The Opportunity Scholarships Act aims to improve educational opportunities for children in Nebraska by providing tax credits to individuals and businesses that contribute to scholarship-granting organizations. The bill specifies eligibility criteria for students, including those entering kindergarten or ninth grade, transferring from public schools, or coming from military families. It defines "qualified schools" as non-profit, privately operated elementary and secondary schools that meet certain legal and accreditation standards. The act emphasizes parental choice in education, particularly for families with limited means, and establishes a framework for tax credits based on contributions to scholarship organizations, with a total annual limit of $25 million for the years 2025-2027.

Additionally, the bill mandates that scholarship-granting organizations allocate at least 90% of their revenue for education scholarships and submit annual financial reports detailing their scholarship distribution. It clarifies that the state will not govern qualified schools and allows the Department of Revenue to create regulations for the Act's implementation. The legislation introduces a nonrefundable tax credit for contributions to scholarship organizations, which can be carried forward for up to five years, and adds the Opportunity Scholarships Act to the existing list of tax credits available to individuals and corporate taxpayers. The act will take effect for taxable years starting on or after January 1, 2025, and includes provisions for the validity of remaining sections if any part is found unconstitutional.

Statutes affected:
Introduced: 77-2715.07, 77-2717, 77-2734.03