TY 2018 Form 990

(A) Name and Title	(B) Average hours per week (list any hours for related organizations below dotted line)	(C) Position (do not check more than one box, unless person is both an officer and a director/trustee)	(E) Reportable compensation from related organizations (W- 2/1099-MISC)
(1) LANCE MELTON...................................................................... EXECUTIVE DIRECTOR/TREASUR	40.00 .................	X	X	558,106	102,311
(2) DEBRA SILK...................................................................... ASSOC EXEC DIRECTOR/CHIEF	40.00 .................	X		189,506	47,551
(3) PAUL FINNICUM...................................................................... PRESIDENT, REGION 3	5.00 .................	X	X	0	0
(4) BARB RILEY...................................................................... PRESIDENT ELECT -DIRECTOR R	5.00 .................	X	X	0	0
(5) HARVEY CAPELLEN...................................................................... IMMEDIATE PAST PRES REGION	5.00 .................	X		0	0
(6) TOM BILLTEEN...................................................................... DIRECTOR BUTTE MUNICIPAL	5.00 .................	X		0	0
(7) JAN CAHILL...................................................................... DIRECTOR GREAT FALLS MUNIC	5.00 .................	X		0	0
(8) DICK CAMERON...................................................................... DIRECTOR REGION 10	5.00 .................	X		0	0
(9) KELLY DEY...................................................................... DIRECTOR REGION 4	5.00 .................	X		0	0
(10) IRIS KILL EAGLE...................................................................... DIRECTOR -ISBC	5.00 .................	X		0	0
(11) GARY LUSIN...................................................................... DIRECTOR BOZEMAN MUNICIPAL	5.00 .................	X		0	0
(12) MIKE MERCHANT...................................................................... DIRECTOR KALISPELL MUNICIP	5.00 .................	X		0	0
(13) GRETA BESCH MOEN...................................................................... DIRECTOR BILLINGS MUNICIPA	5.00 .................	X		0	0
(14) LUKE MUSZKIEWICZ...................................................................... VICE PRESIDENT -HELENA MUNICIPAL	5.00 .................	X	X	0	0
(15) VAL FOWLER...................................................................... DIRECTOR REGION 5	5.00 .................	X		0	0
(16) SCOTT WALTER...................................................................... DIRECTOR REGION 11	5.00 .................	X		0	0
(17) KRYSTAL ZENTNER...................................................................... DIRECTOR REGION 9	5.00 .................	X		0	0

- TIN:

SCHEDULE A
(Form 990 or 990EZ)

Department of the Treasury
Internal Revenue Service

Public Charity Status and Public Support

Complete if the organization is a section 501(c)(3) organization or a section 4947(a)(1) nonexempt charitable trust.
right arrow

Attach to Form 990 or Form 990-EZ.
right arrow

Go to www.irs.gov/Form990 for the latest information.

OMB No. 1545-0047

2018

Open to Public
Inspection

Name of the organization

MONTANA SCHOOL BOARDS ASSOCIATION

Employer identification number

81-0247703

Part I

Reason for Public Charity Status (All organizations must complete this part.) See instructions.

The organization is not a private foundation because it is: (For lines 1 through 12, check only one box.)

A church, convention of churches, or association of churches described in section 170(b)(1)(A)(i).

A school described in section 170(b)(1)(A)(ii). (Attach Schedule E (Form 990 or 990-EZ).)

A hospital or a cooperative hospital service organization described in section 170(b)(1)(A)(iii).

A medical research organization operated in conjunction with a hospital described in section 170(b)(1)(A)(iii). Enter the hospital's name, city, and state:

An organization operated for the benefit of a college or university owned or operated by a governmental unit described in section 170(b)(1)(A)(iv). (Complete Part II.)

A federal, state, or local government or governmental unit described in section 170(b)(1)(A)(v).

An organization that normally receives a substantial part of its support from a governmental unit or from the general public described in section 170(b)(1)(A)(vi). (Complete Part II.)

A community trust described in section 170(b)(1)(A)(vi). (Complete Part II.)

An agricultural research organization described in 170(b)(1)(A)(ix) operated in conjunction with a land-grant college or university or a non-land grant college of agriculture. See instructions. Enter the name, city, and state of the college or university:

An organization that normally receives: (1) more than 331/3% of its support from contributions, membership fees, and gross receipts from activities related to its exempt functions—subject to certain exceptions, and (2) no more than 331/3% of its support from gross investment income and unrelated business taxable income (less section 511 tax) from businesses acquired by the organization after June 30, 1975. See section 509(a)(2). (Complete Part III.)

An organization organized and operated exclusively to test for public safety. See section 509(a)(4).

An organization organized and operated exclusively for the benefit of, to perform the functions of, or to carry out the purposes of one or more publicly supported organizations described in section 509(a)(1) or section 509(a)(2). See section 509(a)(3). Check the box in lines 12a through 12d that describes the type of supporting organization and complete lines 12e, 12f, and 12g.

Type I. A supporting organization operated, supervised, or controlled by its supported organization(s), typically by giving the supported organization(s) the power to regularly appoint or elect a majority of the directors or trustees of the supporting organization. You must complete Part IV, Sections A and B.

Type II. A supporting organization supervised or controlled in connection with its supported organization(s), by having control or management of the supporting organization vested in the same persons that control or manage the supported organization(s). You must complete Part IV, Sections A and C.

Type III functionally integrated. A supporting organization operated in connection with, and functionally integrated with, its supported organization(s) (see instructions). You must complete Part IV, Sections A, D, and E.

Type III non-functionally integrated. A supporting organization operated in connection with its supported organization(s) that is not functionally integrated. The organization generally must satisfy a distribution requirement and an attentiveness requirement (see instructions). You must complete Part IV, Sections A and D, and Part V.

Check this box if the organization received a written determination from the IRS that it is a Type I, Type II, Type III functionally integrated, or Type III non-functionally integrated supporting organization.

Enter the number of supported organizations ...............................

Provide the following information about the supported organization(s).

(i) Name of supported organization	(ii) EIN	(iv) Is the organization listed in your governing document?		(v) Amount of monetary support (see instructions)	(vi) Amount of other support (see instructions)
(i) Name of supported organization	(ii) EIN	Yes	No	(v) Amount of monetary support (see instructions)	(vi) Amount of other support (see instructions)


Total

For Paperwork Reduction Act Notice, see the Instructions for
Form 990 or 990-EZ.

Cat. No. 11285F

Schedule A (Form 990 or 990-EZ) 2018

Page 2

Part II

Support Schedule for Organizations Described in Sections 170(b)(1)(A)(iv), 170(b)(1)(A)(vi), and 170(b)(1)(A)(ix)
(Complete only if you checked the box on line 5, 7, 8, or 9 of Part I or if the organization failed to qualify under Part III. If the organization fails to qualify under the tests listed below, please complete Part III.)

Section A. Public Support

Calendar year (or fiscal year beginning in)		(a) 2014	(b) 2015	(c) 2016	(d) 2017	(e) 2018	(f) Total
1	Gifts, grants, contributions, and membership fees received. (Do not include any "unusual grant.") ..
2	Tax revenues levied for the organization's benefit and either paid to or expended on its behalf....
3	The value of services or facilities furnished by a governmental unit to the organization without charge..
4	Total. Add lines 1 through 3
5	The portion of total contributions by each person (other than a governmental unit or publicly supported organization) included on line 1 that exceeds 2% of the amount shown on line 11, column (f)..
6	Public support. Subtract line 5 from line 4.

Section B. Total Support

Calendar year (or fiscal year beginning in)		(a) 2014	(b) 2015	(c) 2016	(d) 2017	(e) 2018	(f) Total
7	Amounts from line 4..
8	Gross income from interest, dividends, payments received on securities loans, rents, royalties and income from similar sources...
9	Net income from unrelated business activities, whether or not the business is regularly carried on..
10	Other income. Do not include gain or loss from the sale of capital assets (Explain in Part VI.)..
11	Total support. Add lines 7 through 10

Gross receipts from related activities, etc. (see instructions) ..................

First five years. If the Form 990 is for the organization's first, second, third, fourth, or fifth tax year as a section 501(c)(3) organization, check this box and stop here........................................ right arrow

Section C. Computation of Public Support Percentage

Public support percentage for 2018 (line 6, column (f) divided by line 11, column (f)) .........

Public support percentage for 2017 Schedule A, Part II, line 14 ...............

16a

33 1/3% support test—2018. If the organization did not check the box on line 13, and line 14 is 33 1/3% or more, check this box
and stop here. The organization qualifies as a publicly supported organization ....................... right arrow

33 1/3% support test—2017. If the organization did not check a box on line 13 or 16a, and line 15 is 33 1/3% or more, check this
box and stop here. The organization qualifies as a publicly supported organization ..................... right arrow

17a

10%-facts-and-circumstances test—2018. If the organization did not check a box on line 13, 16a, or 16b, and line 14
is 10% or more, and if the organization meets the "facts-and-circumstances" test, check this box and stop here. Explain
in Part VI how the organization meets the "facts-and-circumstances" test. The organization qualifies as a publicly supported
organization ..................................................... right arrow

10%-facts-and-circumstances test—2017. If the organization did not check a box on line 13, 16a, 16b, or 17a, and line
15 is 10% or more, and if the organization meets the "facts-and-circumstances" test, check this box and stop here.
Explain in Part VI how the organization meets the "facts-and-circumstances" test. The organization qualifies as a publicly
supported organization ................................................ right arrow

Private foundation. If the organization did not check a box on line 13, 16a, 16b, 17a, or 17b, check this box and see
instructions ..................................................... right arrow

Schedule A (Form 990 or 990-EZ) 2018

Page 3

Part III

Support Schedule for Organizations Described in Section 509(a)(2)
(Complete only if you checked the box on line 10 of Part I or if the organization failed to qualify under Part II. If the organization fails to qualify under the tests listed below, please complete Part II.)

Section A. Public Support

Calendar year (or fiscal year beginning in)		(a) 2014	(b) 2015	(c) 2016	(d) 2017	(e) 2018	(f) Total
1	Gifts, grants, contributions, and membership fees received. (Do not include any "unusual grants.") .	898,438	914,223	945,734	960,081	985,740	4,704,216
2	Gross receipts from admissions, merchandise sold or services performed, or facilities furnished in any activity that is related to the organization's tax-exempt purpose	2,978,460	3,095,402	2,916,488	3,217,598	3,501,278	15,709,226
3	Gross receipts from activities that are not an unrelated trade or business under section 513 .....
4	Tax revenues levied for the organization's benefit and either paid to or expended on its behalf...
5	The value of services or facilities furnished by a governmental unit to the organization without charge
6	Total. Add lines 1 through 5	3,876,898	4,009,625	3,862,222	4,177,679	4,487,018	20,413,442
7a	Amounts included on lines 1, 2, and 3 received from disqualified persons						0
b	Amounts included on lines 2 and 3 received from other than disqualified persons that exceed the greater of $5,000 or 1% of the amount on line 13 for the year.						0
c	Add lines 7a and 7b..						0
8	Public support. (Subtract line 7c from line 6.)						20,413,442

Section B. Total Support

Calendar year (or fiscal year beginning in)		(a) 2014	(b) 2015	(c) 2016	(d) 2017	(e) 2018	(f) Total
9	Amounts from line 6...	3,876,898	4,009,625	3,862,222	4,177,679	4,487,018	20,413,442
10a	Gross income from interest, dividends, payments received on securities loans, rents, royalties and income from similar sources..	365,293	357,683	367,926	379,103	366,602	1,836,607
b	Unrelated business taxable income (less section 511 taxes) from businesses acquired after June 30, 1975.
c	Add lines 10a and 10b.	365,293	357,683	367,926	379,103	366,602	1,836,607
11	Net income from unrelated business activities not included in line 10b, whether or not the business is regularly carried on.
12	Other income. Do not include gain or loss from the sale of capital assets (Explain in Part VI.) ..
13	Total support. (Add lines 9, 10c, 11, and 12.)..	4,242,191	4,367,308	4,230,148	4,556,782	4,853,620	22,250,049

First five years. If the Form 990 is for the organization's first, second, third, fourth, or fifth tax year as a section 501(c)(3) organization,
check this box and stop here............................................. right arrow

Section C. Computation of Public Support Percentage

Public support percentage for 2018 (line 8, column (f) divided by line 13, column (f)) .........

91.750 %

Public support percentage from 2017 Schedule A, Part III, line 15 ...............

91.120 %

Section D. Computation of Investment Income Percentage

Investment income percentage for 2018 (line 10c, column (f) divided by line 13, column (f)) ......

8.250 %

Investment income percentage from 2017 Schedule A, Part III, line 17 .............

8.880 %

19a

331/3% support tests—2018. If the organization did not check the box on line 14, and line 15 is more than 33 1/3%, and line 17 is not more than 33 1/3%, check this box and stop here. The organization qualifies as a publicly supported organization ....... right arrow

33 1/3% support tests—2017. If the organization did not check a box on line 14 or line 19a, and line 16 is more than 33 1/3% and line 18 is not more than 33 1/3%, check this box and stop here. The organization qualifies as a publicly supported organization .... right arrow

Private foundation. If the organization did not check a box on line 14, 19a, or 19b, check this box and see instructions .... right arrow

Schedule A (Form 990 or 990-EZ) 2018

Page 4

Part IV

Supporting Organizations

(Complete only if you checked a box on line 12 of Part I. If you checked 12a of Part I, complete Sections A and B. If you checked 12b of Part I, complete Sections A and C. If you checked 12c of Part I, complete Sections A, D, and E. If you checked 12d of Part I, complete Sections A and D, and complete Part V.)

Section A. All Supporting Organizations

Yes

Are all of the organization’s supported organizations listed by name in the organization’s governing documents?
If "No," describe in Part VI how the supported organizations are designated. If designated by class or purpose,
describe the designation. If historic and continuing relationship, explain.

Did the organization have any supported organization that does not have an IRS determination of status under section 509(a)(1) or (2)? If "Yes," explain in Part VI how the organization determined that the supported organization was described in section 509(a)(1) or (2).

Did the organization have a supported organization described in section 501(c)(4), (5), or (6)? If "Yes," answer (b) and (c) below.

Did the organization confirm that each supported organization qualified under section 501(c)(4), (5), or (6) and satisfied the public support tests under section 509(a)(2)? If "Yes," describe in Part VI when and how the organization made the determination.

Did the organization ensure that all support to such organizations was used exclusively for section 170(c)(2)(B) purposes? If "Yes," explain in Part VI what controls the organization put in place to ensure such use.

Was any supported organization not organized in the United States ("foreign supported organization")? If “Yes” and if you checked 12a or 12b in Part I, answer (b) and (c) below.

Did the organization have ultimate control and discretion in deciding whether to make grants to the foreign supported organization? If “Yes,” describe in Part VI how the organization had such control and discretion despite being controlled or supervised by or in connection with its supported organizations.

Did the organization support any foreign supported organization that does not have an IRS determination under sections 501(c)(3) and 509(a)(1) or (2)? If “Yes,” explain in Part VI what controls the organization used to ensure that all support to the foreign supported organization was used exclusively for section 170(c)(2)(B) purposes.

Did the organization add, substitute, or remove any supported organizations during the tax year? If “Yes,” answer (b) and (c) below (if applicable). Also, provide detail in Part VI, including (i) the names and EIN numbers of the supported organizations added, substituted, or removed; (ii) the reasons for each such action; (iii) the authority under the organization's organizing document authorizing such action; and (iv) how the action was accomplished (such as by amendment to the organizing document).

Type I or Type II only. Was any added or substituted supported organization part of a class already designated in the organization's organizing document?

Substitutions only. Was the substitution the result of an event beyond the organization's control?

Did the organization provide support (whether in the form of grants or the provision of services or facilities) to anyone other than (i) its supported organizations, (ii) individuals that are part of the charitable class benefited by one or more of its supported organizations, or (iii) other supporting organizations that also support or benefit one or more of the filing organization’s supported organizations? If “Yes,” provide detail in Part VI.

Did the organization provide a grant, loan, compensation, or other similar payment to a substantial contributor (defined in section 4958(c)(3)(C)), a family member of a substantial contributor, or a 35% controlled entity with regard to a substantial contributor? If “Yes,” complete Part I of Schedule L (Form 990 or 990-EZ) .

Did the organization make a loan to a disqualified person (as defined in section 4958) not described in line 7? If “Yes,” complete Part I of Schedule L (Form 990 or 990-EZ).

Was the organization controlled directly or indirectly at any time during the tax year by one or more disqualified persons as defined in section 4946 (other than foundation managers and organizations described in section 509(a)(1) or (2))? If “Yes,” provide detail in Part VI.

Did one or more disqualified persons (as defined in line 9a) hold a controlling interest in any entity in which the supporting organization had an interest? If “Yes,” provide detail in Part VI.

Did a disqualified person (as defined in line 9a) have an ownership interest in, or derive any personal benefit from, assets in which the supporting organization also had an interest? If “Yes,” provide detail in Part VI.

10a

Was the organization subject to the excess business holdings rules of section 4943 because of section 4943(f) (regarding certain Type II supporting organizations, and all Type III non-functionally integrated supporting organizations)? If “Yes,” answer line 10b below.

10a

Did the organization have any excess business holdings in the tax year? (Use Schedule C, Form 4720, to determine whether the organization had excess business holdings).

10b

Schedule A (Form 990 or 990-EZ) 2018

Page 5

Part IV

Supporting Organizations (continued)

Yes

Has the organization accepted a gift or contribution from any of the following persons?

A person who directly or indirectly controls, either alone or together with persons described in (b) and (c) below, the governing body of a supported organization?

11a

A family member of a person described in (a) above?

11b

A 35% controlled entity of a person described in (a) or (b) above? If “Yes” to a, b, or c, provide detail in Part VI.

11c

Section B. Type I Supporting Organizations

Yes

Did the directors, trustees, or membership of one or more supported organizations have the power to regularly appoint or elect at least a majority of the organization’s directors or trustees at all times during the tax year? If “No,” describe in Part VI how the supported organization(s) effectively operated, supervised, or controlled the organization’s activities. If the organization had more than one supported organization, describe how the powers to appoint and/or remove directors or trustees were allocated among the supported organizations and what conditions or restrictions, if any, applied to such powers during the tax year.

Did the organization operate for the benefit of any supported organization other than the supported organization(s) that operated, supervised, or controlled the supporting organization? If “Yes,” explain in Part VI how providing such benefit carried out the purposes of the supported organization(s) that operated, supervised or controlled the supporting organization.

Section C. Type II Supporting Organizations

Yes

Were a majority of the organization’s directors or trustees during the tax year also a majority of the directors or trustees of each of the organization’s supported organization(s)? If “No,” describe in Part VI how control or management of the supporting organization was vested in the same persons that controlled or managed the supported organization(s).

Section D. All Type III Supporting Organizations

Yes

Did the organization provide to each of its supported organizations, by the last day of the fifth month of the organization’s tax year, (i) a written notice describing the type and amount of support provided during the prior tax year, (ii) a copy of the Form 990 that was most recently filed as of the date of notification, and (iii) copies of the organization’s governing documents in effect on the date of notification, to the extent not previously provided?

Were any of the organization’s officers, directors, or trustees either (i) appointed or elected by the supported organization(s) or (ii) serving on the governing body of a supported organization? If "No," explain in Part VI how the organization maintained a close and continuous working relationship with the supported organization(s).

By reason of the relationship described in (2), did the organization’s supported organizations have a significant voice in the organization’s investment policies and in directing the use of the organization’s income or assets at all times during the tax year? If "Yes," describe in Part VI the role the organization’s supported organizations played in this regard.

Section E. Type III Functionally-Integrated Supporting Organizations

Check the box next to the method that the organization used to satisfy the Integral Part Test during the year (see instructions):

The organization satisfied the Activities Test. Complete line 2 below.

The organization is the parent of each of its supported organizations. Complete line 3 below.

The organization supported a governmental entity. Describe in Part VI how you supported a government entity (see instructions)

Activities Test. Answer (a) and (b) below.

Yes

Did substantially all of the organization’s activities during the tax year directly further the exempt purposes of the supported organization(s) to which the organization was responsive? If "Yes," then in Part VI identify those supported organizations and explain how these activities directly furthered their exempt purposes, how the organization was responsive to those supported organizations, and how the organization determined that these activities constituted substantially all of its activities.

Did the activities described in (a) constitute activities that, but for the organization’s involvement, one or more of the organization’s supported organization(s) would have been engaged in? If "Yes," explain in Part VI the reasons for the organization’s position that its supported organization(s) would have engaged in these activities but for the organization’s involvement.

Parent of Supported Organizations. Answer (a) and (b) below.

Did the organization have the power to regularly appoint or elect a majority of the officers, directors, or trustees of each of the supported organizations? Provide details in Part VI.

Did the organization exercise a substantial degree of direction over the policies, programs and activities of each of its supported organizations? If "Yes," describe in Part VI. the role played by the organization in this regard.

Schedule A (Form 990 or 990-EZ) 2018

Page 6

Part V

Type III Non-Functionally Integrated 509(a)(3) Supporting Organizations

Check here if the organization satisfied the Integral Part Test as a qualifying trust on Nov. 20, 1970 (explain in Part VI). See instructions. All other Type III non-functionally integrated supporting organizations must complete Sections A through E.

	Section A - Adjusted Net Income		(A) Prior Year	(B) Current Year (optional)
1	Net short-term capital gain	1
2	Recoveries of prior-year distributions	2
3	Other gross income (see instructions)	3
4	Add lines 1 through 3	4
5	Depreciation and depletion	5
6	Portion of operating expenses paid or incurred for production or collection of gross income or for management, conservation, or maintenance of property held for production of income (see instructions)	6
7	Other expenses (see instructions)	7
8	Adjusted Net Income (subtract lines 5, 6 and 7 from line 4)	8

	Section B - Minimum Asset Amount		(A) Prior Year	(B) Current Year (optional)
1	Aggregate fair market value of all non-exempt-use assets (see instructions for short tax year or assets held for part of year):	1
a	Average monthly value of securities	1a
b	Average monthly cash balances	1b
c	Fair market value of other non-exempt-use assets	1c
d	Total (add lines 1a, 1b, and 1c)	1d
e	Discount claimed for blockage or other factors (explain in detail in Part VI):
2	Acquisition indebtedness applicable to non-exempt use assets	2
3	Subtract line 2 from line 1d	3
4	Cash deemed held for exempt use. Enter 1-1/2% of line 3 (for greater amount, see instructions).	4
5	Net value of non-exempt-use assets (subtract line 4 from line 3)	5
6	Multiply line 5 by .035	6
7	Recoveries of prior-year distributions	7
8	Minimum Asset Amount (add line 7 to line 6)	8

	Section C - Distributable Amount		Current Year
1	Adjusted net income for prior year (from Section A, line 8, Column A)	1
2	Enter 85% of line 1	2
3	Minimum asset amount for prior year (from Section B, line 8, Column A)	3
4	Enter greater of line 2 or line 3	4
5	Income tax imposed in prior year	5
6	Distributable Amount. Subtract line 5 from line 4, unless subject to emergency temporary reduction (see instructions)	6

Check here if the current year is the organization's first as a non-functionally-integrated Type III supporting organization (see instructions)

Schedule A (Form 990 or 990-EZ) 2018

Page 7

Part V

Type III Non-Functionally Integrated 509(a)(3) Supporting Organizations (continued)

Section D - Distributions		Current Year
1 Amounts paid to supported organizations to accomplish exempt purposes
2 Amounts paid to perform activity that directly furthers exempt purposes of supported organizations, in excess of income from activity
3 Administrative expenses paid to accomplish exempt purposes of supported organizations
4 Amounts paid to acquire exempt-use assets
5 Qualified set-aside amounts (prior IRS approval required)
6 Other distributions (describe in Part VI). See instructions
7Total annual distributions. Add lines 1 through 6.
8 Distributions to attentive supported organizations to which the organization is responsive (provide details in Part VI). See instructions
9 Distributable amount for 2018 from Section C, line 6
10 Line 8 amount divided by Line 9 amount

Section E - Distribution Allocations (see instructions)		(i) Excess Distributions	(ii) Underdistributions Pre-2018	(iii) Distributable Amount for 2018
1 Distributable amount for 2018 from Section C, line 6
2 Underdistributions, if any, for years prior to 2018 (reasonable cause required-- explain in Part VI). See instructions.
3 Excess distributions carryover, if any, to 2018:
a From 2013.......
b From 2014.......
c From 2015.......
d From 2016.......
e From 2017.......
fTotal of lines 3a through e
g Applied to underdistributions of prior years
h Applied to 2018 distributable amount
i Carryover from 2013 not applied (see instructions)
j Remainder. Subtract lines 3g, 3h, and 3i from 3f.
4Distributions for 2018 from Section D, line 7:
$
a Applied to underdistributions of prior years
b Applied to 2018 distributable amount
c Remainder. Subtract lines 4a and 4b from 4.
5 Remaining underdistributions for years prior to 2018, if any. Subtract lines 3g and 4a from line 2. If the amount is greater than zero, explain in Part VI. See instructions.
6 Remaining underdistributions for 2018. Subtract lines 3h and 4b from line 1. If the amount is greater than zero, explain in Part VI. See instructions.
7 Excess distributions carryover to 2019. Add lines 3j and 4c.
8 Breakdown of line 7:
a Excess from 2014......
b Excess from 2015.....
c Excess from 2016.....
d Excess from 2017.....
e Excess from 2018.....

Schedule A (Form 990 or 990-EZ) (2018)

Schedule A (Form 990 or 990-EZ) 2018

Page 8

Part VI

Supplemental Information. Provide the explanations required by Part II, line 10; Part II, line 17a or 17b; Part III, line 12; Part IV, Section A, lines 1, 2, 3b, 3c, 4b, 4c, 5a, 6, 9a, 9b, 9c, 11a, 11b, and 11c; Part IV, Section B, lines 1 and 2; Part IV, Section C, line 1; Part IV, Section D, lines 2 and 3; Part IV, Section E, lines 1c, 2a, 2b, 3a and 3b; Part V, line 1; Part V, Section B, line 1e; Part V Section D, lines 5, 6, and 8; and Part V, Section E, lines 2, 5, and 6. Also complete this part for any additional information. (See instructions).

Facts And Circumstances Test

Return Reference	Explanation

Schedule A (Form 990 or 990-EZ) 2018

Additional Data

Software ID:
Software Version:

- TIN:

SCHEDULE C
(Form 990 or 990-EZ)

Department of the Treasury
Internal Revenue Service

Political Campaign and Lobbying Activities

For Organizations Exempt From Income Tax Under section 501(c) and section 527

SchCMd Bullet

Complete if the organization is described below. SchCMd Bullet

Attach to Form 990 or Form 990-EZ.
SchCMd Bullet

Go to www.irs.gov/Form990 for instructions and the latest information.

OMB No. 1545-0047

2018

Open to Public
Inspection

If the organization answered "Yes" on Form 990, Part IV, Line 3, or Form 990-EZ, Part V, line 46 (Political Campaign Activities), then
Round Bullet

Section 501(c)(3) organizations: Complete Parts I-A and B. Do not complete Part I-C.
Round Bullet

Section 501(c) (other than section 501(c)(3)) organizations: Complete Parts I-A and C below. Do not complete Part I-B.
Round Bullet

Section 527 organizations: Complete Part I-A only.
If the organization answered "Yes" on Form 990, Part IV, Line 4, or Form 990-EZ, Part VI, line 47 (Lobbying Activities), then
Round Bullet

Section 501(c)(3) organizations that have filed Form 5768 (election under section 501(h)): Complete Part II-A. Do not complete Part II-B.
Round Bullet

Section 501(c)(3) organizations that have NOT filed Form 5768 (election under section 501(h)): Complete Part II-B. Do not complete Part II-A.
If the organization answered "Yes" on Form 990, Part IV, Line 5 (Proxy Tax) (see separate instructions) or Form 990-EZ, Part V, line 35c (Proxy Tax) (see separate instructions), then
Round Bullet

Section 501(c)(4), (5), or (6) organizations: Complete Part III.

Name of the organization

MONTANA SCHOOL BOARDS ASSOCIATION

Employer identification number

81-0247703

Part I-A

Complete if the organization is exempt under section 501(c) or is a section 527 organization.

Provide a description of the organization’s direct and indirect political campaign activities in Part IV (see instructions for definition of “political campaign activities")

Political campaign activity expenditures (see instructions) .................................................................... SchCMd Bullet

Volunteer hours for political campaign activities (see instructions) ..................................................................

Part I-B

Complete if the organization is exempt under section 501(c)(3).

Enter the amount of any excise tax incurred by the organization under section 4955 ................................ SchCMd Bullet

Enter the amount of any excise tax incurred by organization managers under section 4955 ....................... SchCMd Bullet

If the organization incurred a section 4955 tax, did it file Form 4720 for this year? .........................................

Yes No

Was a correction made? ......................................................................................................................

Yes No

If "Yes," describe in Part IV.

Part I-C

Complete if the organization is exempt under section 501(c), except section 501(c)(3).

Enter the amount directly expended by the filing organization for section 527 exempt function activities ..... SchCMd Bullet

Enter the amount of the filing organization's funds contributed to other organizations for section 527 exempt function activities ............................................................................................................................ SchCMd Bullet

Total exempt function expenditures. Add lines 1 and 2. Enter here and on Form 1120-POL, line 17b........... SchCMd Bullet

Did the filing organization file Form 1120-POL for this year? ...................................................................

Yes No

Enter the names, addresses and employer identification number (EIN) of all section 527 political organizations to which the filing
organization made payments. For each organization listed, enter the amount paid from the filing organization’s funds. Also enter the amount of political contributions received that were promptly and directly delivered to a separate political organization, such as a separate segregated fund or a political action committee (PAC). If additional space is needed, provide information in Part IV.

(a) Name	(b) Address	(c) EIN	(d) Amount paid from filing organization's funds. If none, enter -0-.	(e) Amount of political contributions received and promptly and directly delivered to a separate political organization. If none, enter -0-.
1
2
3
4
5
6

For Paperwork Reduction Act Notice, see the instructions for Form 990 or 990-EZ.

Cat. No. 50084S

Schedule C (Form 990 or 990-EZ) 2018

Page 2

Part II-A

Complete if the organization is exempt under section 501(c)(3) and filed Form 5768 (election under section 501(h)).

A Check SchCMd Bullet

if the filing organization belongs to an affiliated group (and list in Part IV each affiliated group member's name, address, EIN, expenses, and share of excess lobbying expenditures).
B Check SchCMd Bullet

if the filing organization checked box A and "limited control" provisions apply.

Limits on Lobbying Expenditures (The term "expenditures" means amounts paid or incurred.)		(a) Filing organization's totals	(b) Affiliated group totals
1a	Total lobbying expenditures to influence public opinion (grass roots lobbying) ......................	40,500
b	Total lobbying expenditures to influence a legislative body (direct lobbying) ...............................	94,499
c	Total lobbying expenditures (add lines 1a and 1b) ...................................................................	134,999
d	Other exempt purpose expenditures ........................................................................	4,404,405
e	Total exempt purpose expenditures (add lines 1c and 1d) ...............................................	4,539,404
f	Lobbying nontaxable amount. Enter the amount from the following table in both columns.	376,970
	If the amount on line 1e, column (a) or (b) is:The lobbying nontaxable amount is:
	Not over $500,00020% of the amount on line 1e.
	Over $500,000 but not over $1,000,000$100,000 plus 15% of the excess over $500,000.
	Over $1,000,000 but not over $1,500,000$175,000 plus 10% of the excess over $1,000,000.
	Over $1,500,000 but not over $17,000,000$225,000 plus 5% of the excess over $1,500,000.
	Over $17,000,000$1,000,000.

g	Grassroots nontaxable amount (enter 25% of line 1f) .................................................	94,243
h	Subtract line 1g from line 1a. If zero or less, enter -0-. ................................................	0
i	Subtract line 1f from line 1c. If zero or less, enter -0-. ................................................	0
j	If there is an amount other than zero on either line 1h or line 1i, did the organization file Form 4720 reporting section 4911 tax for this year? ...................................................................................................................		Yes No

4-Year Averaging Period Under section 501(h) (Some organizations that made a section 501(h) election do not have to complete all of the five columns below. See the separate instructions for lines 2a through 2f.)
Lobbying Expenditures During 4-Year Averaging Period
	Calendar year (or fiscal year beginning in)	(a) 2015	(b) 2016	(c) 2017	(d) 2018	(e) Total

2a	Lobbying nontaxable amount	351,795	348,980	363,959	376,970	1,441,704

b	Lobbying ceiling amount (150% of line 2a, column(e))					2,162,556

c	Total lobbying expenditures	172,897	199,855	147,509	134,999	655,260

d	Grassroots nontaxable amount	87,949	87,245	90,990	94,243	360,427

e	Grassroots ceiling amount (150% of line 2d, column (e))					540,641

f	Grassroots lobbying expenditures	51,870	59,955	44,253	40,500	196,578

Schedule C (Form 990 or 990-EZ) 2018

Page 3

Part II-B

Complete if the organization is exempt under section 501(c)(3) and has NOT filed Form 5768 (election under section 501(h)).

For each "Yes" response on lines 1a through 1i below, provide in Part IV a detailed description of the lobbying activity.

(a)

Yes

(b)

Amount

During the year, did the filing organization attempt to influence foreign, national, state or local legislation, including any attempt to influence public opinion on a legislative matter or referendum, through the use of:

Volunteers? ...........................................................................................................

Paid staff or management (include compensation in expenses reported on lines 1c through 1i)? ........

Media advertisements? ...................................................................................................

Mailings to members, legislators, or the public? .............................................................................

Publications, or published or broadcast statements? ...........................................................

Grants to other organizations for lobbying purposes? ..........................................................

Direct contact with legislators, their staffs, government officials, or a legislative body? .......................

Rallies, demonstrations, seminars, conventions, speeches, lectures, or any similar means? ..................

Other activities? ...................................................................................................................

Total. Add lines 1c through 1i ....................................................................................................

Did the activities in line 1 cause the organization to be not described in section 501(c)(3)? .....

If "Yes," enter the amount of any tax incurred under section 4912 ...........................................

If "Yes," enter the amount of any tax incurred by organization managers under section 4912 ...................

If the filing organization incurred a section 4912 tax, did it file Form 4720 for this year? ........................

Part III-A

Complete if the organization is exempt under section 501(c)(4), section 501(c)(5), or section 501(c)(6).

Yes

Were substantially all (90% or more) dues received nondeductible by members? ...............................................

Did the organization make only in-house lobbying expenditures of $2,000 or less? ............................................

Did the organization agree to carry over lobbying and political expenditures from the prior year? .................................

Part III-B

Complete if the organization is exempt under section 501(c)(4), section 501(c)(5), or section 501(c)(6) and if either (a) BOTH Part III-A, lines 1 and 2, are answered "No" OR (b) Part III-A, line 3, is answered “Yes."

Dues, assessments and similar amounts from members ......................................................................

Section 162(e) nondeductible lobbying and political expenditures (do not include amounts of political expenses for which the section 527(f) tax was paid).

Current year .............................................................................................................................

Carryover from last year ............................................................................................................

Total ...........................................................................................................................................

Aggregate amount reported in section 6033(e)(1)(A) notices of nondeductible section 162(e) dues .

If notices were sent and the amount on line 2c exceeds the amount on line 3, what portion of the excess does the organization agree to carryover to the reasonable estimate of nondeductible lobbying and political expenditure next year? ......................................................................................................................

Taxable amount of lobbying and political expenditures (see instructions) .........................................

Part IV

Supplemental Information

Provide the descriptions required for Part l-A, line 1; Part l-B, line 4; Part l-C, line 5; Part II-A (affiliated group list); Part II-A, lines 1 and 2 (see instructions), and Part ll-B, line 1. Also, complete this part for any additional information.

Return Reference	Explanation

Schedule C (Form 990 or 990EZ) 2018

Additional Data

Software ID:
Software Version:

- TIN:

SCHEDULE D
(Form 990)

Department of the Treasury
Internal Revenue Service

Supplemental Financial Statements

Complete if the organization answered "Yes," on Form 990,
Part IV, line 6, 7, 8, 9, 10, 11a, 11b, 11c, 11d, 11e, 11f, 12a, or 12b.
SchDMd Bullet

Attach to Form 990.
SchDMd Bullet

Go to www.irs.gov/Form990 for the latest information.

OMB No. 1545-0047

2018

Open to Public Inspection

Name of the organization

MONTANA SCHOOL BOARDS ASSOCIATION

Employer identification number

81-0247703

Part I

Organizations Maintaining Donor Advised Funds or Other Similar Funds or Accounts. Complete if the organization answered "Yes" on Form 990, Part IV, line 6.

		(a) Donor advised funds	(b) Funds and other accounts
1	Total number at end of year .........
2	Aggregate value of contributions to (during year)
3	Aggregate value of grants from (during year)
4	Aggregate value at end of year ........

Did the organization inform all donors and donor advisors in writing that the assets held in donor advised funds are the organization’s property, subject to the organization’s exclusive legal control? ............

Yes No

Did the organization inform all grantees, donors, and donor advisors in writing that grant funds can be used only for charitable purposes and not for the benefit of the donor or donor advisor, or for any other purpose conferring impermissible private benefit? ...................................

Yes No

Part II

Conservation Easements. Complete if the organization answered "Yes" on Form 990, Part IV, line 7.

Purpose(s) of conservation easements held by the organization (check all that apply).

Preservation of land for public use (e.g., recreation or education) Preservation of an historically important land area

Protection of natural habitat Preservation of a certified historic structure

Preservation of open space

Complete lines 2a through 2d if the organization held a qualified conservation contribution in the form of a conservation easement on the last day of the tax year.


a	Total number of conservation easements ......................	2a
b	Total acreage restricted by conservation easements ....................	2b
c	Number of conservation easements on a certified historic structure included in (a) .....	2c
d	Number of conservation easements included in (c) acquired after 7/25/06, and not on a historic structure listed in the National Register ...	2d

Number of conservation easements modified, transferred, released, extinguished, or terminated by the organization during the
tax year SchDMd Bullet

Number of states where property subject to conservation easement is located SchDMd Bullet

Does the organization have a written policy regarding the periodic monitoring, inspection, handling of violations, and enforcement of the conservation easements it holds? ............

Yes No

Staff and volunteer hours devoted to monitoring, inspecting, handling of violations, and enforcing conservation easements during the year
SchDMd Bullet

Amount of expenses incurred in monitoring, inspecting, handling of violations, and enforcing conservation easements during the year
SchDMd Bullet

Does each conservation easement reported on line 2(d) above satisfy the requirements of section 170(h)(4)(B)(i) and section 170(h)(4)(B)(ii)? .............................

Yes No

In Part XIII, describe how the organization reports conservation easements in its revenue and expense statement, and
balance sheet, and include, if applicable, the text of the footnote to the organization’s financial statements that describes
the organization’s accounting for conservation easements.

Part III

Organizations Maintaining Collections of Art, Historical Treasures, or Other Similar Assets.
Complete if the organization answered "Yes" on Form 990, Part IV, line 8.

If the organization elected, as permitted under SFAS 116 (ASC 958), not to report in its revenue statement and balance sheet works of art, historical treasures, or other similar assets held for public exhibition, education, or research in furtherance of public service, provide, in Part XIII, the text of the footnote to its financial statements that describes these items.

If the organization elected, as permitted under SFAS 116 (ASC 958), to report in its revenue statement and balance sheet works of art, historical treasures, or other similar assets held for public exhibition, education, or research in furtherance of public service, provide the following amounts relating to these items:

(i)

Revenue included on Form 990, Part VIII, line 1 ......................... SchDMd Bullet

(ii)

Assets included in Form 990, Part X ............................... SchDMd Bullet

If the organization received or held works of art, historical treasures, or other similar assets for financial gain, provide the
following amounts required to be reported under SFAS 116 (ASC 958) relating to these items:

Revenue included on Form 990, Part VIII, line 1 .......................... SchDMd Bullet

Assets included in Form 990, Part X ............................... SchDMd Bullet

For Paperwork Reduction Act Notice, see the Instructions for Form 990.

Cat. No. 52283D

Schedule D (Form 990) 2018

Page 2

Part III

Organizations Maintaining Collections of Art, Historical Treasures, or Other Similar Assets (continued)

Using the organization’s acquisition, accession, and other records, check any of the following that are a significant use of its collection items (check all that apply):

Public exhibition

Loan or exchange programs

Scholarly research

Other

Preservation for future generations

Provide a description of the organization’s collections and explain how they further the organization’s exempt purpose in
Part XIII.

During the year, did the organization solicit or receive donations of art, historical treasures or other similar
assets to be sold to raise funds rather than to be maintained as part of the organization’s collection?...

Yes No

Part IV

Escrow and Custodial Arrangements. Complete if the organization answered "Yes" on Form 990, Part IV, line 9, or reported an amount on Form 990, Part X, line 21.

Is the organization an agent, trustee, custodian or other intermediary for contributions or other assets not
included on Form 990, Part X? ....................................

Yes No


b	If "Yes," explain the arrangement in Part XIII and complete the following table:		Amount
c	Beginning balance .............................	1c	298,766
d	Additions during the year ............................	1d	61,096
e	Distributions during the year ..........................	1e	48,339
f	Ending balance ................................	1f	311,523

Did the organization include an amount on Form 990, Part X, line 21, for escrow or custodial account liability? ...

Yes No

If "Yes," explain the arrangement in Part XIII. Check here if the explanation has been provided in Part XIII ....

Part V

Endowment Funds. Complete if the organization answered "Yes" on Form 990, Part IV, line 10.

		(a)Current year	(b)Prior year	(c)Two years back	(d)Three years back	(e)Four years back

1a	Beginning of year balance ....
b	Contributions ...
c	Net investment earnings, gains, and losses
d	Grants or scholarships ...
e	Other expenditures for facilities and programs ...
f	Administrative expenses ....
g	End of year balance ......

Provide the estimated percentage of the current year end balance (line 1g, column (a)) held as:

Board designated or quasi-endowment SchDMd Bullet

Permanent endowment SchDMd Bullet

Temporarily restricted endowment SchDMd Bullet

The percentages on lines 2a, 2b, and 2c should equal 100%.

Are there endowment funds not in the possession of the organization that are held and administered for the
organization by:

Yes

(i) unrelated organizations .................

3a(i)

(ii) related organizations .................

3a(ii)

If "Yes" on 3a(ii), are the related organizations listed as required on Schedule R? .........

Describe in Part XIII the intended uses of the organization's endowment funds.

Part VI

Land, Buildings, and Equipment.
Complete if the organization answered "Yes" on Form 990, Part IV, line 11a. See Form 990, Part X, line 10.

Description of property		(a) Cost or other basis (investment)	(b) Cost or other basis (other)	(c) Accumulated depreciation	(d) Book value

1a	Land .....	225,283		225,283
b	Buildings ....	3,252,294	647,454	2,604,840
c	Leasehold improvements
d	Equipment ....	684,440	298,321	386,119
e	Other .....
Total. Add lines 1a through 1e. (Column (d) must equal Form 990, Part X, column (B), line 10(c).)..				3,216,242

Schedule D (Form 990) 2018

Page 3

Part VII

InvestmentsOther Securities. Complete if the organization answered "Yes" on Form 990, Part IV, line 11b. See Form 990, Part X, line 12.

(a) Description of security or category (including name of security)	(b) Book value	(c) Method of valuation: Cost or end-of-year market value
(1) Financial derivatives.........
(2) Closely-held equity interests........
(3)Other
(A)
(B)
(C)
(D)
(E)
(F)
(G)
(H)
Total. (Column (b) must equal Form 990, Part X, col. (B) line 12.)

Part VIII

InvestmentsProgram Related. Complete if the organization answered 'Yes' on Form 990, Part IV, line 11c. See Form 990, Part X, line 13.

(a) Description of investment	(b) Book value	(c) Method of valuation: Cost or end-of-year market value

(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
(9)
Total. (Column (b) must equal Form 990, Part X, col.(B) line 13.)

Part IX

Other Assets. Complete if the organization answered 'Yes' on Form 990, Part IV, line 11d. See Form 990, Part X, line 15.

(a) Description				(b) Book value

(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
(9)
Total. (Column (b) must equal Form 990, Part X, col.(B) line 15.)...........

Part X

Other Liabilities. Complete if the organization answered 'Yes' on Form 990, Part IV, line 11e or 11f. See Form 990, Part X, line 25.

1.(a) Description of liability	(b) Book value
(1) Federal income taxes
DEFERRED COMPENSATION PAYABLE	249,893
(2)
(3)
(4)
(5)
(6)
(7)
(8)
(9)
Total. (Column (b) must equal Form 990, Part X, col.(B) line 25.)	249,893
2. Liability for uncertain tax positions. In Part XIII, provide the text of the footnote to the organization's financial statements that reports the organization's liability for uncertain tax positions under FIN 48 (ASC 740). Check here if the text of the footnote has been provided in Part XIII

Schedule D (Form 990) 2018

Page 4

Part XI Reconciliation of Revenue per Audited Financial Statements With Revenue per Return Complete if the organization answered 'Yes' on Form 990, Part IV, line 12a.
1	Total revenue, gains, and other support per audited financial statements .......			1	2,741,594
2	Amounts included on line 1 but not on Form 990, Part VIII, line 12:
a	Net unrealized gains (losses) on investments ....	2a
b	Donated services and use of facilities .........	2b
c	Recoveries of prior year grants ...........	2c
d	Other (Describe in Part XIII.) ............	2d
e	Add lines 2a through 2d .....................			2e	0
3	Subtract line 2e from line 1..................			3	2,741,594
4	Amounts included on Form 990, Part VIII, line 12, but not on line 1:
a	Investment expenses not included on Form 990, Part VIII, line 7b .	4a
b	Other (Describe in Part XIII.) ...........	4b	2,033,036
c	Add lines 4a and 4b....................			4c	2,033,036
5	Total revenue. Add lines 3 and 4c. (This must equal Form 990, Part I, line 12.) ......			5	4,774,630

Part XII Reconciliation of Expenses per Audited Financial Statements With Expenses per Return. Complete if the organization answered 'Yes' on Form 990, Part IV, line 12a.
1	Total expenses and losses per audited financial statements ...........			1	2,506,367
2	Amounts included on line 1 but not on Form 990, Part IX, line 25:
a	Donated services and use of facilities .........	2a
b	Prior year adjustments ............	2b
c	Other losses ................	2c
d	Other (Describe in Part XIII.) ............	2d
e	Add lines 2a through 2d....................			2e	0
3	Subtract line 2e from line 1...................			3	2,506,367
4	Amounts included on Form 990, Part IX, line 25, but not on line 1:
a	Investment expenses not included on Form 990, Part VIII, line 7b ..	4a
b	Other (Describe in Part XIII.) ............	4b	2,033,037
c	Add lines 4a and 4b.....................			4c	2,033,037
5	Total expenses. Add lines 3 and 4c. (This must equal Form 990, Part I, line 18.) ......			5	4,539,404

Part XIII

Supplemental Information

Provide the descriptions required for Part II, lines 3, 5, and 9; Part III, lines 1a and 4; Part lV, lines 1b and 2b; Part V, line 4; Part X, line 2; Part XI, lines 2d and 4b; and Part XII, lines 2d and 4b. Also complete this part to provide any additional information.

Return Reference	Explanation
PART IV, LINE 1B:	MTSBA IS CUSTODIAN (CASH) FOR THE INDIAN SCHOOL BOARD CAUCUS ($305,042) AND FOR AA CAUCUS ($6,481). THESE FUNDS ARE HELD FOR THESE TWO ORGANIZATIONS AND DISBURSED AS REQUIRED.
PART XI, LINE 4B - OTHER ADJUSTMENTS:	REIMBURSED TRAVEL EXPENSES/ROUNDING 36,085. MSGIA & MTSUIP THIRD PARTY ADMINISTRATION 1,996,951.
PART XII, LINE 4B - OTHER ADJUSTMENTS:	REIMBURSED TRAVEL EXPENSES/ROUNDING 36,086. MSGIA & MTSUIP THIRD PARTY ADMINISTRATION 1,996,951.

Schedule D (Form 990) 2018

Additional Data

Software ID:
Software Version:

- TIN:

Schedule J
(Form 990)

Department of the Treasury
Internal Revenue Service

Compensation Information

For certain Officers, Directors, Trustees, Key Employees, and Highest
Compensated Employees
SchJMediumBullet

Complete if the organization answered "Yes" on Form 990, Part IV, line 23.
SchJMediumBullet

Attach to Form 990.
SchJMediumBullet

Go to www.irs.gov/Form990 for instructions and the latest information.

OMB No. 1545-0047

2018

Open to Public Inspection

Name of the organization

MONTANA SCHOOL BOARDS ASSOCIATION

Employer identification number

81-0247703

Part I

Questions Regarding Compensation

Yes

Check the appropiate box(es) if the organization provided any of the following to or for a person listed on Form
990, Part VII, Section A, line 1a. Complete Part III to provide any relevant information regarding these items.

First-class or charter travel Housing allowance or residence for personal use

Travel for companions Payments for business use of personal residence

Tax idemnification and gross-up payments Health or social club dues or initiation fees

Discretionary spending account Personal services (e.g., maid, chauffeur, chef)

If any of the boxes in line 1a are checked, did the organization follow a written policy regarding payment or reimbursement or provision of all of the expenses described above? If "No," complete Part III to explain .........

Yes

Did the organization require substantiation prior to reimbursing or allowing expenses incurred by all
directors, trustees, officers, including the CEO/Executive Director, regarding the items checked in line 1a? ..

Yes

Indicate which, if any, of the following the filing organization used to establish the compensation of the
organization's CEO/Executive Director. Check all that apply. Do not check any boxes for methods
used by a related organization to establish compensation of the CEO/Executive Director, but explain in Part III.

Compensation committee Written employment contract

Independent compensation consultant Compensation survey or study

Form 990 of other organizations Approval by the board or compensation committee

During the year, did any person listed on Form 990, Part VII, Section A, line 1a, with respect to the filing organization or a related organization:

Receive a severance payment or change-of-control payment? .............

Participate in, or receive payment from, a supplemental nonqualified retirement plan? .........

Yes

Participate in, or receive payment from, an equity-based compensation arrangement? .........

If "Yes" to any of lines 4a-c, list the persons and provide the applicable amounts for each item in Part III.

Only 501(c)(3), 501(c)(4), and 501(c)(29) organizations must complete lines 5-9.

For persons listed on Form 990, Part VII, Section A, line 1a, did the organization pay or accrue any
compensation contingent on the revenues of:

The organization? ....................

Any related organization? .......................

If "Yes," on line 5a or 5b, describe in Part III.

For persons listed on Form 990, Part VII, Section A, line 1a, did the organization pay or accrue any
compensation contingent on the net earnings of:

The organization? ..................

Any related organization? ......................

If "Yes," on line 6a or 6b, describe in Part III.

For persons listed on Form 990, Part VII, Section A, line 1a, did the organization provide any nonfixed
payments not described in lines 5 and 6? If "Yes," describe in Part III ............

Were any amounts reported on Form 990, Part VII, paid or accured pursuant to a contract that was
subject to the initial contract exception described in Regulations section 53.4958-4(a)(3)? If "Yes," describe
in Part III ..........................

If "Yes" on line 8, did the organization also follow the rebuttable presumption procedure described in Regulations section 53.4958-6(c)? .........................

For Paperwork Reduction Act Notice, see the Instructions for Form 990.

Cat. No. 50053T

Schedule J (Form 990) 2018

Page 2

Part II

Officers, Directors, Trustees, Key Employees, and Highest Compensated Employees. Use duplicate copies if additional space is needed.

For each individual whose compensation must be reported on Schedule J, report compensation from the organization on row (i) and from related organizations, described in the
instructions, on row (ii). Do not list any individuals that are not listed on Form 990, Part VII.
Note. The sum of columns (B)(i)-(iii) for each listed individual must equal the total amount of Form 990, Part VII, Section A, line 1a, applicable column (D) and (E) amounts for that individual.

(A) Name and Title		(B) Breakdown of W-2 and/or 1099-MISC compensation			(C) Retirement and other deferred compensation	(D) Nontaxable benefits	(E) Total of columns (B)(i)-(D)	(F) Compensation in column (B) reported as deferred on prior Form 990
(A) Name and Title		(i) Base compensation	(ii) Bonus & incentive compensation	(iii) Other reportable compensation	(C) Retirement and other deferred compensation	(D) Nontaxable benefits	(E) Total of columns (B)(i)-(D)
1LANCE MELTON EXECUTIVE DIRECTOR/TREASUR	(i) (ii)	213,210 ------------- 0	338,403 ------------- 0	6,493 ------------- 0	83,311 ------------- 0	19,000 ------------- 0	660,417 ------------- 0	313,362 ------------- 0
2DEBRA SILK ASSOC EXEC DIRECTOR/CHIEF	(i) (ii)	166,000 ------------- 0	17,666 ------------- 0	5,840 ------------- 0	35,551 ------------- 0	12,000 ------------- 0	237,057 ------------- 0	0 ------------- 0
3SHAWN BUBB DIRECTOR, INSURANCE SERVIC	(i) (ii)	165,263 ------------- 0	281,452 ------------- 0	5,169 ------------- 0	27,500 ------------- 0	19,000 ------------- 0	498,384 ------------- 0	265,497 ------------- 0
4ANDREW SEVER DIR. LABOR RELATIONS	(i) (ii)	114,330 ------------- 0	9,759 ------------- 0	892 ------------- 0	12,498 ------------- 0	19,000 ------------- 0	156,479 ------------- 0	0 ------------- 0

Schedule J (Form 990) 2018

Page 3

Part III

Supplemental Information

Provide the information, explanation, or descriptions required for Part I, lines 1a, 1b, 3, 4a, 4b, 4c, 5a, 5b, 6a, 6b, 7, and 8, and for Part II. Also complete this part for any additional information.

Return Reference

Explanation

PART I, LINE 1A

HEALTH CLUB DUES AND PERSONAL USE OF VEHICLE EXPENSES ARE PAID BY MTSBA AND TAXED TO EMPLOYEES AS A FRINGE BENEFIT.

PART I, LINE 4B

TOTAL COMPENSATION ON THIS RETURN FOR MTSBA EXECUTIVE DIRECTOR LANCE MELTON & MTSBA DIRECTOR OF INSURANCE SERVICES SHAWN BUBB INCLUDE AMOUNTS ATTRIBUTABLE TO THE DISSOLUTION & DISTRIBUTION OF MULTI-YEAR NONQUALIFIED DEFERRED RETIREMENT TRUSTS IN WHICH THESE EMPLOYEES FULFILLED THE UNDERLYING CONTRACT REQUIREMENTS AND BECAME FULLY VESTED EFFECTIVE JULY 1, 2018. ALL PREVIOUS CONTRIBUTIONS TO THE TRUSTS ON BEHALF OF THE EMPLOYEES WERE REPORTED ON MTSBA'S FORMS 990 BETWEEN 2008-2018 AS PART OF THEIR TOTAL COMPENSATION. THE PORTION OF MELTON'S COMPENSATON ATTRIBUTABLE TO THE DISSOLUTION & DISTRIBUTION OF HIS MULTI-YEAR (2008-2018) RETIREMENT TRUST IS $313,362 AND BUBB'S IS $265,497. DEBRA SILK, CO-EXECUTIVE DIRECTOR OF MTSBA, ALSO PARTICIPATES IN A SUPPLEMENTAL NONQUALIFIED RETIREMENT PLAN. CURRENT CONTRIBUTIONS AND PAYOUTS ARE REPORTED FOR ALL EMPLOYEES AFFECTED EACH YEAR.

Schedule J (Form 990) 2018

Additional Data

Software ID:
Software Version:

- TIN:

SCHEDULE O
(Form 990 or 990-EZ)

Department of the Treasury
Internal Revenue Service

Supplemental Information to Form 990 or 990-EZ

Complete to provide information for responses to specific questions on
Form 990 or 990-EZ or to provide any additional information.
MediumBullet

Attach to Form 990 or 990-EZ.
MediumBullet

Go to www.irs.gov/Form990 for the latest information.

OMB No. 1545-0047

2018

Open to Public
Inspection

Name of the organization

MONTANA SCHOOL BOARDS ASSOCIATION

Employer identification number

81-0247703

Return Reference	Explanation
FORM 990, PART VI, SECTION A, LINE 6	MTSBA'S MEMBERS CONSIST OF THE ELECTED SCHOOL BOARDS OF MOST MONTANA PUBLIC K-12 SCHOOL DISTRICTS. MTSBA MEMBERSHIP ENCOMPASSES ALL SCHOOL DISTRICTS IN THE STATE WITH A HIGH SCHOOL PROGRAM, ALL BUT 12 SCHOOL DISTRICTS OF THE STATE AND ALL SCHOOL DISTRICTS WITH MORE THAN 25 STUDENTS ENROLLED.
FORM 990, PART VI, SECTION A, LINE 7A	THE ASSOCIATION IS GOVERNED BY A 20-MEMBER BOARD OF DIRECTORS, 11 OF WHOM ARE ELECTED FROM GEOGRAPHIC REGIONS THROUGHOUT THE STATE. PURSUANT TO THE BYLAWS, THE REGIONS ARE SUBJECT TO REVIEW EVERY FIVE YEARS BY THE MTSBA BOARD, WHICH IS AUTHORIZED TO MAKE ADJUSTMENTS AS NECESSARY TO PRESERVE EQUITY IN THE NUMBER OF SCHOOL TRUSTEES REPRESENTED BY EACH DIRECTOR. SEVEN DIRECTORS ARE APPOINTED BY THE SEVEN LARGEST MEMBERS OF MTSBA, BASED ON STUDENT ENROLLMENT, INCLUDING BILLINGS, BOZEMAN, BUTTE, GREAT FALLS, HELENA, KALISPELL, AND MISSOULA. ONE DIRECTOR IS APPOINTED BY THE MTSBA INDIAN SCHOOL BOARD CAUCUS IN ACCORDANCE WITH THE ASSOCIATION BYLAWS, ONE DIRECTOR SERVES BY VIRTUE OF HIS OR HER STATUS AS A PAST PRESIDENT OF THE NATIONAL SCHOOL BOARDS ASSOCIATION AND ONE DIRECTOR SERVES BY VIRTUE OF HIS OR HER STATUS AS A DIRECTOR ON THE NATIONAL SCHOOL BOARDS ASSOCIATION BOARD OF DIRECTORS.
FORM 990, PART VI, SECTION A, LINE 7B	THERE ARE A VARIETY OF DECISIONS OF THE MTSBA BOARD THAT ARE SUBJECT TO APPROVAL BY THE MEMBERS. SPECIFIC EXAMPLES INCLUDE LEGISLATIVE AND OTHER RESOLUTIONS, DUES INCREASES AND BYLAWS CHANGES, ALL OF WHICH ARE ORDINARILY PROPOSED BY THE MTSBA BOARD BUT SUBJECT TO APPROVAL BY THE MTSBA MEMBERSHIP.
FORM 990, PART VI, SECTION B, LINE 11B	PROCESS OF REVIEW FOR 990 THE CPA RETAINED BY THE ASSOCIATION PRELIMINARILY PREPARES THE 990 AFTER THE INDEPENDENT AUDIT HAS BEEN COMPLETED. THE MTSBA EXECUTIVE DIRECTOR AND GENERAL COUNSEL REVIEW THE 990 IN DETAIL WITH THE CPA TO ENSURE ITS ACCURACY, BOTH IN TERMS OF NUMBERS AND NARRATIVE AND ANSWERS TO ALL QUESTIONS. UPON COMPLETION OF SUCH REVIEW, THE FINAL DRAFT IS PROVIDED TO THE MTSBA BOARD OF DIRECTORS FOR ITS INFORMATION AND IN ORDER TO ALLOW THE BOARD ANY INPUT IT MAY HAVE REGARDING THE COMPLETED 990 BEFORE FILING. MTSBA HAS NOT CHANGED (SINCE THE LAST FILING OF THE 990) THE OVERSIGHT PROCESS FOR THE AUDIT OF THE FINANCIAL STATEMENTS OR FOR THE SELECTION OF AN INDEPENDENT ACCOUNTANT.
FORM 990, PART VI, SECTION B, LINE 12C	DESCRIPTION OF CONFLICT OF INTEREST PROCEDURE - THE MTSBA BOARD OF DIRECTORS SIGN OFF ANNUALLY ON A CONFLICT OF INTEREST POLICY ACKNOWLEDGING RECEIPT AND OFFERING AN OPPORTUNITY TO DISCLOSE. WHEN CONSIDERING FINANCIAL TRANSACTIONS WE ARE CAREFUL TO IDENTIFY POTENTIAL CONFLICTS OF INTEREST AND RAISE SUCH ISSUES BEFORE THE MTSBA BOARD WHEN A POTENTIAL CONFLICT IS IDENTIFIED. WE ALSO SPECIFICALLY FOLLOW SECTION 35-2-418 (DIRECTOR CONFLICT OF INTEREST) OF THE MONTANA CODE ANNOTATED. FINALLY, WHEN A FINANCIAL TRANSACTION WITH A RELATED PARTY OCCURS, THE RELATED BOARD OR STAFF MEMBER IS REMOVED FROM DECISION MAKING AUTHORITY OVER THE INITIATION, CONTINUATION AND CESSATION OF SUCH SERVICES.
FORM 990, PART VI, SECTION B, LINE 15	DETERMINATION OF COMPENSATION FOR THE EXECUTIVE DIRECTOR: THE MTSBA BOARD ANNUALLY DETERMINES THE REASONABLENESS AND COMPARABILITY OF THE EXECUTIVE DIRECTOR'S SALARY. SUCH COMPARISON IS ACCOMPLISHED THROUGH RELIANCE UPON A SURVEY OF COMPENSATION COMPLETED BY THE NATIONAL SCHOOL BOARDS ASSOCIATION OF ALL 50 STATE SCHOOL BOARD ASSOCIATIONS. THE BOARD ALSO REVIEWS AND COMPARES SALARY AND BENEFITS OF A VARIETY OF PRIVATE NONPROFIT AND PUBLIC POSITIONS, USING GUIDESTAR.COM TO REVIEW 990S OF OTHER NONPROFITS AND IDENTIFYING PUBLIC SALARY POSITIONS THROUGH PUBLICLY-AVAILABLE DATA. DETERMINATION OF COMPENSATION FOR MTSBA STAFF: SALARIES FOR MTSBA STAFF ARE ANNUALLY ASSESSED AND COMPARED TO SALARIES OF OTHER STAFF IN SIMILAR POSITIONS IN STATE SCHOOL BOARD ASSOCIATIONS OF SIMILAR SIZE, USING NSBA SALARY SURVEY DATA AS A GUIDE. MTSBA ALSO ASSESSES THE REASONABLENESS OF SALARIES AND BENEFITS IN COMPARISON TO MONTANA PUBLIC AND PRIVATE NONPROFIT SECTORS.
FORM 990, PART VI, SECTION C, LINE 19	HOW MTSBA MAKES GOVERNING DOCS AVAILABLE TO THE PUBLIC: MTSBA PUBLISHES ITS STRATEGIC PLAN ON THE PUBLIC SECTION OF ITS WEBSITE. IT DOES NOT OTHERWISE PUBLISH OTHER GOVERNING DOCUMENTS (SUCH AS BYLAWS, ARTICLES OF INCORPORATION, POLICIES, ETC.), BUT IT DOES FOLLOW AND ABIDE BY PUBLIC DISCLOSURE REQUIREMENTS FOR EXEMPT ORGANIZATIONS AS FULLY OUTLINED BY THE IRS IN ITS FAQ PAGE ON THIS ISSUE WHICH CAN BE LOCATED AT HTTP://WWW.IRS.GOV/CHARITIES/ARTICLE/0,,ID=96430,00.HTML. MTSBA'S FORM 990 IS ALSO PUBLISHED ANNUALLY ON GUIDESTAR.COM.
FORM 990, PART XI, LINE 9:	ROUNDING 1.
FORM 990, PART XII, LINE 2C:	THE PROCESS FOR AUDIT OVERSIGHT HAS NOT CHANGED FROM THE PRIOR YEAR.

For Paperwork Reduction Act Notice, see the Instructions for Form 990 or 990-EZ.

Cat. No. 51056K

Schedule O (Form 990 or 990-EZ) 2018

Additional Data

Software ID:
Software Version:

- TIN:

SCHEDULE R
(Form 990)

Department of the Treasury
Internal Revenue Service

Related Organizations and Unrelated Partnerships

Complete if the organization answered "Yes" on Form 990, Part IV, line 33, 34, 35b, 36, or 37.
MediumBullet

Attach to Form 990.
MediumBullet

Go to www.irs.gov/Form990 for instructions and the latest information.

OMB No. 1545-0047

2018

Open to Public Inspection

Name of the organization

MONTANA SCHOOL BOARDS ASSOCIATION

Employer identification number

81-0247703

Part I

Identification of Disregarded Entities Complete if the organization answered "Yes" on Form 990, Part IV, line 33.

(a) Name, address, and EIN (if applicable) of disregarded entity	(b) Primary activity	(c) Legal domicile (state or foreign country)	(d) Total income	(e) End-of-year assets	(f) Direct controlling entity

Part II

Identification of Related Tax-Exempt Organizations Complete if the organization answered "Yes" on Form 990, Part IV, line 34 because it had one or more related tax-exempt organizations during the tax year.

(a) Name, address, and EIN of related organization	(b) Primary activity	(c) Legal domicile (state or foreign country)	(d) Exempt Code section	(e) Public charity status (if section 501(c)(3))	(f) Direct controlling entity	(g) Section 512(b)(13) controlled entity?
(a) Name, address, and EIN of related organization	(b) Primary activity	(c) Legal domicile (state or foreign country)	(d) Exempt Code section	(e) Public charity status (if section 501(c)(3))	(f) Direct controlling entity	Yes	No
(1)MONTANA SCHOOL LEGISLATIVE ACTION COMMITTEE 863 GREAT NORTHERN BLVD STE 301 HELENA,MT59601 81-0538088	INACTIVE -LOBBYING	MT	501(C)4		MONTANA SCHOOL BOARDS ASSOCIATION	Yes

For Paperwork Reduction Act Notice, see the Instructions for Form 990.

Cat. No. 50135Y

Schedule R (Form 990) 2018

Page 2

Part III

Identification of Related Organizations Taxable as a Partnership Complete if the organization answered "Yes" on Form 990, Part IV, line 34 because it had one or more related organizations treated as a partnership during the tax year.

(a) Name, address, and EIN of related organization	(b) Primary activity	(c) Legal domicile (state or foreign country)	(d) Direct controlling entity	(f) Share of total income	(g) Share of end-of-year assets	(h) Disproprtionate allocations?		(i) Code V-UBI amount in box 20 of Schedule K-1 (Form 1065)	(j) General or managing partner?
(a) Name, address, and EIN of related organization	(b) Primary activity	(c) Legal domicile (state or foreign country)	(d) Direct controlling entity	(f) Share of total income	(g) Share of end-of-year assets	Yes	No	(i) Code V-UBI amount in box 20 of Schedule K-1 (Form 1065)	Yes	No

Part IV

Identification of Related Organizations Taxable as a Corporation or Trust Complete if the organization answered "Yes" on Form 990, Part IV, line 34 because it had one or more related organizations treated as a corporation or trust during the tax year.

(a) Name, address, and EIN of related organization	(b) Primary activity	(c) Legal domicile (state or foreign country)	(d) Direct controlling entity	(e) Type of entity (C corp, S corp, or trust)	(f) Share of total income	(g) Share of end-of-year assets	(i) Section 512(b)(13) controlled entity?
(a) Name, address, and EIN of related organization	(b) Primary activity	(c) Legal domicile (state or foreign country)	(d) Direct controlling entity	(e) Type of entity (C corp, S corp, or trust)	(f) Share of total income	(g) Share of end-of-year assets	Yes	No

Schedule R (Form 990) 2018

Page 3

Part V

Transactions With Related Organizations Complete if the organization answered "Yes" on Form 990, Part IV, line 34, 35b, or 36.

Note. Complete line 1 if any entity is listed in Parts II, III, or IV of this schedule.

Yes

1 During the tax year, did the orgranization engage in any of the following transactions with one or more related organizations listed in Parts II-IV?

a Receipt of (i) interest, (ii) annuities, (iii) royalties, or (iv) rent from a controlled entity .....................

b Gift, grant, or capital contribution to related organization(s) ............................

c Gift, grant, or capital contribution from related organization(s) ............................

d Loans or loan guarantees to or for related organization(s) ............................

e Loans or loan guarantees by related organization(s) ............................

f Dividends from related organization(s) ............................

g Sale of assets to related organization(s) ............................

h Purchase of assets from related organization(s) ............................

i Exchange of assets with related organization(s) ............................

j Lease of facilities, equipment, or other assets to related organization(s) .......................

k Lease of facilities, equipment, or other assets from related organization(s) ......................

l Performance of services or membership or fundraising solicitations for related organization(s) .....................

m Performance of services or membership or fundraising solicitations by related organization(s) .................

n Sharing of facilities, equipment, mailing lists, or other assets with related organization(s) ...................

o Sharing of paid employees with related organization(s) ............................

p Reimbursement paid to related organization(s) for expenses ............................

q Reimbursement paid by related organization(s) for expenses ............................

r Other transfer of cash or property to related organization(s) ............................

s Other transfer of cash or property from related organization(s) ............................

If the answer to any of the above is "Yes," see the instructions for information on who must complete this line, including covered relationships and transaction thresholds.

(a) Name of related organization	(b) Transaction type (a-s)	(c) Amount involved	(d) Method of determining amount involved
(1) MONTANA SCHOOL LEGISLATIVE ACTION COMMITTEE (INACTIVE -NO TRANSACTIONS)

Schedule R (Form 990) 2018

Page 4

Part VI

Unrelated Organizations Taxable as a Partnership Complete if the organization answered "Yes" on Form 990, Part IV, line 37.

Provide the following information for each entity taxed as a partnership through which the organization conducted more than five percent of its activities (measured by total assets or gross revenue) that was not a related organization. See instructions regarding exclusion for certain investment partnerships.

(a) Name, address, and EIN of entity	(b) Primary activity	(c) Legal domicile (state or foreign country)	(e) Are all partners section 501(c)(3) organizations?		(f) Share of total income	(g) Share of end-of-year assets	(h) Disproprtionate allocations?		(i) Code V-UBI amount in box 20 of Schedule K-1 (Form 1065)	(j) General or managing partner?
(a) Name, address, and EIN of entity	(b) Primary activity	(c) Legal domicile (state or foreign country)	Yes	No	(f) Share of total income	(g) Share of end-of-year assets	Yes	No	(i) Code V-UBI amount in box 20 of Schedule K-1 (Form 1065)	Yes	No

Schedule R (Form 990) 2018

Page 5

Part VII

Supplemental Information

Provide additional information for responses to questions on Schedule R (see instructions).

Return Reference	Explanation

Schedule R (Form 990) 2018

Additional Data

Software ID:
Software Version:

		Prior Year	Current Year
8	Contributions and grants (Part VIII, line 1h) .........	960,081	985,740
9	Program service revenue (Part VIII, line 2g) .........	3,148,312	3,356,232
10	Investment income (Part VIII, column (A), lines 3, 4, and 7d ) ....	947	-3,490
11	Other revenue (Part VIII, column (A), lines 5, 6d, 8c, 9c, 10c, and 11e)	447,442	436,148
12	Total revenue—add lines 8 through 11 (must equal Part VIII, column (A), line 12)	4,556,782	4,774,630
13	Grants and similar amounts paid (Part IX, column (A), lines 1–3 )...	0	0
14	Benefits paid to or for members (Part IX, column (A), line 4).....	0	0
15	Salaries, other compensation, employee benefits (Part IX, column (A), lines 5–10)	1,630,494	1,669,914
16a	Professional fundraising fees (Part IX, column (A), line 11e) .....	0	0
b	Total fundraising expenses (Part IX, column (D), line 25) 0
17	Other expenses (Part IX, column (A), lines 11a–11d, 11f–24e)....	2,648,688	2,869,490
18	Total expenses. Add lines 13–17 (must equal Part IX, column (A), line 25)	4,279,182	4,539,404
19	Revenue less expenses. Subtract line 18 from line 12.......	277,600	235,226
		Beginning of Current Year	End of Year
20	Total assets (Part X, line 16).............	6,361,485	6,563,678
21	Total liabilities (Part X, line 26).............	2,332,859	2,299,825
22	Net assets or fund balances. Subtract line 21 from line 20.....	4,028,626	4,263,853

Sign Here

	Signature of officer	Date

	Type or print name and title


4a	(Code: ) (Expenses $ 827,602 including grants of $ ) (Revenue $ 568,779 )
	LEGAL SERVICES AND LABOR RELATIONS.MTSBA HAS LONG BEEN AN ACKNOWLEDGED LEADER IN OFFERING LEGAL SERVICES TO MEMBER SCHOOL BOARDS IN MONTANA. WE OFFER BOTH DUES-BASED AND FEE-BASED LEGAL SERVICES IN STRICT COMPLIANCE WITH THE RULES OF ETHICS GUIDING THE PRACTICE OF LAW, INCLUDING BUT NOT LIMITED TO RULE 6.5 (NONPROFIT AND COURT-ANNEXED LIMITED LEGAL SERVICES PROGRAMS), RULE 7.3 (DIRECT CONTACT WITH PROSPECTIVE CLIENTS), AND RULE 5.4 (PROFESSIONAL INDEPENDENCE OF A LAWYER) OF THE MONTANA BAR ASSOCIATION RULES OF ETHICS. IN ORDER TO AVOID ANY POSSIBILITY THAT LEGAL FEES ARE GENERATED IN EXCESS OF THE COSTS OF PROVIDING LEGAL SERVICES TO THE MEMBERSHIP, MTSBA UNDERTAKES A RIGOROUS ANALYSIS OF PROGRAM AREA COSTS AND BALANCES THOSE COSTS AGAINST REVENUES DERIVED FROM THE PRACTICE OF LAW. MTSBA TRACKS ALL REVENUE FROM FEE-BASED LEGAL SERVICES UNDER A SEPARATE ACCOUNTING CODE IN ITS ACCOUNTING SOFTWARE. WE MONITOR NOT ONLY BUDGETED BUT ACTUAL REVENUES, AND HAVE ADJUSTED AND WILL CONTINUE TO ADJUST STAFFING AS NECESSARY TO ENSURE THAT THE FEES GENERATED FROM LEGAL SERVICES DO NOT EXCEED THE ASSOCIATION'S COSTS IN PROVIDING SUCH SERVICES TO ITS MEMBERSHIP. MTSBA ALSO HAS A POLICY OF SPECIFICALLY REFRAINING FROM DIRECTING OR REGULATING ANY LEGAL STAFF'S PROFESSIONAL JUDGMENT IN RENDERING LEGAL SERVICES OF ANY KIND TO THE MEMBERSHIP. OVERSIGHT IS PROVIDED BY SENIOR LEGAL STAFF, CONSISTING OF THE EXECUTIVE DIRECTOR, WHO IS AUTHORIZED TO PRACTICE LAW IN MONTANA AND THE ASSOCIATE EXECUTIVE DIRECTOR AND GENERAL COUNSEL, IN ACCORDANCE WITH RULE 5.2 (PROVIDING FOR DEFERENCE TO A SENIOR ATTORNEY BY A SUBORDINATE ATTORNEY TO THE REASONABLE RESOLUTION OF AN ARGUABLE QUESTION OF PROFESSIONAL DUTY) AND RULE 5.3 (A LAWYER HAVING DIRECT SUPERVISORY AUTHORITY OVER A NON-LAWYER SHALL MAKE REASONABLE EFFORTS TO ENSURE THAT THE PERSON'S CONDUCT IS COMPATIBLE WITH THE PROFESSIONAL OBLIGATIONS OF THE LAWYER). MTSBA ALSO PROVIDES TRAINING AND GUIDANCE IN COLLECTIVE BARGAINING, CONTRACT ANALYSIS AND REVISION, LABOR RELATIONS, QUIET CONSULTATION AND GRIEVANCE HANDLING TO IT'S MEMBERS.

4b	(Code: ) (Expenses $ 146,963 including grants of $ ) (Revenue $ 277,869 )
	PROFESSIONAL DEVELOPMENT.MTSBA HAS PROVIDED TRAINING OF ONE KIND OR ANOTHER VIRTUALLY SINCE ITS INCEPTION IN 1926. AS PART OF OUR BOARD DEVELOPMENT PROGRAM, WE OFFER BOTH DUES-BASED AND FEE-BASED SERVICES. INCLUDED IN OUR DUES-BASED SERVICES ARE: (1) OUR JUNE NEWLY-ELECTED AND LEADERSHIP SYMPOSIUM; (2) IN-DISTRICT RISK MANAGEMENT SEMINAR FOR MEMBERS WHO ARE ALSO MEMBERS OF THE MSGIA PROPERTY AND CASUALTY POOL; (3) WEBINARS ON A VARIETY OF TOPICS FREE OF CHARGE TO MEMBERS; (4) A REGIONAL HUMAN RESOURCE SYMPOSIUM, THE COST OF WHICH IS FUNDED BY MTSUIP; AND (5) SPRING WORKSHOPS WHICH ARE ANNUAL REGIONAL WORKSHOPS ON EDUCATION ISSUES. INCLUDED IN OUR FEE-BASED SERVICES ARE: (1) IN-DISTRICT CUSTOMIZED TRAININGS; (2) REGIONAL TRAINING TO OUR MEMBERS THROUGHOUT THE YEAR, INCLUDING A BACK-TO-SCHOOL LEGAL PRIMER, A NEGOTIATIONS AND POLICY SYMPOSIUM, OUR ANNUAL CONFERENCE, A SCHOOL LAW AND TECHNOLOGY SYMPOSIUM AND SCHOOL BUDGETING AND FINANCE SYMPOSIUMS. WE ALSO OFFER STRATEGIC PLANNING SERVICES TO OUR MEMBERS.

4c	(Code: ) (Expenses $ 1,996,951 including grants of $ ) (Revenue $ 2,150,900 )
	SELF FUNDED INSURANCE PROGRAMS FOR MEMBERS.MSGIA (WORKERS' COMPENSATION PROGRAM): THE MONTANA SCHOOL BOARDS ASSOCIATION ADMINISTERS (THROUGH A TPA AGREEMENT) A SELF-FUNDED WORKERS' COMPENSATION RISK AND RETENTION PROGRAM (WCRRP). WCCRP IS THE LARGEST SELF-FUNDED PROGRAM OF ITS KIND IN THE STATE PROVIDING WORKERS' COMPENSATION COVERAGE FOR OVER 25,000 PUBLIC SCHOOL EMPLOYEES. WCRRP PROVIDES COVERAGE THAT IS CONSISTENTLY MORE COMPETITIVELY PRICED THAN PRIVATE MARKET OPTIONS WHILE AT THE SAME TIME PROVIDING FOR A WIDE RANGE OF ADDITIONAL SERVICES TO MEMBER DISTRICTS AT NO ADDITIONAL COSTS. THE PROGRAM ALSO PROVIDES A RANGE OF E-LEARNING PROGRAMS TARGETED AT MEETING MANY OF THE REQUIRED ANNUAL TRAINING TOPICS FOR ITS MEMBERS AS WELL AS SEVERAL OPTIONAL TRAINING AREAS IN ALL ASPECTS OF SCHOOL DISTRICT RISK MANAGEMENT. MSGIA (PROPERTY AND CASUALTY PROGRAM): MSGIA LAUNCHED THIS SELF-INSURED POOL ON JULY 1, 2008. MSGIA CONTRACTS WITH THE MTSBA TO PROVIDE GENERAL PROGRAM ADMINISTRATION AND RISK MANAGEMENT SERVICES. THE PROPERTY AND LIABILITY PROGRAM PROVIDES BROAD COVERAGES TO ITS MEMBERS AT VERY COMPETITIVE RATES WITH MEMBER SERVICES NOT TYPICALLY FOUND IN OTHER MARKET OPTIONS. THE PROGRAM WAS DESIGNED TO FOCUS ON PROVIDING RISK MANAGEMENT TOOLS AND TRAINING TO MEMBERS IN THE HIGHEST RISK AREA FOR MONTANA SCHOOLS IN SCHOOL LEADERS' LIABILITY. MTSUIP: MTSUIP WAS CREATED IN 1994 TO MEET THE NEEDS OF MONTANA SCHOOL DISTRICTS IN THE AREA OF UNEMPLOYMENT INSURANCE. THE PROGRAM WAS ESTABLISHED TO ALLOW SCHOOLS TO POOL THEIR UNEMPLOYMENT INSURANCE PREMIUMS AND BECOME REIMBURSABLE EMPLOYERS UNDER THE UNEMPLOYMENT INSURANCE LAW IN AN ATTEMPT TO REDUCE THE UNEMPLOYMENT RATES PAID BY SCHOOLS. SCHOOL DISTRICTS PAY QUARTERLY PREMIUMS INTO THE FUND AND THESE FUNDS ARE USED TO PAY CLAIMS. MEMBERS RECEIVE LOSS CONTROL, CLAIMS HANDLING, LEGAL, ACTUARIAL AND OTHER SERVICES THAT THE POOL MAY PROVIDE IN-HOUSE OR MAY PURCHASE FROM CONTRACTORS.

	(Code: ) (Expenses $ 69,592 including grants of $ ) (Revenue $ 39,190 )
	ADMINISTRATIVE SEARCH SERVICES ARE PROVIDED TO MEMBERS. SERVICES INCLUDE ADVERTISING OPEN POSITIONS, APPLICATION PROCESS ASSISTANCE, SCREENING, INTERVIEWING, BACKGROUND CHECKS, CONTRACT NEGOTIATION, LEGAL ASSISTANCE AND TRAINING IN THE HIRING PROCESS.

	(Code: ) (Expenses $ 178,907 including grants of $ ) (Revenue $ 97,393 )
	MEMBER ENGAGEMENT SERVICES.MTSBA PROVIDES SUPPORT SERVICES TO ALL OF THE MTSBA CAUCUSES ORGANIZED UNDER OUR BYLAWS. IN ADDITION TO ITS CAUCUSES, MTSBA ALSO PROVIDES THE FOLLOWING MEMBER ENGAGEMENT SERVICES: THE TRUSTEE, A QUARTERLY NEWSLETTER WHICH INFORMS MEMBERS OF LEGISLATIVE ISSUES, UPCOMING WORKSHOPS AND SEMINARS, EDUCATION TRENDS AND OTHER EDUCATION NEWS; A MONTHLY E-LERT INTENDED TO KEEP THE MEMBERSHIP ABREAST OF PENDING/CURRENT EDUCATION ISSUES; "COURTROOM TO BOARDROOM" - A MONTHLY ELECTRONIC PUBLICATION THAT PROVIDES THE MEMBERSHIP WITH THE LATEST ADMINISTRATIVE AND COURT DECISIONS THAT IMPACT PUBLIC EDUCATION, "POLICY NOTES" - A QUARTERLY PUBLICATION THAT INFORMS THE MEMBERSHIP OF UPDATES TO MTSBA'S MODEL POLICIES, "DAILY DISPATCH", A DAILY SUBSCRIPTION SERVICE INFORMING OUR MEMBERS OF THE DAILY NEWS REGARDING K-12 PUBLIC EDUCATION ISSUES; AND SUBSTANTIAL ENHANCEMENTS OUR WEBSITE TO FURTHER ENGAGE OUR MEMBERSHIP.

	(Code: ) (Expenses $ 175,309 including grants of $ ) (Revenue $ 143,982 )
	POLICY SERVICES -MTSBA PROVIDES BOTH DUES-BASED AND FEE-BASED POLICY SERVICES. AS PART OF ITS DUES-BASED POLICY SERVICES, MTSBA MAKES AVAILABLE TO ITS MEMBERS MODEL POLICIES AND MODEL STUDENT AND STAFF HANDBOOKS AS WELL AS CONSULTATION ON POLICY ISSUES. AS PART OF ITS FEE-BASED SERVICES, MTSBA PROVIDES ANALYSIS AND CUSTOMIZATION OF AN INDIVIDUAL MEMBER'S POLICIES TO MEET THE NEEDS OF THE INDIVIDUAL MEMBER. OUR FEE BASED CUSTOMIZED POLICY PROGRAM ALSO INCLUDES A MAINTENANCE PROGRAM TO ENSURE THAT OUR MEMBERS' POLICIES REMAIN CURRENT.

	(Code: ) (Expenses $ 135,978 including grants of $ ) (Revenue $ 78,119 )
	MTSBA, IN CONJUNCTION WITH OTHER STATE EDUCATIONAL ORGANIZATIONS (SCHOOL ADMINISTRATORS OF MONTANA, MONTANA RURAL EDUCATION ASSOCIATION AND MONTANA ASSOCIATION OF SCHOOL BUSINESS OFFICIALS),PROVIDES EDUCATIONAL TRAINING AND STAFF AT THE MONTANA CONFERENCE OF EDUCATION LEADERSHIP (MCEL) CONFERENCE EACH OCTOBER. MCEL IS THE LARGEST EDUCATIONAL CONVENTION HELD FOR SCHOOL MANAGEMENT AND GOVERNANCE TEAMS IN THE STATE OF MONTANA.

	(Code: ) (Expenses $ 134,999 including grants of $ ) (Revenue $ )
	GOVERNMENTAL RELATIONS -MTSBA IS AN ADVOCATE FOR SCHOOL BOARDS WITHIN THE EDUCATIONAL COMMUNITY. MTSBA MONITORS ACTIONS BY GOVERNMENTAL AGENCIES WHICH IMPACT THE INTEREST OF PUBLIC EDUCATION AND ADMINISTRATIVE RULES AND POLICY CHANGES AFFECTING PUBLIC EDUCATION.

	(Code: ) (Expenses $ 38,181 including grants of $ ) (Revenue $ 69,546 )
	REIMBURSED PROGRAM EXPENSES -MTSBA IS REIMBURSED FOR VARIOUS EXPENSES WHICH ARE PROGRAM RELATED, BUT CONSIDERED "OTHER PROGRAM INCOME" THESE CONSIST LARGELY OF REIMBURSED TRAVEL EXPENSES AND OTHER REIMBURSED FEES. THIS INCOME IS RELATED TO ALL PROGRAMS DESCRIBED IN THIS RETURN, BUT HAS NOT BEEN IDENTIFIED BY SPECIFIC PROGRAM.

4d	Other program services (Describe in Schedule O.)
	(Expenses $ 732,966 including grants of $ ) (Revenue $ 428,230 )
4e	Total program service expenses3,704,482

(A) Name and Title	(B) Average hours per week (list any hours for related organizations below dotted line)	(C) Position (do not check more than one box, unless person is both an officer and a director/trustee)			(D) Reportable compensation from the organization (W- 2/1099-MISC)	(E) Reportable compensation from related organizations (W- 2/1099-MISC)	(F) Estimated amount of other compensation from the organization and related organizations
(A) Name and Title
(18) LORI SAYERS........................................................................ DIRECTOR REGION 8	5.00 .......................	X			0	0	0
(19) CHARLEE THOMPSON........................................................................ DIRECTOR REGION 6	5.00 .......................	X			0	0	0
(20) GAYLE VENTURELLI........................................................................ DIRECTOR REGION 7	5.00 .......................	X			0	0	0
(21) ANNE WAKE........................................................................ PAST PRESIDENT MISSOULA MUNICIP	5.00 .......................		X		0	0	0
(22) SHAWN BUBB........................................................................ DIRECTOR, INSURANCE SERVIC	40.00 .......................			X	451,884	0	46,500
(23) STEVE MELOY........................................................................ DIR. GOVT RELATIONS	40.00 .......................			X	109,537	0	24,954
(24) ANDREW SEVER........................................................................ DIR. LABOR RELATIONS	40.00 .......................			X	124,981	0	31,498
(25) TONY KOENIG........................................................................ DIR. LEGAL /HR SERVICES	40.00 .......................			X	113,685	0	30,368
(26) KRIS GOSS........................................................................ DIR. POLICY SERVICES	40.00 .......................			X	104,482	0	18,615

1b	Sub-Total................
c	Total from continuation sheets to Part VII, Section A....
d	Total (add lines 1b and 1c)...........	1,652,181	0	301,797

1	Briefly describe the organization’s mission or most significant activities: MTSBA DEVELOPS THE FULL POTENTIAL OF EACH CHILD THROUGH SCHOOL BOARD LEADERSHIP.
2	Check this box
3	Number of voting members of the governing body (Part VI, line 1a) ........	3	20
4	Number of independent voting members of the governing body (Part VI, line 1b) .....	4	19
5	Total number of individuals employed in calendar year 2018 (Part V, line 2a) ......	5	28
6	Total number of volunteers (estimate if necessary) .............	6	0
7a	Total unrelated business revenue from Part VIII, column (C), line 12 ........	7a	0
b	Net unrelated business taxable income from Form 990-T, line 34 .........	7b	0

(A) Name and business address	(B) Description of services	(C) Compensation





2 Total number of independent contractors (including but not limited to those listed above) who received more than $100,000 of compensation from the organization 0

1a	Federated campaigns..		1a
b	Membership dues..		1b	985,740
c	Fundraising events..		1c
d	Related organizations		1d
e	Government grants (contributions)		1e

f	All other contributions, gifts, grants, and similar amounts not included above		1f

g	Noncash contributions included in lines 1a - 1f:$
h Total. Add lines 1a-1f.......		985,740

		Business Code
2a	MSGIA (WORK COMP) PROG	561000	1,712,868	1,712,868
b	LEGAL & LABOR SERVICES	541100	568,779	568,779
c	WORKSHOPS & MCEL CONVE	611600	355,988	355,988
d	MTSUIP (UNEMPLOYMENT)	561000	284,083	284,083
e	POLICY AND ADMIN SEARC	541900	183,172	183,172
f	All other program service revenue.		251,342	251,342
g	Total. Add lines 2a–2f ....		3,356,232

3 Investment income (including dividends, interest, and othersimilar amounts) ......
4 Income from investment of tax-exempt bond proceeds
5 Royalties...........			343,596			343,596
		(ii) Personal	(i) Real
6a	Gross rents		23,006
b	Less: rental expenses		0
c	Rental income or (loss)		23,006
d	Net rental income or (loss)......			23,006			23,006
		(ii) Other	(i) Securities
7a	Gross amount from sales of assets other than inventory	75,500
b	Less: cost or other basis and sales expenses	78,990
c	Gain or (loss)	-3,490
d	Net gain or (loss).....			-3,490			-3,490
8a	Gross income from fundraising events (not including $ of contributions reported on line 1c). See Part IV, line 18 ....
	a
b	Less: direct expenses ...b
c	Net income or (loss) from fundraising events..
9a	Gross income from gaming activities. See Part IV, line 19 ...
	a
b	Less: direct expenses ...b
c	Net income or (loss) from gaming activities..
10a	Gross sales of inventory, less returns and allowances ..
	a
b	Less: cost of goods sold ..b
c	Net income or (loss) from sales of inventory..
Business Code			Miscellaneous Revenue
11a	REIMBURSED TRAVEL EXPE		611600	36,087	36,087
b	REIMBURSED PROGRAM EXP		611600	33,459	33,459
c
d	All other revenue ....
e	Total. Add lines 11a–11d ......			69,546
12	Total revenue. See Instructions......			4,774,630	3,425,778	0	363,112

1	Grants and other assistance to domestic organizations and domestic governments. See Part IV, line 21
2	Grants and other assistance to domestic individuals. See Part IV, line 22
3	Grants and other assistance to foreign organizations, foreign governments, and foreign individuals. See Part IV, line 15 and 16.
4	Benefits paid to or for members
5	Compensation of current officers, directors, trustees, and key employees ....	432,372	312,222	120,150
6	Compensation not included above, to disqualified persons (as defined under section 4958(f)(1)) and persons described in section 4958(c)(3)(B) ....
7	Other salaries and wages	773,726	714,767	58,959
8	Pension plan accruals and contributions (include section 401(k) and 403(b) employer contributions) ....	197,313	146,834	50,479
9	Other employee benefits .......	177,374	151,033	26,341
10	Payroll taxes ...........	89,129	75,893	13,236
11	Fees for services (non-employees):
a	Management ......
b	Legal .........
c	Accounting ...........	79,640		79,640
d	Lobbying ...........
e	Professional fundraising services. See Part IV, line 17
f	Investment management fees ......
g	Other (If line 11g amount exceeds 10% of line 25, column (A) amount, list line 11g expenses on Schedule O)	28,672	3,251	25,421
12	Advertising and promotion ....
13	Office expenses .......	125,285	83,933	41,352
14	Information technology ......
15	Royalties ..
16	Occupancy ...........	60,994		60,994
17	Travel ............
18	Payments of travel or entertainment expenses for any federal, state, or local public officials .
19	Conferences, conventions, and meetings ....
20	Interest ...........
21	Payments to affiliates .......
22	Depreciation, depletion, and amortization ..	140,444	69,711	70,733
23	Insurance ...	27,821	13,356	14,465
24	Other expenses. Itemize expenses not covered above (List miscellaneous expenses in line 24e. If line 24e amount exceeds 10% of line 25, column (A) amount, list line 24e expenses on Schedule O.)
a	MSGIA PROGRAM	1,712,868	1,712,868
b	MTSUIP PROGRAM	284,083	284,083
c	REIMBURSED TRAVEL, AUTO	232,655	53,152	179,503
d	NSBA & SCHOOL LAW DUES	79,808	6,155	73,653
e	All other expenses	97,220	77,224	19,996
25	Total functional expenses. Add lines 1 through 24e	4,539,404	3,704,482	834,922	0
26	Joint costs. Complete this line only if the organization reported in column (B) joint costs from a combined educational campaign and fundraising solicitation. Check here if following SOP 98-2 (ASC 958-720).

1	Cash–non-interest-bearing ........			6,871	1	1,872
2	Savings and temporary cash investments .........			2,358,892	2	2,780,176
3	Pledges and grants receivable, net ......				3
4	Accounts receivable, net .............			84,577	4	253,916
5	Loans and other receivables from current and former officers, directors, trustees, key employees, and highest compensated employees. Complete Part II of Schedule L .............
					5
6	Loans and other receivables from other disqualified persons (as defined under section 4958(f)(1)), persons described in section 4958(c)(3)(B), and contributing employers and sponsoring organizations of section 501(c)(9) voluntary employees' beneficiary organizations (see instructions) Complete Part II of Schedule L ..............
					6
7	Notes and loans receivable, net ....				7
8	Inventories for sale or use ........				8
9	Prepaid expenses and deferred charges ......			132,980	9	61,579
10a	Land, buildings, and equipment: cost or other basis. Complete Part VI of Schedule D	10a	4,162,017
b	Less: accumulated depreciation	10b	945,775	3,033,465	10c	3,216,242
11	Investments—publicly traded securities .				11
12	Investments—other securities. See Part IV, line 11 .....				12
13	Investments—program-related. See Part IV, line 11 ..				13
14	Intangible assets ...............				14
15	Other assets. See Part IV, line 11 ...........			744,700	15	249,893
16	Total assets. Add lines 1 through 15 (must equal line 34)...			6,361,485	16	6,563,678

17	Accounts payable and accrued expenses .....	912,943	17	1,357,954
18	Grants payable ...		18
19	Deferred revenue .........	675,216	19	691,978
20	Tax-exempt bond liabilities .........		20
21	Escrow or custodial account liability. Complete Part IV of Schedule D		21
22	Loans and other payables to current and former officers, directors, trustees, key employees, highest compensated employees, and disqualified
	persons. Complete Part II of Schedule L..		22
23	Secured mortgages and notes payable to unrelated third parties ..		23
24	Unsecured notes and loans payable to unrelated third parties ..		24
25	Other liabilities (including federal income tax, payables to related third parties, and other liabilities not included on lines 17 - 24). Complete Part X of Schedule D	744,700	25	249,893
26	Total liabilities. Add lines 17 through 25..	2,332,859	26	2,299,825

	Organizations that follow SFAS 117 (ASC 958), check here and complete lines 27 through 29, and lines 33 and 34.
27	Unrestricted net assets	4,028,626	27	4,263,853
28	Temporarily restricted net assets ...........		28
29	Permanently restricted net assets		29
	Organizations that do not follow SFAS 117 (ASC 958), check here and complete lines 30 through 34.
30	Capital stock or trust principal, or current funds .....		30
31	Paid-in or capital surplus, or land, building or equipment fund ...		31
32	Retained earnings, endowment, accumulated income, or other funds		32
33	Total net assets or fund balances ...........	4,028,626	33	4,263,853
34	Total liabilities and net assets/fund balances ........	6,361,485	34	6,563,678