HB1481 - School Choice Act Summary

• Creates a pilot School Choice Program allowing custodians of qualifying pupils in designated zip codes to receive scholarships (up to the foundation level of support amount) to pay for tuition at participating nonpublic schools.

• Defines eligible pupils as residents of the 20 zip codes generating the highest state lottery sales in 2014, enrolled in kindergarten through 8th grade during 2015-2016, and continuing through 12th grade if they maintain eligibility.

• Limits program to maximum 1,000 scholarships per school year, prioritizes scholarship renewals for existing recipients, and requires equitable distribution between elementary and secondary grade levels for new scholarships.

• Funds the program through transfers from the State Lottery Fund to the Common School Fund, with scholarship amounts excluded from Illinois income tax calculations.

• Establishes program operation period from 2016-2017 through 2019-2020 school years, requires State Board of Education evaluation report by December 31, 2018, and sets criminal penalties for scholarship fraud or misuse.