House Bill No. introduced by B. Barker and others proposes the establishment of a sales tax not exceeding 4% specifically aimed at reducing property taxes that fund public schools and the Montana University System. The bill outlines that if enacted, the sales tax will focus on taxing final goods and services while exempting essential items such as housing, utilities, groceries, transportation and agricultural fuel, healthcare, and financial and insurance services.

Additionally, the bill includes provisions for codification, stating that the new section will be integrated into Title 15 of the Montana Code. It also specifies that the act will take effect upon approval by the electorate and mandates that the proposed act be submitted to qualified voters during the general election in November 2026, with a ballot that includes options for voters to express their support or opposition to the legislative referendum.