Education Funding

Montana High Court Strikes Down State’s School Funding System

By Mary Ann Zehr — November 11, 2004 3 min read
  • Save to favorites
  • Print

Low Teacher Salaries

In a unanimous decision on Nov. 9, Montana’s highest court upheld the ruling in April of Helena District Judge Jeffrey Sherlock that state funding for public schools is not sufficient. The three-page preliminary order also upheld Judge Sherlock’s finding that the state’s public education system is violating a mandate in the state constitution for schools to teach children about the heritage of American Indians.

The supreme court gave the Montana legislature until Oct. 1 of next year to come up with a better system for financing public education. Having rushed to issue a preliminary order on the matter so the legislature could address it in its upcoming session, the court will issue a full opinion at an unspecified, later date. State legislators are set to resume work Jan. 3 for a session expected to last 90 days.

The decision marked the second time the state’s funding formula has been struck down since 1989.

Read the Montana Supreme Court’s preliminary order on the state’s school-funding system. ()

Following the latest ruling, Montanans need to take a much closer look at the needs and true cost of public schooling, said Jack Copps, the executive director of the Helena-based Montana Quality Education Coalition, which filed the lawsuit in 2002. “We’ve only speculated in Montana the amount of resources our schools need. That’s created great problems in our state.”

He noted, for instance, that Montana’s schools have difficulty recruiting and retaining teachers because they don’t pay them as much as other states do.

But Brian Morris, the state solicitor who defended Montana in the case, said he’s disappointed in the ruling. “We had urged the court to look at output measures such as graduation rates and what students are learning,” he said.

Montana’s schools measure up well, he said, in providing a high-quality education when compared with public schools in other states. He noted that Montana students perform well above average on standardized tests, their graduation rates are higher than for students in many states, and they are less likely to drop out of school than their peers in many states.

Low Teacher Salaries

Linda H. McCulloch, Montana’s superintendent of public instruction, said she hopes the court decision will result in more money to pay teachers better salaries. Many Montana school districts offer a starting salary of less than $20,000 per year, and about 60 percent don’t provide health insurance to their faculty, she said.

Both Republicans and Democrats who served on the state Senate’s education committee in the most recent legislative session surmised that revamping the public funding system to meet the demands of the court would mean coming up with more dollars for schools.

“It probably will cost more money,” said state Sen. William E. Glaser, a Republican who is the chairman of the Senate education committee. “That doesn’t necessarily mean that on a given piece of property the taxes will go up. We’ve actually done quite well in our economy, when everyone else was struggling.”

“I’d be surprised if everyone isn’t resigned to the fact that we’ll have to put more money into education,” added state Sen. Mike Cooney, a Democrat on the same committee. The difficulty of resolving the issue, he said, will be agreeing on what level of funding is appropriate.

Robert R. Story Jr., a Republican member of the Senate education committee, said the state’s formula for funding public schools is based on the number of pupils in a school, and places caps on what local school districts can spend in addition to what they receive from the state.

The system reflects revisions made more than a decade ago in response to a court ruling that the system wasn’t equitable, he noted. Mr. Story said the existing system worked adequately when student enrollment was growing. But now that it has been declining, he said, school districts haven’t been able to keep up with their fixed costs.

Montana provided $555 million for K-12 education in fiscal 2004, or 60 percent of the local and state money spent on public schooling.

Joyce Silverthorne, the head of the tribal education department for the Salish/Kootenai tribes of Montana and a former state school board member, said she was pleased the supreme court recognized the need for schools to carry out the state’s constitutional mandate to teach all Montanans about their state’s 12 American Indian tribes. “It requires funding to bring us together and develop a curriculum that incorporates the elements from each tribal group,” she said.

Events

This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
School & District Management Webinar
Too Many Initiatives, Not Enough Alignment: A Change Management Playbook for Leaders
Learn how leadership teams can increase alignment and evaluate every program, practice, and purchase against a clear strategic plan.
Content provided by Otus
This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
Artificial Intelligence Webinar
Beyond Teacher Tools: Exploring AI for Student Success
Teacher AI tools only show assigned work. See how TrekAi's student-facing approach reveals authentic learning needs and drives real success.
Content provided by TrekAi
This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
College & Workforce Readiness Webinar
Building for the Future: Igniting Middle Schoolers’ Interest in Skilled Trades & Future-Ready Skills
Ignite middle schoolers’ interest in skilled trades with hands-on learning and real-world projects that build future-ready skills.
Content provided by Project Lead The Way

EdWeek Top School Jobs

Teacher Jobs
Search over ten thousand teaching jobs nationwide — elementary, middle, high school and more.
View Jobs
Principal Jobs
Find hundreds of jobs for principals, assistant principals, and other school leadership roles.
View Jobs
Administrator Jobs
Over a thousand district-level jobs: superintendents, directors, more.
View Jobs
Support Staff Jobs
Search thousands of jobs, from paraprofessionals to counselors and more.
View Jobs

Read Next

Education Funding Some Halted Federal Funds for Community Schools Will Flow, But More Remain Frozen
Schools in Illinois will regain access to some federal grant funds, but programs nationwide continue to struggle.
5 min read
Image of money symbol, books, gavel, and scale of justice.
DigitalVision Vectors
Education Funding The Trump Admin. Says It Supports Career-Tech. Ed. It Canceled CTE Grants Anyway
Nineteen projects—many in rural areas—lost funding that was helping students prepare for college and careers.
12 min read
As part of the program, the Business students at Donald M. Payne Sr. Tech Campus in Newark, NJ on Feb. 26, 2026m have access to computers with subscriptions to the latest software to help them prepare for the workforce.
Business students at the Donald M. Payne Sr. School of Technology in Newark, N.J., work in a computer lab on Feb. 25, 2026. A U.S. Department of Education grant was helping students in business and other fields at the school access enrichment programming, college courses, and financial support after graduation. But the department terminated the grant, along with 18 other similar awards across the country, last summer.
Oliver Farshi for Education Week
Education Funding Educators Warn Flat English Learner Funding Falls Short of Growing Demand
Educators remain uncertain about the future of federal funds for English learners.
3 min read
Pictures show what mouth shape different sounds make on the walls of Diana Oviedo-Holguin’s class at Heritage Elementary School in San Antonio, Texas, on Sept. 3, 2025.
Pictures show what mouth shape different sounds make on the walls of Diana Oviedo-Holguin’s class at Heritage Elementary School in San Antonio, Texas, on Sept. 3, 2025. While educators feel relieved that federal dollars for supplemental English-learner resources will continue in the next fiscal year, they remain uncertain for the years to come.
Noah Devereaux for Education Week
Education Funding Congress Has Passed an Education Budget. See How Key Programs Are Affected
Federal funding for low-income students and special education will remain level year over year.
2 min read
Congress Shutdown 26034657431919
Congress has passed a budget that rejects the Trump administration’s proposals to slash billions of dollars from federal education investments, ending a partial government shutdown. House Speaker Mike Johnson, R-La., and fellow House Republican leaders speak ahead of a key budget vote on Feb. 3, 2026.
AP Photo/J. Scott Applewhite