Harrisburg, Pa., May 8, 2026 — Yesterday, New York Gov. Kathy Hochul expressed her intention to opt into the Federal Scholarship Tax Credit (FSTC). While Hochul has yet to formally submit her opt-in form to the IRS, New York would mark the thirtieth state to signal their intent to opt into the federal program since its creation last summer.
Pennsylvania’s Governor Josh Shapiro has yet to opt into the program, nor has he given clear guidance to the 200+ scholarship organizations waiting on him. If Pennsylvania does not opt in by the January 1, 2027 deadline, the commonwealth risks losing over $500 million in donations to help K-12 public and private school students across the state.
Pennsylvania’s opt in would result in another 100,000 students accessing additional educational options.
Andrew Lewis, president and CEO of the Commonwealth Foundation, issued the following statement in response:
“Gov. Kathy Hochul’s opt in is yet another example that the federal scholarship tax credit is not about partisan politics—it’s about our kids. This is a no-brainer.
“Pennsylvania can join in on this historic opportunity to expand educational access for families across the commonwealth, at no cost to the state or school districts. But to take advantage of it, Governor Shapiro must act.
“Pennsylvania has the infrastructure to implement this program given our highly successful EITC and OSTC scholarship programs. Pennsylvania also has the demand: Last year alone, nearly 70,000 scholarship applications went unfilled due to program caps. The FSTC could help serve those Pennsylvania kids sitting on waiting lists.
“The governor’s simple opt-in would be a huge step towards ensuring no Pennsylvania family is left waiting for the education their child deserves.
“Governor Shapiro should stop blocking educational opportunity for Pennsylvania families and join the thirty other states who plan to participate. Our families are waiting.”
