Governor CAVES to Union—Millions LOST

New York families could be losing out on millions in federal education dollars while Governor Kathy Hochul caves to teachers union pressure and refuses to join 23 other states in a revolutionary school choice program that costs taxpayers nothing.

Story Snapshot

NY GOP lawmakers urge Governor Hochul to opt into Trump’s federal tax-credit scholarship program despite fierce teachers union opposition
The program allows taxpayers to donate up to $1,700 to scholarship organizations for a dollar-for-dollar federal tax credit, funding private school tuition and homeschooling at zero cost to states
23 Republican-led states have already opted in, with some Democratic governors breaking ranks to access the “free money” for families
Teachers unions claim the program will defund public schools, while proponents argue it empowers parents and creates educational innovation for low and middle-income families

Federal Program Offers Zero-Cost Education Freedom

President Trump’s “One Big Beautiful Bill Act” created the nation’s first federal tax-credit scholarship program in late 2025, launching January 1, 2027. Taxpayers can donate up to $1,700 annually to Scholarship Granting Organizations and receive a dollar-for-dollar federal tax credit. These donations fund private school tuition, homeschooling expenses, and educational enrichment for families earning up to 300 percent of their area median income. The program requires governors to opt in before SGOs can operate in their states, creating a political battleground between parental choice advocates and education establishment defenders.

GOP Intensifies Pressure During National School Choice Week

New York Republican lawmakers ramped up their campaign urging Governor Hochul to join the program during National School Choice Week hearings in late January 2026. Senate HELP Committee Chair Bill Cassidy promoted the initiative as nonpartisan parental access to educational innovation. Twenty-three mostly Republican-led states including Alabama, Texas, Virginia, Florida, and Utah have already opted in. Even some Democratic governors are breaking with their party—Colorado’s Jared Polis and North Carolina’s Josh Stein indicated they plan to participate, recognizing the opportunity to deliver educational options without burdening state budgets.

Teachers Unions Dig In Against Parent Empowerment

Teachers unions are fighting the program tooth and nail, claiming it will siphon funds from public schools despite the fact that no state money is involved. The opposition reveals the education establishment’s real fear: losing their monopoly control over how families educate their children. Senator Bernie Sanders predictably denounced the initiative as creating a “two-tier system,” ignoring that public schools already create inequality by trapping low-income families in failing districts while wealthy parents access private alternatives. New York’s teachers unions wield enormous influence over Democratic politicians like Hochul, who must choose between union bosses and the families desperate for better educational options.

School choice advocates predict the program could generate up to $51 billion nationally to expand educational opportunities. Florida’s existing scholarship programs have sparked innovation including specialized marine biology homeschooling curricula and customized learning approaches. Resilience Learning CEO Mohrman argues governors should “empower parents” and “minimize limits,” predicting most holdout states will eventually reconsider as families in participating states reap benefits. The American Federation for Children has already launched a new SGO fund to facilitate donations once more states join.

Blue State Families Left Behind

By refusing to opt in, Democratic governors like Hochul are denying their own residents access to federal tax benefits while families in red states gain thousands in educational support. New York families earning moderate incomes could receive scholarship funding for private school tuition or homeschooling expenses that reflect their values and needs. The program targets families up to 300 percent of area median income, helping working and middle-class parents escape one-size-fits-all government education. This represents educational freedom at its finest—parents controlling their children’s learning without government bureaucrats or union officials dictating acceptable options.

Treasury Department officials are finalizing rules on state authority and SGO operations, with the Trump administration prioritizing minimal federal interference and maximum parental choice by the 2027 launch. The program’s structure as a nonrefundable tax credit for donations—not a direct voucher—addresses concerns about government entanglement with religious schools. Illinois Governor Pritzker is reportedly “considering” participation, suggesting cracks in the Democratic resistance. Hochul faces a crucial decision: stand with union bosses protecting their government monopoly or stand with New York families seeking educational excellence and freedom for their children.