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ECCA / FSTC news & updates
State opt-in and veto news, IRS rulemaking, and federal legislative activity on the Federal Scholarship Tax Credit (FSTC) — also known as the Educational Choice for Children Act (ECCA), codified at IRC §25F.
- Federal action·
Senate Democrats introduce bill to repeal the federal scholarship tax credit
A group of Senate Democrats introduced legislation on April 24, 2026 to repeal §25F, the federal Educational Choice for Children Act / Federal Scholarship Tax Credit, citing concerns about diverting federal tax revenue to private and religious schools.
- State action·
Kansas Gov. Laura Kelly vetoes FSTC / ECCA opt-in bill (HB 2468)
On April 6, 2026, Kansas Governor Laura Kelly vetoed HB 2468, which would have opted Kansas into the federal Scholarship Tax Credit program. Kansas families will not be eligible for FSTC scholarships unless the legislature overrides or the governor reverses course.
- State action·
Kentucky legislature overrides Gov. Beshear's veto of FSTC opt-in bill
Kentucky's legislature overrode Governor Andy Beshear's veto of HB 1 on March 17, 2026, opting Kentucky into the Federal Scholarship Tax Credit (FSTC / ECCA) program despite the governor's objection.
- State action·
Florida Gov. Ron DeSantis opts Florida into the Federal Scholarship Tax Credit
Florida Governor Ron DeSantis announced on January 28, 2026 that Florida will participate in the Federal Scholarship Tax Credit (FSTC / ECCA / §25F) program, joining the growing list of states opted in for the January 2027 program launch.
- State action·
Arizona Gov. Katie Hobbs vetoes FSTC / ECCA opt-in bill (SB 1106)
Arizona Governor Katie Hobbs vetoed SB 1106 on January 16, 2026, blocking the state's participation in the Federal Scholarship Tax Credit (FSTC / ECCA / §25F) program. Hobbs cited a desire to wait for IRS regulations before committing.
- Regulatory / IRS·
IRS issues Notice 2025-70 requesting public comment on §25F (FSTC) implementation
In November 2025, the IRS issued Notice 2025-70 requesting public comment on implementation of the new §25F Federal Scholarship Tax Credit (FSTC), signaling the start of formal rulemaking ahead of the program's January 2027 launch.