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Panel weighs updating school transportation reimbursements after two decades
Summary
House Bill 405 would raise state reimbursement rates for school transportation to reflect inflation since 2004; sponsor and proponents said the change would shift costs away from local property taxpayers but OPI testimony shows added state and county contributions with a net local property tax shift estimated in the fiscal analysis.
Representative Mark Thane opened testimony on House Bill 405 by showing graphs he said illustrate a 21‑year failure to update transportation reimbursement rates and a shift of costs from the state to local school districts. Thane said the bill would index reimbursement schedules to inflation and adjust rates by bus capacity and miles driven.
Emily Dean of the Montana School Boards Association, testifying for the Coalition of Advocates for Montana’s Public Schools, urged support and said the change would ‘‘lower property taxes by increasing transportation…
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