Donald Trump · New York · Democrats · Fortune Technology
Hochul is only the second Democratic governor to join, after Colorado Gov
Compiled by KHAO Editorial — aggregated from 1 source. See llms.txt for citation guidance.
◌ Single Source
The decision came days after Albany’s top Democrats urged her to stay out.
Key facts
- Starting Jan. 1, 2027, taxpayers can claim a dollar-for-dollar federal credit of up to $1,700 for cash donations to approved scholarship-granting organizations, or SGOs
- Nationally, Treasury projects that by 2030 more than 11 million taxpayers could donate nearly $26 billion a year through the program
- The One Big Beautiful Bill Act, the sweeping tax-and-spending law President Trump signed in July 2025, created the credit
- The Scholarships for All New Yorkers coalition cites a projection from Education Reform Now that the program could generate $1.5 billion a year for New York students if a third of eligible taxpayers
Summary
Kathy Hochul has opted the state into the Trump administration’s Education Freedom Tax Credit, breaking with the Democratic leaders of both legislative chambers and making New York the 31st state to sign on to the first nationwide federal school choice program. Hochul is only the second Democratic governor to join, after Colorado Gov. Senate Majority Leader Andrea Stewart-Cousins (D-Yonkers) warned that the federal rules “would undercut New York’s ability to establish meaningful guardrails, leaving the state with little control over which schools and expenses qualify or how this funding is used.” The move also lands weeks before Election Day, as Hochul faces Republican nominee Bruce Blakeman, who has criticized her for not opting in sooner.