MontanaHB 2869th Legislature, Regular Session (2025)House

Clarify timelines and opening procedures for public charter schools

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Bill Overview

Analyzed Economic Effects

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

No tuition at public charter schools

Public charter school districts may not charge students tuition or fees. If your child attends a public charter school district, you do not pay tuition or school fees to that district. This applies to schools approved to start in school years beginning on or after 2025-07-01.

First-year charter funding uses planned enrollment

In the first operating year, a public charter school is not eligible for per‑student (per‑ANB) entitlement. Its basic entitlement uses the planned enrollment from its application, converted to ANB. In the first year for a public charter school district, per‑ANB, basic entitlement, and some categorical payments also use planned enrollment converted to ANB. If the October count shows lower ANB or the school does not qualify, the state recovers overpayments under 20-9-344. These rules apply to schools approved to start in school years beginning on or after 2025-07-01.

How charter districts handle money

Public charter school districts get set shares of existing K–12 payments: 80% of the basic and per‑ANB entitlements; 100% of quality educator, at‑risk, Indian education for all, American Indian achievement gap, and data‑for‑achievement payments; and 140% of special education allowable cost. That total is both the minimum and the maximum public funding the charter district receives. If a charter is not run by the local board, the county treasurer keeps its money in separate funds. A charter district may borrow on its own and is solely responsible for its debts; it is not responsible for the located district’s existing debt service. Boards may accept lawful donations, and unspent funds carry over to future years. These rules apply to schools approved to start in school years beginning on or after 2025-07-01.

Student counts that set charter funding

A public charter school run by a local school board is a separate budget unit with its own ANB. It gets a separate basic entitlement when ANB is more than 70 (elementary), 20 (middle), or 40 (high). For charter districts, basic entitlement also requires ANB above those same thresholds, with first‑year exceptions described elsewhere. In years two and three, a charter’s three‑year‑average ANB equals its current‑year ANB. Nonresident students at local‑board charters are funded under the same out‑of‑district rules as other nonresident students. These rules apply to schools approved to start in school years beginning on or after 2025-07-01.

Faster charter approvals and renewals

Each year by June 1, the Board issues a request for proposals for new charters. After a proposal is filed, the Board must approve or deny it within 90 business days, then sign the contract within 45 business days. Approved charters are exempt from standard opening rules in Title 20, chapter 6, part 5. For renewals, the Board sends a performance report, and the school has 90 business days to respond; the Board must decide on renewal within 30 business days after the application is filed. The Board must also promptly inform the state education office and county superintendents about charter status.

Sponsors & Cosponsors

Sponsor

David Bedey
Republican • House

Cosponsors

Daniel Emrich
Republican • Senate

Roll Call Votes

All Roll Calls

Yes: 217 • No: 80

Senate vote • 3/21/2025

Do Concur

Yes: 42 • No: 8

Senate vote • 2/19/2025

Do Concur

Yes: 28 • No: 21

House vote • 1/17/2025

Do Pass

Yes: 73 • No: 25

House vote • 1/16/2025