Tax Credits & Educaon Savings Accounts in the U.S.

Robert Enlow President and CEO Friedman Foundaon for Educaonal Choice 55 Programs in 26 States and DC Growth in Tax Credits and ESA Programs

25

3 20 2 1

1 15

1 10 19 18 17 15

5 10 9 7 6 3 1 0 1997 2001 2006 2008 2009 2011 2012 2013 2014 2015

Tax Credits ESA Parcipaon in Tax-Credit Scholarship Programs, 1997-98 to 2012-13

160,000

142,288 140,000 2012-13 is most recent data available for all programs 127,615 120,000 115,436 112,271 104,976 100,000 83,853 80,000 68,377 59,779 58,571 60,000 55,927 Tax-Credit Scholarships Awarded 40,000 36,932

20,000 15,081 18,049

128 3,207 0 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 School Year Ending

Educaonal Credit for Exceponal Needs Children - Tuion Donaon Rebate Program - Educaon Improvement Scholarships Tax Credits Program - Opportunity Scholarship Tax Credit Program - Equal Opportunity Educaon Scholarships Educaon Tax Credit Program - "Switcher" Individual Income Tax Credit Scholarship Program - Educaon Scholarship Program - School Scholarship Tax Credit - Lexie's Law for Disabled and Displaced Students Tax Credit Scholarship Program - Arizona Qualified Educaon Expense Tax Credit - Tax Credits for Contribuons to Scholarship Organizaons - School Tuion Organizaon Tax Credit - Low-Income Corporate Income Tax Credit Scholarship Program - Arizona Tax Credit Scholarship Program Educaonal Improvement Tax Credit Program - Pennsylvania Original Individual Income Tax Credit Scholarship Program - Arizona Average Tax Credit Scholarship Across All States is $2,621

VA $2,413 SC $8,730 RI $2,519 PA OITC $2,312 PA EITC $1,587 OK $566 NH $1,316 LA $3,726 IA $1,209 IN $1,064 GA $3,515 FL $4,999 AZ Switch $1,088 AZ Lexies $3,360 AZ Corp. $1,524 AZ Ind. $1,927 AL $2,699

$0 $1,000 $2,000 $3,000 $4,000 $5,000 $6,000 $7,000 $8,000 $9,000 $10,000 Average Value as a Percentage of Jurisdicon's Per-Student Current Spending

South Carolina - Educaonal Credit for Exceponal Needs Children 95% Nevada - Educaonal Choice Scholarship Program* 95%* - Tax Credit for Low Income Students Scholarship Program* 82%* Florida Tax Credit Scholarship Program 60% Arizona - Lexie's Law for Disabled and Displaced Students Tax Credit 44% Georgia - Qualified Educaon Expense Tax Credit 38% Louisiana - Tuion Donaon Rebate Program 33% Alabama - Educaon Scholarship Program 32% Arizona - Original Individual Income Tax Credit Scholarship Program 25% Virginia - Educaon Improvement Scholarships Tax Credits Program 23% Arizona - Low-Income Corporate Income Tax Credit Scholarship 20% Rhode Island - Tax Credits for Contribuons to Scholarship 18% Pennsylvania - Opportunity Scholarship Tax Credit Program 17% Arizona - "Switcher" Individual Income Tax Credit Scholarship 14% Iowa - School Tuion Organizaon Tax Credit 12% Pennsylvania - Educaonal Improvement Tax Credit Program 12% Indiana - School Scholarship Tax Credit 11% New Hampshire - Educaon Tax Credit Program 10% Oklahoma - Equal Opportunity Educaon Scholarships 8% *Calculated using maximum scholarship amount Number of Scholarship Organizaons By State

VA 12 SC 4

RI 5 PA OITC 173 PA EITC 265 OK 2 NH 1 LA 2 IA 12 IN 4 GA 27 FL 2 AZ Switch 37 AZ Lexies 6 AZ Corp. 26 AZ Ind. 47 AL 2

0 50 100 150 200 250 300 Number of Parcipang Schools By State

VA 61

SC 48

RI 46

PA OITC No data

PA EITC No data

OK 33

NH 13

LA 20

IA 153 IN No data GA No data

FL 1,525

AZ Switch 260

AZ Lexies 61

AZ Corp. 216

AZ Ind. 337

AL No data

0 200 400 600 800 1000 1200 1400 1600 1800 Regulaons on Tax Credit Scholarship Programs

SGO ADMIN RULES SCHOOL ADMIN & FINANCIAL ACADEMIC

Proof of Background Financial Non- Background Standardized Public Independent Reporng H&S Financial Checks Reporng Discrimin checks tests Reporng Evaluaon Viability AZ Ind. X X X X

AZ Corporate X X X X AZ Lexie’s Law X X X X

FL Corp. X X X X X X X X X X

GA X X X X

IN X X X X X X X

IA X X X X

LA Rebate X X X X X X X X

NH X

OK X X X X X

PA EITC X X X X X

PA OITC X X X

RI X X X X VA X X X X X X