Home New York CityHochul Intends to Opt Into Federal Tax Credit in Win for Private School Choice

Hochul Intends to Opt Into Federal Tax Credit in Win for Private School Choice

by Staff Reporter
0 comments

This story was originally published by Chalkbeat. Sign up for their newsletters at ckbe.at/newsletters.

New York Gov. Kathy Hochul intends to opt the state into the federal tax-credit scholarship.

The announcement represents a major win for supporters of private school choice who have been lobbying Democratic governors to participate in the program. However, Hochul’s office said she intends to review the details before making the decision official.

The American Federation for Children, a national school choice advocacy group, said Thursday night that Hochul first made the announcement at a private gathering. The meeting was with Agudath Israel, an organization that supports Jewish religious education, according to an Agudath spokesperson.

Emma Wallner, a spokesperson for the governor, confirmed Hochul’s plans to opt in to the tax credit.

“Governor Hochul is supportive of the federal tax credit scholarship and its potential to help New York students and schools,” Wallner wrote in a statement. “Our office awaits information from the federal government on the program and will thoroughly review the details of the policy for poison pills that could harm New York’s education system.”

Gov. Kathy Hochul with Mayor Zohran Mamdani at a Brooklyn child care center on Jan. 8. The governor and mayor on Tuesday unveiled the first NYC neighborhoods getting free child care seats for 2-year-olds.
Gov. Kathy Hochul with Mayor Zohran Mamdani at a Brooklyn child care center on Jan. 8, 2026. Credit: Susan Watts / Office of Governor Kathy Hochul

The Treasury Department is still in the process of developing guidelines for the program, which will clarify, for example, how donated money might benefit public school students or whether states can prevent scholarship-granting organizations from discriminating against certain students.

The tax credit was approved last year as part of the Republican-backed One Big Beautiful Bill Act. It allows taxpayers to get a dollar-for-dollar credit up to $1,700 on their federal taxes if they donate money to an eligible scholarship-granting organization. These organizations could give students money for private school tuition, tutoring, and other educational expenses.

Governors, however, have to opt into the program for students in their state to benefit.

“Finally, school choice is coming to New York, thanks to the courage of Governor Hochul and the tremendous advocacy of countless families, educators, and supporters who have worked for generations to advance options for kids who need them,” American Federation for Children CEO Tommy Schultz said in a press release.

According to a tracker maintained by the advocacy group EdChoice, 27 states, nearly all of them led by Republicans, have opted into the tax credit.

Colorado Gov. Jared Polis is the only Democratic governor to have officially opted in. Under pressure from Republican lawmakers, North Carolina Gov. Josh Stein said last year that he intends to do so after the rules are released.

Some Democratic governors have been strongly opposed. In Wisconsin, which launched one of the nation’s earliest voucher programs, Democratic Gov. Tony Evers vetoed Republican-backed legislation that would have opted that state in. In a veto statement, he cited the lack of any accountability measures in the federal program.

Kentucky Gov. Andy Beshear also vetoed opt-in legislation, as did Kansas Gov. Laura Kelly, but Republican-controlled legislatures overrode vetoes in both states.

Other Democratic governors are taking a wait-and-see approach. Democratic backers of expanding school choice argue that families want more options and that states that don’t opt in risk their own taxpayers donating to scholarship groups in other states. Opponents say the program undermines public education and threatens funding, even if indirectly.

Nationally and in New York, supporters of religious education have lobbied for the tax credit as a way to ease the tuition burden for families.

“This is extraordinary news for Jewish families and for every community across our state,” said Sydney Altfield, the CEO of Teach NYS, an organization that lobbies for public funding for Jewish schools. “Blue states across the country will now be watching closely.”

Hochul has courted the Orthodox Jewish community, an influential voting bloc, as she faces reelection in November. Along with state legislative leaders, she previously pushed to weaken oversight of private schools, a measure that would largely benefit certain yeshivas that do not always provide a basic secular education. The state’s education commissioner, Betty Rosa, called the move a “travesty.”

Hochul has backed other efforts to expand school choice since taking office nearly five years ago, drawing pushback from other New York Democrats. In 2023, she proposed to significantly expand the number of charter schools in New York City, even as the publicly funded yet privately managed schools have fallen out of favor among many left-leaning elected officials. State lawmakers rejected Hochul’s sweeping proposal but ultimately approved a more modest expansion.

Hochul has also touted her commitment to funding traditional public schools and has presided over increases in state spending. State officials indicated Thursday that schools should expect at least a 2% bump in the state’s forthcoming budget, which is more than a month overdue and has yet to be finalized.

“I’m proud of the resources we have put into education,” she told reporters Thursday.

This story has been updated with additional details about the private meeting where Hochul announced her support for the tax credit, as well as additional background about Hochul’s approach to private school oversight.

Erica Meltzer is Chalkbeat’s national editor based in Colorado. Contact Erica at emeltzer@chalkbeat.org.

Alex Zimmerman is a senior reporter for Chalkbeat New York, covering NYC public schools. Contact Alex at azimmerman@chalkbeat.org.

Our nonprofit newsroom relies on donations from readers to sustain our local reporting and keep it free for all New Yorkers. Donate to THE CITY today.

The post Hochul Intends to Opt Into Federal Tax Credit in Win for Private School Choice appeared first on THE CITY – NYC News.

You may also like

Leave a Comment

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More