MontanaHB 1369th Legislature, Regular Session (2025)HouseWALLET

State Employee Pay Plan

Sponsored By: John Fitzpatrick (Republican)

Signed by Governor

AppropriationsPublic Officers and EmployeesEducation - Post-Secondary

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Bill Overview

Analyzed Economic Effects

5 provisions identified: 4 benefits, 0 costs, 1 mixed.

More state pay toward health benefits

Eligible state employees and legislators get a $1,080 monthly employer payment toward group benefits starting January 1, 2026. That payment rises to $1,107 a month on January 1, 2027. Montana University System employees get $1,080 a month starting July 1, 2025, and $1,107 a month starting July 1, 2026. You must enroll in the plan to get this money, and employees who regularly work under 20 hours a week are not eligible. Contributions are limited as needed to avoid the federal 4980I excise tax on high-cost coverage.

State employee raises; old bonus ends

State employees on the broadband pay plan get two base pay bumps. Pay rises by $1.00 an hour or 2.5%, whichever is bigger, with the pay period that includes July 1, 2025. The same increase happens again with the pay period that includes July 1, 2026. If you are in a bargaining unit, you receive these raises only after your unit ratifies a contract. The law also removes past one-time FY 2023 bonus payments of $1,040 (full-time), $780 (20–39 hours), and $520 (under 20 hours).

Legislator pay tied to average wage

Starting with the session that begins in January 2027, each legislator’s salary equals 80% of Montana’s average hourly wage. For the session starting January 2029 and after, it equals 100% of that average. The average hourly rate is the BLS average weekly wage divided by 40. The senate president and house speaker get an extra $5 per day during session days.

Funds to carry out raises and benefits

The state funds agency payroll and benefit changes. For FY 2026, it appropriates $23,884,212 General Fund plus $10,945,977 State Special, $6,404,838 Federal Special, and $237,519 Proprietary to implement pay adjustments, and for FY 2027 it provides $47,963,240 General Fund plus $21,947,655 State Special, $12,836,357 Federal Special, and $475,848 Proprietary. It also funds higher employer health contributions: FY 2026 adds $1,830,106 General Fund plus $670,818 State Special, $395,113 Federal Special, and $14,386 Proprietary; FY 2027 adds $4,632,436 General Fund plus $2,034,938 State Special, $1,200,535 Federal Special, and $43,712 Proprietary. For in‑state per diem changes, each fiscal year provides $94,189 General Fund plus $175,993 State Special, $109,176 Federal Special, and $2,074 Proprietary. A contingency pool for the 2025–2027 biennium provides $1,000,000 General Fund, $500,000 State Special, $250,000 Federal Special, and $50,000 Proprietary for vacancies, retirements, or other needs. The Department of Administration gets $75,000 General Fund for labor‑management training in the 2025–2027 biennium.

Better in-state travel reimbursements

For work travel inside Montana, the state pays actual lodging costs plus taxes with a receipt. Meal reimbursement is 70% of the federal per‑meal rate. Departments can approve actual lodging or meal costs in special cases. Firefighters can be paid actual meal costs when those are higher than the limit.

Sponsors & Cosponsors

Sponsor

  • John Fitzpatrick

    Republican • House

Cosponsors

  • John Esp

    Republican • Senate

Roll Call Votes

All Roll Calls

Yes: 273 • No: 175

Senate vote • 3/20/2025

Do Concur

Yes: 38 • No: 12

Senate vote • 3/19/2025

AMD-HB0013.002.005 Vinton D/PASS

Yes: 12 • No: 38

Senate vote • 3/19/2025

Do Pass

Yes: 37 • No: 13

House vote • 1/27/2025

Do Pass

Yes: 71 • No: 27

House vote • 1/24/2025

Do Pass

Yes: 70 • No: 30

House vote • 1/24/2025

AMD-HB0013.002.001 Mercer DO PASS

Yes: 45 • No: 55

Actions Timeline

  1. Chapter Number Assigned

    3/27/2025House
  2. Signed by Governor

    3/27/2025House
  3. Transmitted to Governor

    3/25/2025House
  4. Signed by President

    3/25/2025Senate
  5. Signed by Speaker

    3/24/2025House
  6. Returned from Enrolling

    3/21/2025House
  7. Sent to Enrolling

    3/20/2025House
  8. 3rd Reading

    3/20/2025Senate
  9. 2nd Reading

    3/19/2025Senate
  10. 2nd Reading Motion to Amend

    3/19/2025Senate
  11. Committee Report

    2/26/2025Senate
  12. Committee Executive Action

    2/25/2025Senate
  13. Revised Fiscal Note Printed

    2/24/2025House
  14. Revised Fiscal Note Signed

    2/22/2025House
  15. Revised Fiscal Note Received

    2/21/2025House
  16. Hearing

    2/17/2025Senate
  17. Referred to Committee

    2/13/2025Senate
  18. 1st Reading

    1/28/2025Senate
  19. Transmitted to Senate

    1/27/2025House
  20. 3rd Reading

    1/27/2025House
  21. 2nd Reading

    1/24/2025House
  22. 2nd Reading Motion to Amend

    1/24/2025House
  23. Committee Report

    1/17/2025House
  24. Committee Executive Action

    1/17/2025House
  25. Revised Fiscal Note Printed

    1/14/2025House

Bill Text

  • As Amended (Version 3)

    3/20/2025

  • Enrolled

    3/20/2025

  • As Amended (Version 2)

    1/17/2025

  • Introduced

    12/11/2024

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