Cheyenne, WY (KGWN)- Wyoming is a state that relies on a mineral budget, and when prices stay low, the state budget becomes uneasy.
"With gas staying low, oil staying low, coal. We not only see where we were ahead as late as July in terms of revenue, we are now behind," said Governor Matt Mead.
Wyoming could be facing a deficit of up to two hundred million dollars.
"We're going to have to tighten our belts, and tighten our belts a lot," said Governor Mead.
A discussion has begun but what will be cut first is still unclear.
"What programs can either be reduced or potentially eliminated depending on their priority within each agency," said Senator Tony Ross, (R) Laramie County.
For now, Governor Mead has stopped new hiring for state agencies and is asking them to cut back expenses.
"What we will not do, what I will not allow to happen is for us to outspend what we have in terms of revenue," said Governor Mead.
Local government budget cuts have also been discussed, but the future of Cheyenne looks stable for now.
"What we'll be watching is what the legislature does and what the state revenues are for the next two fiscal years," said Lois Huff, Cheyenne City Treasurer.
Early options include re-balancing the budget ..raiding reserves…and looking into new areas of income
"How we're going to seriously diversify the economy and i mean go out and actually recruit businesses," said Representative James Byrd, (D) Laramie County.