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69th Legislature 2025 SB 258
- 1 - Authorized Print Version – SB 258
ENROLLED BILL
AN ACT CLARIFYING THE LEGISLATURE'S AUTHORITY TO PROVIDE SCHOOL FUNDING
INFLATIONARY ADJUSTMENTS DIFFERENT THAN THOSE CALCULATED TO DETERMINE THE
PRESENT LAW BASE; AND AMENDING SECTION 20-9-326, MCA.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MONTANA:
Section 1. Section 20-9-326, MCA, is amended to read:
"20-9-326. Annual inflation-related adjustments to basic entitlements and per-ANB
entitlements. (1) In preparing and submitting an agency budget pursuant to 17-7-111 and 17-7-112, the
superintendent of public instruction shall determine the inflation factor for the basic and per-ANB entitlements,
the data-for-achievement payment, the per-ANB amount used to calculate the total special education allocation
in 20-9-306, and the general fund payments in 20-9-327 through 20-9-330 in each fiscal year of the ensuing
biennium. The inflation factor is calculated as follows:
(a) for the first year of the biennium, divide the consumer price index for July 1 of the prior calendar
year by the consumer price index for July 1 of the calendar year 3 years prior to the prior calendar year and
raise the resulting ratio to the power of one-third; and
(b) for the second year of the biennium, divide the consumer price index for July 1 of the current
calendar year by the consumer price index for July 1 of the calendar year 3 years prior to the current calendar
year and raise the resulting ratio to the power of one-third.
(2) The present law base for the entitlements referenced in subsection (1), calculated under Title
17, chapter 7, part 1, must consist of any enrollment increases or decreases plus the inflation factor calculated
pursuant to this section, not to exceed 3% in each year, applied to both years of the biennium. The legislature,
exercising its appropriation and lawmaking authority, may provide by law inflationary adjustments other than
those calculated in this section and in excess of 3%.
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69th Legislature 2025 SB 258
- 2 - Authorized Print Version – SB 258
ENROLLED BILL
(3) For the purposes of this section, "consumer price index" means the consumer price index, U.S.
city average, all urban consumers, for all items, using the 1982-84 base of 100, as published by the bureau of
labor statistics of the U.S. department of labor."
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I hereby certify that the within bill,
SB 258, originated in the Senate.
___________________________________________
Secretary of the Senate
___________________________________________
President of the Senate
Signed this _______________________________day
of____________________________________, 2025.
___________________________________________
Speaker of the House
Signed this _______________________________day
of____________________________________, 2025.
SENATE BILL NO. 258
INTRODUCED BY L. SMITH, S. NOVAK, P. FLOWERS, E. KERR-CARPENTER
AN ACT CLARIFYING THE LEGISLATURE'S AUTHORITY TO PROVIDE SCHOOL FUNDING INFLATIONARY
ADJUSTMENTS DIFFERENT THAN THOSE CALCULATED TO DETERMINE THE PRESENT LAW BASE; AND
AMENDING SECTION 20-9-326, MCA.