Little weighing merits and flaws of private school tax credit

Facing a Thursday deadline, Gov. Brad Little voiced reservations about the $50 million private school tax credit bill sitting on his desk.

During a Tuesday morning Q&A session with reporters, Little said he’s still reviewing House Bill 93, which would provide refundable tax credits for private school tuition. The Senate passed HB 93 Wednesday, and Little must act on the bill by 11:46 a.m. Thursday.

The deadline comes seven weeks after Little publicly signaled his support for some form of private school choice. Little inserted $50 million into his budget to bankroll a private school choice program, but he laid out no specifics.

Lawmakers have floated several private school choice bills this session, but HB 93 is the only one to pass — and the first private school choice bill to ever reach Little’s desk.

“I don’t get very many perfect pieces of legislation,” Little told reporters. “The only thing this perfectly fit into was my $50 million box.”

Little has said he would only support a private school choice bill that is fair, responsible, transparent and accountable. And on Tuesday, Little suggested that HB 93 fell short on at least one measure.

“There’s not enough accountability in it,” said Little, who promptly pivoted to state spending on early literacy and college and career readiness. “But I don’t think there’s enough accountability in the money we give public schools either.”

Little has three options on HB 93. He could veto the bill — and the House and the Senate would almost certainly have the votes to back him. Little could allow the controversial bill to become law without his signature. Or Little could sign it.

During an hour-long news conference, sponsored by the Idaho Press Club, the Republican governor hinted at several sticking points with the GOP-dominated Legislature.

Little didn’t stake out a side in the showdown between key legislators and the WWAMI medical education program. But Little said he has heard no concerns about the quality of physicians coming through the University of Washington-led medical program, and expressed a larger concern about the state’s physician shortage.

“Anything that disrupts the trajectory of (training) high-quality doctors, I’m going to have an issue with,” Little said. “I just want to know all the details.”

The House is poised to vote on a bill that would sever Idaho’s 53-year relationship with WWAMI — named for the member states of Washington, Wyoming, Alaska, Montana and Idaho. Bill supporters have criticized the University of Washington for refusing to reserve additional medical school seats for Idaho students. They have also wanted a written assurance that Idaho tax dollars are not going toward abortion instruction at the medical school — a statement the University of Washington finally signed this month.

Idaho Launch. Little again touted Launch, his $70 million-a-year financial aid program for high school graduates. “There’s a whole class of families in Idaho, that this is going to change their life.”

But legislators are taking another run at the 2-year-old program. Last week, House Assistant Majority Leader Josh Tanner introduced a bill that would eliminate Launch in 2026. Asked if the proposal was a “hostage” bill — a bargaining chip floated by legislative leadership — Little was cagey. “Hostage identification is part of the stock and trade around here.”

Tax cuts. Little opened the legislative session with another general guideline: earmarking $100 million in tax cuts. Legislative leaders have countered with upwards of $450 million in property and income tax cuts, and increases in the tax exemption for groceries.

“They know I’m not very happy about it,” Little said. “If I thought we could have done $450 million I would have proposed $450 million.”

Bill expanding charter credit enhancement cap heads to House

The House Education Committee Tuesday introduced and advanced a new version of a bill that would increase the cap on a state credit enhancement program for public charter schools.

Sponsored by Rep. Wendy Horman, R-Idaho Falls, and Senate Majority Leader Lori Den Hartog, R-Meridian, the bill would allow more schools to use a credit enhancement tool that lowers interest rates on about $200 million worth of charter construction bonds. The new proposal, House Bill 331, replaces House Bill 256.

The new version moved the cap from a “floor-based approach to a formulaic-based approach,” Horman said Tuesday. The state treasurer’s office requested the amendment, she said.

Two charter school leaders, a charter school advocate and a financier spoke in support of the bill during a public hearing. Monica White, CEO and founder of Elevate Academy, said access to credit enhancement could save the charter network about $867,000 in annual interest costs for the construction of three schools.

The savings could be put back into the classroom, White said. “This is really close to our heart but really close to the taxpayers and the checkbooks of everybody that we serve.”

House Education unanimously voted to send HB 331 to the full House.

Public school ESA proposal on hold, for now

A Senate committee took no action Tuesday on a bill that could allow public school parents to receive education savings accounts.

Senate Bill 1068 isn’t dead, however. The Senate Education Committee held it temporarily, and the committee’s chairman, Sen. Dave Lent, R-Idaho Falls, said he would bring it back at a later date.

SB 1068 would advance a “parent-supported instruction model,” which allows parents to choose their kids’ curriculum and teach them at home at least part-time. Six districts are already using this approach, with about 11,000 students in the programs, said former state Sen. Steven Thayn, the bill’s sponsor.

Thayn, a former Senate Education chairman, said SB 1068 would provide public schools with a chance to compete in a changing education market. Parents are demanding other options because they want more say over their kids’ curriculum, because they distrust public education or because they’re dissatisfied in public schools’ academic performance. Public schools “can either cater to (parents’) desires, or lose them completely,” Thayn said.

One piece of the parent-supported model is an education savings account, which parents can use to cover their educational expenses. The Idaho Home Learning Academy, a massive online charter school based in Malad, offers an $1,800 ESA — an arrangement that drew skepticism during House and Senate hearings in January.

Sen. Janie Ward-Engelking renewed her skepticism Tuesday, and wondered if the SB 1068 model would simply pay parents to keep their children at home.

“I think kids need to be in public school if we’re going to use taxpayer dollars,” said Ward-Engelking, D-Boise.

After truncated public testimony — from supporters mostly with ties to IHLA — the committee adjourned its hearing.

Senior reporter and blogger Kevin Richert specializes in education politics and education policy. He has more than 30 years of experience in Idaho journalism. Senior reporter Ryan Suppe covers education policy, focusing on K-12 schools. He previously reported on state politics, local government and business.