All Roll Calls
Yes: 491 • No: 2
MontanaHB 25069th Legislature, Regular Session (2025)HouseWALLET
Generally revise education laws related to out-of-district attendance.
Sponsored By: David Bedey (Republican)
Became Law
Schools and EducationTaxation--PropertySchool Finance
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Bill Overview
Analyzed Economic Effects
6 provisions identified: 2 benefits, 0 costs, 4 mixed.
More options for remote classes
Beginning July 1, 2025, districts may offer remote instruction under state rules. Eligible remote pupils include district residents, pupils living in the district who are eligible under IDEA or Section 504, pupils enrolled and physically attending under an attendance agreement, and pupils using the nearest district when the home district lacks an equivalent course. Remote pupils count for funding. Except for pupils physically attending under an agreement, remote instruction is not treated as out‑of‑district attendance and no tuition is charged under those statutes.
Special education placements and funding protections
Beginning July 1, 2025, when a child with a disability attends another district, the home district pays regular tuition plus a special education tuition amount set under state rules. The attendance district can reduce that tuition by money it already gets or set it to the actual cost of providing a free appropriate public education. IEP placements across districts use the same out-of-district tuition and transportation rules. A district may levy amounts to cover each child’s full FAPE cost but must subtract state and federal special education payments, per‑ANB, and prorated basic entitlement and general fund payments.
Parents can apply to another district
Beginning July 1, 2025, you can ask to enroll your child in a public school outside your home district. Trustees must approve unless taking more students would break safety or class-size limits, block improvement goals, or the student was truant, expelled, or suspended in any of the last 3 school fiscal years. That disciplinary rule does not apply to students eligible for special education or related services. If there are more requests than space, trustees may set a fair priority that puts resident students and local taxpayers first. If your district does not offer a needed grade or program, your home district can start an agreement with another district to provide it. The attendance district must tell you within 10 days when it expects to decide, send the decision within 10 days, and list the reason if denied. You can appeal to the county superintendent, then to the state superintendent.
Who pays for out-of-district transport
Beginning July 1, 2025, attendance agreements use a standard state form and must say who pays for transportation. If you request out-of-district attendance, your family pays to get your child to school unless the districts agree otherwise; the child is not an eligible transportee. If transportation is in the child’s IEP, the home district pays. Any charge for transportation cannot be more than the district’s average cost per mile or $0.35 per mile, whichever is lower. A district may offer transportation at its discretion.
How much districts pay for tuition
Beginning July 1, 2025, when a child attends outside the home district, the home district pays per‑student tuition equal to the per‑ANB tuition times the smaller of the two districts’ shares of their general fund funded by BASE and over‑BASE property taxes. This payment cannot be more than 35.3% of the per‑ANB amount. If the home district is nonoperating, the attendance district’s share is used and the same 35.3% cap applies. If HB 156 also takes effect, nonoperating‑district payments are instead capped at 20% and use only the over‑BASE share. Tuition is prorated when a student is a nonresident for only part of the year. For some higher‑cost programs, the state pays the actual cost minus 120% of the per‑ANB amount, up to $2,500 per student. If a child attends a public school in another state, the daily tuition may not exceed the home district’s average annual cost per student, with exclusions for special education and certain court or agency placements. If a state agency places a child in an out‑of‑state residential facility, that agency pays the education costs.
When districts pay and get reimbursed
Beginning July 1, 2025, the home district pays tuition from its tuition levy, general fund, or other legal funds, and transportation from its transportation levy or general fund. It must pay at least half by December 31 after the school year and the rest by June 15 of the next fiscal year. Districts must report by June 30 to be eligible for state reimbursement. The state superintendent pays the attendance district the reported tuition (prorated by days), figures per‑ANB entitlements, and may reimburse the home district for the state portion. Tuition receipts lower the attendance district’s BASE levy need; transportation receipts go to the transportation fund; extra disability‑related tuition goes to the miscellaneous programs fund. Superintendent reimbursements go into the tuition fund and must pay for residents attending public schools out of state or approved day‑treatment private schools. Districts that will not operate a school must create a nonoperating fund to handle tuition, transportation, property upkeep, and related costs. This law applies to attendance agreements for school fiscal years starting on or after July 1, 2025.
Sponsors & Cosponsors
Sponsor
David Bedey
Republican • House
Cosponsors
There are no cosponsors for this bill.
Roll Call Votes
House vote • 4/11/2025
Do Concur
Yes: 99 • No: 0
House vote • 4/11/2025
Do Concur
Yes: 98 • No: 1
House vote • 4/2/2025
Do Concur
Yes: 49 • No: 1
House vote • 4/1/2025
Do Concur
Yes: 47 • No: 0
House vote • 2/7/2025
Do Pass
Yes: 99 • No: 0
House vote • 2/6/2025
Do Pass
Yes: 99 • No: 0
Actions Timeline
Chapter Number Assigned
5/8/2025HouseSigned by Governor
5/5/2025HouseTransmitted to Governor
4/25/2025HouseSigned by President
4/25/2025SenateSigned by Speaker
4/23/2025HouseReturned from Enrolling
4/14/2025HouseSent to Enrolling
4/11/2025House3rd Reading Passed as Amended by Senate
4/11/2025House2nd Reading Senate Amendments Concurred
4/11/2025HouseReturned to House with Amendments
4/2/2025Senate3rd Reading Concurred
4/2/2025Senate2nd Reading Concurred
4/1/2025SenateCommittee Report--Bill Concurred as Amended
3/28/2025SenateCommittee Executive Action--Bill Concurred as Amended
3/27/2025SenateHearing
3/19/2025SenateHearing Canceled
3/17/2025SenateReferred to Committee
2/20/2025SenateFirst Reading
2/10/2025SenateTransmitted to Senate
2/7/2025House3rd Reading Passed
2/7/2025House2nd Reading Passed
2/6/2025HouseCommittee Report--Bill Passed
2/4/2025HouseCommittee Executive Action--Bill Passed
2/3/2025HouseCommittee Executive Action--Bill Passed
2/3/2025HouseHearing
1/22/2025House
Bill Text
Enrolled
4/15/2025
As Amended (Version 2)
3/28/2025
Introduced
1/17/2025