Thanks to a new federal tax credit available in 2027, governors have begun signing up their states to access billions of additional dollars for education. More than half have already done so. Would any governor -- especially during this affordability crisis -- reject education dollars for families in their state? The shocking answer is yes.
Three governors have clearly turned it down: Michelle Lujan Grisham of New Mexico, Tina Kotek of Oregon and Tony Evers of Wisconsin. A possible fourth is Josh Green of Hawaii, whose office told Education Week he isn't opting in. They are all Democrats. So are almost all the undecided governors.
As a Democratic former member of Congress, I believe rejecting billions in education dollars is bad politics for the party. But worse, it is terrible for the children in the states these governors lead.
Last year Congress created this federal tax credit of up to $1,700 per person for donations to nonprofits that provide scholarships for K-12 education costs. This is a dollar-for-dollar credit, not a deduction. But the law gives governors the authority to decide whether or not to opt in and let tax-credit-eligible donations flow to scholarship-granting organizations in their state. If a governor opts out, families in the state won't be eligible for these scholarships.
As the debate rages in some states, the biggest misconception is that this is a tuition voucher program. This is false.
Scholarships can be granted to cover a variety of education expenses. While many will fund tuition aid, scholarship nonprofits can choose to help families pay for tutoring, education technology, special-education services and other expenses. Eligibility will be limited to households earning less than 300% of the area's median income, but many programs will likely focus on those most in need.
Teachers unions are pressuring Democratic governors to reject this golden goose. Their virulent opposition is revealing. Extra resources are what educators say they want. So why do their unions oppose receiving them? It seems they so abhor the idea that a scholarship might help parents choose which school their child goes to that they are willing to reject support for students in their own members' classrooms.
In Illinois, Gov. JB Pritzker faces these attacks as he remains undecided. If he opts in, Illinois families could receive almost $1 billion more for education annually, according to an estimate from Education Reform Now. But even if Mr. Pritzker opts out, Illinois taxpayers will still be free to take advantage of the tax credit; only their donations will necessarily flow out of state.
Large numbers of taxpayers will take advantage of this credit. The choice between sending a check to fund scholarships or to the IRS is a no-brainer.
For governors, the choice between helping families in their own states or diverting billions to other states is also a no-brainer. They should opt in.
Mr. Lipinski, a Democrat, represented Illinois's Third Congressional District 2005-21. He is a fellow at the Hoover Institution and the University of Dallas.