Idaho Residents Discuss Accountability in New Education Tax Credit

Moscow, Idaho, hosted a town hall meeting on Wednesday to discuss the implications of House Bill 93, which introduces a new $5,000 tax credit for families opting for private education, including homeschooling. Organized by the Mountain States Policy Center (MSPC), the session aimed to clarify the logistics surrounding the tax credit, which is part of a broader initiative allocating $50 million in state funds to assist families with educational expenses.

During the meeting, MSPC President Chris Cargill explained that the tax credit is designed to reimburse families rather than schools, leading to questions regarding accountability in educational standards. Cargill pointed out that while there are no mandated performance standards for schools, families utilizing the tax credit must document their child’s educational progress. This documentation takes the form of a “portfolio of evidence” demonstrating growth in key subjects such as science, math, social studies, and language arts.

Participants raised concerns about how educational growth is verified, especially for homeschooled children. Cargill noted that while a transcript from a private school suffices, the criteria for assessing homeschooled students remain less clear. He mentioned that the state’s Legislative Services Office plans to survey families in the tax credit program to evaluate its effectiveness.

Cargill emphasized the importance of using the tax credit appropriately. Families could face audits and potential tax fraud charges if they misuse the funds. He stated, “You cannot just take this money and go on a trip to Hawaii with it,” underscoring the necessity for proper documentation, including receipts for expenditures. For families to qualify, their children must not be enrolled in public schools, and Cargill estimated that around 8,000 students could benefit from this program.

The introduction of HB 93 has sparked significant debate. Advocates for public education express concern that the tax credit diverts essential funds away from public schools. The Moscow School District is actively involved in a lawsuit challenging the legality of HB 93, arguing that it contravenes the state constitution’s stipulation for a “general, uniform and thorough system of public, free common schools.”

When questioned about Idaho’s capacity to fund this tax credit amidst a projected $58 million budget deficit, Cargill maintained that the state is experiencing an increase in tax revenue, albeit with a decrease in federal funding. He clarified that the tax credit operates on a first-come, first-served basis but prioritizes families with a modified adjusted gross income not exceeding 300% of the federal poverty level.

As the conversation surrounding House Bill 93 continues, many Idaho residents remain focused on ensuring that educational standards and accountability are upheld while navigating the complexities of this new financial assistance program.