A bill creating a refundable tax credit for non-public education narrowly cleared a House committee Wednesday. 

The 8-7 tally was a one-vote swing from last year when a similar bill was barely defeated by the House Revenue and Taxation Committee. House Bill 93 now heads to the full House, where it will have the support of House leadership. 

The bill would create a refundable tax credit offering private school and home-school students up to $5,000 for tuition, tutoring, standardized test fees, curriculum, books, transportation and other education expenses. Students with special needs would qualify for up to $7,500.

During Wednesday’s committee hearing, co-sponsor Sen. Lori Den Hartog said Idaho already has a “vibrant school choice ecosystem,” but this bill would give families “another choice and access to additional opportunities.”

“What we’re talking about today is adding another piece of that puzzle, something additive to that ecosystem, not something that takes away from anything else,” said Den Hartog, R-Meridian.

It’s the second private school choice bill to clear a legislative committee this week. On Monday, the Senate Education Committee advanced a bill that would expand the Empowering Parents program from $30 million to $50 million and add private school tuition as an eligible expense. Sponsored by Sen. Dave Lent, R-Idaho Falls, Senate Bill 1025 is awaiting a vote in the full Senate. 

If Lent’s bill clears the Senate, its chances of advancing in the House are slim, Republican leadership signaled Tuesday. House Speaker Mike Moyle, R-Star, who supports the tax credit bill, said he sees Lent’s bill as a “competing” proposal. 

The Legislature could adopt both programs. Many states have multiple mechanisms for subsidizing private schooling and home schooling. But Gov. Brad Little has pledged support for just $50 million in state spending on private education, and both bills call for $50 million. 

Along with Den Hartog, who serves as Senate majority leader, the House bill is co-sponsored by Rep. Wendy Horman, R-Idaho Falls; Rep. Jason Monks, R-Meridian; and Sen. C. Scott Grow, R-Eagle. 

Monks said Wednesday that Idaho is “way behind” in the national movement for private school choice. Most states now have a program funding private schooling and home schooling, with more than 20 programs coming online or expanding the last few years.

“Every conservative state in the country, minus Texas, has school choice options, and Texas is probably going to pass that here shortly,” Monks said.

(North Dakota also has a Republican trifecta — control of the governor’s office and both houses of the Legislature — and no private school choice program.)

Bill overcomes bipartisan opposition

HB 93 overcame bipartisan opposition and public criticism during a truncated hearing Wednesday. Eight Republicans supported it while five GOP committee members and two Democrats opposed it. 

Opponents raised a number of concerns about the bill, including private school admissions policies that could exclude students and whether the Idaho State Tax Commission has the capacity to administer the program. They also worried that program costs could balloon if a spending cap is lifted.

Tax refunds distributed through the credit would be capped at $50 million annually. The Legislature could lift this cap in the future, and the bill directs the Tax Commission to create a waiting list demonstrating who would be eligible if the cap increased. 

While roughly 10,000 students would be eligible under the $50 million cap, the eligibility pool could eventually grow to hundreds of thousands of  students, said Rep. Steve Berch. Future lawmakers could lift all restrictions, like Arizona did with its education savings account program in 2022, and Idaho’s more than 300,000 public school students would have an incentive to leave the public system and collect private education subsidies. 

“The pressure to increase the amount towards this effort will clearly be put on this Legislature,” said Berch, D-Boise. 

Monks acknowledged that future lawmakers could increase the spending cap. But this is true of any other program, Monks said, including Idaho Launch, a workforce training scholarship, which has become a wedge issue for Republicans, like private school choice.

“That’s how this works,” he said. “It cannot be increased, unless the Legislature chooses to…They could also choose to decrease it.”

Rep. Britt Raybould noted that HB 93 would allow tax credit recipients to benefit from multiple state programs covering education expenses. The legislation would prohibit recipients from claiming expenses twice, through the tax credit and Empowering Parents or Advanced Opportunities — two existing programs that offer grants for private school expenses, excluding tuition. But it wouldn’t bar participation in all three programs, as long as different expenses are claimed.

“We’re setting up a system for students, who reside outside of the…public system, to receive a significant amount of taxpayer funding with very limited oversight,” said Raybould, R-Rexburg. “…This is redistribution of wealth. It is a government subsidy.”

Applicants with household incomes 300% or below the federal poverty limit would be given priority access to the tax credits. They would also be eligible for advance payments. 

Rep. John Gannon, D-Boise, asked Horman whether the bill would require background checks for teachers in private schools and learning pods. The bill doesn’t change existing “vetting processes” in these school settings, Horman responded, “but they do exist.”

Private school leaders address tuition rates, accountability

Despite a packed hearing room for Wednesday’s meeting, when HB 93 was the only item on the agenda, just 11 people had an opportunity to testify. 

The meeting started a half hour later than the House Revenue and Taxation Committee’s normal hearing time. The chairman, Rep. David Cannon, R-Blackfoot, who supported the bill, cut off public comment after about 40 minutes. 

Seven people spoke against the bill while four supported it. Cannon noted that an “overwhelming majority” of written testimony was opposed. One parent, Joshua Price, urged the committee to pass the proposal.

“I’m super excited about the choice opportunities that are available through this bill,” said Price, who noted that his three children have attended at least 11 different schools during his U.S. Navy service. There was a “big difference” between these schools, he said. 

Also among the supporters were the Mountain States Policy Center and two private school leaders — Tammy Emerich, superintendent of Catholic schools for the Diocese of Boise, and Allen Howlett, superintendent of Cole Valley Christian Schools. 

Emerich touted her students’ scores on standardized tests — more than 20 percentage points higher than public school students in math, for instance. And 12% of students in Idaho’s 16 Catholic schools have disabilities, she said. This percentage lines up with the rate of students with special needs in public schools. 

Raybould asked whether Catholic schools would increase tuition if the tax credit goes into effect. “I don’t anticipate that our schools would raise their tuition,” Emerich said. “Most of our schools fall right around the $5,000 tuition range.”

Raybould also asked Howlett whether Cole Valley Christian allows any student to enroll, regardless of their faith or religious denomination. “We allow all Christian denominations to be a part of our school,” Howlett responded. In a previous interview with Idaho Education News, Howlett said that Cole Valley Christian doesn’t admit students from families without at least one “Bible-believing” parent. 

Howlett also addressed concerns about accountability. “They stop paying tuition if we are not accountable to exactly what they want to see happening with their kids, and if we’re not progressing,” he said. “We partner with these parents, knowing that they are the primary educators of their kids.”

The League of Women Voters of Idaho testified against the bill. Co-president Jean Henscheid said her nonpartisan advocacy group for years has pressed the Legislature to “adequately fund public schools,” but lawmakers have “transferred responsibility” to property taxpayers. 

“House Bill 93 is a further abdication of the Legislature’s responsibility,” Henscheid said.  “This proposal would use our taxes to establish a second system of schools. It is unfair, irresponsible and lacks any accountability to taxpayers.”