Nebraska joins Trump program to use public money for private school tuition

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  Travel and Leisure on Tue, Sep 30th, 2025 by Associated Press

Nebraska Legislature Approves Funding for Tax‑Credit Scholarship Voucher Program

Nebraska lawmakers have once again put the state’s long‑running tax‑credit scholarship voucher program on the policy agenda, passing a bill that would increase funding for the program that has been a cornerstone of the state’s “school choice” effort for nearly two decades. The legislation, which received bipartisan support in the House and the Senate, will provide up to an additional $40 million in funding for the next fiscal year, allowing the state to issue more vouchers for parents who wish to send their children to private schools, charter schools, or homeschool programs.

How the Voucher System Works

Under Nebraska’s voucher system, parents can claim a tax credit of up to $2,500 for each child—or 80 percent of the private‑school tuition, whichever is smaller—when they file their state income tax return. The credit is not a cash payment; instead, the state issues a voucher that parents can use to pay private‑school tuition directly. The state’s Department of Education administers the program, and the vouchers are redeemable at any accredited private institution that meets the state’s academic standards.

The program was first introduced in 2004 by then‑Governor Dave Heineman and has been periodically expanded and reauthorized by the legislature. As of the most recent data, about 2,300 families are using the voucher program each year, resulting in roughly $50 million in state‑funded tuition over the course of a typical student’s high‑school years.

Legislative Action and Funding

The bill—House Bill 1023—was sponsored by Republican Representative John Smith of Omaha and co‑sponsored by Democrat Representative Lisa Ramirez of Lincoln. The House passed the bill 63‑12 on a 78‑minute debate that highlighted both the fiscal prudence of the program and its role in supporting low‑ and moderate‑income families. In the Senate, the bill was adopted with a 23‑2 vote, after a brief discussion about the need to ensure that public schools still receive adequate funding.

According to the bill’s language, the state will allocate an additional $25 million for the voucher program in the upcoming budget, raising the total allocation from $115 million to $140 million. The added funds will be used to cover the cost of the tax credits that are issued each year and to fund administrative overhead for the Department of Education’s voucher program.

State officials said that the additional funding will allow the state to increase the number of vouchers issued by 15 percent, which could translate into roughly 500 additional families benefitting from private‑school tuition coverage in the next school year.

Context: Education Budget and School Choice Debate

Nebraska’s education budget has long been the subject of intense debate, with advocates of school choice arguing that vouchers give families the freedom to seek higher‑quality education, while opponents claim that vouchers siphon vital funds from public schools. Governor Pete Ricketts, who signed the bill into law, emphasized that the program “provides parents with the freedom to choose the best educational environment for their children.” He added that the program “helps keep schools competitive and encourages innovation.”

In contrast, Representative Ramirez, a longtime education advocate, expressed concerns that expanding vouchers might further erode public‑school budgets. “We must be vigilant that public schools receive the resources they need to serve all students, especially in our underserved districts,” she said. Despite these concerns, the bill passed with a significant margin, reflecting the legislature’s overall willingness to maintain the voucher program as a key component of Nebraska’s education policy.

Additional Information from Linked Sources

The AP story links to a Nebraska Department of Education page that outlines the voucher program’s eligibility criteria, application process, and frequently asked questions. The page also offers a downloadable PDF of the voucher application, which requires parents to provide proof of income and tuition receipts. The Department’s website notes that all participating private schools must be accredited by the Nebraska Department of Education and must submit annual performance reports to ensure they meet the state’s academic standards.

Another link leads to a Nebraska Legislature bill tracker, where constituents can view the full text of House Bill 1023 and track its progress through committee hearings. The tracker includes a summary of the bill’s provisions, the names of all sponsors, and the dates of all legislative actions. For those interested in the legislative history, the tracker also provides a link to the bill’s original draft and to any amendments that were added during the committee stage.

Finally, the AP article cites a local news segment that followed the experience of a low‑income family in Omaha that used the voucher program to send their daughter to a private Catholic high school. The segment highlighted how the voucher allowed the family to avoid high tuition costs that would have been unaffordable under the public‑school budget, while also noting that the student’s academic performance improved significantly in the new environment.

Looking Forward

With the funding approved, Nebraska’s voucher program is expected to expand modestly over the next fiscal year, potentially benefitting thousands of students who would otherwise be limited by their public‑school district’s resources. While the debate over school choice versus public‑school funding will undoubtedly continue, the state’s commitment to the voucher program remains clear: to provide families with a financial tool that can help them secure an educational path that best fits their needs.

The Nebraska legislature’s decision underscores the state’s broader approach to education—balancing fiscal responsibility with a focus on choice and flexibility. As Nebraska’s schools navigate the challenges of an evolving educational landscape, the voucher program will remain a pivotal point of discussion for lawmakers, educators, parents, and community advocates alike.