September 22, 2015 3:19PM 

# The Year of Educational Choice: Update V 

By [Jason Bedrick](https://www.cato.org/people/jason-bedrick) 

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This is the sixth post in a series covering the advance of educational choice legislation across the country this year. As of [my last update in early July](https://www.cato.org/blog/year-educational-choice-update-iv), there were 18 new or expanded choice programs in 14 states. A few days after that update, Wisconsin [enacted](http://blogs.edweek.org/edweek/speced/2015/07/wisconsin_special_needs_vouchers_survive_controversial_start_opposition.html) a new [voucher program for students with special needs](http://www.edchoice.org/school-choice/programs/wisconsin-special-needs-scholarship-program/). And on Friday, North Carolina lawmakers finally passed [a long-overdue budget](http://www.newsobserver.com/news/politics-government/state-politics/article35647671.html) that [expanded the state’s two school voucher programs](http://pefnc.org/news/its-official-opportunity-scholarships-expand/) for low-income and special-needs students, bringing the total number to 21 new or expanded programs in 15 states. The updated tally is below.

A lawsuit against the Tar Heel State’s voucher law impeded implementation so only 1,216 low-income students participated last year, barely 10 percent of the 12,000+ applications the state received. In July, [the North Carolina Supreme Court upheld the program](http://www.newsobserver.com/news/local/education/article28437271.html), clearing the way for the legislature to expand it.

Meanwhile, opponents of educational choice have [launched a second legal attack](http://lasvegassun.com/news/2015/sep/09/opponents-nevada-school-vouchers-launch-second-leg/) on Nevada’s new education savings account law. Last month, [the ACLU filed a similar lawsuit](https://www.cato.org/blog/aclu-v-nevada-children). The state of Nevada has hired [one of the top law firms in the nation](http://www.reviewjournal.com/news/education/law-firm-hired-help-defend-education-savings-account-program) to help defend the ESA program. In addition, the [Institute for Justice](http://www.ij.org/nevada-school-choice-release-9-17-15) will be defending the law against both challenges on behalf five families who would benefit from the ESAs. You can learn about their stories in this short video:

In other school choice news, [Indiana is poised to surpass Wisconsin](http://in.chalkbeat.org/2015/09/08/indiana-poised-to-pass-wisconsin-as-national-no-1-for-vouchers/#.VgA_SZ3BzRb) as the state with the most students receiving school vouchers with more than 33,000 students. However, that number is dwarfed by the [nearly 70,000 students who received tax-credit scholarships in Florida](http://www.edchoice.org/school-choice/programs/florida-tax-credit-scholarship-program/) during the last school year.

And speaking of tax credits, [a new poll from Quinnipiac University](http://www.quinnipiac.edu/news-and-events/quinnipiac-university-poll/iowa/release-detail?ReleaseID=2281) finds that New York Gov. Andrew Cuomo’s most popular education proposals were the personal-use and scholarship tax credits that he [unsuccessfully pushed](https://www.cato.org/blog/year-educational-choice-update-ii) this year. More than half of respondents–including 62 percent of Millennials–supported tax credits for donations to private schools (though the question should have asked about donations to *nonprofit scholarship organizations*, which was Cuomo’s actual proposal).

![Quinnipiac Poll: Scholarship Tax Credits](/sites/cato.org/files/styles/pubs_2x/public/wp-content/uploads/quinnipiac_poll_1.png?itok=0fukWEQh) 

Additionally, 65 percent of respondents–including 72 percent of Millennials and 70 percent of respondents ages 35–49–voiced support for a $500 state income tax credit for low- and middle-income parents to pay private school tuition.

![Quinnipiac Poll: Parental Tax Credits](/sites/cato.org/files/styles/pubs_2x/public/wp-content/uploads/quinnipiac_poll_on_new_york_education_policy.png?itok=EhN-XTgX) 

Updated tally for new and expanded choice programs in 2015:

**New Educational Choice Programs (8 in 7 states)**

- **[Arkansas](http://www.edchoice.org/school-choice/programs/arkansas-succeed-scholarship-program-for-students-with-disabilities/)**: vouchers for students with special needs.
- **[Mississippi](http://www.edchoice.org/school-choice/programs/mississippi-equal-opportunity-for-students-with-special-needs-program/)**: ESAs for students with special needs.
- **[Montana](http://www.edchoice.org/school-choice/programs/montana-tax-credits-for-contributions-to-student-scholarship-organizations/)**: universal tax-credit scholarship law.
- **[Nevada](http://www.edchoice.org/School-Choice/Programs/Nevada-Educational-Choice-Scholarship-Program.aspx)**: tax-credit scholarships for low- and middle-income students.
- **[Nevada](http://www.edchoice.org/School-Choice/Programs/Nevada---Education-Savings-Accounts.aspx)**: nearly universal ESA for students who previously attended a public school.
- [**South Carolina**](http://www.edchoice.org/school-choice/programs/south-carolina-refundable-educational-credit-for-exceptional-needs-children/): voucher-like “refundable” direct tuition tax credit for students with special needs.
- **[Tennessee](http://www.edchoice.org/school-choice/programs/tennessee-individualized-education-account-program/)**: ESAs for students with special needs.
- **[Wisconsin](http://www.edchoice.org/school-choice/programs/wisconsin-special-needs-scholarship-program/)**: vouchers for students with special needs.

**Expanded Educational Choice Programs (13 in 9 states)**

- [**Alabama**](http://www.wbrc.com/story/29290453/bentley-signs-alabama-accountability-act): Raised the annual scholarship tax credit cap from $25 million to $30 million and raised the contribution cap from $7,500 to $50,000. However, the expansion came at a price: the [legislation](http://www.montgomeryadvertiser.com/story/news/politics/southunionstreet/2015/06/03/accountability-act-changes-close-final-passage/28416561/) lowered income eligibility threshold from 275 percent of the federal poverty level to 185 percent (from about $67,000 to about $45,000 for a family of four). Current scholarship recipients are grandfathered in.
- **[Arizona](http://goldwaterinstitute.org/en/work/topics/education/education-savings-accounts/arizona-lawmakers-pass-bill-to-make-students-on-re/)**: Expanded ESA eligibility to include students living in Native American tribal lands.
- **[Arizona](http://www.edchoice.org/Blog/May-2015/BRIEF--School-Choice-in-the-States-April-2015)**: Expanded the types of businesses that can receive tax credits for donations to scholarship organizations.
- [**Florida**](http://www.redefinedonline.org/2015/06/florida-budget-boosts-parental-choice-program-for-special-needs-students/): Expanded ESA eligibility to include more categories of students with special needs and increased the budget from $18.4 million to nearly $55 million.
- **[Indiana](http://www.edchoice.org/Blog/May-2015/BRIEF--School-Choice-in-the-States-April-2015)**: Increased amount of tax credits available for donations to scholarship organizations ($2 million over two years).
- **[Indiana](http://www.edchoice.org/Blog/May-2015/BRIEF--School-Choice-in-the-States-April-2015)**: Eliminated cap on the value of each voucher. Vouchers are worth 90 percent of the state’s per-pupil funding.
- **[Louisiana](http://www.nola.com/education/index.ssf/2015/06/louisiana_public_school_fundin.html)**: Expanded school voucher program (funding roughly 600 additional vouchers).
- [**North Carolina**](http://us4.campaign-archive1.com/?u=34bef8ed5dd3c001d0e3ef494&id=bb2af04a6f&e=e76439e4e7): Expanded [school voucher program for low-income students](http://www.edchoice.org/school-choice/programs/north-carolina-opportunity-scholarships/) ($17.6 million in 2015–16, $24.8 million in 2016–17).
- [**North Carolina**](http://us4.campaign-archive1.com/?u=34bef8ed5dd3c001d0e3ef494&id=bb2af04a6f&e=e76439e4e7): Expanded [school voucher program for students with special needs](http://www.edchoice.org/school-choice/programs/north-carolina-special-education-scholarship-grants-for-children-with-disabilities/) (vouchers increased from $6,000 to $8,000, total funding increased by $250,000 to $3.25 million annually).
- [**Ohio**](http://us4.campaign-archive2.com/?u=c4cc57bcdcc8547861b3b3b4c&id=c4b19cd1a0&e=a493d73cf0): Increased the value of several categories of vouchers.
- [**Ohio**](http://us4.campaign-archive2.com/?u=c4cc57bcdcc8547861b3b3b4c&id=c4b19cd1a0&e=a493d73cf0): Raised the funding caps for special-needs vouchers.
- [**Oklahoma**](http://newsok.com/2015-shaping-up-to-be-a-good-year-for-school-choice/article/5426930): Expanded eligibility for its special-needs tax-credit scholarships and raised the tax credit value from 50 percent–tied with [Indiana](http://www.edchoice.org/Blog/June-2015/Breaking-Down--Earning-Full-Credit-) for the lowest in the nation–to 75 percent.
- [**Wisconsin**](http://www.kare11.com/story/news/politics/2015/07/12/highlights-of-wisconsin-budget-signed-by-governor/30066673/): The state budget raises and eventually eliminates the statewide voucher cap.

Like North Carolina, Pennsylvania lawmakers have been [embroiled in a budget battle](http://www.timesherald.com/general-news/20150921/increasingly-desperate-measures-taken-amid-pennsylvania-budget-stalemate) all summer. [Early proposals](http://www.edchoice.org/BRIEF--School-Choice-in-the-States-May-2015/) included expansions of the states two tax-credit scholarship programs, but it is unclear what the final budget will contain.

\[Note: updated to correct impact of the amendment to Indiana’s voucher law and add information about the new voucher program in Wisconsin.\]

##### Related Tags 

[Education](https://www.cato.org/education), [Center for Educational Freedom](https://www.cato.org/center-educational-freedom) 

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