Even Blue States Are Opting Into School Choice

School choice keeps gaining ground because parents want options, students need opportunity, and political leaders in both parties are starting to recognize the demand. New York Gov. Kathy Hochul has now signaled that New York intends to opt into the federal scholarship tax credit program, a major development for one of the nation’s largest and bluest states.

According to the Commonwealth Foundation, Hochul has not yet formally submitted New York’s opt-in form to the IRS, but her move would make New York the thirtieth state to signal participation in the federal program. The program is set to begin on January 1, 2027, and it allows taxpayers to receive a federal tax credit for donations to scholarship-granting organizations that help students access more educational options.

New York Shows the Politics Are Changing

Hochul’s decision is especially notable because she would become the second Democratic governor to move toward the program, following Colorado Gov. Jared Polis. The federal scholarship tax credit is often attacked as a partisan issue by the same education establishment that wants to keep families tied to assigned schools, even when those schools are failing students.

Phil Kerpen noted the political irony clearly: Hochul moved before Vermont Gov. Phil Scott, a Republican governor in a blue state. That is a useful reminder that school choice is no longer a clean left-right divide. The more important question is whether a state’s leaders are willing to put families ahead of pressure from the education bureaucracy.

Corey DeAngelis described Hochul’s move as another sign that the program has reached thirty states. That number reflects more than political messaging. It shows that states increasingly understand the basic incentive created by the federal program. States that opt in can help families access scholarship support. States that refuse to participate risk leaving families without help while scholarship dollars flow elsewhere.

The Federal Program Gives Families More Room to Choose

The federal scholarship tax credit gives donors an incentive to support scholarship-granting organizations, which can then help eligible students with education expenses. JNS reported that the IRS and Treasury said taxpayers may donate to scholarship organizations and claim up to $1,700 in federal tax credits, but students can access that support only if their state opts into the program.

That structure respects state choice while creating a strong reason for governors and legislatures to participate. It does not force every state into a single federal education system. It gives states the option to open the door for families who need more than the status quo offers.

The Commonwealth Foundation pointed to Pennsylvania as the next obvious test. Gov. Josh Shapiro has not opted in, and the group warned that Pennsylvania could risk losing more than $500 million in donations for K-12 students if the state misses the January 1, 2027 deadline. Commonwealth Foundation president and CEO Andrew Lewis also noted that Pennsylvania already has scholarship infrastructure through its EITC and OSTC programs, along with nearly 70,000 unfilled scholarship applications last year because of program caps.

That is exactly the kind of problem school choice is designed to address. Families are asking for options. Scholarship organizations are ready to help. The only remaining question is whether political leaders will let the money reach students.

CFE Has Already Pointed to This Momentum

CFE has already explained that school choice is no longer a niche reform. In a previous post, CFE pointed to surging demand in Texas, where a record 42,000 education savings account applications came in on the first day of the state’s new program. CFE also noted that state participation in the federal education freedom tax credit program had already climbed from 23 states to 24 when Florida opted in.

New York’s move strengthens that same trend. Families want flexibility, states are responding, and the old one-size-fits-all education model is losing its grip. Parents do not need political lectures from unions or bureaucrats when their children need better options now. They need access to schools, tutoring, services, and educational environments that fit their children’s needs.

School choice succeeds because it starts with families instead of systems. It asks what students need, not what protects the existing bureaucracy. Demand rises quickly when lawmakers give parents a real choice.

Other Governors Should Follow Hochul’s Lead

The pressure now turns to governors who remain undecided or resistant. Pennsylvania should be near the top of that list. Shapiro has tried to present himself as open to school choice, but openness does not help a family waiting on a scholarship. Participation requires action.

Other large states face the same test. If they opt in, families gain access to new support. If they refuse, their leaders will have to explain why students in their states should be denied help that students elsewhere can use.

The political lesson is becoming harder to ignore. School choice is popular because parents understand the stakes better than politicians do. They know when a school is not working. They know when a child needs a different environment. They know that education funding should serve students, not protect institutions from competition.

CFE Takeaway

Hochul’s move toward the federal scholarship tax credit program shows how far the school choice debate has shifted. When New York is preparing to opt in, every governor should understand that parental choice is no longer a side issue.

States should join the program, expand scholarship access, and let families decide what education setting works best for their children. School choice is gaining ground because it gives parents something the current system too often denies them: real power over their child’s future.