House Bill No. introduced by a group of legislators proposes an amendment to Article VIII, Section 16 of the Montana Constitution, which aims to establish a 74% sales tax and use tax specifically to reduce property taxes that fund K-12 education. The bill modifies existing language by changing the limitation on sales tax and use tax rates, allowing the legislature to dedicate the net revenue from a general statewide sales tax and use tax to this purpose, unless appropriated for other purposes by a three-fourths vote of the members of each house of the legislature.

Additionally, the bill outlines that a two-thirds vote is required for passage due to its nature as a constitutional amendment. If approved by the electorate in the general election scheduled for November 2026, the act would take effect on July 1, 2027. The ballot will include options for voters to express their support or opposition to the constitutional amendment.