5 RESULTADOS Y DISCUSIÓN
6.8 AISLAMIENTO E IDENTIFICACIÓN DE SUSTANCIAS QUÍMICAS
Tables 9 and 10 calculate the fiscal impact of Indiana’s School Scholarship Tax Credit for the 2015–16 through 2024–25 school years. The tables rely on the following assumptions:
• A 75 percent tax credit value;
• Maximum utilization of available tax credits, which automatically increase by 25 percent each year;
• An average $2,500 scholarship in 2015–16 that increases by 2 percent each year;
• The percentage of scholarship students who are low-income will remain constant at 50 percent (slightly lower than the 53.5 percent in 2013–14).
• The percentage of switchers will remain constant at 50 percent.
• Indiana’s district school funding formula does not change, except for the size of the per-pupil grants. • The Foundation Grant and Complexity Grant
each grow by 1.75 percent annually, which is the average rate of change for Indiana’s total education spending over the last 10 years.
Under the conservative assumptions outlined above, were Indiana to adopt the proposed changes to the School Scholarship Tax Credit law, the state of Indiana would save about $137 million cumulatively through 2024–25.
TABLE 3.1
Projected Savings Per Switcher, 2015–16 through 2024–252015-16 2016-17 2017-18 2018-19 2019-20 2020-21 2021-22 2022-23 2023-24 2024-25 $2,500 $2,550 $2,601 $2,653 $2,706 $2,760 $2,815 $2,872 $2,929 $2,988 School Year Avg. Scholarship
$4,587 $4,667 $4,749 $4,832 $4,917 $5,003 $5,090 $5,179 $5,270 $5,362 Foundation Grant $1,605.45 $1,633.55 $1,662.13 $1,691.22 $1,720.82 $1,750.93 $1,781.57 $1,812.75 $1,844.47 $1,876.75 Complexity Grant $2,087 $2,117 $2,148 $2,179 $2,211 $2,242 $2,275 $2,308 $2,341 $2,374 Savings Per Switcher $3,692.45 $3,750.82 $3,810.08 $3,870.26 $3,931.35 $3,993.39 $4,056.37 $4,120.32 $4,185.24 $4,251.16 Savings Per Low-
TABLE 3.2
Total Projected Savings, 2015–16 through 2024–25 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 2021-22 2022-23 2023-24 2024-25 $15,000,000 $18,750,000 $23,437,500 $29,296,875 $36,621,094 $45,776,367 $57,220,459 $71,525,574 $89,406,967 $111,758,709 School Year Total Credits$20,000,000 $25,000,000 $31,250,000 $39,062,500 $48,828,125 $61,035,156 $76,293,945 $95,367,432 $119,209,290 $149,011,612 Total Donations $2,000,000 $2,500,000 $3,125,000 $3,906,250 $4,882,813 $6,103,516 $7,629,395 $9,536,743 $11,920,929 $14,901,161 Max. Admin Allowance 7,200 8,824 10,813 13,251 16,239 19,901 24,389 29,888 36,628 44,887 Projected Scholarships $4,403,010 $5,444,317 $6,731,272 $8,321,661 $10,286,823 $12,714,816 $15,714,319 $19,419,446 $23,995,677 $29,647,162 Projected Savings
Notes
1. In other states, the nonprofit organizations that grant tax-credit scholarships are variously referred to as “scholarship funding organizations,” “school tuition organizations,” or simply “scholarship organizations.” For the sake of simplicity, this paper will use the acronym “SGO” to refer to all of them. 2. US Dept. of Agriculture, “Child Nutrition Programs—Income
Eligibility Guidelines,” Federal Register 79, no. 43 (Mar. 2014), p. 12467, http://www.fns.usda.gov/sites/default/ files/2014-04788.pdf.
3. According to the most recent data available, the second highest household income quartile in Indiana in 2013 earned between $57,144 and $88,587. A single parent with a single dependent would qualify for a tax-credit scholarship with an income of up to $58,202. “Assets and Opportunity Scorecard: State Income Quintiles,” Corporation for Enterprise Development, accessed Dec. 21, 2014, http://scorecard.assetsandopportunity. org/2013/measure/state-income-quintiles-acs.
4. Author’s calculations; Andrew D. Catt, Exploring Indiana’s
Private Education Sector, School Survey Series, (Indianapolis:
Friedman Foundation for Educational Choice, 2014), p. 2, http://www.edchoice.org/CMSModules/EdChoice/ FileLibrary/1074/Exploring-Indianas-Private-Education- Sector.pdf.
5. Author’s calculations; “Find School and Corporation Data Reports,” Ind. Dept. of Education, last modified Mar. 2, 2015, http://www.doe.in.gov/accountability/find-school-and- corporation-data-reports.
6. “Indiana Private Schools,” Private School Review, accessed Dec. 19, 2014, http://www.privateschoolreview.com/state_ private_schools/stateid/IN.
7. “Report on Expenditures per Capita,” Ind. Dept. of Local Government Finance, last modified May 1, 2014, http:// www.in.gov/dlgf/files/2013_Expenditure_Per_Capita_ Report_%28Published_2014%29.pdf.
8. “School Scholarship Tax Credit Program Approved Scholarship Granting Organizations,” Ind. Dept. of Education, last modified July 10, 2014, http://www.doe.in.gov/sites/default/files/ choice/2014-07-10-participating-sgos-july-2014.pdf.
9. Paul DiPerna, Indiana K-12 and School Choice Survey, Polling Paper 2 (Indianapolis: Friedman Foundation for Educational Choice, 2011), p. 18, http://www.edchoice.org/CMSModules/ EdChoice/FileLibrary/664/Indiana-K-12---School-Choice- Survey.pdf.
10. DiPerna, Why Indiana Voucher Parents Choose Private Schools, (Indianapolis: Friedman Foundation for Educational Choice, 2014), p. 4, http://www.edchoice.org/Research/Reports/ Why-Indiana-Voucher-Parents-Choose-Private-Schools.aspx. 11. Ibid., p. 2.
12. See note 10 above.
13. Catt, Exploring Indiana’s Private Education Sector, p. 5.
14. Approximately 200 of the non-participating private schools are Amish schools. These schools are not interested in participating in either Indiana’s School Scholarship Tax Credit or Choice Scholarship Program.
15. David A. Stuit and Sy Doan, School Choice Regulations: Red
Tape or Red Herring? (Washington, DC: Thomas B. Fordham
Institute, 2013), p. 18, http://edex.s3-us-west-2.amazonaws. com/publication/pdfs/20130129-School-Choice-Regulations- Red-Tape-or-Red-Herring-FINAL_7.pdf.
16. Ibid., p. 24.
17. Brian Kisida, Patrick J. Wolf, and Evan Rhinesmith, Views
from Private Schools: Attitudes about School Choice Programs in Three States, (Washington, DC: American Enterprise Institute,
2015), figure 17, p. 18, http://www.aei.org/wp-content/ uploads/2015/01/Views-from-Private-Schools-7.pdf. 18. Ibid., p. 16.
19. James P. Kelly III and Benjamin Scafidi, More Than Scores:
An Analysis of Why and How Parents Choose Private Schools
(Indianapolis: Friedman Foundation for Educational Choice, 2013), p. 1, http://www.edchoice.org/CMSModules/ EdChoice/FileLibrary/1031/More-Than-Scores.pdf.
20. Arizona has four TCS programs: a means-tested program in which only corporate taxpayers are eligible to receive tax credits; a non-means-tested program in which only individual taxpayers are eligible to receive tax credits; a supplemental tax credit to the previous two with funds designated to “switchers” who attend a private school instead of their assigned district school; and a non-means-tested program in which only students with disabilities and foster children are eligible to receive scholarships.
21. Pennsylvania has two TCS programs: one in which all low- income students are eligible and another in which eligibility is limited to students who are assigned to failing public schools. 22. The Friedman Foundation for Educational Choice, National
Catalogue of School Choice Programs, accessed Mar. 23, 2015. 23. For all program design and participation specifics not
directly cited hereafter, see Friedman Foundation, The ABCs
of School Choice: The Comprehensive Guide to Every Private School Choice Program in America, 2015 ed. (Indianapolis:
Friedman Foundation for Educational Choice, 2015), http:// www.edchoice.org/ABCs; Friedman Foundation, National Catalogue of School Choice Programs.
24. See note 2 above.
25. Vicki E. Murray, “An Analysis of Arizona Individual Income Tax-Credit Scholarship Recipients’ Family Income, 2009-10” (PEPG Working Paper 10-18, Program on Education Policy and Governance, Harvard Kennedy School, Harvard University, Cambridge, MA, 2011), http://www.hks.harvard.edu/pepg/ PDF/Papers/PEPG10-18_Murray.pdf.
26. Jason Bedrick, Live Free and Learn: A Case Study of New
Hampshire’s Scholarship Tax Credit Program, Case Study 19 (St.
Louis: Show-Me Institute, 2014), p. 10, http://showmeinstitute. org/document-repository/doc_view/461-live-free-and- learn-a-case-study-of-new-hampshires-scholarship-tax-credit- program.html.
27. “A Few Facts about the Florida Tax Credit Scholarship,” Step Up for Students, accessed Mar. 24, 2015, http://www. stepupforstudents.org/newsroom/basic-program-facts. 28. “Proviso 1.80 of the 2014-15 General Appropriation
Act as Ratified,” S.C. Education Oversight Committee, accessed Mar. 23, 2015, http://www.eoc.sc.gov/ educredit4exceptionalneeds/Pages/Proviso185.aspx.
29. Ariz. Dept. of Revenue, Office of Economic Research and Analysis, Manual For School Tuition Organizations, last modified July 7, 2014, http://www.azdor.gov/LinkClick.aspx?fileticket =0xEYgFt2NkU%3D&tabid=114.
30. Kans. Stat. Ann. § 72-99a02, accessed Mar. 23, 2015, http:// ksrevisor.org/statutes/chapters/ch72/072_099a_0002.html. 31. Louisiana Believes, “Frequently Asked Questions: Tuition
Donation Rebate Program,” p. 4, accessed Dec. 19, 2014, http://www.louisianabelieves.com/docs/school-choice/faq-- -tuition-donation-rebate-program.pdf?sfvrsn=6.
32. Code of Va. § 58.1-439.25, accessed Dec. 19, 2014, https://leg1. state.va.us/cgi-bin/legp504.exe?000+cod+58.1-439.25. 33. Bedrick, Live Free and Learn, p. 8.
34. Florida Tax Credit Scholarship Program, Fla. Code, Chapter
1002.395(j)1, http://www.leg.state.fl.us/statutes/ index.cfm?App_mode=Display_Statute&Search_ String=&URL=1000-1099/1002/Sections/1002.395.html 35. “Scholarship Funding Organizations,” Fla. Dept. of Education,
accessed Mar. 24, 2015, http://www.fldoe.org/schools/ school-choice/k-12-scholarship-programs/sfo.
36. Pa. Dept. of Education, “List of Scholarship Organizations (Effective 07/01/2014 – 06/30/2015),” last modified Mar. 25, 2015, http://www.newpa.com/sites/default/files/uploads/ business/Business%20Financing/EITC-SO-List.pdf.
37. Pa. Legislative Budget and Finance Committee, Pennsylvania’s
Tax Credit Programs (Harrisburg: Pennsylvania General
Assembly, Legislative Budget and Finance Committee, 2010), p. 33, http://lbfc.legis.state.pa.us/Resources/Documents/ Reports/382.pdf.
38. Jason Bedrick, “Survey of Scholarship Granting Organizations,” (unpublished manuscript, Mar. 24, 2015) Microsoft Word file.
39. Student Scholarship Organizations, Ga. Code Title 20, Section 20-
2A-2 (2013).
40. “Member High Schools,” PerformanceAssessment.org, accessed Mar. 23, 2015, http://performanceassessment.
org/consortium/cmember.html; “Components,” PerformanceAssessment.org, accessed Dec. 22, 2014, http://
performanceassessment.org/performance/pcomponents. html.
41. Kelly and Scafidi, More Than Scores, p. 1.
42. The fiscal analyses employed different methodologies, so anyone attempting to compare the findings should exercise caution.
43. Charles M. North, Estimating the Savings to Arizona Taxpayers
of the Private School Tuition Tax Credit (Waco, TX: Baylor Univ.,
2009), http://acsto.org/_media/uploaded/e/0e1832055_ estimating-the-savings.pdf.
44. Andrew LeFevre, A Decade of Success: Pennsylvania’s
Education Improvement Tax Credit, Policy Brief, vol. 23, no. 8
(Harrisburg, PA: Commonwealth Foundation, 2011), http:// www.commonwealthfoundation.org/docLib/20110817_ PB2308EITC.pdf.
45. The size of the scholarships may appear small, but they are intended to make up the difference between what the families can afford and the schools’ own need-based tuition-breaks. The poorest families often have only small co-payments even though the scholarship by itself is small.
46. Author’s calculations; Mark Dixon, Public Education Finances:
2011, G11-ASPEF (Washington, DC: Government Printing
Office, 2013), table 2.4, p. 8, http://www2.census.gov/govs/ school/11f33pub.pdf.
47. Friedman Foundation, The ABCs of School Choice, p. 85. 48. Pa. Legislative Budget and Finance Committee, Pennsylvania’s
Tax Credit Programs, p. 31.
49. Author’s calculations; Fla. Legislature, Office of Program Policy Analysis and Government Accountability, Florida
Tax Credit Scholarship Program: Fiscal Year 2008-09 Fiscal Impact (Tallahassee: Office of Program Policy Analysis and
Government Accountability, 2010), p. 1. http://www.oppaga. state.fl.us/MonitorDocs/Reports/pdf/0868_1rpt.pdf.
50. Author’s calculations; Fla. Dept. of Education, Florida Tax
Credit Scholarship Program: February 2015 Quarterly Report
(Tallahassee: Fla. Dept. of Education, 2015), http://www.fldoe. org/core/fileparse.php/7558/urlt/FTC-Quarterly-Report- Feb-2015.pdf.
51. Bedrick, Live Free and Learn, p. 5.
52. Patrick J. Wolf and Michael Q. McShane, “Is the Juice Worth the Squeeze? A Benefit/Cost Analysis of the District of Columbia Opportunity Scholarship Program,” Education
Finance and Policy 8, no. 1 (Winter 2013), pp. 74-99, doi:10.1162/
EDFP_a_0083.
53. McShane, “Helping School Choice Work,” National Affairs 20 (Summer 2014), http://www.nationalaffairs.com/ publications/detail/helping-school-choice-work.
54. Greg Forster, A Win-Win Solution: The Empirical Evidence
on School Choice (Indianapolis: Friedman Foundation for
Educational Choice, 2013), http://www.edchoice.org/ Research/Reports/A-Win-Win-Solution--The-Empirical- Evidence-on-School-Choice.aspx.
55. See note 38 above. In a 2014 survey of scholarship organizations nationwide, two of the Indiana SGOs reported spending between 6.1 percent and 7 percent of their received contributions on administrative expenses. One reported spending between 8.1 and 9 percent, and another reported spending between 9.1 percent and 10 percent.
56. Office of Program Policy Analysis and Government Accountability, Florida Tax Credit Scholarship Program, p. 1. 57. Bedrick, Live Free and Learn, p. 14. New Hampshire’s
scholarship tax credit program also mandates that scholarship organizations grant 70 percent of scholarship funds to students who were switchers. Nevertheless, the number of families reported that they would have been unable to afford to send their children to the school of their choice exceeded this minimum threshold.
58. Ibid., p. 5; Friedman Foundation, The ABCs of School Choice, p. 65.
59. Ind. Dept. of Education, Office of School Finance, An Overview
of Fiscal Year 2014 State Tuition Support (Indianapolis: Ind. Dept.
of Education, 2013), p. 5, http://www.in.gov/icsb/files/An_ Overview_of_FY14_State_Tuition_Support.pdf.
60. Michael Lindell (executive director, Institute for Quality Education), e-mail message to author, Mar. 4, 2015.
61. Laurel Christensen (director of scholarships for education choice, Sagamore Institute), e-mail message to author, Mar. 3, 2015.
62. Jon Dize (coordinator, Lutheran SGO of Indiana), e-mail message to author, Mar. 4, 2015.
63. Jeffery Boetticher (diocesan director of financial assistance programs, SGO of Northeast Indiana), e-mail message to author, Mar. 13, 2015.
64. Pearl Rock Kane, “Choice and Freedom: Milton Friedman on Education,” EducationNext 3, no. 1 (Winter 2003), p. 58, http:// educationnext.org/files/ednext20031_57.pdf.
65. Ariz. Dept. of Education, “2014-2015 Empowerment Scholarship Account (ESA) Fund Use,” accessed Mar. 27, 2015, http://www.azed.gov/esa/files/2011/10/esa-fund- use-2014-15.pdf.
66. Education Tax Credit, N.H. Rev. Stat., Title V, §§ 77-G:1:, VI (2012), http://www.gencourt.state.nh.us/rsa/html/V/77- G/77-G-1.htm.
67. Ibid. §§ 77-G:1, XIII. 68. See notes 4 and 5 above.
69. DiPerna, Indiana K-12 and School Choice Survey, p. 9. 70. See note 13 above.
71. Author’s calculations; Ibid., p. 31, n10.
72. Andrew J. Coulson, “Market Education and Its Critics,” in
What America Can Learn from School Choice in Other Countries,
ed. David Salisbury and James Tooley (Washington, DC: Cato Institute, 2005), p. 152.
73. See note 27 above.
74. Jason Bedrick, Choosing to Learn: Scholarship Tax Credit Programs
in the United States and Their Implications for New Hampshire
(Concord, NH: Josiah Bartlett Center for Public Policy, 2012), p. 35, http://www.jbartlett.org/schoolchoiceweek.
Jason Bedrick is a policy analyst with the Cato Institute’s Center for Educational Freedom. Bedrick has extensive policy research experience, including detailed legislative development and analysis. He previously served as a legislator in the New Hampshire House of Representatives and was a research fellow at the Josiah Bartlett Center for Public Policy, where he focused on state education policy. Bedrick received his Master’s in Public Policy, with a focus in education policy, from the John F. Kennedy School of Government at Harvard University. His thesis, “Choosing to Learn,” assessed the tax-credit scholarship programs operating in eight states, including their impact on student performance, fiscal impact, program design, and popularity.
Acknowledgements
A number of people made significant contributions to this report. Jeff Spalding, Dr. Benjamin Scafidi, and one anonymous reviewer offered crucial input about Indiana’s school funding formula and the fiscal impact of tax-credit scholarship laws. Andrew J. Coulson, Caitlin Gamble, Jim Kelly, and Doug Tuthill provided very helpful insights and context regarding scholarship organizations and tax credit policy. I also appreciate the time and commitments from the Friedman Foundation’s excellent staff, including Paul DiPerna, Drew Catt, Katie Brooks, and Drew Vessely, and my research assistant at the Cato Institute, Rachel Reese.
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