Opt in or miss out: Pressure mounts on governors over education tax credits

March 29, 2026 - 21:31

A prominent policy advocate is urging state governors to embrace new education tax credit initiatives, framing the decision as critical for accessing private funding for student needs. Erika Donalds of the America First Policy Institute cautions that states choosing not to opt in may leave significant resources on the table.

These proposed programs would provide tax credits to individuals and businesses who donate to scholarship-granting organizations. The funds would then be distributed to families for various educational expenses, including private school tuition, homeschooling costs, and specialized services for students with special needs. Proponents argue this creates more educational choices for parents without directly using public school budgets.

The debate centers on school choice and state flexibility. Supporters contend it empowers families and injects private philanthropy into education. Opponents often raise concerns about the potential impact on public school funding and accountability for the distributed funds. As discussions intensify, governors are facing increased pressure to decide whether to bring these programs to their states, with advocates insisting that inaction could disadvantage the families they aim to serve.