Blogger Yinzercation has an excellent article explaining the negative effects of “tax credits” on public education.

“While our legislators are busy looking under their sofa cushions for spare change to fund the state budget, they might want to consider the $75 million that just walked out the front door. That’s how much the Education Improvement Tax Credit (EITC) program costs us taxpayers every year.

“The misnamed EITC program has nothing to do with educational improvement and everything to do with funneling what would have been state budget dollars into private schools, while increasing profits for corporations. Here’s how it works: corporations can get an EITC tax credit by contributing to a Scholarship Organization, which channels the money to private schools. The companies receive up to 90% of their contributions as a tax credit, worth up to $300,000 per year, and can get a federal tax write-off as well, making the program highly attractive.

“Not only do corporations get a tax write-off, but they also receive good publicity and increased access to legislators. For example, gas driller XTO Energy (now owned by Exxon) donated $650,000 over the past three years allowing it to stage ceremonies all over the state at the time when its fracking technique was coming under intense scrutiny. The New York Times reported last week that a state official credited XTO with going “ ‘above and beyond’ its duty” when “[i]n reality, as much as 90 percent of XTO’s donation was underwritten by taxpayers.” [unless otherwise noted, all quotes from New York Times, May 21, 2012]….”

“And there is no accountability for that $75 million. The Keystone Research Center analyzed the EITC’s K-12 component (the program also funds pre-K scholarships and ‘educational improvement organizations’ that work with public schools) and found that “schools benefiting from the EITC scholarships are not required to report on student progress or document school quality.” [Keystone Research Center report, April 7, 2011]

“In fact, the legislature outlawed any attempts to collect such information and the program is actually managed by the Department of Community and Economic Development – not the Department of Education.

“With practically no state oversight, the public has almost no financial information on the organizations receiving tax credits or distributing scholarships. The Keystone report warns, “Experiences in Arizona indicate that a lack of financial accountability opens the door to the misuse of public funds.” And we’re talking about a program that provides scholarships to over 38,000 students to attend private and religious schools – that’s more than the number of students in the Pittsburgh Public School District.”

EITC is a “backdoor voucher program” promoted by ALEC and the voucher advocates “American Federation for Children.”

It is intended to undermine public education and funnel public money to private and religious schools with NO accountability.

Never forget: Vouchers have never won at the ballot box.