SD HB1306

Creates a scholarship program for K-12 students from households earning up to 300% of area median income who are not enrolled full-time in public school, funded through charitable contributions to registered scholarship granting organizations

Scholarships may be used for tuition at accredited nonpublic schools or microschools, approved virtual coursework, curricula and instructional materials, educational technology, transportation, and college entrance exam fees

Maximum scholarship amount is capped at 82.5% of the state's per-student equivalent funding or actual expenses, whichever is less

Scholarship granting organizations must be federally tax-exempt under 501(c), contract with the Department of Education, limit administrative expenses to 10% of contributions, and submit annual audited financial statements by June 1

Department of Education must establish rules for organization registration, scholarship application processes, fund distribution, expenditure verification, and appeals for denied reimbursements