Budget Planning

The school funding system in Montana is designed to ensure equitable educational opportunities across the state while involving communities in supporting their local schools. Local citizens vote on 20% of the school budget, while the state provides the remaining 80%. This structure was established following a 1989 school funding lawsuit brought by underfunded districts, resulting in the current formula that balances resources between schools statewide.

The funding system intentionally limits how districts are able to increase revenues beyond local levies. However, recent legislative changes introduced a Dollar-for-Dollar Innovative Education Tax Credit, providing an additional revenue stream for schools. While this program offers valuable support, there are specific restrictions on how the funds may be used. The tax credit funds can only be allocated for:

• Transformational and advanced learning opportunities for students
• Programs, services, and equipment for students with disabilities
• Work-based learning partnerships for students
• Post-secondary credit or career certification programs
• Technologies that enhance student experiences and opportunities

Last year, the District successfully utilized the Dollar-for-Dollar Tax Credit program, with 34 community members contributing $1 million toward innovative educational initiatives. These funds were directed toward programs aligned with the law’s requirements, enabling us to provide advanced learning opportunities and enhanced support for students.

While the state funding formula sets both a minimum and maximum budget for schools, ensuring equitable funding, these types of programs offer districts additional ways to innovate and support students within the boundaries of the law.
 

The District has made reductions in administrative positions. In anticipation of budget reductions, the District eliminated an Executive Director position at the beginning of this year by consolidating responsibilities. Three roles were merged into two positions, which now oversee 15 elementary schools, two middle schools, three high school programs, the Career and College Readiness Center (CCRC), and the early Learning Family Center program at Skyline. These two administrators also manage Federal Programs and Special Education for the entire District and oversee all other departments. The district serves approximately 10,000 students and 1,300 full and part-time employees and allocates approximately 2.5% to District Administrative expenses. 

There are accreditation standards required by the State.  These include having a full-time Principal in each building.  Schools with more students, require more than one principal.   The standards also require the District to hire a Superintendent. Full accreditation information found in the Administrative Rules of Montana (ARM) can be referenced here: Standards of Accreditation.

Administrative positions at the District level have been combined over the years.  Examples include combining the Federal Programs Director and the Special Education Director,  The Organizational Chart for Great Falls Public Schools clearly outlines the many responsibilities for the administrative team.  This information is found in the District Budget Information Book.

K-12 school accreditation is based on the Administrative Rules of Montana (ARM) listed in Chapter 55.  These regulations require many components. Some examples of these include:

• Licensed teachers
• Number of students per class
• School counselor to student ratio
• School librarian to student ratio
• Administrator to student ratio
• Course Offerings
• Curriculum/Assessment
• Pupil Instruction Related Days for teacher professional development
• Indigenous Education for All (IEFA)
• Student Achievement Data
• Community Engagement

Full accreditation information found in the Administrative Rules of Montana (ARM) can be referenced here: Standards of Accreditation.

In addition there are other laws with which we must comply. Examples of these are listed below:

• Individuals with Disabilities in Education Act (IDEA)
• Americans with Disabilities Act (ADA)
• Transportation- we must provide transportation for students living outside a certain radius from their school.  Distance is different from elementary to secondary.

This year, an Executive Director position has been eliminated as well as an Associate Principal Position.  From 2008 to 2021, the District made significant staffing reductions, including the elimination of 18 elementary teaching positions, 15.3 middle school teaching positions, and 67.4 high school teaching positions. Additionally, several programs were either reduced or discontinued.

For a detailed list of these reductions, please refer to the District Budget Information Book, pages 81-82, available on the District website. 

Great Falls Public Schools fully recognized that ESSER funding was one-time-only support. To ensure financial stability, we avoided using these funds for expenses that would extend beyond the required spending timeline. Instead, we strategically applied a portion of ESSER funding toward allowable General Fund Budget expenses, which enabled the District to transfer surplus General Fund resources into the District’s Interlocal Account.

This prudent approach allowed the District to operate this year without the need to request a levy. Great Falls Public Schools is the only AA school district in Montana that did not propose a levy or bond measure last May. The last time the District requested a levy was in the 2021-22 school year, and it was for an elementary levy only.

Our District has a long-standing commitment to fiscal responsibility and only seeks mill levy support from the community when it is genuinely needed.

The Student Services Coordinator positions are paid out of our federal programs department, not the general fund budget.  A position was not added, but instead a current position was modified.  In the spring of 2024 the vacated Homeless Coordinator position became a combined Special Education and Homeless coordinator position.  No general funds were used to fund the special education changes.  

The 2023 Legislature authorized enhanced tax credit opportunities for Montanans to support their local public schools through House Bill 408. Taxpayers can make cash donations directly to Great Falls Public Schools and get a dollar-for-dollar tax credit on their state tax bill for the current year.  The bill also outlined the ways in which these dollars can be expended.  They must be used for:

• Transformational and advanced learning opportunities
• Programs, services, and equipment for students with disabilities
• Work-based learning partnerships for students  
• Post-secondary credit or career certifications for students
• Technology that improves student experiences and opportunities

This money must be used in the above ways, and cannot pay for the shortfall in the general fund budget.
 

The district will consider all options. Each school at GFPS operates at a cost to the district. Considerations for closing a school are numerous.  Transportation, capacity at surrounding schools, need for redistricting, and amount of money saved long term are all calculations that are completed when the district considers closing a school.  

Baseball will only be added as a sport if private fundraising can support this for the first three years.  The district won’t see any cost associated with adding baseball for at least 3 more years. 

The 2.5 million dollar shortfall will be an ongoing need.  Unless our revenues from the state increase or our expenses go down, GFPS will face this shortfall or more each year. School funding laws are not designed for schools to operate on fundraising.  

The District does gratefully acknowledge the role fundraising plays in supporting our extracurricular and co-curricular programs.  Additionally, our school playground upgrade projects have also been largely funded by fundraisers and private donations. 
 

We continue to closely monitor changes made at the federal level and the impact on Great Falls Public Schools.

The Montana Office of Public Instruction is preparing to be the agency to disperse federal funds should the Department of Education be eliminated.