The Atlanta Journal-Constitution
DEVOS: SCHOOL CHOICE PLAN HAS TAX CREDITS
The Trump administration renewed its push for school choice Thursday with a proposal by Education Secretary Betsy DeVos to provide $5 billion a year in federal tax credits for donations made to groups offering scholarships for private schools, apprenticeships and other educational programs.
What she said
DeVos unveiled the plan as a “bold proposal” to give students more choices without diverting money from public schools.
“What’s missing in education today is at the core of what makes America truly great: freedom,” DeVos said. “Kids should be free to learn where and how it works for them.”
What it means
Legislation for the tax credits is being introduced by Sen. Ted Cruz, R-Texas, and Rep. Bradley Byrne, R-Ala.
DeVos said she expects to face opposition, and Democrats quickly let her know she’ll get it. Sen. Patty Murray, the top Democrat on the Senate education committee, said the proposal is “dead on arrival.”
The proposal will also face a difficult time in the House, where Democrats gained a majority in the November midterm elections.
Why it matters
Education officials crafted the plan in an attempt to make school choice more politically appealing, after previous initiatives failed to take hold. Congress rejected DeVos’ efforts to boost funding for charter schools and to create federal vouchers to attend private schools.
Opponents of charter schools and vouchers argue that they steer money away from public schools. But DeVos contends the proposal would spark new funding that could be used for a range of education options, including public or private schools.
The plan, called the Education Freedom Scholarships and Opportunity Act, would allow states to set their own rules around the credits, including which students are eligible for scholarships and where they could be used. Possible programs include apprenticeships, private schools, home schooling, special education, tutoring or public virtual schools.
The proposal would offer a dollar-for-dollar tax credit for individuals and businesses that donate to scholarship groups approved by the state, meaning that every dollar given takes a dollar off the donor’s tax bill.
Credits would be capped at 10 percent of an individual’s gross income and 5 percent of a business’ taxable income. Education officials said it’s unlikely the $5 billion annual cap would be hit.