Category: Economy

WASHINGTON (AP) — House Republicans want to set aside up to $5 billion a year for scholarships to help families send their children to private and religious schools , an unprecedented effort to use public money to pay for private education.

The proposal, part of a budget reconciliation bill released Monday, would advance President Donald Trump’s agenda of establishing “universal school choice” by providing families nationwide the option to give their children an education different from the one offered in their local public school. Nearly all households would qualify except those making more than three times the local median income.

Supporters of private school vouchers say they want to give families assigned to low-performing schools more choices.

“Giving parents the ability to choose the best education for their child makes the (American Dream) possible,” said Republican Louisiana Sen. Bill Cassidy , who sponsored a similar proposal in the Senate.

The program would be funded by donors who could contribute money or stock. In turn, they would receive 100% of the contribution back in the form of a discount on their tax bills. It would allow stock holders to avoid paying taxes that would be levied if they donated or transferred the stock.

Critics decried the proposal, saying it would aid the wealthy at the expense of the public school systems that serve the overwhelming majority of students. They said it would set up a tax shelter allowing savvy investors to make money under the guise of a donation.

All of this comes as the Trump administration downsizes the Education Department and cuts resources to public schools, including $1 billion in mental health grants and funding for teacher training .

“This is a significant threat,” said Sasha Pudelski of AASA, the School Superintendents Association. She added that states that have voucher programs often end up assisting families that were already paying for private school. “It’s opening the door even wider to what has already plagued voucher programs around the country, which is rampant waste, fraud, and abuse.”

Similar tax-credit scholarship and private school voucher programs have proliferated in red-leaning states like Texas, which just passed a $1 billion program. Public school advocates worry the programs hurt enrollment and per-pupil funding, ultimately leaving fewer resources for families that choose public schools.

The Associated Press’ education coverage receives financial support from multiple private foundations. AP is solely responsible for all content. Find AP’s standards for working with philanthropies, a list of supporters and funded coverage areas at AP.org.

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