The Lynnwood Times reports on a Sept. 15 virtual press call for Washington State media in which former U.S. Education Secretary Arne Duncan and DFER CEO Jorge Elorza made the case for the Federal Scholarship Tax Credit, as Gov. Bob Ferguson remains undecided and Washington has not opted in. They explained the mechanics—a dollar-for-dollar federal credit up to $1,700 for donations to certified 501(c)(3) Scholarship Granting Organizations, with money going to families (not districts) for tutoring, tuition, and other expenses for students in households at or below 300% of area median income. Elorza stressed that district-affiliated educational associations can form their own SGOs, potentially requiring that tutoring be provided by district teachers, and framed the decision bluntly: “This is a no brainer. You can opt out and the money leaves the state, but you can opt in and support kids in Washington.”
Elorza addressed the “chicken and egg” problem—nonprofits hesitant to become SGOs before states opt in, and governors hesitant to opt in without an SGO list—arguing there’s no shortage of organizations, including national SGOs that can designate funds for Washington. On accountability, he described a state’s post-opt-in role as “ministerial” (any nonprofit in good standing can join the list) while local officials steer which SGOs align with state priorities; Duncan framed this as “democratizing philanthropy” that creates healthy competition among providers measured on student results. Both acknowledged the program differs significantly from what was originally advocated—Duncan noting eleventh-hour changes like the $1,700 cap and gubernatorial opt-in, and predicting the law will evolve. Washington Policy Center’s Vicki Murray added that donor choice itself serves as a guardrail, citing Arizona’s experience. On timing, Elorza said Treasury should have draft rules by the end of September in two batches, and Duncan—emphasizing high-dosage tutoring’s proven results in Chicago and Oakland—urged against delay: “given the urgency in which kids need help, this is not one that I’d be studying for five years.”