Public vs. private clash means incomplete grade for bill that’d provide federal education dollars

One side of the political aisle gave an education funding proposal an A; the other side gave it in F. Tuesday’s final grade is an incomplete because no vote was taken, but will be in the future.

At issue is a bill supporters say could provide millions of federal dollars in educational funding, but opponents argue it would divert dollars from public school funding.

As amended twice, HF3490 would join 27 other states in allowing taxpayers to receive federal tax credits up to $1,700 if they donate to a tax exempt 501(c)(3) scholarship-granting organization, such as a non-private educational foundation, serving any Minnesota K-12 school.

Credit creation is included in the so-called “One Big Beautiful Bill Act.” This bill would opt Minnesota into the federal tax credit program and adopt related federal tax changes for the purposes of the state income tax. Supporters note the bill has zero cost to the state budget.

“Do we want Minnesota money to benefit Minnesota students, Minnesota educators and Minnesota schools? This is all about options and opportunity. If Minnesota opts into this, there is a lot of funding that could go to our local schools,” Rep. Andrew Myers (R-Tonka Bay), the bill sponsor, told the House Education Finance Committee.

“By simply opting into this federal program our state can provide a vital bridge connecting families to the resources and educational environments they believe are best for their children,” said Dan Beckering, head of school at Southwest Christian High School.

Without this bill, supporters say Minnesotans may simply contribute to scholarship-granting organizations in other states.

Adosh Unni, director of government relations at the Department of Education, said the Walz Administration does not support the bill.

“(The governor) would rather see that money with Donald Trump than your local school,” retorted Rep. Walter Hudson (R-Albertville).  

Opponents say the bill takes aim at public schools.

“This is a voucher program dressed up to look nice,” said Committee Co-Chair Rep. Cheryl Youakim (DFL-Hopkins).

That is echoed in a joint letter from the Minnesota School Boards Association, Minnesota Association of School Administrators, Association of Metropolitan School Districts and Minnesota Association of Business Officials.

“While supporters view this as increasing parental options, the program effectively functions as a national voucher system by directing federal tax incentives toward private education without the transparency, accountability, and public oversight required of public schools.”

[MORE: Written testimony for and against the bill]

A math teacher at Minnetonka High School, Sarah Beron said the change would further underfund schools that are already short.

She said providing the tax break for private school donations would leave less overall state tax money to fund public education; tuition decreases would make private schools more affordable to middle-class families, thereby decreasing public school enrollment and associated per pupil funding; and, because of a decrease in private school tuition and no personal benefit to donate to a public school, more donations would go to private schools. 

“Do we want public schools to just be for the lower and working class? Do we want the best teachers, newest technology and small class sizes to serve only students from upper-class families in private schools? If we continue to defund public education and use tax dollars to help only the top percent, we are increasing the gaps between the haves and have-nots and further contributing to problems related to poverty in our society.”