MontanaHB 26669th Legislature, Regular Session (2025)HouseWALLET

Establish education inflation reconciliation process

Sponsored By: Luke Muszkiewicz (Democrat)

Became Law

Schools and EducationSchool Finance

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Bill Overview

Analyzed Economic Effects

3 provisions identified: 1 benefits, 0 costs, 2 mixed.

School funding inflation formula with 3% cap

The law requires the Superintendent to set an annual inflation factor for K‑12 base aid when building the next biennium budget. It uses July CPI values and a cube‑root method for each year. Year one uses July CPI of the prior year over July CPI three years earlier. Year two uses July CPI of the current year over July CPI three years earlier. The increase used in the present‑law base cannot exceed 3% a year and applies to both years. Enrollment increases or decreases are included along with the capped inflation factor. This applies to basic and per‑ANB entitlements, data‑for‑achievement, special education per‑ANB, and listed general fund payments. CPI means the CPI‑U, U.S. city average, 1982–84=100. The act takes effect July 1, 2025.

Regular reports on school funding and inflation

Beginning in fiscal year 2026 and every even‑numbered fiscal year, the Superintendent must report on funding vs. inflation. Send the report by September 1 to the Education Interim Budget Committee and the Education Interim Committee. Send it by December 31 to the Legislative Finance Committee. The report shows per‑ANB funding increases for listed BASE aid items for the current year and prior five years, in dollars and percents, rounded to the nearest one‑hundredth. It also shows July‑to‑July CPI changes for the same years and a cumulative comparison of the differences.

SB 258 void if both enacted

If both this act and Senate Bill 258 are passed and approved, SB 258 is void and has no effect. This rule applies only when both measures become law.

Sponsors & Cosponsors

Sponsor

  • Luke Muszkiewicz

    Democrat • House

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 478 • No: 104

House vote 4/15/2025

Do Concur

Yes: 77 • No: 20

House vote 4/14/2025

Do Concur

Yes: 86 • No: 10

House vote 4/2/2025

Do Concur

Yes: 31 • No: 19

House vote 4/1/2025

Do Concur

Yes: 34 • No: 16

House vote 3/1/2025

Do Pass

Yes: 88 • No: 9

House vote 2/28/2025

Do Pass

Yes: 90 • No: 8

House vote 2/14/2025

Do Pass

Yes: 72 • No: 22

Actions Timeline

  1. Chapter Number Assigned

    5/5/2025House
  2. Signed by Governor

    5/1/2025House
  3. Transmitted to Governor

    4/22/2025House
  4. Signed by President

    4/22/2025Senate
  5. Signed by Speaker

    4/18/2025House
  6. Returned from Enrolling

    4/15/2025House
  7. Sent to Enrolling

    4/15/2025House
  8. 3rd Reading Passed as Amended by Senate

    4/15/2025House
  9. 2nd Reading Senate Amendments Concurred

    4/14/2025House
  10. Revised Fiscal Note Printed

    4/3/2025House
  11. Revised Fiscal Note Signed

    4/3/2025House
  12. Returned to House with Amendments

    4/2/2025Senate
  13. Revised Fiscal Note Received

    4/2/2025House
  14. 3rd Reading Concurred

    4/2/2025Senate
  15. 2nd Reading Concurred

    4/1/2025Senate
  16. Revised Fiscal Note Requested

    3/31/2025House
  17. Committee Report--Bill Concurred as Amended

    3/26/2025Senate
  18. Committee Executive Action--Bill Concurred as Amended

    3/25/2025Senate
  19. Hearing

    3/10/2025Senate
  20. Referred to Committee

    3/4/2025Senate
  21. First Reading

    3/3/2025Senate
  22. 3rd Reading Passed

    3/1/2025House
  23. 2nd Reading Passed

    2/28/2025House
  24. Revised Fiscal Note Printed

    2/27/2025House
  25. Revised Fiscal Note Signed

    2/27/2025House

Bill Text

  • Enrolled

    4/15/2025

  • As Amended (Version 4)

    3/26/2025

  • As Amended (Version 3)

    2/25/2025

  • As Amended (Version 2)

    2/11/2025

  • Introduced

    1/21/2025

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