How the federal school voucher plan aims to expand private school access across all 50 US states

Time of India

15-05-2025

Federal school voucher plan aims to expand private school access nationwide. (AI Image)
A major push is underway in Congress to establish the first national school voucher program in US history. If enacted, the initiative would direct $20 billion in
federal tax credits
over four years to support
private school scholarships
, dramatically expanding access to non-public education options across all 50 states.
The plan is being advanced by Republicans through the House Ways and Means Committee as part of a broader reconciliation bill that also includes an extension of President Trump's 2017 tax cuts. Supporters of the measure argue it would empower families, particularly those from lower-income backgrounds, with greater educational choice. Critics, however, say it would undermine public schools and fail to protect vulnerable student populations.
Plan would use tax credits to fund private school scholarships
At the core of the proposal is a tax incentive structure that encourages private donations to Scholarship Granting Organizations (SGOs). Donors would receive a dollar-for-dollar federal tax credit for their contributions, a generous benefit unmatched by most other charitable deductions.
'It's about three times as generous as what you're gonna get from donating to a children's hospital or a veteran's group or any other cause,' said Carl Davis of the Institute on Taxation and Economic Policy, as quoted by NPR.
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Under the plan, SGOs would distribute scholarships to students for a range of education-related expenses, including private school tuition, books, and homeschooling. The bill caps the total tax credits at $5 billion annually from 2026 through 2029.
Eligibility for the scholarships is not limited to low-income families. Students from households earning up to 300% of their area's median gross income would qualify.
For instance, in a region with a median income of $70,000, families making up to $210,000 could still receive assistance.
Supporters frame the plan as expanding educational freedom
Proponents of the plan highlight its potential to give families more control over their educational choices. 'We are one step closer to bringing
school choice
to every state in America,' said Tommy Schultz, CEO of the American Federation for Children, as reported by NPR.
Senator Bill Cassidy, who helped lead the initiative, emphasized the link between school choice and economic opportunity. 'Expanding President Trump's tax cuts is about preserving the American Dream,' Cassidy said, according to NPR. 'Giving parents the ability to choose the best education for their child makes the dream possible.'
Critics warn of risks to public education and student protections
Opposition to the plan has come swiftly from public education advocates and disability rights groups.
'Vouchers weaken public education and limit opportunities for students,' said NEA President Becky Pringle, as quoted by NPR. She warned that public schools—serving 90% of US students—stand to lose essential per-pupil funding as more students shift to private options.
Jacqueline Rodriguez, CEO of the National Center for Learning Disabilities, expressed concern that families of children with disabilities could mistakenly believe their legal protections will carry over to private schools.
In reality, she told NPR, 'It is quite possible that families with disabilities will use a voucher under the pretense that their child will have the same rights when in fact they do not.'
Mixed results on academic performance from voucher programs
Academic outcomes associated with voucher programs remain contested. According to NPR, early programs showed some positive effects on college attendance, but larger, newer efforts have reported troubling trends—including lower achievement in key subjects like math.
Josh Cowen, a professor at Michigan State University with over two decades of voucher research, told NPR, 'The bigger and the more recent the voucher system, the worse the results for kids.'
This federal proposal revives an initiative previously attempted during Trump's first term but never passed. To become law, it will need to clear a full vote in the House and secure majority support in the Senate.
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