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School Choice

Every Child Deserves a quality education

The Bluegrass Institute has fought for higher-quality education through charter schools and other policies like tax-credit scholarships and inter-district transfer agreements that allow parents to choose the schools that best fit their children’s needs.

We Support…

open enrollment

Charter schools

Scholarship tax credits

How we work to accomplish our goals

FORMING COALITIONS

BIPPS Education Analyst Richard Innes joins members of Kentucky Pastors in Action Coalition, a group of primarily inner-city African-American pastors who serve some of the most underprivileged areas of the commonwealth. Together, we have highlighted the challenges that children in our failing public school system face, and have educated a growing and diverse coalition of citizens on parental school choice.

SUPPORTING NATIONAL EFFORTS

BIPPS CEO joins K-PAC and U.S. Secretary of Education Betsy DeVos in a roundtable discussion about the need for education freedom. BIPPS has worked with national leaders to support federal legislation that would give more students the chance to attend the schools that best fit their needs.

WORKING WITH LOCAL LEADERS

BIPPS CEO Jim Waters and K-PAC members meet with JCPS Superintendent Dr. Marty Pollio and JCPS School Board Chair Diane Porter. We work to educate local school board members, state legislators and the citizens of Kentucky on the importance of parental choice and the need for education reform around our commonwealth.

education opportunity accounts

Kentucky’s first school choice program

Please check back here regularly for updates as state regulations are released and more information on how to participate becomes available.

FAMILIES

Kentucky families will soon have the opportunity to receive scholarships for their preschool through 12th grade children to have expanded educational opportunities.

With the passage of House Bill 563 in March 2021, families across Kentucky will soon have new opportunities to choose the best school or service for their children for the first time:

New Open Enrollment policy will allow a student in any district to attend a school in another district beginning in the 2022-23 school year. Districts must have space available for non-resident students. Other rules and guidelines will be announced by July 2022.

Education Opportunity Accounts will enable Kentucky students to:
- receive funding for educational services and expenses like tutoring, dual credit class fees, speech therapy and transportation costs
- receive scholarships for private school tuition if student lives in a county with 90,000 or more residents

Check back here for updates on where and how to apply. Applications are likely to be available starting in fall 2021. Scholarships are likely to be available starting in January 2022.

Eligibility

Education Opportunity Accounts will be created for families with financial need. Families can have a maximum income of 175% of the federal poverty level. Families who qualify for the federal free and reduced lunch program (100% of the poverty level) will be given first priority for scholarships and must receive at least 51% of all scholarships across the state.

donors

Kentucky’s Education Opportunity Accounts program is funded through private donations from individuals, companies, and foundations.

Donations made to a state-approved Account Granting Organization (AGO) can receive a 95% credit on state taxes, up to $1 million per donor, with a maximum of $25 million per year.

Nonprofit organizations wanting to serve as Account Granting Organizations will soon be able to apply to the Kentucky Department of Revenue sometime around August or September 2021. Check back here for updates!

As soon as there are approved AGOs, donors can begin the process of making a tax credit donation. The AGO will help donors receive the state tax credit, as long as credits are still available.

Details will be on the state Department of Revenue website, and we will link to them here.

Kentucky Department of Revenue

House Bill 563

FAQs

What is HB563?

House Bill 563 is Kentucky's first-ever law allowing school choice in Kentucky, and it does so in a couple of ways:

• It creates open enrollment for students across the state who will now be able to attend a public school in a district other than the one assigned to them based on their zip code.

• It also creates Education Opportunity Accounts (EOAs), which are funds that can be used by K-12 students for education expenses such as tutoring, ACT test fees, textbooks, etc.

• EOAs can also be used for private school tuition by students in counties with 90,000 or more residents.
When will open enrollment and EOAs be available to students?

Open enrollment should be available statewide for the 2022-23 school year. Districts have a year to submit their open enrollment plans to the Kentucky Department of Education. Some districts already have agreements with other districts to allow for students to enroll, but it's only a handful across the state. EOAs could be available as early as July 2021, but the state must still pass regulations to comply with the new law, and that process is likely to take a few months. By January 2022, there should be some available. The program should be fully up and running for the 2022-23 school year.
Which state agencies are involved?

AGOs must get approval to participate in the new program from the Kentucky Department of Revenue to participate in the new program, which will provide a list on its website along with information about the amount of tax credits available each year. The Kentucky Department of Education will be responsible for approving the Education Service Providers where families can use their EOA funds.
For open enrollment, will students just enroll in any school they choose, in any district?

The details will be worked out as districts submit their plans, but students living in a school district will get first priority to enroll. The ability for students outside the district to enroll will be based on availability.
My son is a great football player and dreams of playing for the coach in the neighboring district. Will he be able to under this new law?

Yes, but only after he sits out a year. If he’s accepted into the new district, he won’t be allowed to participate in sports for a year.
Are the EOAs available to anyone?

Families at or below 175% of the federal poverty level will be eligible to apply for Education Opportunity Accounts.
How much money will be available?

Statewide, a maximum of $25 million in tax credits is available for donors to the new EOA program. The amount distributed to students across the state who apply and qualify will be based on financial need, with a maximum amount equal to the state average per-pupil funding amount (approximately $4,600).
Where does the money come from?

The money for EOAs will come from donations by private individuals, foundations and companies. This bill created a new state tax credit for donors who give to these accounts.
Where do I apply for an EOA?

There isn't a way to apply for an EOA yet, but there should be later this year. Families will apply directly to nonprofit organizations that sign up to be Account Granting Organizations (AGOs). Those AGOs will raise the money for the EOAs, will manage the applications from families and will manage the funds.
How will I find an AGO? When can I apply?

Those details are still being worked out in the regulatory process by the state. Ideally, there will be several AGOs working with schools and Education Service Providers across the state. We will be sure to post updates on our website, including links to those organizations as they are formed.

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Education Opportunity Accounts