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New national school voucher program included in ‘big, beautiful’ law, with no cap on cost

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tennesseelookout.com – Shauneen Miranda – 2025-07-12 05:00:00


A new national private school voucher program, effective in 2027, offers up to $1,700 in federal tax credits to individuals donating to organizations providing scholarships for private and religious schools. Participation is optional for states, raising uncertainty about uptake, especially in blue and purple states. The program targets families earning up to 300% of their area’s median income, with no cap on total costs. Critics highlight risks of diverting funds from public schools, lack of accountability, and potential misuse of taxpayer money. Supporters view it as expanding parental choice in education, despite partisan divides.

by Shauneen Miranda, Tennessee Lookout
July 12, 2025

WASHINGTON — A national private school voucher program is now law, though the school choice initiative comes with a huge caveat. States also choose — whether or not to participate. 

It’s a setback for advocates who hoped to see the program — baked into the mega tax and spending cut bill President Donald Trump signed into law on July Fourth — mandated in all 50 states.

The permanent program, which starts in 2027, saw several versions between the House and Senate before getting to Trump’s desk as part of congressional Republicans’ massive reconciliation package.

Robert Enlow, president and CEO of EdChoice, touted aspects of the program, but said his organization would have preferred to see a 50-state program, rather than allowing states to opt in or decline. 

“I think I’m really worried about that because this is seen as a sort of more partisan issue and as a result, what would make a governor in a blue state say, ‘Let me bring in school choice’?” said Enlow, whose nonprofit focuses on advancing school choice options.

Still, Enlow described the program as “just another step along the way of giving parents more choices.”

Who will join?

It remains to be seen which states will participate, including those with their own voucher programs already underway.

Jon Valant, a senior fellow at the nonpartisan Brookings Institution, said he’s “not clear on how states will shake out on the question of whether or not to participate.”

“I’m sure the vast majority of, really, all red states will participate in this thing, but I don’t know what’s going to happen in blue and purple states,” said Valant, who also serves as director of the think tank’s Brown Center on Education Policy.

Despite that unknown, Valant said that states “do have some incentive to participate because if they don’t, then they’re potentially losing access to some funds that they wouldn’t otherwise get.”

How the program works

The program allocates up to $1,700 in federal tax credits for individuals who donate to organizations that provide private and religious school scholarships.

There is also no cap to the cost of the program, unlike earlier versions seen in both chambers of Congress.

The scholarship funds would be available to families whose household incomes do not exceed 300 percent of their area’s median gross income.

More than 138 million people could be eligible to make use of the tax credit in 2027, according to an analysis from the Institute on Taxation and Economic Policy.

However, Carl Davis, research director of the left-leaning think tank, notes in the analysis that “most of those people will not contribute” given the necessary paperwork and vouchers’ unpopularity with the public.

A state’s program participation will be decided by its governor or “by such other individual, agency, or entity as is designated under State law to make such elections on behalf of the State with respect to Federal tax benefits,” according to the final bill text.

The GOP’s school choice push

The umbrella term “school choice” centers on alternative programs to one’s assigned public school.

The effort has sparked controversy, as opponents say these programs drain critical funds and resources from school districts, while school choice advocates describe the initiatives as necessary for parents dissatisfied with their local public schools.

Trump and congressional Republicans have made school choice a major part of their education agenda.

The program also reflects a sweeping bill that GOP Reps. Adrian Smith of Nebraska and Burgess Owens of Utah and Sen. Bill Cassidy of Louisiana reintroduced in their respective chambers earlier this year.

‘Very little quality control’

Valant, of the Brookings Institution, expressed several concerns about the program, saying “there’s very little quality control, transparency or accountability for outcomes in this program, and it’s potentially a major use of public taxpayer funds.”

He said he doesn’t see anything in the program’s text that “protects against widespread waste, fraud and abuse and from programs and schools that aren’t providing much value at all to students from continuing to get a large amount of funding.”

The program also came as Trump and his administration continue to dramatically redefine the federal role in education.

Trump’s fiscal 2026 budget request calls for $12 billion in spending cuts to the Education Department. A summary from the department said this cut “reflects an agency that is responsibly winding down.”

Billions on hold

The administration has also taken heat for its recent decision to put on hold $6.8 billion in federal funds for K-12 schools.

Sasha Pudelski, director of advocacy at AASA, The School Superintendents Association, said that a time when the administration is withholding billions of dollars in these funds for public schools, “the idea that we’re going to spend an unlimited amount of tax dollars to support private and religious schools is unthinkable, unimaginable — it’s horrific.”

“This is yet another handout to wealthy Americans who can already afford to send their children to private religious schools and at a cost that comes from tax dollars being deferred away from public education that serve the poorest and neediest students in America,” added Pudelski, whose organization helps to ensure every child has access to a high quality public education.

Tennessee Lookout is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Tennessee Lookout maintains editorial independence. Contact Editor Holly McCall for questions: info@tennesseelookout.com.

The post New national school voucher program included in ‘big, beautiful’ law, with no cap on cost appeared first on tennesseelookout.com



Note: The following A.I. based commentary is not part of the original article, reproduced above, but is offered in the hopes that it will promote greater media literacy and critical thinking, by making any potential bias more visible to the reader –Staff Editor.

Political Bias Rating: Center-Right

This content primarily presents the national school voucher program, a policy generally supported by conservative and Republican leaders, positively but with acknowledgment of criticisms from left-leaning sources. It highlights the GOP’s emphasis on school choice and includes comments from advocates aligned with conservative education reform while also giving voice to critiques about public school funding and potential risks raised by left-leaning think tanks and education associations. The coverage strives for balance but leans center-right by framing the initiative as a step forward in parental choice, aligning with mainstream conservative education priorities.

News from the South - Tennessee News Feed

Tennessee Department of Treasury working to connect residents with missing money

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www.wkrn.com – Nikki McGee – 2025-07-11 18:33:00

SUMMARY: The State of Tennessee is distributing $193 million in unclaimed property, which includes money businesses couldn’t return to rightful owners, such as rent or utility deposits, overpaid medical bills, or unpaid wages. One notable case involved a widow receiving over a million dollars from dormant stock. Residents can check for unclaimed money easily by visiting claimittn.gov and typing their name. On July 19, Tennessee Treasury officials will assist people in Rutherford County—where $24 million is unclaimed—at the Berry Festival in Murfreesboro from 10 a.m. to 3 p.m. Claims can take as little as two weeks, with yearly portal updates on November 1.

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The post Tennessee Department of Treasury working to connect residents with missing money appeared first on www.wkrn.com

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News from the South - Tennessee News Feed

New Tennessee license plates raise organ, tissue donation awareness

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www.wkrn.com – Tori Gessner – 2025-07-11 17:24:00

SUMMARY: Tennessee now offers pre-purchase of ‘Donate Life Tennessee’ license plates to promote organ and tissue donation awareness and raise funds for the cause. The initiative is personal to ambassador Lisa Boullt, whose sister’s donations saved many lives. A single donor can save up to eight lives through organs and 75–100 through tissue. Currently, 3,000 Tennesseans await transplants, but only 44% of eligible residents are donors, below the national average. The plates cost \$37, with half the proceeds supporting donation programs. The organization must pre-sell 1,000 plates before production begins to spark conversations on this life-saving cause.

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MPD releases video of shootout captured by new camera system

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www.youtube.com – FOX13 Memphis – 2025-07-11 12:30:04

SUMMARY: Memphis Police Department’s new downtown command center, opened three months ago, uses a network of high-tech cameras to monitor crime in real-time. The system has captured incidents including burnouts, drug deals, and a shootout on July 4th involving suspect Victor Peeler, who remains at large. The cameras provide detailed footage, enabling officers to identify suspects and vehicles, such as repeat offender Christopher Chrisell. The technology also aided in arresting 17-year-old Montreal Williams for a recent homicide. Mayor Paul Young envisions this camera network as a model for expanding citywide crime monitoring to enhance public safety.

Reckless driving, burnouts, drug dealing and a police shootout are among the crimes captured on camera by the City of Memphis’s new network based out of its Downtown Command Center. FOX13 got a look at some of the evidence captured by MPD’s new, state-of-the-art camera system Thursday.

MORE: https://www.fox13memphis.com/news/mpd-releases-video-of-shootout-captured-by-new-camera-system/article_def07774-e52f-446c-b269-74134ce7ed1c.html

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