MontanaHB 25169th Legislature, Regular Session (2025)HouseWALLET

Generally revise laws related to public charter schools

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Bill Overview

Analyzed Economic Effects

6 provisions identified: 2 benefits, 0 costs, 4 mixed.

Special education rules at charters

Beginning July 1, 2025, a charter school’s governing board acts as the local education agency for that school. It must find students who need special education and provide required services under law. The out‑of‑district rules for children with disabilities also apply to charter districts, so the resident district helps pay part of the cost.

Charter funding and no family fees

Beginning July 1, 2025, the state sets charter funding as 80% of basic and per‑ANB entitlements, 100% of several other payments, and 140% of special education. Charter districts cannot charge tuition or fees to families, except under a specific disability rule. A charter run by a local board is a separate budget unit with its own ANB. A basic entitlement is paid only if ANB is over 70 (elementary), over 20 (middle), or over 40 (high). Nonresident students at a local‑board‑run charter generate funding like other out‑of‑district agreements.

New charter approval rules and limits

Beginning July 1, 2025, only the State Board can approve charter schools. Each year by June 1, the Board issues a public RFP that lists approval criteria. Applicants must file full plans, including a five‑year budget and a facilities plan; incomplete applications are returned without review. OPI must give cost estimates, and the Board must keep total added state costs within the amount the legislature budgets. The Board asks local voters for input when the applicant is not the local board and gives priority to personalized, proficiency‑based learning. The Board must decide within 90 days. If it approves a non‑local board, that also creates a separate charter district.

Union choice for charter school staff

Beginning July 1, 2025, charter employees cannot be forced to join a district union. Schools may not block organizing or punish workers for organizing.

Charter districts separate from local districts

Beginning July 1, 2025, a public charter school can be its own governing district. It cannot levy taxes. Its boundary follows the campus legal description and is removed from the located district. The county treasurer keeps the charter’s funds in separate accounts. The charter district is responsible only for its own debts; past debts in the located district stay there.

Charter operations, powers, and safeguards

Beginning July 1, 2025, a charter school runs under its charter with control over money, staffing, schedule, and teaching. Its governing board can handle funds, insure, contract and lease without prevailing wage rules, borrow, accept gifts, and own property. Charter schools must be nonsectarian in instruction, admissions, hiring, and operations. They must report finances each year and use competitive bidding for purchases over $80,000. Any unspent money stays with the school for future years.

Sponsors & Cosponsors

Sponsor

David Bedey
Republican • House

Cosponsors

Jacinda Morigeau
Democrat • Senate

Roll Call Votes

All Roll Calls

Yes: 264 • No: 30

House vote • 4/10/2025

Do Concur

Yes: 47 • No: 1

House vote • 4/8/2025

Do Concur

Yes: 45 • No: 2

House vote • 2/11/2025

Do Pass

Yes: 85 • No: 14

House vote • 2/10/2025