- Monday, January 12, 2026

School choice initiatives have historically been associated with Republican leadership, often framed in terms of market competition or limited government in red states. Now, a new moment has arisen, and it calls out for blue-state attention.

As Democratic governors look ahead, a clear and practical New Year’s resolution is on the table: helping families manage education costs in a way that aligns with their priorities.

At a time when rising costs are front and center in political discussions, addressing education affordability offers governors a tangible way to deliver real relief to families feeling squeezed from every direction.



The new federal Tax Credit Scholarship Program, often referred to as the $1,700 school tax credit, eases cost pressures on families, supports workforce participation and advances equity for minority communities, and it does it all without diverting public school funding or increasing state spending.

As of Jan. 1, governors have been able to opt their states into the program, which officially goes into effect next January. The structure is straightforward: People receive a federal tax credit for donating to nonprofit scholarship organizations, which then help families cover educational expenses such as tuition. Families earning up to 300% of the area median income are eligible, ensuring the program reaches the middle-income households most squeezed by rising costs.

Unlike traditional education funding debates, this approach expands access without triggering budget negotiations or reallocations at the state level.

This is a rare opportunity to support vulnerable families, strengthen minority communities and bring federal dollars home without touching state budgets or public school funding. It reflects Democratic values in practice, not just rhetoric.

The average family is struggling with rising costs across every aspect of education, not just tuition. With books, technology, tutoring, transportation and required services, expenses add up quickly. This program gives governors a practical way to help families.

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The program also supports the state economy and small businesses because education spending extends well beyond schools. Local businesses that provide uniforms, school supplies, educational technology, transportation and enrichment services all benefit when families have greater spending capacity. By easing financial strain on households, the program helps sustain small businesses and keeps dollars circulating in local economies.

By providing a clear opportunity for states to draw down available federal dollars tied specifically to education costs, the tax credit also allows states to access limited federal funds that would otherwise go unused. Opting in ensures those dollars stay in state and are directed toward local families, schools and communities instead of going unclaimed or flowing to states that choose to participate.

Democratic governors are already beginning to put stakes in the ground. In Colorado, Gov. Jared Polis has said he plans to opt the state into the federal tax credit scholarship program, signaling that a Democratic governor can view this as a pragmatic affordability tool rather than an ideological fight. In North Carolina, Gov. Josh Stein has also pointed to potential benefits from the federal program, describing it as an opportunity to help students and families even as he rejected a separate state approach and emphasized the need to get the details right.

Finally, the program is politically and fiscally safe. It’s not a voucher program. All students, including those who attend public schools, are eligible for it. Governors retain control, public school funding remains protected, and states incur no direct cost.

Opting into this program gives Democratic governors a chance to deliver immediate relief to families while leading on critical blue-state initiatives. As resolutions for the year are set, this is one worth committing to.

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• Sydney Altfield is the CEO of Teach Coalition, a leading national advocacy organization to secure fair and equitable government support for nonpublic schools.

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