The CHOOSE Act, or the Creating Hope and Opportunity for Our Students’ Education Act of 2024, introduces a refundable income tax credit and establishes education savings accounts (ESAs) to support educational expenses for eligible students. Parents can access funds for qualifying expenses such as tuition, textbooks, and tutoring, with the Alabama Department of Revenue overseeing the program to ensure compliance and prevent fraud. The act defines key terms and sets income-based eligibility criteria for the tax credit, prioritizing special-needs students and their siblings. The program is designed to begin in the 2025-2026 academic year, with specific guidelines for education service providers and participating schools to ensure they meet health, safety, and financial requirements.

The bill also creates the CHOOSE Act Fund within the State Treasury, mandating a minimum appropriation of $100 million starting from the fiscal year ending September 30, 2026, with potential increases based on demand. It outlines the department's powers to address fraud, including the ability to suspend or disqualify providers and recapture misused funds. The legislation ensures that funds are allocated solely for authorized tax credits and includes provisions for legal intervention regarding its constitutionality. The act emphasizes the independence of education service providers and nonpublic schools, ensuring they are not forced to change their practices. The bill is set to take effect immediately upon passage and approval by the Governor.