GAO Finds Loose Oversight of Scholarship Tax Credits

STATE OFFICIALS IN Arizona and Pennsylvania provide no oversight or monitoring of the private schools that participate in the tax credit scholarship programs they operate, a new report from the Government Accountability Office found, confirming long-standing concerns of congressional Democrats pushing back against the Trump administration’s pursuit of a federal tax credit program.

In a deep dive on the three states with the largest tax credit scholarship programs – Arizona, Florida and Pennsylvania – investigators with the nonpartisan investigative arm of Congress found that the states differ in how they oversee participating private schools. Specifically, they found that all four of Arizona’s tax credit scholarship programs and one of two Pennsylvania programs generally rely on the individual scholarship-granting organizations to confirm that schools comply with program requirements.

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