Counterpoint | Opting into federal tax credit would keep dollars with Minnesota students

Gov. Walz should let the state’s kids be eligible. Doing so would take nothing from existing education funding streams.

July 31, 2025 at 10:59AM
"The ECCA is not a school voucher program. It doesn’t touch public school budgets, and when it goes into effect, Minnesota’s public schools will continue to be funded at the levels set by Minnesota’s Legislature," Ricky Austin writes. (Getty Images)

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A recent commentary suggested that Gov. Tim Walz should opt out of a new federal tax credit that would provide students the opportunity to access life-changing scholarships (“Gov. Walz, don’t opt in to school choice vouchers,” July 23). The tax credit, created under the Educational Choice for Children Act (ECCA), establishes a dollar-for-dollar credit on federal tax returns for individuals who donate to qualified scholarship-granting organizations (SGOs). Eligible students can use ECCA scholarships to attend K-12 schools that best fit their learning needs — whether that’s a private school, a faith-based institution or a specialized program tailored to a student’s unique learning needs or their family’s educational priorities.

The ECCA is not a school voucher program. It doesn’t touch public school budgets, and when it goes into effect, Minnesota’s public schools will continue to be funded at the levels set by Minnesota’s Legislature. To say otherwise mischaracterizes the opportunity that ECCA scholarships create to support Minnesota’s students directly.

Instead, the ECCA incentivizes charitable giving to organizations that provide scholarships to students with financial and academic needs — opening doors to educational opportunities they otherwise wouldn’t have. Importantly, ECCA scholarships can also be used by public school students — for tutoring, academic enrichment or services for students with disabilities. The program helps kids wherever they are.

Yet for Minnesota students to benefit, the state must opt in. That decision rests with Walz and state leaders. Without their action, children in Minnesota will be ineligible to receive scholarships funded by these donations — even if Minnesotans are contributing to the program.

Taxpayers in Minnesota and across the country will still be able to take advantage of the federal tax credit. Their donations will still support scholarships — but those scholarships will go to students in states that choose to participate. Minnesota’s children deserve access to these funds as much as Wisconsin or Iowa students — especially those from families with need.

Most SGO scholarship recipients are from low-income families and communities of color. At the Aim Higher Foundation, for example, 65% of our scholarship recipients are students of color, 61% qualify for free or reduced lunch and 26% live below the poverty line. The average household income of a family of four receiving our scholarships is just $38,000. Every one of those families wants the best education for their children — and they deserve the chance and the resources to access it.

I want to make it clear – this program costs Minnesota nothing. No state money is being requested, and nothing is being taken from existing education funding streams. Walz has the opportunity to say, “Yes, we want Minnesota kids to be eligible.” That’s it. The donations, scholarships and administration are all funded privately through the federal tax incentive.

This isn’t about dismantling systems. It’s about recognizing the unique needs of every learner and removing the financial barriers that prevent families from choosing the environment where their child will thrive. Giving every child every educational opportunity we can is something I think we can all agree on.

The governor has long expressed a commitment to equity in education. Opting into the ECCA would be a meaningful way to affirm that commitment. Families with means have always had educational choices. This program helps level the playing field for those who don’t.

Let’s keep Minnesota’s generosity working for Minnesota’s children.

Ricky Austin is the president of the Aim Higher Foundation, which provides scholarships to low-income students to attend K-8 Catholic schools in the Twin Cities.

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about the writer

Ricky Austin

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