The Montana Legislature has introduced Senate Bill 35, a significant piece of legislation aimed at reforming the funding structure for public education in the state. Introduced on March 29, 2025, the bill seeks to establish a more equitable distribution of resources between elementary and high school programs by mandating that the general fund budget and BASE budget be calculated separately for each educational level.

One of the key provisions of Senate Bill 35 is the introduction of a "3-year Average Number Belonging" (ANB) calculation. This method will average student enrollment figures over the past three years to provide a more stable funding base for schools, potentially mitigating the financial impact of fluctuating student populations. The bill also includes a retroactive applicability clause, allowing early literacy jumpstart programs conducted after the end of the 2025 school calendar year to benefit from the new funding structure.

Debate surrounding Senate Bill 35 has focused on its potential to address long-standing disparities in school funding across Montana. Proponents argue that the bill will ensure that resources are allocated more fairly, particularly benefiting rural and underfunded districts. However, some critics express concerns about the retroactive application of the bill and its implications for budgeting and financial planning within school districts.

The economic implications of Senate Bill 35 could be substantial, as it aims to enhance educational outcomes by providing more consistent funding. Experts suggest that improved funding for early literacy programs may lead to better long-term educational achievements, which could positively impact the state's workforce and economy.

As the bill moves through the legislative process, its supporters are optimistic about its potential to reshape the educational landscape in Montana, while opponents continue to voice their concerns. The bill is set to take effect on July 1, 2025, marking a pivotal moment for public education funding in the state.