Senate passes bill on federal education tax credit program February 27, 2026 Senate President Pro Tempore David P. Givens, R-Greensburg, speaks on House Bill 1, on the Senate floor. A high-res version is available here. FRANKFORT — Legislation implementing a new federal tax-credit scholars hip program in Kentucky received final passage in the Senate on Friday and now heads to the governor’s desk. HB 1 is sponsored Rep. Kimberly Poore Moser, R-Taylor Mill, and was carried in the Senate by President Pro Tempore David P. Givens, R-Greensburg. It would make Kentucky eligible to participate in the qualified elementary and secondary education scholarship federal tax credit program established in House Resolution 1, which passed the U.S. Congress last year. The legislation grants Kentucky’s Secretary of State the authority to opt into the program on behalf of the state. Participants would receive a federal tax credit of up to $1,700 for donations made to Kentucky scholarship granting organizations (SGOs). “I want to stress the word tax credit, Mr. President, because that is a significantly different phrase than tax deduction. This is a dollar-for-dollar credit. In essence, if you have a dollar that you owe to D.C., you have the choice of sending that dollar to D.C. or one of these Kentucky SGO’s,” Givens said. Givens also said that potential donations from the bill would not affect state resources in any negative fashion. “Your donations do not impact state receipts in any fashion other than potentially having a positive ripple multiplier effect of that money being invested back in Kentucky. There are no state tax dollars being used in this program,” Givens said. Senate Minority Caucus Chair Reginald L. Thomas, D-Lexington, spoke against the bill, arguing that as a tax credit, it would divert important government money that could otherwise fund other programs. “As explained, this bill is a tax credit that takes out money that could otherwise go to Medicaid benefits, Medicare benefits, SNAP, defense, housing, transportation, you name it,” Thomas said. Thomas further argued that the bill might create a two-tiered public school system. “This bill will create a have and have not system among our public schools. Certainly those schools that are in urban areas, that have private schools, this will be a real boon for them,” Thomas said. “But if you live in one of those counties where your primary workforce depends on the school system, you will be harmed and disadvantaged by this bill.” Speaking in favor, Senate Majority Floor Leader Max Wise, R-Campbellsville, said the bill would help provide the best outcomes for Kentucky students. “This is truly a benefit that would help kids. The creativity and opportunity this could provide for summer programs, for the purchase of technology. This is another tool and another option for superintendents to work with,” Wise said. Sen. Robin L. Webb, R-Grayson, explained her yes vote by saying she would monitor how any increased funding is used in the state to ensure the bill achieves its intended effect. “This is an opt-in program. I assume we could also opt-out if it does not give us the results that we think it will or that other states are experiencing. I’m a rural legislator, we are going to be monitoring that. I think this bill has a lot of potential across the board.” The post Senate passes bill on federal education tax credit program appeared first on The Lexington Times. ...read more read less