Georgia Center for Opportunity lauds approval of tax credit scholarship expansion

Georgia Center for Opportunity lauds approval of tax credit scholarship expansion

News | For Immediate Release

April 2, 2018

Georgia Center for Opportunity Lauds Approval of Tax Credit Scholarship Expansion 

ATLANTA – On the final day of Georgia’s 2018 legislative session, lawmakers gave final approval to a bill expanding the state’s wildly popular tax credit scholarship program. House Bill 217, championed by State Representative John Carson, lifts the program’s current cap of $58 million to $100 million over a span of ten years. 

The Georgia Center for Opportunity (GCO) had been a staunch advocate for the original bill, which first passed in 2009. Since its adoption, the program has increasingly suffered from over-demand, both from donors who were unable to give to the initiative and students who were unable to take advantage of the scholarship due to an arbitrary cap on the program.

GCO President and CEO Randy Hicks applauded lawmakers for taking a “bold stand for Georgia’s students.”

“For too long, too many kids have been waiting in line for the opportunity to attend a school that better fits their needs,” Hicks said. “By passing an expansion of the tax credit scholarship program, the Georgia General Assembly has set a standard of prioritizing students and providing hope to thousands of families for years to come.”

According to state law, the amount given per scholarship must not exceed the average state and local per-pupil expenditures. In 2017, that amount stood at $9,468, though the average scholarship awarded in 2015 was reported to be $3,425. 

“By raising the state cap another $42 million, you’re creating a potential situation where over 5,000 families at least can take advantage of this program, though it will likely be much more,” Hicks added. “That’s more than a number, it represents lives that will be changed for the better thanks to the passage of HB 217.”

House Bill 217 now goes to Governor Nathan Deal’s desk for signature. 

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For more information, contact Christy Riggins at christy.riggins@georgiaopportunity.org or 770-242-0001.

Session Wraps With Two Key Victories for School Choice

Session Wraps With Two Key Victories for School Choice

Expanded education options will soon be available to thousands of Georgia families, thanks to two measures approved in the closing hours of the General Assembly’s session last week. The last-minute approvals came at a time when school-choice advocates were losing hope that meaningful action would take place on parental school choice reforms this year. Both bills now await Governor Nathan Deal’s signature before becoming law.

The first measure, House Bill 217, nearly doubles the size of Georgia’s popular Tax Credit Scholarship Program beginning in 2019. Currently, the program is capped at $58 million per year, but the new bill raises that cap to $100 million. These tax-credit scholarships are available to help students from low-income, working-class, and minority families attend high-quality private schools that better meet their academic needs. More than 13,000 students in Georgia are benefiting from these scholarships right now.

Unfortunately, the bill also contains a “sunset provision” that pushes the cap back down to $58 million beginning in 2029. But lawmakers will have ample opportunity to eliminate that sunset over the next few years, particularly as demand for the Tax Credit Scholarship Program will undoubtedly continue to grow. Here at Georgia Center for Opportunity, we’ll advocate for eliminating this sunset to ensure the program remains well-funded perpetually.

The second measure, House Bill 787, authorizes more funding for charter schools, bringing them into greater parity with funding for traditional public schools. “This bill does not achieve full funding equity, but it is a significant step forward for Georgia students who are enrolled in a state charter school,” said Tony Roberts, President and CEO of the Georgia Charter Schools Association. “This bill will help ensure that students and families who chose a public charter school because it best meets the needs of their children will not be financially penalized.”

Although acknowledging these significant strides for school choice during the legislative session, school-choice advocates were disappointed that lawmakers fell short of passing House Bill 482. If approved, the measure would have made Georgia the seventh state to pass Education Savings Accounts (ESA), an innovative way for parents to pay for non-public educational options for their children.

Time is Running Out to Expand Tax Credit Scholarships

Time is Running Out to Expand Tax Credit Scholarships

As Georgia’s 2018 legislative session marches to a close this week, will lawmakers act to expand Georgia’s Tax Credit Scholarship Program? Legislation pending in the state Senate, if passed, would yield huge benefits for families in desperate need of educational options.

First, a bit of background. Originally passed in 2008, the tax credit scholarships currently provide up to $58 million in scholarships so that students from low-income, working-class, and minority families can attend high-quality private schools that better meet their academic needs.

Here’s how the program works: The law allows private citizens and corporations to receive tax credits for donations to nonprofit Student Scholarship Organizations, which then administer scholarships across the state on behalf of needy kids. In 2015 alone, over 13,000 students received scholarships. The beautiful part of the program is that it creates the opportunity for Georgians to be charitable in support of school choice, while also benefiting families in need of better academic options.

Because the program is capped at $58 million—a limitation that’s been in place for a decade now—families and students have been waitlisted trying to access the scholarships. Thankfully, House Bill 217 would take an important stride toward reducing that problem by raising the cap to $65 million.

Previous versions of the bill were even more ambitious by raising the cap to $100 million in a graduated course of six years, effectively doubling the size of the program and bringing educational choice to as many as 130,000 students. Although the current version is pared down, it is still a step in the right direction.

House Bill 217 could come up for a floor vote in the Senate this week. But, as Atlanta-Journal Constitution columnist Kyle Wingfield writes, the bill faces a new hurdle—a proposal to automatically sunset tax credits after a certain period of time:

Why should that kind of program be subjected to an automatic sunset, and all the uncertainty that creates for families? As Lt. Gov. Casey Cagle told me, to explain why he cautions against putting a sunset on the program, “these scholarships more times than not follow students for most, if not all, of their k-12 education.” Blindly ending the program will truly harm those students.

The idea seems to be that if something is worth doing, it must be worth stopping — without regard to how much good it’s doing.

Requiring more data reporting (as this bill does) and a periodic review of the program that stops short of automatically ending it would increase accountability without adding needless uncertainty. If that’s what senators really want, that’s what they should do.

As the General Assembly enters its final weeks of the session, now is the time for lawmakers to act on this crucial bill. Indeed, heading into the 2018 election year, lawmakers should have education as one of their top priorities. According to a January poll conducted by the University of Georgia, Peach State voters named “education” as the single most important issue facing the state today.

School Choice Expands the ‘Success Sequence’

School Choice Expands the ‘Success Sequence’

According to scholars, America is increasingly becoming a society polarized between higher- and lower-income people. Whereas until recently a majority of Americans were considered middle class, now good jobs for those who only have a high school diploma are rapidly disappearing—while those with a good education reap the benefits of well-paying jobs and a booming economy.

In short, this increasing economic divergence means it’s harder to achieve the American Dream of upward mobility and a middle class lifestyle. And studies show that not only is the middle class now smaller in size than the top and bottom rungs of the economic ladder combined, the gap between rich and poor is increasing.

Here in Georgia, the statistics are particularly grim. In 2016, 25% of Georgia children were living in poverty—with 60% of all students eligible for free or reduced school lunches.  Altogether, 39% of our children grow up in single-parent homes and are six times more likely to be poor. And while graduation rates have increased recently, Georgia still ranks in the bottom five states nationally for drop-out rates.

The bottom line is that 21% of Georgians age 18 to 24 are not successfully transitioning to adulthood. This means they are not enrolled in school, not working, and have no degree beyond a high school diploma. Ultimately, it also means that the devastating cycle of generational poverty will be repeated—leaving little hope of moving into the middle class.

So, how do we help our students turn their lives around? We must give them tools to succeed—specifically by expanding school choice options that put them on what scholars call the “success sequence.”  A simple concept, this sequence teaches that a good education leads to a stable job—which in turn leads to a flourishing home life and overall success in life.

Clearly, the all-important first step is getting a good education. And here the data show that expanding school choice is particularly good for poorer students because more competition in education means better schools and improved student outcomes.

The good news is Georgia is a leader in educational opportunity—with more than 17,000 students benefitting from expanded school choice programs. And these programs are popular—with 84 percent of Republicans, 67 percent of independents, and 55 percent of Democrats supporting school choice. Among Millennials and minorities, support is even stronger—and growing—with 74 percent of Latinos, 72 percent of African Americans, and 75 percent of Millennials in favor.

The fact is that most students will continue to be educated in traditional public schools. But we must continue to advocate for expanded school choice and recognize the obvious fact each child is different and many underserved students will be more successful in schools that best meet their needs. Expanded school choice allows parents to send their kids to a school they believe best fits their child—placing them on a success sequence that breaks the cycle of poverty and creates the opportunity for upward mobility and a satisfied life.

Isn’t this what we want for all American kids—and not just the wealthy?

Will Georgia continue to be a leader in school choice?

Will Georgia continue to be a leader in school choice?

With more than 17,000 students enrolled in scholarship programs, Georgia is a leader in educational opportunity, according to the 2016-2017 School Choice Yearbook put out by the American Federation for Children (AFC). In fact, the Peach State is seventh in the country in scholarship program participation, with 4,000 kids receiving tuition assistance through the Special Needs Scholarship Program and 13,600 more participating in the tax credit scholarship program.

It’s exciting to see enthusiasm like this, but it shouldn’t be surprising. According to a poll by AFC, school choice is popular: 84 percent of Republicans, 55 percent of Democrats, and 67 percent of independents support school choice. Among millennials and minorities, support is even stronger, with 74 percent of Latinos, 72 percent of African Americans, and 75 percent of millennials in favor. And the momentum is only growing.

Why is that the case? Among many other reasons, school choice recognizes the obvious fact that not every student is the same. No school can successfully meet the unique and individual needs of every single student—and no school should. It’s too great a task to ask schools to cater to the kids whose parents want them to learn Mandarin, the kids with particularly complex special needs, the kids who are particularly gifted, the kids who want to play violin, and the kids who would thrive in a traditional school. When some parents want the kids in uniforms, some don’t, and some don’t care but don’t want to fight about it, how can one school please everyone?

School choice means they don’t have to. School choice allows parents to send their kids to whatever school they believe is the best fit for their child’s unique needs, skills, and goals. And who is more invested in a child’s success than their parents?

This year, lawmakers are on track to expand the state’s wildly popular tuition tax credit scholarship program. If the measure passes the Senate, it will allow even more Georgians to access even more opportunity. And opportunity in education means opportunity for life.

Report: Atlanta’s charter schools are more cost-effective than traditional public schools

Report: Atlanta’s charter schools are more cost-effective than traditional public schools

Do public charter schools deliver results in a more cost-effective way compared to traditional public schools? That’s the question addressed by a recent research report from the University of Arkansas (PDF download). The answer, it turns out, is unequivocally yes.

Researchers examined eight cities, including Atlanta, for the 2013-2014 academic year. Looking at students in both traditional and charter schools, the research team compared funding levels with performance outcomes on the National Assessment of Educational Progress (NAEP) exam. It turns out that—across all eight cities—students in charter schools performed better on these assessments even though the charter schools received less money.

Charter schools are public schools that have the flexibility to practice innovative approaches to improve academic achievement. Currently, there are 115 charter schools in Georgia and 32 charter systems that include 326 schools.

Specifically focusing on Atlanta charter schools, the University of Arkansas report found the following:

  • “After considering the per-pupil funding differences across the two sectors, Atlanta public charter schools produced an average of 2.16 more points on the NAEP reading assessment and 2.26 more points on the NAEP math exam for each $1,000 in funding than Atlanta [traditional public schools].”
  • “In Atlanta traditional public schools, average NAEP scores were 257 for reading and 272 for math, and per-pupil revenue was $16,429. In Atlanta public charter schools, average NAEP scores were 258 points for reading and 273 for math, and per-pupil revenue was $14,490.”

The report concludes that “public charter schools result in a bigger bang for fewer bucks than traditional public schools … Since educational resources are limited, charter schools look to be an especially attractive vehicle for delivering education to students more productively.”

A proposal (House Bill 787) currently pending in the Georgia General Assembly would authorize more funding for charter schools, bringing them into parity with funding for traditional public schools.