State of Choice: February 2026

In Statehouses: Some Good, Some Bad, and More to Come

February was yet another signal that while there remains opportunity for new states to enact programs with universal eligibility in the short term, much of the education freedom movement’s energy is shifting toward strengthening existing programs and defending against efforts to weaken them.

The Mississippi House passed HB 2, legislation to create a robust education savings account program last month, but it was killed in the Senate Education Committee in February. This move received pushback from both Mississippi Gov. Tate Reeves and House Speaker Jason White. Still, not all hope is lost for a broad choice program in the Magnolia State. There remains speculation that Reeves may call a special session to revisit the effort.

In Kansas, there is a push to expand its Tax Credit for Low-Income Students Scholarship Program, with the House passing legislation doing so this month. If enacted, HB 2468 would double the aggregate annual tax credit contribution limit from $10 million to $20 million. If the total tax credits claimed in a year exceed 75% of the aggregate limit, the cap will increase 25% for the following year until a maximum of $30 million is reached. The bill also directs the state to opt in to the Federal Tax Credits for Scholarships (FTCS). The bill’s pathway for Senate and gubernatorial approval remain unclear.

Last year, by removing the income restriction on New Hampshire’s Education Freedom Account Program the state became the fifth to achieve true universal choice. The 2025 legislation imposed an enrollment cap on the program, but that cap includes an escalator that moves automatically with demand. Each year, when 90% of the cap is met, it will increase 25% for the next year. Priority students may continue to be enrolled regardless of this cap.

While the nature of this provision guarantees all who want to will eventually have access, removing this constraint would further strengthen the program and prioritize New Hampshire families. SB 581 seeks to do just that but was referred for an interim study by the Senate Education Finance Committee this month.

With stringent rules on how Oklahoma Parental Choice Tax Credit funds may be used and on funding constraints, advocates are hoping for reforms that would broaden how families may use scholarship funds and fund all families who seek to participate. Conversations are ongoing in the legislature regarding potential legislation to address both.

Echoing last year’s successful effort to rollback how families may use ESA funds, there is new legislation, HB 467, aiming to take this rollback even further. Education freedom, by design, is meant to put families in the driver’s seat, empowering them to access an education best fit for their needs. And as state restrictions grow, options shrink, and with it, the competitive effects resulting from a vibrant education marketplace.

Last year, Tennessee joined the growing number of states offering choice programs with universal eligibility. While an exciting feat, the program can be strengthened even further by ensuring all families can participate by adequately funding the program. Fortunately, there is legislation moving this year to bring the Volunteer State closer to realizing this. HB 2532 / SB 2247 would increase the maximum number of students who can participate from 25,000 to 40,000. The legislation awaits further movement in the House K-12 Subcommittee and Senate Education Committee.

Finally, an effort to impose new stringent regulation on West Virginia’s Hope Scholarship Program was pulled in the House Finance Committee this month. The new rules would have severely restricted how scholarship funds may be used by families as well as their amounts. Further, it would have required participating schools to only operate in the state and IIP students to take the state public school assessment. Notably, many participating families rallied at the State Capitol to oppose the measure.

Which States Are Opting in to the Federal Tax Credit for Scholarships?

As of writing, 27 states have announced their intention to opt in to the Federal Tax Credit for Scholarships. The federal tax credit allows individual taxpayers to claim a $1,700 ($3,400 for joint filers) dollar-for-dollar tax credit for supporting scholarship granting organizations (SGOs).

While maybe not as flashy as new programs being established, the details surrounding how families use and access choice programs are just as important. To realize a robust, free marketplace of education, lawmakers should look to empower parents with a wide array of uses for choice program funds, guarantee funding for all who seek to participate, and resist efforts that threaten a backsliding of education freedom.