Reviving Education Equity: Illinois Restores School Choice for Low-Income Students
Illinois state lawmakers listened to teachers unions and killed school choice for over 15,000 low-income students in 2023. Now Congress has restored a scholarship program for needy kids, but Illinois leaders must allow families to access the money.
The Educational Choice for Children Act was passed on July 4 as part of the federal budget reconciliation bill. The act establishes a federal tax-credit scholarship program to provide scholarship funds to low-income students across the country. The scholarships will be funded by private individuals and will not divert money from public schools. Participation in the federal program is voluntary. Each state must opt into the program to allow students to use scholarship funds in their state for private schools, tutoring or other educational support.
Illinois lawmakers already stripped school choice from over 15,000 low-income students when they failed to extend the state’s Invest in Kids tax-credit scholarship in 2023. It is not yet clear which state agency could decide whether Illinois will participate in the new federal program.
Low-income Illinois students need a lifeline: only 26% of low-income third through eighth graders can read at grade level. Just 14% can perform math proficiently. Illinois should opt into the federal tax-credit scholarship program and expand access to educational opportunities for the state’s low-income students.
The Educational Choice for Children Act is a federal tax-credit scholarship program which will provide K-12 scholarships to eligible students across the country once it goes into effect in 2027. Taxpayers will receive a dollar-for-dollar federal tax credit up to $1,700 each year for donations to non-profit scholarship granting organizations, which are tax-exempt organizations providing scholarships to students.
No federal money would be diverted from public schools toward scholarships, but private individuals will fund the scholarships and be granted tax credits for donating. Unlike earlier versions of the bill, the program has no annual volume cap, or number of tax credits which can be distributed for donations. There is no expiration date to the program. But the state can block Illinois students from using the scholarship program if it refuses to allow scholarship granting organizations to participate.
State participation is voluntary. While state politicians could stop low-income children from receiving the scholarships, they cannot stop Illinois residents from donating. Illinoisans could donate to certified scholarship organizations in a participating state if Illinois fails to act in its own children’s best interests.
Illinois also cannot stop children close to a state line from crossing over to receive funds and attend school in a participating state.
Who can receive federal tax credits for donating to a scholarship program? Any taxpayer can receive federal tax credits for making qualified contributions to a scholarship granting organization, which is a tax-exempt organization providing scholarships to students. Taxpayers would receive a dollar-for-dollar federal tax credit up to $1,700 each year for donations to non-profit scholarship granting organizations.
Who can apply to receive a tax-credit scholarship? Scholarship funds would be limited to low-income students whose family household incomes were at or below 300% of the median income level in their area. Scholarship recipients can be enrolled in any K-12 school, whether it be traditional public, public charter, private, religious or home schools.
Approved scholarship granting organizations will determine a student’s eligibility as well as their award amounts. It is not yet clear which state agency will determine whether Illinois joins the scholarship program, or whether Illinois will opt into the program.
What can scholarship recipients do with their scholarship funds? Scholarship recipients can use the funds for expenses including tuition, curriculum or instructional materials, books and online educational materials. Tutoring or additional educational classes, fees for standardized or college admission exams, fees for dual enrollment or educational therapies for students with disabilities are also allowed.
Why are teachers unions opposed to the federal school choice program? As they did in Illinois, teachers unions are trying to push the narrative that a donation-driven program somehow takes money from public education. The National Education Association has actively opposed the bill, claiming education choice for children is bad. NEA prefers to lock struggling students into lackluster public schools.
Illinois bucked national trends in November 2023 when lawmakers made Illinois the only state to roll back the state’s tax-credit scholarship program. But if the federal tax-credit scholarship program is enacted in Illinois, low-income students could once again benefit from tax-credit scholarships to attend private schools or access additional educational support.
What’s next for Illinoisans hoping to benefit from the program? Illinois taxpayers will be eligible to receive the tax credits for donations beginning in January 2027. As for low-income students, they must await the state’s decision about joining the scholarship program. Questions remain about how the process of opting in will actually play out.
Gov. J.B. Pritzker has already shown dissatisfaction with the federal scholarship program included in the budget reconciliation bill. He called it a “ major setback for students across the nation.” But opting into the program should be a political no-brainer for Illinois. Illinois voters were 3 to 1 in support of the state’s Invest in Kids tax-credit scholarship program for low-income students before lawmakers failed to renew the program.
Teachers unions and their $1.5 million in campaign cash drowned out state lawmakers’ constituents. Illinois should opt in to the federal tax-credit scholarship program and bring back a lifeline for low-income students in the state.
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The Importance of Education Equity in Illinois
Education equity is a critical issue in Illinois, with low-income students facing significant barriers to accessing quality education. The state's Invest in Kids tax-credit scholarship program was designed to provide financial assistance to low-income families to help them afford private school tuition. However, when lawmakers failed to renew the program in 2023, they effectively took away a vital lifeline for thousands of struggling students.
The federal Educational Choice for Children Act provides an opportunity for Illinois to restore this program and give low-income students access to quality education. The act establishes a tax-credit scholarship program that will provide funding to eligible students across the country. While state participation is voluntary, it is essential that Illinois opt into the program to allow its low-income students to benefit.
The consequences of not opting into the program are dire. Only 26% of low-income third through eighth graders in Illinois can read at grade level, and just 14% can perform math proficiently. These statistics highlight the need for targeted support programs like the tax-credit scholarship initiative.
Moreover, the failure to renew the Invest in Kids program has sent a negative message about the state's commitment to education equity. It suggests that lawmakers are more interested in supporting teachers unions than in providing opportunities for all students, regardless of their background or income level.
Restoring School Choice in Illinois
Illinois should take immediate action to opt into the federal tax-credit scholarship program and restore school choice for low-income students. This is not only a matter of fairness but also an investment in the future of the state's most vulnerable children.
By providing access to quality education, Illinois can help level the playing field and ensure that all students have an equal opportunity to succeed. This will require cooperation from lawmakers, who must work to overcome their opposition to the program and find common ground with teachers unions.
Ultimately, restoring school choice in Illinois is a moral imperative. It requires us to prioritize the needs of our most vulnerable children over the interests of powerful special interest groups. By doing so, we can create a more equitable education system that benefits everyone, not just those who have access to existing resources.
Conclusion
The restoration of the tax-credit scholarship program in Illinois is a critical step towards achieving education equity for low-income students. While state participation is voluntary, it is essential that lawmakers take action to allow their children to benefit from this vital lifeline.
By opting into the federal program and providing access to quality education, Illinois can help level the playing field and ensure that all students have an equal opportunity to succeed. This will require cooperation from lawmakers, who must work to overcome their opposition to the program and find common ground with teachers unions.
Ultimately, restoring school choice in Illinois is a moral imperative. It requires us to prioritize the needs of our most vulnerable children over the interests of powerful special interest groups. By doing so, we can create a more equitable education system that benefits everyone, not just those who have access to existing resources.
How to Get Involved
If you are passionate about restoring school choice in Illinois and ensuring that all students have access to quality education, there are several ways you can get involved:
- Contact your state representative: Reach out to your local lawmakers and express your support for the tax-credit scholarship program. Encourage them to take action to opt into the federal program and provide funding for low-income students.
- Donate to a scholarship-granting organization: If Illinois fails to act in its own children’s best interests, you can donate to certified scholarship organizations that are participating in the federal program. This will help ensure that low-income students have access to quality education, even if the state doesn’t participate.
- Volunteer with a local advocacy group: Many organizations are working to promote education equity and support teachers unions. Consider volunteering with one of these groups to help raise awareness about the importance of restoring school choice in Illinois.
By taking action and getting involved, you can help ensure that all students in Illinois have access to quality education and an equal opportunity to succeed.