After two attempts to eliminate it, the federal school choice bill – which would provide much-needed tuition relief to frum families – survived and was passed Tuesday morning in the Senate as part of President Trump’s sweeping budget package.
By Anash.org reporter
Just days after Friday’s reports declared the federal school choice proposal effectively dead, the U.S. Senate voted this morning to include a revised version in the budget reconciliation bill – part of President Donald Trump’s sweeping tax and spending legislation, officially titled the “One Big Beautiful Bill.”
As reported by Anash.org, the legislation is part of a multi-trillion-dollar package that includes large-scale tax cuts and major federal spending shifts. For many frum families burdened by rising yeshiva tuition costs, this new federal tax credit could provide substantial relief by generating hundreds of millions of dollars in scholarships.
The original school choice provision faced a major setback last Friday, when Senate Parliamentarian Elizabeth MacDonough ruled that it violated it broke Senate rules, which limits what can be included in a reconciliation package. She also struck down separate protections for religious schools.
In response, lawmakers revised the proposal to meet procedural requirements. The updated version, which passed in the Senate Tuesday morning, establishes a permanent scholarship tax credit. It allows every taxpayer to receive a credit of up to $1,700 per year for donations to approved nonprofit organizations that distribute scholarships to K–12 students. The revised bill also removes the previous annual cap on total donations, making the program significantly more flexible.
Agudath Israel of America praised the decision. “Thanks to Senator Ted Cruz and Senate champions, the report of its demise was greatly exaggerated,” said Rabbi A.D. Motzen, Agudah’s National Director of Government Affairs. “The Senate saved school choice for American families.”
The bill now heads to the House before going to the President for final approval.
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