Kansas legislature overrides Gov. Kelly's veto, opting Kansas into the Federal Scholarship Tax Credit

The Kansas legislature voted to override Governor Laura Kelly's veto of SB 361 during the April 2026 veto session, opting Kansas into the federal Scholarship Tax Credit (FSTC) — the program known to Congress as the Educational Choice for Children Act (ECCA) and codified at IRC §25F. Kelly had vetoed SB 361 on April 8, 2026; the override carried with the Kansas House voting 85-38 and the Kansas Senate voting 29-10. (A separate scholarship bill, HB 2468, was also vetoed by Kelly on April 6 but its override fell short by 8 votes in the House.)

In her veto message, Kelly said the federal program “needs to be thoroughly vetted to understand the potential impact on funding for our public schools” and that “if it is, in essence, just another voucher program designed to re-direct taxpayer dollars to private schools to the detriment of our public schools, Kansans have made clear they don't want it.” The legislature's supermajority override means Kansas will participate despite the governor's objection.

For Kansas families, the practical effect is the same as in any other opted-in state: families at or below 300% of the relevant Area Median Gross Income will be eligible to apply for scholarships through state-designated Scholarship Granting Organizations (SGOs) once the federal program begins on January 1, 2027. Kansas donors will be able to claim the federal non-refundable income tax credit of up to $1,700 per return for contributions to a qualifying SGO.

Kansas joins Kentucky as the second state where the legislature affirmatively forced participation against the governor's wishes through a supermajority override. The FSTC opt-in is an annual decision: each participating state's governor must submit a list of qualifying SGOs to the U.S. Treasury by January 1 of each participating year, so the path to continued participation in future years will depend on the same legislative or gubernatorial dynamics.