Federal scholarship program raises equity concerns |
A new federal tax-credit scholarship program could generate an estimated $112 per public school student across all 50 states and Washington, D.C., by 2030, according to research by Michigan State University education policy professor Josh Cowen. Unlike traditional school choice initiatives, the program will allow public school students to receive scholarships and use the funds for educational services, potentially creating additional revenue opportunities for public schools. However, Cowen has warned that wealthier communities may benefit disproportionately because of stronger fundraising networks and greater capacity to establish Scholarship Granting Organizations (SGOs), while rural and lower-income areas could struggle to access funding. The research highlights the importance of targeted support from statewide and national scholarship organizations, alongside clearer federal guidance to ensure public schools can participate effectively. With states considering whether to join the program by January 1, its ultimate impact will depend on donor participation, school readiness, and efforts to distribute funding equitably.