SB61 Summary: CHOOSE Act

• Establishes refundable income tax credits and education savings accounts (ESAs) for parents to pay qualifying educational expenses including tuition, tutoring, textbooks, online learning programs, and assessment fees.

• For tax years 2025-2026, credits available only to families with income not exceeding 300% of federal poverty level; beginning 2027, available to all eligible families, with maximum annual credit of $7,000 for students in participating schools and $2,000 (family cap $4,000) for other students.

• Requires Legislature to appropriate minimum $100 million annually to CHOOSE Act Fund beginning fiscal year 2026, with priority given to special-needs students (first 500 credits reserved) and existing participants' siblings.

• Establishes requirements for participating schools and education service providers including accreditation, compliance with health/safety laws, financial documentation, and standardized testing for students; prevents fund rebates or kickbacks.

• Includes fraud prevention measures including random audits, citizen reporting mechanisms, and department authority to recapture misused funds, suspend providers, or reduce ESA payments; program begins 2025-2026 academic year.