Local legislator says killing education tax credit is biggest priority this session
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IDAHO FALLS – Sen. James Ruchti, D-Pocatello, says one thing on his list takes precedence above everything else this Legislative session.
“If there’s only one thing I could get done … it would be to defeat any sort of tax credit voucher proposal,” Ruchti tells EastIdahoNews.com.
He’s referring to the education tax credit, a bill that aims to provide $5,000 for every K-12 student ($7,500 for special ed students) to use for academic instruction. The idea, according to Rep. Wendy Horman, R-Idaho Falls, one of the bill’s sponsors, is to give parents “the power to choose the learning environment that works best” for their child.
It sets aside $40 million from the general budget to fund it. Ten million of that would go towards a grant for lower income families.
“Parents who can’t afford tuition expenses upfront … could apply for a grant for the same amount and be eligible for the refundable tax credit the next year,” Horman explains.
Those who are opposed to more education options often call it a voucher, Horman says, but tax credits and vouchers are two different things.
Horman introduced similar legislation with Sen. Lori Den Hartog, R-Meridian, during the 2023 session. SB 1161 called for $30,000 in ongoing state funding to provide tuition grants of $6,000 for up to 2,000 students a year. It failed to earn enough votes in the House Education Committee to advance it to the floor.
RELATED | Proposed bill makes state funds available to students in private or homeschool
Regardless of the changes, Ruchti is opposed and under no circumstances would he vote for it.
“It’s going to take money from our public schools and give it to private schools, religious schools and home schools,” Ruchti says. “It’s a program that will continue to grow and expand, and we’ll have less money for facility repairs, less money to pay teachers and staff, less money to provide quality education and technology for students.”
Another reason Ruchti is not in favor of it is that it’s “totally unaccountable.” He says there’s no requirement for private, religious or home schools to report how the money is spent or the impact it’s having on students.
“We have all kinds of state statutes that govern how money is spent and we expect graduates to meet certain metrics each year,” says Ruchti. “I’m really shocked when legislators endorse this type of program. This is a conservative state and I can think of nothing less conservative than allowing public money to be spent without accountability.”
But Horman, who served on a local school board for 11 years, says this bill will not take money away from public schools because it’s completely separate from public school funding.
“The money we appropriate belongs to the people, not schools, and the people have entrusted their elected representatives to appropriate it out to the various agencies and institutions of the state,” Horman says.
She cites Article 7, section 13 of the Idaho Constitution, which prohibits “money to be drawn from the treasury,” except through “appropriations made by law.”
Regarding Ruchti’s point about the bill having no accountability, Horman says it requires recipients — not institutions — to keep receipts for how the money is spent.
“The Tax Commission has the authority to audit the expenses and recapture the grants if they aren’t used in accordance with the law. It can also report potential misuse to the Attorney General for investigation and prosecution,” she says.
She points to a recent study from the Mountain States Policy Center showing how Idaho’s public school enrollment isn’t keeping up with the population growth and school choice often improves student outcomes.
But Ruchti says Idaho is a highly ranked school choice state nationwide without implementing tax credits and students already have options for their education.
“You can enroll your kid in private school (if you aren’t satisfied with the public school system). But you do it on your dime because we don’t have accountability for it,” he says. “When you hear people say this is all about school choice, it’s not true. This is about taking tax money and using it in a way we don’t allow in any other scenario.”
Horman is sponsoring the bill with Senators Hartog, Doug Ricks, R-Rexburg, and Scott Grow, R-Eagle, along with Rep. Jason Monks, R-Nampa.
Once a final draft is approved, it will be introduced in the Revenue and Taxation Committee. Ruchti anticipates it being a highly-debated bill in the Legislature. Follow its progress here.
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