CHEYENNE, Wyo. (AP) — Wyoming leaders are considering budget cuts and possibly spending from state savings in the face of falling energy revenues.

The state's Consensus Revenue Estimating Group released its annual financial forecast Monday.

The group projects that for the period from this July through June 2018, Wyoming's general fund revenues will be $617 million lower than projected early this year. That's a substantial hit, considering the state's current two-year general fund budget runs roughly $3.5 billion.

Wyoming schools also stand to see lower funding as a result of falling property tax valuations and the mineral production slowdown.

Cheyenne Republican Sen. Tony Ross is chairman of the Senate Appropriations Committee. He says the state's school funding could face a shortfall of over $700 million in the two-year funding cycle that starts next summer.