Prohibits Wyoming state entities from accepting and expending federal funds beginning July 1, 2026, and requires return of unexpended federal funds to the United States.
- Creates a prohibition on state entities (state government, agencies, departments, community colleges, and University of Wyoming) from accepting, appropriating, disbursing, or expending any federal funds. (W.S. 9-2-1038(b))
- Requires any state entity that violates the federal funds prohibition to remit to the state treasurer an equal amount of general funds by June 30 of the applicable year. (W.S. 9-2-1038(c))
- Requires state entities to transfer any unexpended, unobligated federal funds to the state auditor by July 1, 2026, and directs the state auditor to return those funds to the United States by September 1, 2026. (W.S. 9-2-1038(d))
- Makes the federal funds prohibition supersede any conflicting provisions of state law. (W.S. 9-2-1038(e))
- Amends sections governing the state's authority to apply for federal funds, the coordinator of state-federal relations, and the governor's budget authority to remove references to federal funds. (W.S. 9-1-208(a)(i), W.S. 9-1-209(b)(ii), (iv), (c), W.S. 9-2-1005(b)(intro), (ii)(intro), (p))
- Repeals provisions of law that previously authorized the state to accept federal funds and gave the governor authority to manage federal fund expenditures. (W.S. 9-1-209(b)(v), W.S. 9-2-1005(a)(xi), (b)(iii), (c)(i)(C), (g), (q), (r), W.S. 9-4-206(b), W.S. 9-4-207(b))
- Exempts federal funds that were appropriated, disbursed, or expended before July 1, 2026 from the prohibition and protects contracts or agreements entered into before that date. (Section 4(a), (b))
- Requires each state entity to account for federal funds received by July 1, 2025, attempt to reclaim obligated federal funds, and report to management council and the joint appropriations committee on the federal funds they will forgo and necessary legal changes by October 1, 2025. (Section 5(a))
- Provides that if any 2026 Budget Session legislation appropriates federal funds in violation of this act, the prohibition in this act controls and supersedes that conflicting legislation.
