Hochul says NY will join federal school-choice tax-credit program, which could direct more than $1.5 billion, including for yeshiva tuition

(Oct. 11, 2026 / JNS)

New York Gov. Kathy Hochul, who has said that she intended to opt the state into U.S. President Donald Trump’s federal tax-credit program for education, said on Friday, after program details were released, that she will formally bring the state into the program.

The Orthodox Union said the program could direct more than $1.5 billion annually in the state toward educational expenses, including yeshiva tuition.

“For Jewish families, this means the chance to give their children an education rooted in who they are, without being priced out,” stated Sydney Altfield, CEO of Teach Coalition, an Orthodox Union program.

“We are deeply grateful to Gov. Hochul and every parent, educator and partner who helped bring us here,” Altfield stated.

She said that Hochul opted to prioritize New York’s children, “and families across our state have reason to celebrate.”

“Behind this moment are parents, who never stopped fighting for their children, and communities who came together because they believed more was possible,” she stated.

Hochul, a Democrat, stated that she had “been clear from the start that New York would participate in the federal scholarship tax credit program if, and only if, all schools and students, including those in our public schools, could benefit.”

“After a careful review of the federal regulations, we believe this program has the potential to bring millions of additional dollars to New York students and families without taking a single dollar from public schools or our state or local budgets,” she stated.

The Trump administration said in new guidance that the Education Freedom Tax Credit program, which is set to take effect on Jan. 1, allows taxpayers to claim dollar-for-dollar federal tax credits of up to $1,700—or $3,400 for married couples filing jointly—for donations to organizations that provide scholarships for elementary and secondary-school expenses.

The program requires governors to formally opt their states in for parents to be eligible to access the tax credits. Initially, families earning up to 300% of the area’s median income can qualify for scholarships, including those whose children already attend private schools.

Scott Bessent, U.S. treasury secretary, stated that the program “marks a new chapter in educational freedom and opportunity by establishing America’s first nationwide school choice program and empowering states to give students and families more options.”

The secretary said that “30 states have already opted in, and we encourage all 50 states to participate so every American student and family can benefit.”

Hochul said on Friday that “I’m not going to leave money on the table when it could help our kids.”

“That’s why I have also been directly engaging with business leaders, who have committed to use this program to support public school students and their academic needs,” she stated. “I look forward to working with education leaders across the state to make sure these resources reach students in every community.”

In May, the governor’s office told JNS that Hochul awaited “information from the federal government on the program” and that she would “review the details of the policy for poison pills that could harm New York’s education system.”

Colorado Gov. Jared Polis, a Democrat, has also opted his state into the program, which was established under Trump’s 2025 tax and spending law, known as the “One Big Beautiful Bill Act.”

The New York Times reported that Polis and Hochul are the only two Democratic governors to opt into the program, and that Republican-controlled legislatures in Kansas, Kentucky and North Carolina overrode vetoes by Democratic governors.

A White House map lists Virginia as having opted in, after Glenn Youngkin signed it up as the first state to join when he was governor. Under current Gov. Abigail Spanberger, Virginia’s participation is reportedly under review.

More states are expected to opt in after the U.S. midterms elections in early November.

“Now the work begins,” stated Altfield, of the Orthodox Union. “We look forward to working with the governor’s office to get New York’s scholarship organizations approved and ready so families can start benefiting on day one.”

Yeruchim Silber, director of N.Y. government relations for Agudath Israel of America, thanked Hochul for “following through” on her commitment to opt into the program.

“This decision opens the door to millions of dollars in additional educational resources and opportunities for students in public and nonpublic schools alike, without taking a dollar away from public education,” he stated.

Agudah is “deeply grateful to the governor and her team for recognizing the importance of this opportunity and ensuring that New York’s children and families will be able to benefit,” Silber added.