It's unprecedented says Nevada State Treasurer Dan Schwartz, “I think this is not only new from Nevada for the United States”.
In brief the new law it allows the State Treasurer's office to set up an Education Savings Account, also called an ESA, in which money will be deposited to fund private school tuition and home schooling - something parents have always paid for out-of-pocket. Parents like Ted Krembs of Reno says, “I've made this choice to go to private school out of my own salary. I'm blue collar I scrape by, not a problem but yes, it would be a big relief to me.”
Here's how it works - each student is eligible for up to $5,200 per year. Those funds can be used for education related expenses, including:
• private school tuition
• books and fees
• curriculum materials
• special services or tutoring (commonly used by home-schoolers)
The Treasurer says it's important to note that this does not impact taxes. “In other words that this is a reallocation of money that would normally be sent to the public schools. It will now be divided between the public schools and private schools,” says Schwartz.
How much money to be exact? More than $30 million will be diverted away from the public school system into the new Education Savings Accounts to cover costs for about 6,000 private schools students. “Public schools have been fairly muted on the response,” says Schwartz, “I do believe that this will be a transformative change and a disruptive change.”
There is some confusion however and how one becomes eligible for the $5,200. The rules are pending final approval by the Legislative Counsel Bureau but look something like this:
• In order to be eligible student must have 100 uninterrupted days of attendance in the public or charter schools prior to receiving funding for private school
• Days spent in public school during the 2014- 15 scholastic year will qualify
But the families who are most likely to benefit from these funds are the ones whose kids are currently in private school – meaning they haven’t met the 100 day qualification. And that has private school parents like Ted Krembs feeling frustrated. “I still pay my taxes and pay those bills and yet I'm excluded from this opportunity because my child goes to private school,” says Krembs.
But Treasurer Schwartz is looking for a solution. “It's incumbent upon the State Treasurer to put forth rules that that will facilitate their qualifying.” So what the treasurer is proposing is possibility of using 100 days of online course as a way to qualify, with the possibility of reimbursement for the cost of these classes. Other possible exceptions would be military, hardship cases, health issues and students with special needs.
One simple thing - the 100 day criteria only has to be made once.
Channel 2 did reach out to the Diocese of Reno - they oversee the Catholic schools in Northern Nevada - that could possibly lose students while they wait out their 100 days. We also reached out to the Washoe County School District about the potential loss of money the district could see because of this new law... both groups have told us they are waiting for the process to be completed by the Office of the Treasurer before they comment.
Dan Schwartz estimates the rules and regulations for the new Education Savings Accounts will be finalized in September with funds available as early as January 2016.
More details are available at: http://www.nevadatreasurer.gov/SchoolChoice/Home/
