The budget bill was just overwhelmingly approved by both houses of the Indiana General Assembly and will now go to the Governor for signature. A quick read reveals that the income threshold for SGO scholarships starting July 1, 2021 will be increased from 200% to 300% of the federal free/reduced lunch amount. The tax credit cap will raise from the current $16.5 million to $17.5 million on 7/1/2021 and to $18.5 million on 7/1/2022. Absent any further action, on July 1 of 2023, the amount reverts back to $16.5 million.
The same bill creates Education Savings Accounts for families of children with special needs, and raises the income threshold for Choice vouchers to the same 300% level. The tiers for choice funding below 90% are eliminated and foster kids are added as a track. We encourage you to read this on your own to understand the implications for your schools.
Here is what the income limits look like at 300%:
We anticipate that this bill will be signed by the Governor.