Fast Facts:

Law passed: 2023

Most recently amended: N/A

Number of charter schools: 1

Number of charter students: 50

Cap on the number of schools allowed: No, but there is a de facto cap on districts with fewer than 1,000 residents.

Virtual charters allowed: Yes

Charter Law Analysis:

AUTHORIZERS: The passage of the state's H.B. 562, the Community Choice Schools Act, was intended to establish charter schools through the appointment of an independent Commission, the Community School Choice Commission, which reviews and approves local school boards who have applied to become authorizers and also ensures authorizers are properly fulfilling their role as an authorizer. The operations of the Commision to authorize charters, however, was halted by a district judge after a lawsuit was filed by a coalition of school district representatives under the heading of the 'Montana Quality Education Coalition' and the 'League of Women Voters of Montana.' This makes the Commission inactive and therefore it receives a lower score than it would have, had it been able to actively consider applications. The Commission is permitted to meet, hire staff, and adopt bylaws, but it is prohibited from considering applications for local school boards seeking authority to approve charters themselves while the case continues. H.B. 549, another bill passed at the same time, establishes the State Board as the authorizer on appeal. Under this provision, charter applicants must first go through the local school board where the charter would be located and be declined before going to the State Board.

GROWTH: There is no cap on the number of charter schools that can exist, but there is a de facto cap on districts with populations under 1,000, which are prohibited from having charter schools. However, as the school board is the only authorizer other than the appeal process, it is unlikely to result in a healthy population of charter schools.

OPERATIONS: A community choice school has a blanket waiver from most state regulations governing traditional districts and operates as its own Local Education Agency, providing it potential for maximum independence on decisions including but not limited to matters concerning finance, personnel, scheduling, curriculum, and instruction as defined in the charter contract. They are also free from rules regarding certification and state pension participation.

EQUITY: A community choice school is supposed to be funded equitably. However, law specifies that they are entitled to 80% of the per pupil BASE aid for each student, 100% of funding for student groups such as at-risk, Indian education and 140% of special needs costs. Schools have first right of refusal to excess public facilities.

Fast Facts:

Law enacted: 2023

Number of programs: 2

Types of programs: Education savings account, tax-credit scholarship

Choice Laws & Analysis:

Education Savings Account

Montana Special Needs Equal Opportunity Education Savings Account Program
In 2023 Montana passed H.B. 393, which established an education savings account to be used for tuition and school supplies by students with disabilities. The award amount is estimated to be $5,000-$6,000 for elementary students, and between $6,400-$8,000 per high school student, or 65% of per-pupil funding. Only students in grades K--12 with a disability are eligible for the program, and funds roll over in a students account until they turn 24 years old or until graduation. Approximately 12 percent of students in the state qualify. With this new program, nearly 2,000 are projected to enroll in choice programming by 2025.

Tax-Credit Scholarship

Student Scholarship Organization Tax Credit
First enacted in 2015, and upheld in a groundbreaking case by the US Supreme Court, this program provides donors contributing to a scholarship organization (SSO) a dollar-for-dollar tax credit up to $20,000. Since the 2016--17 school year, SSOs in Montana have supported students attending private schools or receiving tutoring. The statewide tax credit limit was $2 million in 2023, with a 20 percent increase if the cap was met. In 2024 and beyond, $5 million per year is available in credits. Individual credits are capped at $200,000.

USE OF STUDENT DATA IN EVALUATING TEACHER PREP

"Although programs in Montana must demonstrate the impact of completers on student learning, it is not necessarily based on student growth."

This is just one indicator from The National Council on Teacher Quality, which collects and analyzes states on how well their policies and practices lead to well-prepared teachers. They collect data on state laws and regulations concerning the preparation of teachers, the policies that govern their oversight and the contracts that guide their employment. Learn more about your state here.