"Public education is at risk right now in our state legislature. Three bills jump off the page for our attention and opposition." Paraphrased from Founding President Feaver
HBs 129, 279 and 329 all spend public dollars and incentivize or directly privatize public schooling in Montana.
HB 129 expands Montana's 529 Education Savings Account program to now include k-12 private and religious education expenses. The Trump administration made this expansion on the federal level, and the Biden administration is likely to reverse it. Passing HB 129 now will put MT's 529 accounts at risk.
Read the Fiscal Note here. The initial loss in state revenue is modest to begin with but grows over time to over $800,000 by tax year 2024. Who knows thereafter? And the fiscal note does not address state funding local school districts will suffer if and when parents withdraw their students from public education to take advantage of the new tax exemption HB 129 provides.
To reiterate, HB 129 incentivizes taxpayers to privatize their children’s elementary and secondary education.
Per the fiscal note: “New expenses allowed under the proposed changes [in the Montana Education Savings Program fund] include K-12 tuition, certain expenses for registered apprenticeships and the repayment of students loans. The proposed bill also reduces the time that money deposited into the fund must be kept in the fund before being subject to taxation from three years to one year.”
Every penny this state spends directly or indirectly on private (primarily religious) education is a penny lost to state government expenditures and compromises the constitutional promise we the people have made to ourselves.
THE CONSTITUTION OF THE STATE OF MONTANA
ARTICLE X. EDUCATION AND PUBLIC LANDS
Educational Goals And Duties
Section 1. Educational goals and duties. (1) It is the goal of the people to establish a system of education
which will develop the full educational potential of each person. Equality of educational
opportunity is guaranteed to each person of the state.
(2) The state recognizes the distinct and unique cultural heritage of the American Indians and is
committed in its educational goals to the preservation of their cultural integrity.
(3) The legislature shall provide a basic system of free quality public elementary and secondary
schools. The legislature may provide such other educational institutions, public libraries, and
educational programs as it deems desirable. It shall fund and distribute in an equitable manner to
the school districts the state's share of the cost of the basic elementary and secondary school
system.
Aid Prohibited To Sectarian Schools
Section 6. Aid prohibited to sectarian schools. (1) The legislature, counties, cities, towns, school districts,
and public corporations shall not make any direct or indirect appropriation or payment from any
public fund or monies, or any grant of lands or other property for any sectarian purpose or to aid
any church, school, academy, seminary, college, university or other literary or scientific institution,
controlled in whole or in part by any church, sect, or denomination.
(2) This section shall not apply to funds from federal sources provided to the state for the express
purpose of distribution to non-public education.
____________________________________
HB 279's fiscal notes states that the bill "makes several significant changes to the credits.
First, the maximum amount of credits each taxpayer can claim is increased from $150 to $200,000. This applies to SSO [Student Scholarship Organizations] and the IEP credit [Education Improvement Account].
Second, credits can now be carried forward for up to three years.
Third, the credit caps [$3 million] are increased by 20 percent, if 80 percent of the credit cap was reached the previous year.
Finally, the termination dates for both credits is changed from December 31, 2023 to December 31, 2026.”
Read the Fiscal note here.
REVISING LAWS RELATED TO THE TAX CREDIT SCHOLARSHIP PROGRAM AND THE INNOVATIVE EDUCATIONAL PROGRAM; REMOVING THE ASSESSMENT REQUIREMENTS FOR QUALIFIED EDUCATION PROVIDERS; REVISING LIMITS ON SCHOLARSHIP AMOUNTS; ALLOWING TAX CREDITS EARNED UNDER THE PROGRAMS TO BE CARRIED FORWARD; REVISING THE TAX CREDIT LIMIT AND THE AGGREGATE LIMIT OF CREDITS UNDER THE PROGRAMS; REVISING THE PREAPPROVAL PROCESS FOR THE TAX CREDIT SCHOLARSHIP PROGRAM; EXTENDING THE TERMINATION DATE FOR THE TAX CREDIT SCHOLARSHIP PROGRAM AND THE INNOVATIVE EDUCATIONAL PROGRAM
Oppose – passed House – referred to Senate Education – Hearing March 10
SB 410 and now HB 279 are all about public funding of private, primarily religious education in Montana.
If passed into law, the governor’s budget office estimates that individual and corporate contributions – earning dollar for dollar tax credits - to Student Scholarship Organizations will grow to over $5 million in tax year 2024.
And once again, the fiscal note does not address state funding local school districts will suffer if and when parents withdraw their students from public education to enroll in private education with the expectation they will receive significant publicly funded tuition assistance.
It gets worse. HB 279 strips from law measurements of accountability that private schools and the department of revenue currently have to inform lawmakers, parents and the public-at-large as to student performance in private schools receiving SSO tuition assistance.
One more time, HB 279, as did SB 410, compromises Article 10, Montana state constitution. But in addition, like SB 410, HB 279 violates Article 5.11(5) Montana state constitution. An assertion that should definitely be litigated in Montana courts of law.
THE CONSTITUTION OF THE STATE OF MONTANA
Part V. THE LEGISLATURE
Section 11. Bills.
(5) No appropriation shall be made for religious, charitable, industrial, educational, or benevolent purposes to any private individual, private association, or private corporation not under control of the state.
_____________________________
HB 329 does not create a tax exemption nor a tax credit. It is instead a direct state AND local appropriation to create a special needs student savings account for parents to access to pursue private education of their special needs children.
Read the Fiscal Note here.
GENERALLY REVISING LAWS RELATED TO ESTABLISHING THE STUDENTS WITH SPECIAL NEEDS EQUAL OPPORTUNITY ACT AND THE MONTANA SPECIAL NEEDS EQUAL OPPORTUNITY EDUCATION SAVINGS ACCOUNT PROGRAM; ESTABLISHING REQUIREMENTS FOR ELIGIBILITY AND ALLOWABLE EXPENSES; PROVIDING RESPONSIBILITIES FOR PARENTS, SCHOOL DISTRICTS, AND THE SUPERINTENDENT OF PUBLIC INSTRUCTION; CLARIFYING THE AUTONOMY OF PARTICIPATING PRIVATE SCHOOLS; PROVIDING FOR FUNDING OF SPECIAL NEEDS EQUAL OPPORTUNITY EDUCATION SAVINGS ACCOUNTS; ESTABLISHING THE SPECIAL NEEDS EQUAL OPPORTUNITY EDUCATION SAVINGS TRUST; PROVIDING AN APPROPRIATION AND A STATUTORY APPROPRIATION; PROVIDING RULEMAKING AUTHORITY
Oppose – passed House Education
From the fiscal note: “It is estimated that 23,410 students would be eligible for the Montana special needs education savings account program... If all 23,410 eligible students participated in the education savings account, the program would transfer approximately $180 million annually of state funding and local property tax dollars from local public school districts to the education savings account.”
But then, the fiscal note anticipates that “not more than 100 students would participate in the education savings accounts program?” What science supports this estimate?
Still yet from the fiscal note: “School districts may adopt higher general fund budgets to offset the loss of funds related to this bill. In consideration of these increases and not allowing budgets to surpass the highest allowable budget, it is estimated that property taxes could increase... the difference in the potential increase needed to provide for the qualified schools [private schools educating special needs students] could be greater than the potential schools could vote property tax increases to offset the loss leading to potential budget shortfalls... for every student in this program, resident district would be required to contribute $7,808 to the special needs education savings account. This funding would be budgeted and would reduce funding for other educational expenditures.
Continuing: “If the student must be enrolled in a public school to use this savings account, the public school is responsible for FAPE [Free and Appropriate Public Education] At the time the child enters the program, the school district would need to ensure the private school is providing FAPE and the public school is held liable through IDEA and state rule if that is not true.”
Finally, If the fiscal note has not already killed this bill, there is this from the note:
“Article X, section 6 of the Montana Constitution prohibits aid to sectarian schools . . .
It is likely that the provisions of HB 322 [sic] violate this section of the Montana Constitution.
Taken from Amanda Curtis, MFPE president's "Bad Public School Privatization Bills"
HBs 129, 279 and 329 all spend public dollars and incentivize or directly privatize public schooling in Montana.
HB 129 expands Montana's 529 Education Savings Account program to now include k-12 private and religious education expenses. The Trump administration made this expansion on the federal level, and the Biden administration is likely to reverse it. Passing HB 129 now will put MT's 529 accounts at risk.
Read the Fiscal Note here. The initial loss in state revenue is modest to begin with but grows over time to over $800,000 by tax year 2024. Who knows thereafter? And the fiscal note does not address state funding local school districts will suffer if and when parents withdraw their students from public education to take advantage of the new tax exemption HB 129 provides.
To reiterate, HB 129 incentivizes taxpayers to privatize their children’s elementary and secondary education.
Per the fiscal note: “New expenses allowed under the proposed changes [in the Montana Education Savings Program fund] include K-12 tuition, certain expenses for registered apprenticeships and the repayment of students loans. The proposed bill also reduces the time that money deposited into the fund must be kept in the fund before being subject to taxation from three years to one year.”
Every penny this state spends directly or indirectly on private (primarily religious) education is a penny lost to state government expenditures and compromises the constitutional promise we the people have made to ourselves.
THE CONSTITUTION OF THE STATE OF MONTANA
ARTICLE X. EDUCATION AND PUBLIC LANDS
Educational Goals And Duties
Section 1. Educational goals and duties. (1) It is the goal of the people to establish a system of education
which will develop the full educational potential of each person. Equality of educational
opportunity is guaranteed to each person of the state.
(2) The state recognizes the distinct and unique cultural heritage of the American Indians and is
committed in its educational goals to the preservation of their cultural integrity.
(3) The legislature shall provide a basic system of free quality public elementary and secondary
schools. The legislature may provide such other educational institutions, public libraries, and
educational programs as it deems desirable. It shall fund and distribute in an equitable manner to
the school districts the state's share of the cost of the basic elementary and secondary school
system.
Aid Prohibited To Sectarian Schools
Section 6. Aid prohibited to sectarian schools. (1) The legislature, counties, cities, towns, school districts,
and public corporations shall not make any direct or indirect appropriation or payment from any
public fund or monies, or any grant of lands or other property for any sectarian purpose or to aid
any church, school, academy, seminary, college, university or other literary or scientific institution,
controlled in whole or in part by any church, sect, or denomination.
(2) This section shall not apply to funds from federal sources provided to the state for the express
purpose of distribution to non-public education.
____________________________________
HB 279's fiscal notes states that the bill "makes several significant changes to the credits.
First, the maximum amount of credits each taxpayer can claim is increased from $150 to $200,000. This applies to SSO [Student Scholarship Organizations] and the IEP credit [Education Improvement Account].
Second, credits can now be carried forward for up to three years.
Third, the credit caps [$3 million] are increased by 20 percent, if 80 percent of the credit cap was reached the previous year.
Finally, the termination dates for both credits is changed from December 31, 2023 to December 31, 2026.”
Read the Fiscal note here.
REVISING LAWS RELATED TO THE TAX CREDIT SCHOLARSHIP PROGRAM AND THE INNOVATIVE EDUCATIONAL PROGRAM; REMOVING THE ASSESSMENT REQUIREMENTS FOR QUALIFIED EDUCATION PROVIDERS; REVISING LIMITS ON SCHOLARSHIP AMOUNTS; ALLOWING TAX CREDITS EARNED UNDER THE PROGRAMS TO BE CARRIED FORWARD; REVISING THE TAX CREDIT LIMIT AND THE AGGREGATE LIMIT OF CREDITS UNDER THE PROGRAMS; REVISING THE PREAPPROVAL PROCESS FOR THE TAX CREDIT SCHOLARSHIP PROGRAM; EXTENDING THE TERMINATION DATE FOR THE TAX CREDIT SCHOLARSHIP PROGRAM AND THE INNOVATIVE EDUCATIONAL PROGRAM
Oppose – passed House – referred to Senate Education – Hearing March 10
SB 410 and now HB 279 are all about public funding of private, primarily religious education in Montana.
If passed into law, the governor’s budget office estimates that individual and corporate contributions – earning dollar for dollar tax credits - to Student Scholarship Organizations will grow to over $5 million in tax year 2024.
And once again, the fiscal note does not address state funding local school districts will suffer if and when parents withdraw their students from public education to enroll in private education with the expectation they will receive significant publicly funded tuition assistance.
It gets worse. HB 279 strips from law measurements of accountability that private schools and the department of revenue currently have to inform lawmakers, parents and the public-at-large as to student performance in private schools receiving SSO tuition assistance.
One more time, HB 279, as did SB 410, compromises Article 10, Montana state constitution. But in addition, like SB 410, HB 279 violates Article 5.11(5) Montana state constitution. An assertion that should definitely be litigated in Montana courts of law.
THE CONSTITUTION OF THE STATE OF MONTANA
Part V. THE LEGISLATURE
Section 11. Bills.
(5) No appropriation shall be made for religious, charitable, industrial, educational, or benevolent purposes to any private individual, private association, or private corporation not under control of the state.
_____________________________
HB 329 does not create a tax exemption nor a tax credit. It is instead a direct state AND local appropriation to create a special needs student savings account for parents to access to pursue private education of their special needs children.
Read the Fiscal Note here.
GENERALLY REVISING LAWS RELATED TO ESTABLISHING THE STUDENTS WITH SPECIAL NEEDS EQUAL OPPORTUNITY ACT AND THE MONTANA SPECIAL NEEDS EQUAL OPPORTUNITY EDUCATION SAVINGS ACCOUNT PROGRAM; ESTABLISHING REQUIREMENTS FOR ELIGIBILITY AND ALLOWABLE EXPENSES; PROVIDING RESPONSIBILITIES FOR PARENTS, SCHOOL DISTRICTS, AND THE SUPERINTENDENT OF PUBLIC INSTRUCTION; CLARIFYING THE AUTONOMY OF PARTICIPATING PRIVATE SCHOOLS; PROVIDING FOR FUNDING OF SPECIAL NEEDS EQUAL OPPORTUNITY EDUCATION SAVINGS ACCOUNTS; ESTABLISHING THE SPECIAL NEEDS EQUAL OPPORTUNITY EDUCATION SAVINGS TRUST; PROVIDING AN APPROPRIATION AND A STATUTORY APPROPRIATION; PROVIDING RULEMAKING AUTHORITY
Oppose – passed House Education
From the fiscal note: “It is estimated that 23,410 students would be eligible for the Montana special needs education savings account program... If all 23,410 eligible students participated in the education savings account, the program would transfer approximately $180 million annually of state funding and local property tax dollars from local public school districts to the education savings account.”
But then, the fiscal note anticipates that “not more than 100 students would participate in the education savings accounts program?” What science supports this estimate?
Still yet from the fiscal note: “School districts may adopt higher general fund budgets to offset the loss of funds related to this bill. In consideration of these increases and not allowing budgets to surpass the highest allowable budget, it is estimated that property taxes could increase... the difference in the potential increase needed to provide for the qualified schools [private schools educating special needs students] could be greater than the potential schools could vote property tax increases to offset the loss leading to potential budget shortfalls... for every student in this program, resident district would be required to contribute $7,808 to the special needs education savings account. This funding would be budgeted and would reduce funding for other educational expenditures.
Continuing: “If the student must be enrolled in a public school to use this savings account, the public school is responsible for FAPE [Free and Appropriate Public Education] At the time the child enters the program, the school district would need to ensure the private school is providing FAPE and the public school is held liable through IDEA and state rule if that is not true.”
Finally, If the fiscal note has not already killed this bill, there is this from the note:
“Article X, section 6 of the Montana Constitution prohibits aid to sectarian schools . . .
It is likely that the provisions of HB 322 [sic] violate this section of the Montana Constitution.
Taken from Amanda Curtis, MFPE president's "Bad Public School Privatization Bills"