in local government’s land use decisions should be limited to those decisions that significantly effect the revenue system of the State.
|
(i) Is the
tax option accountable to taxpayers |
(ii) Does
the tax option contribute to a balanced variety of revenue
sources that will
provide income to the state in a reliable
manner |
(iii) Does
the tax option treat individuals and businesses equitably,
imposing similar
tax burdens on people and businesses in similar circumstances
and minimizing
regressivity |
(iv)Is the
tax framed to enhance economic development efforts. Will the tax attract and not deter businesses
seeking to move
into the state or desiring to stay in
Wyoming. |
(v) Is the
tax option composed of elements that support the ability of
local governments
to raise revenue to meet their
needs. |
(vi) Would
the tax option be easy to understand and administer, and
therefore easy for
the taxpayer to comply with as well as for the administrator to
implement. |
(vii) Is
the tax option responsive to interstate and international
competition and to
changes in business. |
(viii)
Would the tax option minimize its involvement in spending and
land use
decisions. |
Increase
Cigarette, Alcohol
and Motor Fuel Taxes |
Current laws
may favor
certain industries |
Fairly
stable, increase in
cigarette taxes may cause a decrease in tax collections
depending on rate in
surrounding states. |
Regressive
for lower income
individuals. |
Cigarette and
liquor
dealers have testified there would be loss in sales with tax
increases. |
Increases in
taxes for
cigarettes and fuel would benefit local governments due to
distribution
formulas. Increase in
alcohol taxes
would benefit the state. |
Yes,
administrative rules
are in force |
Cigarette
dealers maintain
increase in tax may cause state to become less competitive with
border
states. |
Yes, unless
tax increases
are earmarked for certain causes. i.e. cigarettes – health
issues. Any increase in fuel taxes
must be used
for transportation |
Exclusions
and Exceptions
in the Sales and Use Tax Statutes |
Though tax
provisions are
not hidden they do benefit certain industries, they are not
explicit, and may
be confusing. |
A sales tax
helps balance a
revenue system and is reliable source of
income. |
The current
sales tax law
is regressive. Broadening the tax to include additional
services could help
negate this regressivity. |
Broadening
the tax could
cause loss of business for some
industries. |
If current
distribution
formulas for state sales tax and the local option taxes remain
in effect,
broadening the sales tax would benefit local
governments. |
Broadening
the tax to
include certain exemptions and exclusions could make the tax
less confusing
to administer. |
Broadening
the tax to include
certain exclusions and exemptions could mitigate the effects of
loss of tax
income due to Internet and catalog sales. |
The state
sales and tax
laws does. The optional 1% capital facilities tax requires
spending on
capital facilities, only |
Real Estate
Transfer Tax |
Depending on
the revenue
generated the costs to administer could outweigh benefits of
the tax. |
The tax would
contribute to
a more balanced system. Revenues may fluctuate with the real
estate market. |
Tax would
need to be
structured to assure equitable treatment.
|
Little
effect. |
It would
depend on the
provisions of the tax. |
Tax could be
collected in
county clerk offices where filings are
made. |
The majority
of states have
some form of RE transfer tax. |
It would
depend on how
funds are allocated and the definitions
used. |
Individual
and Corporate
Income Tax |
An income tax
would receive
public input but it does not have to be put to a vote of state
residents.
Cost versus benefits would depend on tax
rate. |
The tax would
contribute
towards a more balanced
tax
structure. The tax
would be more
reliable than mineral taxes. |
The
constitutional
provision would minimize regressivity and make the tax more
progressive. A corporate tax would
capture tax income
from businesses with a low tax burden. |
The tax may
provide more
stability to the state’s tax system so that businesses could
anticipate their
tax liability. Some people maintain it would be a deterrent to
economic
development. |
The tax could
effect the
passage of local optional taxes. |
Administrative costs would
depend on how complex the tax is structured.
It would require a new state administrative
department. |
Many states
with an income
tax have a more balanced and equitable tax system. As businesses become more multi-state, WY may
capture tax
revenues on income made in WY |
It would
depend on how
revenue is allocated. |
|
(i) Is the
tax option accountable to taxpayers |
(ii) Does
the tax option contribute to a balanced variety of revenue
sources that will
provide income to the state in a reliable
manner |
(iii) Does
the tax option treat individuals and businesses equitably,
imposing similar
tax burdens on people and businesses in similar circumstances
and minimizing
regressivity |
(iv) Is
the tax framed to enhance economic development efforts. Will the tax attract and not
deter
businesses seeking to move into the state or desiring to stay
in Wyoming. |
(v) Is the
tax option composed of elements that support the ability of
local governments
to raise revenue to meet their
needs. |
(vi) Would
the tax option be easy to understand and administer, and
therefore easy for
the taxpayer to comply with as well as for the administrator to
implement. |
(vii) Is
the tax option responsive to interstate and international
competition and to
changes in business. |
(viii)
Would the tax option minimize its involvement in spending and
land use
decisions. |
|
Increase the
State Sales
Tax |
Same problems
with current
tax law would remain. |
Would provide
additional
reliable income for the overall tax
system. |
Tax would
remain regressive
for lower income individuals. |
The tax could
effect retail
sales of counties bordering other states. |
An increase
may affect the
ability of local governments to pass optional sales
taxes. |
Administration and tax law
in force.
|
The tax could
effect retail
sales of counties bordering other states. |
It depends on
how the
additional tax would be distributed. |
|
Statewide
Lodging Tax |
Accountability would not be
a problem. |
The tax would
contribute to
a balanced tax system and would be a reliable tax
source. |
The tax collection burden would be
on one business
of the tourism industry and all businesses would
benefit. |
The tax could
make lodging
quite expensive in certain areas of the state if other optional
taxes are
imposed. |
A statewide
lodging tax
could impair the passage of optional lodging
taxes. |
The
administration
structure is currently in force. |
The tax could
make
Wyoming’s lodging rates more expensive than those of bordering
states. |
The tax would
more than
likely be earmarked for state’s tourism industry.
|
|
Increase
State Mill Levies |
Same problems
with current
property tax would exist. |
Revenue would
not be
reliable, minerals would pay bulk of
increase. |
Minerals
would pay bulk of
tax increase. |
The mineral
industry would
not fully support
economic
development efforts. |
The tax could
affect the
passage of local optional taxes. |
Administrative
structure is currently
in force. |
Many states
are amending
their tax structures to reduce reliance on the property
tax |
It depends on
how
additional income is distributed. |
|
Increase
assessment % for
property classes other than minerals. |
Same problems
with current
property tax would exist. |
It would not
effect
minerals. It would
bring more tax
revenue from other classes and additional revenue would be more
reliable. |
Would
continue the burden
for low and fixed income individuals in areas of the state with
high market
values. |
Economic
development in industries other than
minerals with
large capital investments may be
hindered. |
It could
affect the passage
of local optional taxes. |
Administrative structure
currently in force. |
Many states
are amending
tax structure to reduce reliance on property
tax. |
It depends on
how income is
distributed. May
increase the number
of property owners seeking the agriculture
class. |
|
Increase
Mineral Severance
Tax |
If used to
meet current
spending needs would not meet one of the intended purposes of a
severance tax
to plan for the future when minerals are depleted or not
valuable. |
It would
enhance the
current reliance on minerals for a tax base and the income
would not be as reliable
as other tax sources. |
The burden is
on the
minerals industry and would continue to enhance the current
situation. |
The mineral
industry would
not fully support economic development. |
If current
distribution
formulas are used for the additional tax, it would mean
additional revenues
for local governments. |
Administrative structure
currently in force. |
Wyoming could
be less
competitive with other mineral states. Severance taxes on some
minerals do
not tract with the price fluctuations of the
mineral. |
Depends on
how income would
be distributed. May
deter future
mineral development. |
|
|
(i) Is the
tax option accountable to taxpayers |
(ii) Does
the tax option contribute to a balanced variety of revenue
sources that will
provide income to the state in a reliable
manner |
(iii) Does
the tax option treat individuals and businesses equitably,
imposing similar
tax burdens on people and businesses in similar circumstances
and minimizing
regressivity |
(iv) Is
the tax framed to enhance economic development efforts. Will the tax attract and not
deter
businesses seeking to move into the state or desiring to stay
in Wyoming. |
(v) Is the
tax option composed of elements that support the ability of
local governments
to raise revenue to meet their
needs. |
(vi) Would
the tax option be easy to understand and administer, and
therefore easy for
the taxpayer to comply with as well as for the administrator to
implement. |
(vii) Is
the tax option responsive to interstate and international
competition and to
changes in business. |
(viii)
Would the tax option minimize its involvement in spending and
land use
decisions. |
|
Electrical
Generation Tax |
The tax would
be a hidden
tax. |
The tax would
add balance
to the system and would be reliable. |
The tax could
be regressive
for lower income individuals and singles out a specific
industry. |
The tax could
affect the
competitiveness of the electrical generation industry in
Wyoming. |
No |
The tax could
be collected
by the Department of Revenue Excise Division, and since it is
based on
kilowatt hours of electricity should be easy to
administer. |
The tax could
affect the
competitiveness of the electrical generation industry in
Wyoming. |
It would be
depend how the
income would be distributed |
|
Gross
Receipts Tax |
The tax could
be considered
a hidden tax. |
The tax is
broad based
including many businesses not currently taxed. Tax is as
reliable as a sales
tax. |
Some
businesses may not be
able to pass the tax on to others. The tax is paid whether
profits are made. |
The fact that
it is not
based on profits could deter development of new small
businesses. |
It would
depend on how
formulas and options in the tax law. |
Administrative costs depend
on the structure. Current sales tax administration could be
used. |
Internet and
catalog sales
would continue to be a problem. |
It depends on
how income
would be distributed |
|
Corporate
Franchise Tax
based on income. (Texas model) |
The costs to
implement and
administer could exceed the benefits achieved depending on the
rate. |
It could
bring more variety
to the overall tax system and would be more reliable than
mineral taxes. |
All
corporations and
indemnity companies would pay.
Whether the tax is considered an income tax and the
constitutional
provision apply is a question. |
Businesses
could have more
certainty as to what to expect from the tax system. Some people
maintain it
would be a deterrent to economic
development. |
Current
franchise tax goes
to State general fund.
Benefits for
local government would depend on distribution formula of
additional revenues. |
The Secretary
of State
office currently collects and enforces tax.
Additional personnel for collection and enforcement
would be required. |
As businesses
become more
multi-state, WY may capture tax revenues on income made in
WY. |
It depends on
how
additional income is allocated. |
|
Employment
Head Tax |
The benefits
would justify
the costs to administer. |
It would
bring more variety
to the overall tax system and the revenues should be fairly
stable. |
The tax would
be regressive
for lower income individuals since it is a flat rate per
employee. |
It could
deter employment
development since employers match employee
contributions. |
It would
depend on the
distribution formulas of tax revenues |
The tax could
be
administered by the Department of Employment in conjunction
with the
quarterly unemployment report. |
Only one
state has a
statewide head tax (Nevada).
It is
paid by the employer. Some municipalities assess the tax paid
by both
employer and employee. |
It would
depend on the
allocation provisions of the tax |
|
|
(i) Is the
tax option accountable to taxpayers |
(ii) Does
the tax option contribute to a balanced variety of revenue
sources that will
provide income to the state in a reliable
manner |
(iii) Does
the tax option treat individuals and businesses equitably,
imposing similar
tax burdens on people and businesses in similar circumstances
and minimizing
regressivity |
(iv)Is the
tax framed to enhance economic development efforts. Will the tax attract and not deter businesses
seeking to move
into the state or desiring to stay in
Wyoming. |
(v) Is the
tax option composed of elements that support the ability of
local governments
to raise revenue to meet their
needs. |
(vi) Would
the tax option be easy to understand and administer, and
therefore easy for
the taxpayer to comply with as well as for the administrator to
implement. |
(vii) Is
the tax option responsive to interstate and international
competition and to
changes in business. |
(viii)
Would the tax option minimize its involvement in spending and
land use
decisions. |
Business
Profits Tax (i.e.
New Hampshire) |
Tax revenue
based upon New
Hampshire model, (7% rate) should exceed costs to
administer. |
It would
bring more variety
to the overall tax system. It would be more reliable than
mineral taxes. Tax
applies to all business organizations. |
All
businesses would
pay. NH does not have
an individual
income tax. Tax is
based upon profits
so it would not be a burden for new businesses. Constitutional provision probably would
apply. |
Businesses
could have more
certainty as to what to expect from the tax system. Some people
maintain it
would be a deterrent to economic
development. |
It would
depend on the
distribution formulas of tax revenues. |
It would
require a new
department of state government.
Administrative costs would depend on the complexity of
the tax law. |
As businesses
become more
multi-state, WY would capture tax revenues on income made in
WY. |
It depends on
how
additional income is allocated. |
Intangible
Tax on Ownership
of Financial Assets (i.e. Florida) |
Based on the
Florida model,
costs to administer may not justify the
benefits. |
It would
bring more variety
to the overall tax system and would be more reliable than
mineral taxes. |
The burden
of the tax would be on business
and higher
income individuals with financial holdings in stocks, mutual
& money
market funds, bonds, loans and accounts
receivables |
Tax could be
a detriment to
investment and saving. |
It would
depend on the
distribution formulas of the tax
revenues. |
It would
require a new
department of state government.
Administrative costs would depend on the complexity of
the tax law. |
No, very few
states impose
this type of tax. |
It depends on
how
additional income is allocated |
Michigan
Single Business
Tax (SBT) |
The costs to
administer may
not justify the benefits. |
It would
bring more variety
to the overall tax system and tax flows in Michigan have been
more stable
than the previous state income tax. |
The SBT is
neutral as to
business structure. It is not based on a business’s ability to
pay and is to
be paid whether profits are made or not. |
The fact that
it is not
based on profits could deter development of new small
businesses. |
It would
depend on the
distribution formulas of tax revenues |
It would
require a new
department of state government. The
SBT tax is difficult to file and administer.
It has generated costly lawsuits. |
As businesses
becomes more
multi-state, WY would capture tax revenues on income made in
WY |
It would
depend on the
allocation provisions of the tax. |
|
(i) Is the
tax option accountable to taxpayers |
(ii) Does
the tax option contribute to a balanced variety of revenue
sources that will
provide income to the state in a reliable
manner |
(iii) Does
the tax option treat individuals and businesses equitably,
imposing similar
tax burdens on people and businesses in similar circumstances
and minimizing
regressivity |
(iv)Is the
tax framed to enhance economic development efforts. Will the tax attract and not deter businesses
seeking to move
into the state or desiring to stay in
Wyoming. |
(v) Is the
tax option composed of elements that support the ability of
local governments
to raise revenue to meet their
needs. |
(vi) Would
the tax option be easy to understand and administer, and
therefore easy for
the taxpayer to comply with as well as for the administrator to
implement. |
(vii) Is
the tax option responsive to interstate and international
competition and to
changes in business. |
(viii)
Would the tax option minimize its involvement in spending and
land use
decisions. |
Increase
Deposits to the
Mineral Trust Fund |
It would
justify the
severance tax as one to plan for depletion or economic
obsolescence of the
mineral wealth. |
Since income
earnings from
the fund would increase, it would add balance and stability to
state revenue
sources. |
NA |
By providing
a stable
source of income, new and existing businesses could expand in
WY with a
better understanding of their tax
liabilities. |
The state
constitution
requires the income from the fund to be deposited to the State
General Fund. |
NA |
NA |
NA. |
Maximize
Income in earned
on the PWMTF |
It would
assure WY is
receiving the best return for its investment and risk
tolerance. |
Since income
earnings from
the fund would increase, it would add balance and stability to
state revenue
sources |
NA |
By providing
a stable
source of income, new and existing businesses could expand in
WY with a
better understanding of their tax
liabilities. |
The state
constitution
requires the income from the fund to be deposited to the State
General
Fund.
|
NA |
NA |
NA |
New Revenue
Source: Storage
of nuclear fuel rods |
Must
determine whether the
costs (both tangible and intangible) justify the benefits.
|
It may
provide a source for
additional permanent trust funds. Current funds earned should
be permanently
invested because of the temporary nature of the
project. |
It would be
similar to a
tax on minerals. It is a unique benefits package, with no
adverse tax impact
on people or businesses. |
It would
generate substantial employment and
economic
benefits. The project’s
benign nature
will have little, if any, negative impact on other
businesses. |
The benefits
package can be
structured to fully reimburse local governments for any impact
and may
provide additional income. |
Only one
taxpayer
involved. That taxpayer
is well
qualified to comply with all requirements of the statute and
benefits
package. |
The project
would provide
an answer to a national need. |
With close
regulation by
the Nuclear Regulatory Commission and the DEQ, the project will
have very
little impact on surrounding land use. |
Examination
of State and
Local Government Spending |
The study may
inform
citizens how tax dollars in Wyoming are
spent. |
NA |
NA |
NA |
NA |
NA |
NA |
Results of
study could
redirect or repeal past spending
decisions. |
|
(i) Is the
tax option accountable to taxpayers |
(ii) Does
the tax option contribute to a balanced variety of revenue
sources that will
provide income to the state in a reliable
manner |
(iii) Does
the tax option treat individuals and businesses equitably,
imposing similar
tax burdens on people and businesses in similar circumstances
and minimizing
regressivity |
(iv) Is
the tax framed to enhance economic development efforts. Will the tax attract and not
deter
businesses seeking to move into the state or desiring to stay
in Wyoming. |
(v) Is the
tax option composed of elements that support the ability of
local governments
to raise revenue to meet their
needs. |
(vi) Would
the tax option be easy to understand and administer, and
therefore easy for
the taxpayer to comply with as well as for the administrator to
implement. |
(vii) Is
the tax option responsive to interstate and international
competition and to
changes in business. |
(viii)
Would the tax option minimize its involvement in spending and
land use
decisions. |
New Revenue
Source: State
Lottery |
The costs to
administer may
not justify the benefits received. |
Stability
would depend on
lottery pools of surrounding states and would fluctuate. Revenue raised would not add
balance to
current revenue system. |
Lower and
middle income
individuals may be the primary supporters of a state
lottery. |
There would
be little
effect because a lottery in WY would not be competitive with
other
states. Participation
in power ball
could enhance purchases by tourists and local residents who now
purchase
out-of –state. |
It would
depend on how
lottery proceeds are distributed. |
Depending on
the structure
of a lottery, it may require a new department of state
government. |
It may
prevent some state
residents from purchasing lottery tickets from other states
especially power
ball tickets. |
It would
depend on whether
funds would be earmarked for special projects as it is in some
states. |
New Revenue
source: Excise
Tax on each train mile and each public grade crossing. (i.e.
Nebraska) |
Whether the
benefits from
the tax would justify the costs would depend on the
rate. |
It would
probably not add
to the balance or stability of Wyoming’s tax system but would
free some tax
monies going to the Department of Transportation.
|
Tax would not
be broad
based but would be assessed against one industry, though some
believe that
industry does not pay its fair share. |
Little effect
either way. |
Local
governments could
benefit if funds are used toward rail crossing facilities in
their
localities. |
The
Department of
Transportation could administer the tax with a few additional
employees. |
NA |
In Nebraska,
the tax is
earmarked to railroad crossings and is administered by the
Department of
Roads. |
Institute a
maximum number
of mills for each taxing district to control property tax
increases and
special district formation. |
|
NA |
It could
standardize the
number of mills assessed in each taxing district, but would not
control the
tax value of each mill. |
It may
prevent the
formation of special districts in areas with high mineral tax
bases. |
Local
residents may not be
able to exercise their voting option to establish special
taxing
districts.
|
It may be
difficult for
County Commissioners to enforce and Assessors to administer
when there are
many districts with overlapping
boundaries. |
NA |
Spending and
land use
decisions could be affected. |
|
(i) Is the
tax option accountable to taxpayers |
(ii) Does
the tax option contribute to a balanced variety of revenue
sources that will
provide income to the state in a reliable
manner |
(iii) Does
the tax option treat individuals and businesses equitably,
imposing similar
tax burdens on people and businesses in similar circumstances
and minimizing
regressivity |
(iv)Is the
tax framed to enhance economic development efforts. Will the tax attract and not deter businesses
seeking to move
into the state or desiring to stay in
Wyoming. |
(v) Is the
tax option composed of elements that support the ability of
local governments
to raise revenue to meet their
needs. |
(vi) Would
the tax option be easy to understand and administer, and
therefore easy for
the taxpayer to comply with as well as for the administrator to
implement. |
(vii) Is
the tax option responsive to interstate and international
competition and to
changes in business. |
(viii)
Would the tax option minimize its involvement in spending and
land use
decisions. |
Local option
property tax
relief programs for individuals on low or fixed
incomes |
|
It could
affect the
stability of local property taxes. It
could not be applied to taxes assessed for school
purposes. |
It may
mitigate the burden
of rising property taxes on low and fixed incomes. The option may only be adopted by local
governments who could
afford it unless state funding is
provided. |
NA |
The local
option would
probably only be adopted by cities, counties and special
districts that could
afford to grant relief unless state funding is
provided. |
It would
require a
Constitutional amendment.
It would
mean additional administrative costs for local governments
adopting the
option. |
NA |
The loss of
income may
affect the spending decisions of local
governments. |
Minerals
assets belong to
the state and total tax income from them should be distributed
equally throughout the
state |
|
It would
provide more
balanced income for local governments throughout
Wyoming. |
NA |
Some local
governments
would have more tax revenue to spend on economic development,
others would
have less. |
It would
benefit local
governments without mineral wealth and would hurt local
governments with
mineral wealth. |
It would
depend on how the
mineral taxes are assessed and the formulas for
distribution. |
NA |
Spending
decisions for
local governments could be affected. |
The present
system of
mineral tax distribution be continued.
A portion of the mineral severance tax is distributed
equally
throughout the state and the property tax on minerals remain
where collected. |
|
Local
governments lack
balance in governmental funding. |
NA |
NA |
Counties with
mineral
wealth are more capable of raising tax revenues for
governmental services. |
Tax
distribution and
administration system is in place. |
NA |
It may affect
spending
decisions locally. |
|
(i) Is the
tax option accountable to taxpayers |
(ii) Does
the tax option contribute to a balanced variety of revenue
sources that will
provide income to the state in a reliable
manner |
(iii) Does
the tax option treat individuals and businesses equitably,
imposing similar
tax burdens on people and businesses in similar circumstances
and minimizing
regressivity |
(iv)Is the
tax framed to enhance economic development efforts. Will the tax attract and not deter businesses
seeking to move
into the state or desiring to stay in
Wyoming. |
(v) Is the
tax option composed of elements that support the ability of
local governments
to raise revenue to meet their
needs. |
(vi) Would
the tax option be easy to understand and administer, and
therefore easy for
the taxpayer to comply with as well as for the administrator to
implement. |
(vii) Is
the tax option responsive to interstate and international
competition and to
changes in business. |
(viii)
Would the tax option minimize its involvement in spending and
land use
decisions. |
One Mineral
tax, one
reporting form, one collection point |
There could
be administrative
cost savings. |
NA |
NA |
NA |
It would
depend on the
distribution formulas. |
1) The tax
law may be
easier to administer and to comply with. 2) Current
check and
balance system will be lost. 3) It would
require a
constitutional amendment 4) It may
generate less
contention between DOR and county
governments. |
NA |
NA |
One Mineral
tax reporting
form, one collection point |
There could
be
administrative cost savings. |
NA |
NA |
NA |
It would
depend on
distribution formulas |
1) The tax
law may be
easier to administer and to comply with. 2) Current
check and
balance system will be lost. 3) It would
require a
constitutional amendment 4) It may
generate less
contention between DOR and county
governments. |
NA |
NA |
Property Tax
exemptions
examined for applicability and ease of
administration |
|
NA |
It may
provide a more
equitable tax system depending on changes that are
made. |
NA |
If certain
exemptions are
deleted, there could be more revenues for local
governments. |
The tax laws
would be
easier to administer if certain exemptions are repealed or
amended. |
NA |
NA |
|
(i) Is the
tax option accountable to taxpayers |
(ii) Does
the tax option contribute to a balanced variety of revenue
sources that will
provide income to the state in a reliable
manner |
(iii) Does
the tax option treat individuals and businesses equitably,
imposing similar
tax burdens on people and businesses in similar circumstances
and minimizing
regressivity |
(iv)Is the
tax framed to enhance economic development efforts. Will the tax attract and not deter businesses
seeking to move
into the state or desiring to stay in
Wyoming. |
(v) Is the
tax option composed of elements that support the ability of
local governments
to raise revenue to meet their
needs. |
(vi) Would
the tax option be easy to understand and administer, and
therefore easy for
the taxpayer to comply with as well as for the administrator to
implement. |
(vii) Is
the tax option responsive to interstate and international
competition and to
changes in business. |
(viii)
Would the tax option minimize its involvement in spending and
land use
decisions. |
One
government given
authority to select mineral tax appraisal method and a review
of current
mineral appraisal methods take place for
simplicity |
|
Taxes could
be distributed
on a more timely basis and not held until appeal is
satisfied. |
NA |
NA |
Would depend
which entity
is given authority to make selection. |
There would
be less
contention between counties and the DOR |
NA |
NA |
Consistency
in assessment
values between counties for similar properties with comparable
market and
production values |
Taxpayers may
believe that
more consistency exists in the property tax system throughout
the state. |
NA |
Individuals
and
businesses may be
treated more
equitably. |
NA |
NA |
It may be
difficult to
implement without more state control that has its own
ramifications. |
NA |
NA |
REVENUE
SOURCES |
|
|
REVENUE
SOURCES |
|
State
Government |
|
|
Counties |
|
July 1, 1997 -
June 30, 1998 |
|
|
July 1, 1997 -
June 30, 1998 |
|
|
|
|
|
|
Taxes |
$
647,066,501.00 |
|
Tax
|
$
167,505,488.00 |
Federal
Funds |
473,783,794.00 |
|
State
|
1,316,278.00 |
Interest |
363,223,222.00
|
|
Federal
|
10,368,773.00 |
Other Sources
|
373,019,424.00
|
|
Interest |
5,628,272.00 |
|
|
|
Other
|
33,361,430.00 |
Total |
$
1,857,092,941.00 |
|
|
|
|
|
|
Total |
$
218,180,241.00 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TABLE
1A |
|
|
TABLE
1B |
|
Source: State of Wyoming
Comprehensive Annual
Report for |
|
Source: County Finance Report, 1993
through 1998 |
||
Fiscal Year Ended
June 30,
1998 |
|
Prepared by Karen
Musgrave,CPA,Local Government Program |
||
|
|
|
Coordinator Public
Funds Division, Wyoming Department of
Audit |
|
|
|
|
|
|
|
|
|
|
|
REVENUE
SOURCES |
|
|
REVENUE
SOURCES |
|
Cities/Town |
|
|
Special
Districts |
|
July 1, 1997 -
June 30, 1998 |
|
|
July 1, 1997 -
June 30, 1998 |
|
|
|
|
|
|
Tax
Revenues |
$
147,457,760.00 |
|
Tax
Revenues |
$
26,194,556.44 |
State |
8,616,478.00 |
|
Other
Revenues |
208,488,914.96 |
Federal
Revenues |
44,491,263.00 |
|
|
|
Interest |
16,885,582.00 |
|
|
|
Other Sources of
Revenue |
181,320,328.00 |
|
Total |
$
234,683,471.40 |
|
|
|
|
|
Total |
$
398,771,411.00 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TABLE
1C |
|
|
TABLE
1D |
|
Source: County Finance Report, 1993
through 1998 |
|
Source: Special District 1998
Revenue and
Expenditures |
||
Prepared by Karen
Musgrave,CPA,Local Government Program |
|
Public Funds
Division, Wyoming Department of Audit |
||
Coordinator Public
Funds Division, Wyoming Department of
Audit |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
REVENUE
SOURCES |
|
|
REVENUE
SOURCES |
|
School
Districts |
|
|
Higher
Education |
|
July 1, 1997 -
June 30, 1998 |
|
|
July 1, 1997 -
June 30, 1998 |
|
|
|
|
|
|
Local Tax
Revenues |
$
386,684,886.00 |
|
Tax
Revenues |
$
15,758,987.00 |
State
Revenues |
73,783,786.00
|
|
State
Revenues |
135,682,642.00 |
Federal
Funds |
138,560,136.00
|
|
Federal
Funds |
30,421,711.00 |
Interest |
74,459,271.00
|
|
Interest |
2,612,878.00 |
Other
Revenues |
45,678,454.00 |
|
Other Sources of
Revenue |
145,355,574.50 |
|
|
|
|
|
Total |
$
719,166,533.00 |
|
Total |
$
329,831,792.50 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TABLE
1E |
|
|
TABLE
1F |
|
Source: Statistical Report Series
No.3, 1997-98
Wyoming Public |
|
Source: State of Wyoming
Comprehensive Annual
Report for |
||
Schools Fund
Accounting and
Reporting |
|
Fiscal Year ended
June 30,
1998 |
||
|
|
|
University of
Wyoming
Financial Report,
|
|
|
|
|
Fiscal Year ended
June 30,
1998 |
|
|
|
|
Wyoming Community
College
System |
|
|
|
|
Total Current Funds
Report |
|
|
|
|
|
|
REVENUE
SOURCES |
|
|
|
|
All
Governments |
|
|
|
|
July 1, 1997-
June 30, 1998 |
|
|
|
|
|
|
|
|
|
Tax |
$
1,390,668,178.44 |
|
|
|
Federal
|
697,625,677.00 |
|
|
|
State
|
219,399,184.00 |
|
|
|
Interest |
462,809,225.00 |
|
|
|
Other
|
987,224,125.46 |
|
|
|
|
|
|
|
|
Total |
$
3,757,726,389.90 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TABLE
1G |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
PUBLIC IMPUT
TAX REFORM
2000 MEETINGS
1997-1999
Name |
Representing |
Topic |
|
|
|
September 16,
1997
|
|
|
|
|
|
Governor Jim Geringer |
State of Wyoming |
Tasks of the Committee
|
Michael Walden Newman, Executive Director |
Wyoming Taxpayers Association |
Tax Reform 2000 History and Experiences of Other States |
Scott Mackey |
National Conference of State Legislatures |
Revenue Balancing |
Steve Furtney and David Black |
Division of Economic Analysis` |
Current State Revenue Sources |
|
|
|
October 22,
1997
|
|
|
|
|
|
Johnnie Burton, Director |
Wyoming Department of Revenue |
Wyoming Tax Summary |
|
|
|
January 19-20,
1998
|
|
|
|
|
|
Joe Evans, Executive Director |
Wyoming County Commissioners Association |
Revenue Sources and Needs of County Governments |
Michael G. Stull, Acting Director |
Wyoming Association of Municipalities |
Revenue Sources and Needs of Municipal Government in Wyoming |
Bobbie Franks, Executive Director |
Wyoming Conservation Districts |
Revenue Sources and Needs of Special Districts-Conservation District |
Grant Stumbough, Natural Resources |
Wyoming Department of Agriculture |
Revenue Sources and Needs of Special Districts – Weed and Pest Districts |
Michael Boyd, CEO and Pat O’Brien, VP of Finance |
Ivinson Memorial Hospital, Laramie, WY |
Revenue Sources and Needs of Special Districts – Hospital Districts |
Vernon H. Lovejoy, Research and Planning Officer |
Wyoming Community College Commission |
Revenue Sources and Needs of Special Districts – Community College Districts |
Brenda Arnold, County Assessor |
Laramie County |
Local Property Tax Assessments |
Robert Cox, Business Services Dean |
Laramie County Community College |
Revenue Sources and Needs of Special Districts – Community College Districts |
Gary Carver, Chief Engineer |
Wyoming Department of Transportation |
Wyoming Department of Transportation Revenue Uses and Needs |
|
|
|
March 18-19,
1998
|
|
|
|
|
|
Bill Joplin and John Sundahl |
Burlington Northern Railroad |
Tax Burden: Railroads |
John Sundahl |
United State Tobacco |
Possible Consequences of Increasing the Tobacco Tax |
Marion Loomis and Larry Wolfe |
Wyoming Mining Association |
Tax Burden: Mining Industry |
Francis Harris and Frank Dickson |
AARP |
Tax Burden: Retired Persons |
Charlene Murdock |
Campbell County Chamber of Commerce |
Tax Burden: Mining Industry |
Larry J. Bourret Scott Zimmerman |
Wyoming Farm Bureau Rocky Mountain Farmers Union |
Tax Burden: Agriculture |
Bob Tarantola, Jim Murray, Bob Lockhart |
PacifiCorp |
Tax Burden: Utilities |
Lynn Birleffi Marlyn Black |
Wyoming Restaurant Merchant Association & Wyoming Lodging and Restaurant Association Wyoming Travel Industry |
Tax Burden: Retail Merchants and Travel Industry |
William J. Thomson |
Wyoming Tobacco Institute |
Possible Consequences of Increasing the Tobacco Tax |
Dave Johnson, Executive Director |
Wyoming Bankers Association |
Tax Burden: Banking Industry |
Tom Jones |
Wyoming Wholesalers & Coin Operators National Federation of Business |
Tax Burden: Small Business |
Rick Robitaille |
Petroleum Association of Wyoming |
Tax Burden: Oil and Gas Industry |
Chris Chambers |
Chevron USA |
Natural Gas Taxation |
Chuck Townsend |
Townsend Oil Company |
Small Producer Consequences |
Phillip Ellis |
Wyoming Stockgrowers Association |
Tax Burden: Agriculture |
Lora L. Coomes, Executive Director Dick Hammer, President |
Wyoming Auto Dealers Association |
Tax Burden: Auto Dealers |
George Bartholomew Don Boehm |
Missouri Basin Power Project Basin Electric Power Coop |
Tax Burden: Utilities |
|
|
|
April 23,
1998
|
|
|
|
|
|
John A. Lichty, CPA |
Wyoming Society of CPA’s |
Impact of Federal Tax Reform on Wyoming’s State and Local Tax System and on Businesses and Individuals |
Susan Bigelow, Director |
Campbell County Economic Development Corporation |
Report on a Survey Taken of Economic Development Directors in Wyoming |
Michael Walden-Newman Executive Director Wenlin Liu, Senior Economist |
Wyoming Taxpayers Association Division of Economic Analysis |
Sales Tax Exemptions Quantification |
|
|
|
May 27-28,
1998
|
|
|
|
|
|
Chales Peterson, President |
Chempily Management Company |
How Wyoming Lose Tax Money to the Colorado Tax System |
Kent Goates, Vice President of Finance and Control |
Kennecott Energy |
The State of the Powder River Basin Coal Industry and The Utah Tax Reform Process |
Steve Sommers, Budget and Fiscal Manager |
State of Wyoming Legislative Services Office |
CREG Revenue Forecast Update |
Shelby Gerking, Professor of Economics |
University of Wyoming |
The Relative Burden Imposed by the Tax System |
June 19-20,
1998
|
|
|
|
|
|
Dave McCracken, Administrator |
Ad Valorem Division, Department of Revenue |
Review of Agricultural Land Valuation Methodology |
Dan Cook III, Chairman |
Texas Select Committee on Tax Equity |
The Texas Tax Reform process |
Joe Evans, Executive Director Ann Stephenson, County Commissioner |
Wyoming County Commissioners Association Teton County |
WAM/WCCA Sub Committee Report – Local Government Revenue Needs |
Pete Jourgensen, Trustee |
University of Wyoming Board of Trustees |
University of Wyoming Budget |
|
|
|
July 29-30,
1998
|
|
|
|
|
|
Todd S. Pitkin |
Pitkin and Associates |
Quantification of Sales Tax Exemptions |
Joyce Stewart, Administrator |
Excise Tax Division, Wyoming Department of Revenue |
Electronic Commerce |
Wind River Reservation Business Council |
Wind River Reservation Business Council |
Tax Issues on the Wind River Reservation |
Dave Rauzi, President |
Wyoming County Assessors Association |
County Assessor’s Comparison of Replacement Cost Less Depreciation versus Market Value on Selected Properties |
Suzanne Olmstead, Assessor |
Teton County |
Teton County Assessment Issues |
|
|
|
August 21-22,
1998
|
|
|
|
|
|
Randy Bolles, Administrator |
Mineral Division, Wyoming Department of Revenue |
Mineral Tax Administrative Issues |
Henry Hewitt |
Wyoming Realtor’s Assn. |
Real Estate Transfer Tax Discussion |
Tom Satterfield, County Commissioner George Parks, Executive Director |
Fremont County Wyoming Association of Municipalities |
Update from the WAM/WCCA Committee on Local Government Revenue Needs |
Wade Waldrip, Attorney |
Carbon County |
Ad Valorem Taxation from a County Perspective |
Joyce Stewart, Administrator |
Excise Division, Wyoming Department of Revenue |
The Examination of Written Sales Tax Exemptions for Possible Deletion and the Possibility of Applying the Sales Tax to Certain Services Currently not Taxed |
Philip L. Dubois, President |
University of Wyoming |
Future Revenue Needs of the University of Wyoming |
|
|
|
September 23-24,
1998
|
|
|
|
|
|
Bob Gose, Co-Chair and Interim CEO |
Wyoming Business Council |
Business Council Update |
Terry Swenson, President Jim Browning, President |
Heart Mountain Farm Supply Powell Equipment, Inc. |
A Perspective of Doing Business in Northern Wyoming |
Lyle French and Regan Smith |
Park County Farm Bureau |
Consequences of Taxes on Agriculture |
Bob and Carol McDougall |
Phoenix Production Company |
Independent Oil Producer’s Taxation Concerns |
Jim Vanaman, Finance and Administrative Manager |
Marathon Oil Company |
Marathon’s Contribution to Park County and Proposed Tax Alternatives |
Dick Wallis and Eric Nelson |
Horse Track/Video Gaming |
A Proposal for Gaming |
October 29-30, 1998
|
|
|
|
|
|
Tom Satterfield, County Commissioner George Parks, Executive Director Joe Evans, Executive Director |
Fremont County Commissioners Wyoming Association of Municipalities Wyoming Association of County Commissioners |
Revenue Needs for Local Governments |
Robert Anderson |
Organizer/Promoter |
Owl Creek Energy Project |
Dan Sullivan |
Self |
An Alternative Tax for Education |
|
|
|
November 18-19,
1998 |
|
|
|
|
|
Dan Noble, Administrator |
Wyoming Department Of Revenue, Administrative Services Division |
The Costs to Administer a State Income Tax |
Cynthia Lummis, Treasurer Elect Michael Walden-Newman, Executive Director Johnie Burton, Director |
State of Wyoming, Treasurer Elect Wyoming Taxpayers Assoc. Wyoming Department of Revenue |
Legislative Intent of the Tax Reform Legislation |
|
|
|
March 29, 1999 |
|
|
|
|
|
Dan Noble, Administrator |
Wyoming Department of Revenue, Administrative Services Division |
Estimation of Possible Revenues from a State Individual Income Tax |
TAX REFORM
2000 MEETINGS
1997-1999
January 19-20,
1998
Speaker |
Representing |
Topic of
Concern |
Chesie
Lee
|
American
Cancer Society |
Legislation
being delayed on a cigarette tax
increase. |
March 18-19,
1998
Speaker |
Representing |
Topic of
Concern |
Woody
Giles |
Common
Ground USA |
Escalating
property taxes and possible solutions. |
Bob
Tanner |
State
Representative, Natrona County |
Trimming
tax exemptions and decreasing government
spending. |
Dr.
John Roussalis |
Wyoming
Dental Association |
Sales
and use tax on non-capitalized materials and
equipment. |
Glenda
Stark |
Self |
Trimming
tax exemptions and decreasing government
spending. |
April 23, 1998
Speaker |
Representing |
Topic of
Concern |
Kent
Goates |
Kennecott
Energy |
Impact
of Federal tax and royalty policy on mineral business in
Wyoming. |
Dr.
Jim Hough |
Wyoming
Dental Association |
Sales
and use tax on non-capitalized materials and
equipment. |
Bob
Tanner |
State
Representative, Natrona County |
Tax
exemptions and the impact of special districts in
Wyoming. |
Sarah
Gorin |
Equality
State Policy Center |
Suggested
changes in the committee’s adopted report
outline. |
May 27-28,
1998
Speaker |
Representing |
Topic of
Concern |
Les
Desavedo |
Campbell
County Commissioner |
Campbell
County’s opposition to county property tax distribution
equalization. He informed the committee
that a
sub-committee of the Wyoming County Commissioner’s Association
has been
formed to work with the Tax Reform 2000
Committee. |
John
Kennedy |
Wyoming
Independent Oil Producers |
The
non-competitiveness of the independent oil industry in
Wyoming |
Allen
Weekly |
Self |
The
need for Wyoming to adjust its tax structure in order to meet
the challenges
of the future. |
Bill
Hayes |
Self |
The
suggestion of a security transactions
tax. |
Dan
Sullivan |
Consultant |
The
need to look at tax exemptions and rates to amend the Wyoming
tax structure. |
May 27-28, 1998
Speaker |
Representing |
Topic of
Concern |
Ed
Patterson |
Wy
Prop |
The
inequities that exist with regard to the uniformity of ad
valorem
neighborhood appraisals in Wyoming. |
Marcia
Wright |
Campbell
County Librarian |
A
request for the committee to consider the needs of libraries
when making
their tax reform suggestions. |
Marion
Loomis |
Wyoming
Mining Association |
Presented
the distribution of the coal severance tax of 10.5% when it was
assessed from
1978-1986. |
June 19-20,
1998
Speaker |
Representing |
Topic of
Concern |
Sandy
Shuptrine |
Teton
County Commissioners |
She
asked the committee to be constructive, to look at other
states’ revenue
sources and stressed that all state residents should contribute
their fair
share. |
Lynn
Birleffi |
Wyoming
Restaurant Association |
She
explained how Wyoming liquor taxes are assessed in relationship
to other
states where the state is not a liquor
wholesaler. |
Marshall
Gingrey |
Self |
He
asked about the purpose and process of the committee. He encouraged that
constituents be kept
well informed. |
Ann
Stephenson |
Teton
County Commissioners |
She
discussed the tax income to Teton County and its uses. She encouraged the committee
to consider a
Real Estate Transfer Tax. |
Jeff
Heilbrun |
Teton
Pines |
He
discussed tourism spending and the fact that double-digit tax
rates will
deter tourism spending.
He discussed
his concerns with a statewide lodging
tax. |
Nels
Smith |
Wyoming
Stock Growers Association |
He
pointed out that agricultural property taxes based upon
production decreases
the pressure on agriculture to convert to other uses. He told the committee, as a
draftee of the
State Constitution income tax amendment, that the intention was
to have
property and sales taxes deducted from the actual income tax
due rather than
a deduction from taxable income. |
Larry
Wolfe |
Holland
and Hart |
He
discussed the methods available for the appraisal of industrial
properties. |
Ed
Patterson |
Wy
Prop |
He
believes property taxes are already high and that a real estate
transfer tax
would add insult to injury.
He would
like the committee to consider WY Prop’s proposals to lessen
property tax
burdens. |
June 19-20, 1998 Cont.
Speaker |
Representing |
Topic of
Concern |
Crosby
Allen |
Fremont
County Commissioner |
He
mentioned that the rest of Fremont County is seeing an increase
in property
values similar to what had occurred in Dubois. He said the retired and individuals on fixed
incomes are being
affected. He would like
to see a cap
through legislation on ten (10) percent per year be instituted
on the
increase in property values or a system where property taxes
would not
increase until the property is sold.
He believes agricultural land should be classified by
use not size. |
July 29-30,
1998
Speaker |
Representing |
Topic of
Concern |
Robb
Slaughter |
Sweetwater
County Treasurer |
Concern
that the local optional sales taxes would not pass if the state
tax was
increased. |
Colleen
Peterson |
Director
of Finance, City of Rock Springs |
Concern
over questionnaires from the state legislature asking for cash
reserve
information and whether large reserves would prevent an entity
from receiving
grant funding. |
Valerie
Thomas |
Self |
Urged
the committee to consider repealing tax exemptions rather than
increasing the
sales tax because of its regressivity. |
David
Okano |
Wyoming
Dental Association |
Encourage
committee not to suggest taxing professional services. The tax would be passed on
to patients and
would affect lower income people. |
Sarah
Gorin |
Equality
State Policy Center |
Believes
the mineral industry could be taxed more than they presently
are. |
Dave
Johnson |
Wyoming
Bankers Association |
The
Bankers Association would rather see commercial property taxes
increased
rather than have a sales tax applied to banking
services. |
Tom
Jones |
Wyoming
Library Association |
Encouraged
a better funding mechanism for Wyoming libraries that would
provide equal
services throughout the state. |
Tom
Jones |
Self |
Encouraged
that taxes collected by local governments be more equally
distributed
throughout the state.
Suggested a
system similar to that used for school
funding. |
Karen
Henry |
Wyoming
Farm Bureau |
Asked
the committee about the status of the nuclear rod storage
project. Peck told her that a full
blown economic
study is being done on the project. |
July 29-30, 1998 Cont.
Speaker |
Representing |
Topic of
Concern |
Chris
Boswell |
House
District 39 |
Encouraged
the committee not to take the easy way out and suggest a sales
tax increase,
but to look at the revenue problem in greater detail and be
creative as the
legislative intended.
Encouraged the
committee to look at the sales tax
exemptions. |
Jack
Steinbrech |
House
District 48 |
Proposed
a tax on the transfer of stocks and bonds.
Asked the committee not to consider and income
tax. |
Tom
Bunning |
Red
Horse Oil Co. |
Concerned
about the two cent off road diesel fuel tax to which is also
assessed the
state sales tax. |
Larry
Bourret |
Wyoming
Farm Bureau Federation |
Clarified
for the committee that the agricultural industry pays $31.6
million in sales
taxes. Suggested some
possible
solutions for the agricultural land valuation
problems. |
Lynn
Birleffi |
Wyoming
Retail Merchants Assn. And Wyoming Lodging and Restaurant Assn.
|
Encouraged
the committee to survey county assessors about the problems
they incur with
defining charitable institutions. |
August 21-22,
1998
Speaker |
Representing |
Topic of
Concern |
Steve
Thomas |
Greater
Yellowstone Coalition |
Encouraged
the committee to suggest a real estate transfer tax to help
mitigate that
costs of subdivision development.
Suggested that agriculture be
exempt. |
Sarah
Gorin |
Equality
State Policy Center |
Encouraged
the committee to study the effectiveness of oil and gas
incentives to see if
revenues are being lost on production that would have taken
place without the
incentives. |
Geroge
Parks and Jerry Wall |
Wyoming
Association of Municipalities |
Encouraged
the committee to follow the activities of the U.S. Senate on
the Internet
legislation. The
current bill before
the Senate would establish a commission to study the effects of
catalog and
internet sales on commerce and to look into the question of
nexus. Hines instructed Archibald
to write a
letter of support to the Wyoming delegation advocating the
commissions’
formation and informing them of the Tax Reform 2000 committee’s
position. |
David
Perry |
Publisher
– Rawlins Daily Times |
Expressed
his concern that as an individual he does not pay enough taxes
in
Wyoming. Encouraged the
committee to
study railroad taxation possibilities. |
August 21-22,
1998 Cont.
Speaker |
Representing |
Topic of
Concern |
Ed
Patterson |
Wy
Prop |
Believes
a real estate transfer tax would be less regressive than on
increase in the
property tax mill levies.
Stated that
agriculture should not be exempt from a real estate transfer
tax because it
would help make up for the tax breaks agriculture currently
has. |
Art
Zeiger |
Carbon
County Commissioner |
Thanked
the committee for holding their meeting in
Saratoga. |
Richard
Hodges |
Self |
Suggested
that if the committee must recommend increasing taxes that they
suggest taxes
that will hit everybody.
Believes
that expenditures could also be controlled before increasing
taxes. |
September
23-24, 1998
Speaker |
Representing |
Topic of
Concern |
Duane
Edmonds |
Self |
Encouraged
the committee to suggest a real estate transfer tax and to
eliminate current
sales tax exemptions. |
Wayne
Chesnut |
American
Legion |
Encouraged
the committee to recommend gambling as a source of revenue and
a real estate
transfer tax. |
Brad
Haskell |
Haskell
Furniture and Northern Wyoming Tax and Revenue
Committee |
Would
like to see stricter enforcement of the State’s use tax prior
to any increase
in the state’s sale/use tax.
Suggested stronger monitoring of the state’s borders and
installation
of signs that would explain the use tax law to individuals
crossing into
Wyoming. |
Dan
Sullivan |
Government
Relations |
Suggested
an interstate compact between Wyoming and its bordering states
to enforce the
use tax laws. |
Chesie
Lee |
Americans
Discuss Social Security and the American Cancer
Society |
Encouraged
participation in the Americans Discuss
Social Security effort by The Pew Charitable Trusts and
presented
information on additional taxes that could be raised from an
increase in the
cigarette tax. |
Lynn
Birleffi |
Wyoming
Retail Merchants Assn. And Wyoming Restaurant and Lodging
Assn. |
Presented
three proposals for research studies: impacts of an increase in
the sales
tax, leakage and gambling/lottos.
Informed the committee of a publicity campaign on the
use tax by the
Retail Merchants, discouraged the elimination of the sales tax
on groceries
and asked that committee not to suggest an increase in a tax
just because
Wyoming’s tax is lower than others
states. |
Jim
Hilberry |
Self |
Expressed
his concerns about the status of agriculture. Cautioned against tax increases and suggested
considering
expenditures decreases especially in
education. |
September
23-24, 1998
Speaker |
Representing |
Topic of
Concern |
Duane
Edmonds |
Self |
Encouraged
the committee to suggest a real estate transfer tax and to
eliminate current
sales tax exemptions. |
Lisa
Burgess |
Wyoming
Department of Revenue |
Informed
the committee the Ad Valorem Division is working on a
resolution of the
valuation problems with oil field
equipment. |
Rich
Robitaille |
Petroleum
Association of Wyoming |
Stated
the Association is also working on a solution for the valuation
of oil field
equipment. |
Joe
Reed |
Self |
Suggested
it may be time for Wyoming to adopt an income tax. He would not support a gross receipts tax that
requires tax
payment whether a profit is made or not. |
Paul
Hoffman |
Cody
Chamber of Commerce |
Presented
the results of a study in Park County that listed the reasons
people go to
Montana to shop.
Montana’s lack of a
sales tax was the last reason of seven.
Price was listed first. |
Pat
Childers |
House
District 50 |
Wyoming
may seriously have to consider an income tax if it is to
survive. |
October 29-30,
1998
Speaker |
Representing |
Topic of
Concern |
||
Marion
Loomis |
Wyoming
Mining Association |
Commended
the committee on a tremendous effort and asked that the
committee consider
recommending a tax system as if we were a new state starting
from day one. |
|
|
Ann
Stephenson |
Teton
County Commissioners |
Presented
a letter from the Teton County Commissioners that suggested the
committee not
look at property taxes or the sales tax for additional revenues
but should
consider a real estate transfer tax |
|
|
Walter
Halderman |
Wy
Prop |
Presented
a proposal that advocated basing property taxes on cost value
with an
inflationary adjustment rather than market
value. |
|
|
Ed
Lee |
Lander |
Did
not want the committee to consider an income tax because of the
decreased
purchasing power of Wyoming wages.
Suggested that property taxes be based upon a four-year
average of
market values rather than each year’s current market
value. This would take a
constitutional change |
|
|
November
18-19, 1998
Speaker |
Representing |
Topic of
Concern |
||
Rick
Tempest |
House
District 37 |
Explained
his bill to eliminate sales tax exemptions.
|
|
|
Glenda
Stark |
Self |
Advocated
cutting government expenses before taxes are
raised. |
|
|
Carolyn
Paseneaux |
House
District 38 |
Advocated
cutting government expenses before taxes are
raised. |
|
|
Joe
Meyer |
Wyoming
Secretary of State-Elect |
Presented
his thoughts on Gerking’s proposals. Suggested use of revenue
bonds,
mentioned that the cash flow in the state was bad because of
the reliance on
mineral income, and that the committee should also consider how
mineral
royalties are spent.
Suggested three
studies the committee should review: 1) Griffin-Hagen Report,
1931-32, 2) A
UW report on the population mix in the state and 3) 1968 Hansen
Report. |
|
|
Stephanie
Reeves |
Wyoming
Association of Municipalities |
Encouraged
the state to prepare a report that has long term
recommendations and suggests
a tax system that is balanced, reliable, and
equitable. |
|
|
Speaker |
Representing |
Topic of
Concern |
||
Governor Jim
Geringer |
Self |
Expressed
his concerns with the Committee’s possible income tax proposal
and the loss
of sales tax revenue through Internet sales.
Requested the final report contain a menu of
recommendations |
|
|
State
Treasurer Cynthis Lummis |
Self |
Discussed
the pending study on the expenditures of State government,
local government
funding and the investment goals of the State Treasurer’s
office |
|
|
Sen. Bill
Hawks |
Senate
District 29 |
Suggested
Government may be providing services residents to not want.
There is a need
to differentiate between those residents who know what services
they receive
and either like them or believe they don’t need
them. |
|
|
Rep. Bob
Tanner |
House
District 57 |
Suggested a
reallocation of revenues from severance taxes and mineral
royalties away from
local governments to State government.
Local governments should then be given more local tax
authority. |
|
|
Sen. Jayne
Mockler |
Senate
District
8 |
Requested
that additional economic trend information be included in the
final report. |
|
|
Rep. Colin
Simpson |
House
District 25 |
Suggested
sales tax reporting for businesses currently not taxed to
determine what
revenues could be generated. |
|
|
February 27,
1999 Cont.
Speaker |
Representing |
Topic of
Concern |
||
Rep. Pat
Childers |
House
District 50 |
Distributed
a report on revenue and tax collection information on the oil
industry. Encouraged the State to
diversify their
tax revenues and to tax income rather than revenues.
|
|
|
Rep. Randall
Luthi |
House
District 21 |
Suggested
establishing the real estate transfer tax to fund a homestead
exemption for
residential property tax payers. |
|
|
Sen. Steven
Youngbauer |
Senate
District 23 |
Believes the
expenditure study will be important to clarify essential and
non-essential
services. All statutory
earmarking
must also be studied.
Continued price
decreases in the coal industry may not only mean a decrease in
tax revenues
but also a loss of jobs.
If the State
wishes to equalize the tax distributions throughout the State
it must
consider all tax and revenue sources not just property
taxes. |
|
|
Rep. Jim
Hageman |
House
District 5 |
Suggested
that an income tax is a way to tax services in this State that
do not pay
taxes otherwise. |
|
|
Chuck
Coleman |
Self |
As a
newcomer from the State of Wisconsin, he suggested that the
best tax policy
for economic growth was one of
moderation. |
|
|
Larry
Wolfe |
Quaestar
Corp |
Believes
Wyoming must establish a tax policy because uncertainty brings
a lack of
economic development. |
|
|
Marion
Loomis |
Wyoming
Mining Association |
Encouraged
the Committee to build a tax system from scratch considering
the State’s
economic wealth bases that would yield a broader tax
structure. |
|
|
Lynn
Birleffi |
Wyoming
Lodging and Restaurant Association |
Stated the
expenditure study should look at both local and state
government
expenditures. Believes
the Committee
should also study the reporting of current taxes and if more
enforcement is
needed. |
|
|
Tom
Morton |
Self |
Suggested
the Committee gather information on residents who do not
benefit from
government services. |
|
|
Speaker |
Representing |
Topics
of Concern |
Tom
Satterfied |
Wyoming
County Commissioners Association |
Suggested
changes and clarifications to make to the Preliminary
Report. A written letter will be
forthcoming. |
George
Parks |
Wyoming
Association of Municipalities |
Stated there
was little in the Preliminary Report that his association could
take issue
with and congratulated the Committee on a well thought out
report. Encouraged the Committee to
stick with the
options they presented in the Preliminary
Report |
Tom
Throop |
Equality
State Policy Center |
Stated the
need for the Committee to further assess the fairness and
efficiency of the
current tax administration system. A letter
outlining his concerns was delivered to the Committee.
|
Lynn
Cameron |
Wyoming Girl
Scouts |
Asked that
the Committee not suggest eliminating the sales tax deduction
that non-profit
organizations have on occasional
sales. |
Mike
Moser |
Wyoming
Liquor Association |
Cautioned
that any increase in the State’s wine and spirits taxes would
impact small
business. The wine and
liquor
dealers, because of the Wyoming wholesale mark up, are at a
competitive
disadvantage with surrounding States. Larson asked if any
dealers order over
the Internet and resell it. Moser commented that it would be
tempting because
retail prices on the Internet are lower than the State of
Wyoming wholesale
prices. |
Donna
Ruffing |
Niobrara
County Commissioner |
Stated that
Niobrara County’s assessed valuation will be decreasing in the
next fiscal
year due to decreased oil valuations. The infrastructure in the
county is in
terrible shape.
Believes the county
fee schedule which is set by the legislature should be changed
and counties
given more authority. |
Bob
Tanner |
House
District 57 |
Expressed
the need for citizens of Wyoming to be educated as to the
services they
receive from governmental entities.
Suggested that each county and city consider how local
taxing
authority can replace the severance tax and mineral royalty
revenues. |
Dan
Sullivan |
Self |
Warned the
Committee that because of current statutes and Constitutional
provisions,
educational funding expenditures will continue to rise. Suggested that the Supreme
Court decision
and the Constitution provision for education be examined for
change. |
Speaker |
Representing |
Topics
of Concern |
Ralph
Myers |
Self |
Suggested
that cigarettes and alcohol taxes that have not been raised
since 1935 be
increased. He warned
the free ride
from minerals is gone and the State should be harnessing tax
revenues from
other businesses such as attorneys. |
Tom
Jones |
Owl Creek
Energy Project |
Thanked the
Committee for addressing this project in the Preliminary Report
and
encouraged continued support. |
April 22-23,
1999
Speaker |
Representing |
Topics
of Concern |
Tom
Throop |
Equality
State Policy Center |
Asked the
Committee for more timely notice of Committee meetings. Stated
the need for
the Committee to further assess the fairness and efficiency of
the current
mineral tax administrative system. |
Dave
Baskin |
Self |
Believes if
Wyoming implements an income tax, wealthy people will move to
other
states. Stated that
retired
individuals contributed to the economy through their
consumption patterns. |
Tom
Throop |
Equality
State Policy Center |
Believes
Wyoming needs to look at the fairness of its tax policy by
considering
exclusions and taxes that have been allowed to either expire or
were
reduced. Expressed
concern that if
new taxes are added that others will be reduced. Encouraged the committee to develop a chart that
shows the tax
burden of different taxpayers. |
Ann
Anderson |
Self |
Stated she
agreed with Tom Throop and Dave Baskin.
Opposed the imposition of a new income tax that would
add a new level
of government.
Suggested the
Committee consider a lottery. |
May
27, 1999
Speaker |
Representing |
Topics
of Concern |
Rep. Jim
Rose |
House
District 14 |
Spoke about
and for the electrical generation
tax. |
Bob
Tarantola |
PacifiCorp |
Spoke
against electrical generation tax. |
Sen. Jayne
Mockler |
Senate
District 8 |
Spoke for
the electrical generation tax. |
George
Bartholomew |
Missouri
Basin Power Project |
Gave input
on the effects of the electrical generation tax and further
against the
electrical generation tax. |
Tom
Throop |
Equality
State Policy Center |
Spoke for
the electrical generation tax. |
Johnnie
Burton, Director |
Wyoming
Department of Revenue |
Talked about
special district formation. |
May
27, 1999 Cont.
Speaker |
Representing |
Topics
of Concern |
Ann
Stephenson |
Teton County
Commissioner |
Would rather
see a real estate transfer tax than an increase in the sales
and use tax. |
Jeff
Heilbrun |
Wyoming
Lodging and Restaurant Association |
Spoke
against a statewide lodging tax. |
Capt. Joseph
Pepper |
Wyoming
Restaurant Association |
Spoke
against a statewide lodging tax. |
George
Parks |
Wyoming
Association of Municipalities |
Spoke
regarding local tax options. |
Dan
Sullivan |
Wyoming
Taxpayers Association |
General
advocated a general study on local government
authority. |
WRITTEN PUBLIC INPUT
1997-1999
Written Public
Input
The Tax Reform 2000 Committee sought written public input through radio, television announcements, newspaper articles and advertising. Individuals expressed their opinions by mail, fax and e-mail. The Committee received 189 written letters from individuals residing in twenty-one of the State’s twenty-three counties.
Though most letters contained opinions on many topics, the Committee did categorize each letter by the major point made. The following categories received comments:
Anti-income tax |
38 |
Pro-income tax |
21 |
No new taxes |
10 |
Sales tax concerns |
10 |
Property tax concerns |
24 |
Excise tax concerns |
11 |
Mineral tax concerns |
5 |
Anti-nuclear waste storage |
5 |
Other revenue suggestions |
34 |
State and local expenditure control |
14 |
Miscellaneous topics |
18 |
TOTAL |
188 |
|
|