House Bill No. [insert bill number] aims to lower school district property taxes related to transportation by increasing the on-schedule reimbursement rates for school transportation. The bill amends Section 20-10-141 of the Montana Code Annotated (MCA) to raise the reimbursement rates for various categories of school buses. Specifically, the reimbursement rates for bus mileage are increased from 50 cents to 85 cents for certain buses, and for larger buses, the rates are raised significantly, with the highest capacity buses seeing an increase from $1.80 to $2.99 per mile. Additionally, nonbus mileage reimbursement is also increased from 50 cents to 85 cents per mile.

The bill establishes an effective date of July 1, 2025, and specifies that the new reimbursement rates will apply to school district transportation budgets for fiscal years beginning on or after this date. This legislative change is intended to provide financial relief to school districts by enhancing the funding available for transportation, thereby potentially reducing the burden on property taxes.

Statutes affected:
LC Text: 20-10-141
HB0405_1(1): 20-10-141
HB0405_1(2): 20-10-141
HB0405_1(3): 20-10-141
HB0405_1(4): 20-10-141
HB0405_1(5): 20-10-141
HB0405_1(6): 20-10-141
HB0405_1: 20-10-141