The Boom: Short Term Gain, Long Term Pain
In case you hadn’t heard, the United States has been experiencing an oil boom for the last five years. The boom has helped the country’s economic recovery and created thousands of jobs for people in states like North Dakota, Wyoming and Texas. But although booms are often heralded for the economic opportunities they provide…they also have a darker side.
UW Professor Hopeful About State's Boom-Bust Future
Wyoming Public Radio’s Caroline Ballard sat down with Phil Roberts, a history professor at the University of Wyoming, to understand more about the history of booms and busts in Wyoming. He says it's a cycle the state has gone through many times before.
A Tiny Wyoming Town, Stuck In (Boom) Traffic
If you ever take Highway 59 between Douglas and Gillette, you might have noticed that recently there are more state troopers… giving out more citations. In addition to this increased police presence, Governor Matt Mead has proposed nearly 22 million dollars in safety upgrades. Why? Because since 2010, accidents on this section of Highway 59 have nearly doubled. But lawmakers are just now taking action.
How A Service Station In A Wyoming Boomtown Learned To Live With(out) The Energy Industry
For a little shop like the Bill Store an energy boom can be a blessing. Nothing is better for a small business than lots of customers with cash to burn. But when wells close and energy workers head out of town the businesses that remain have to figure out how to survive.
Housing Shortages in the Boom: A Tale of Two Wyoming Towns
If you move to Wyoming to work in oil or gas you probably know to expect long hours and a big paycheck. You might even know to expect to be sleeping in your car. Housing is a perennial issue in boomtowns, one that pits the needs of energy workers against the interests of long term residents and there’s no easy fix.
Oilfield Families Struggle To Find Housing In Booming Economy
When you think of towns impacted by energy development, it usually involves transient workers, increased crime, and RV parks. Maybe not the most family oriented place. But plenty of oil and gas workers try to make it work, which could be just the cure for some of these social ills. The challenge is finding these families adequate housing.
State Government Officials Try To Defend Against A Bust
In Wyoming the energy industry accounts for nearly 70 to 80 percent of the state’s wealth. Wyoming builds its budget around energy prices and sales taxes that are connected to energy. When commodity prices fall, it’s difficult to fund government services.
After the oil downturn of the 1980’s funding the government was a challenge and Wyoming’s incoming Speaker of the House Kermit Brown remembers that it got especially bad in the late 90’s.
Former Governor Jim Geringer On How To Handle A Bust
ew people have had a more intimate experience with a boom and bust economy than former Governor Jim Geringer. The Republican took office in 1995 and left in 2002 as the state was enjoying a natural gas boom. Geringer also chaired the Senate Appropriations committee in the early 1990’s when budget cutting was the norm. Geringer says to prepare for a bust, the state should prioritize programs.
The Bust: A Difficult Cycle To Break
Oil prices have been in freefall in recent months, dropping by more than half since June. For energy states like Wyoming, that’s bad news. As Governor Matt Mead pointed out recently, the state has a lot of money riding on oil.
This is not the first time Wyoming has weathered a downturn. In fact, for those who can remember all the way back to 2009 and crashing natural gas prices, today’s news may seem like deja vu. Booms and busts are part of the state’s economy. But do they have to be?
