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Montana Judge Blocks Education Savings Accounts for Students with Special Needs

Judge ruled funding for Montana's special needs ESA program unconstitutional due to lack of proper appropriation, blocking access to $5,000-$8,000 per student annually, advocates said.

  • On Monday, Lewis and Clark County District Court Judge Mike Menahan blocked Montana's education savings account program, granting summary judgment to Montana Quality Education Coalition and Disability Rights Montana.
  • Judge Menahan concluded the funding lacked a required statutory appropriation, finding House Bill 393 unconstitutional because the Montana Legislature failed to properly appropriate funds under the Montana Constitution.
  • The law allowed parents to redirect per-pupil school funding into Office of Public Instruction-administered accounts for private school, tutoring, therapies and approved expenses, with OPI depositing 95% into each ESA and retaining 5% for administration.
  • For now, the program cannot operate until the Montana Legislature fixes the appropriation or higher courts reverse the ruling, and the Office of Public Instruction said it will review next steps.
  • House Bill 393, passed in 2023 and sponsored by now‑Sen. Sue Vinton, faced criticism from advocates and MQEC who called the funding shift unconstitutional, while Susie Hedalen expressed disappointment.
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Montana judge blocks education savings accounts for students with special needs for lack of funding

A district court judge has blocked Montana’s education savings account program for students with disabilities, ruling in favor of two Montana nonprofits that claimed that lawmakers did not fund the program when they created it.

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Montana Free Press broke the news in on Wednesday, December 10, 2025.
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