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More funding would be available for the state’s Educational Improvement Tax Credit program under legislation (H.B. 1330) advancing in the state House.

Established in 2001, the program enables businesses to help families and organizations provide a better education for Pennsylvania students. Businesses receive tax credits for donations made to organizations that help families offset the cost of enrolling their children in schools requiring tuition payments, as well as organizations that provide innovative educational programs to public schools.

The PA Chamber supports H.B. 1330 because it would improve a student’s opportunity for educational success; increase competition within the education system, forcing poor-performing districts to improve; and allow job creators to help foster a quality education system in the Commonwealth.

Measures that provide greater educational opportunities for students and promote educational competition are components of the PA Chamber’s member-driven Education Policy.

The bill would increase funding for the program from $75 million to $100 million in fiscal year 2011-12 and $200 million in fiscal year 2012-13. Additionally, the bill would gradually increase the income limits for families to qualify for a tax credit from $50,000 to $75,000 and ultimately based on the Consumer Price Index.

“The availability of an educated, skilled workforce is a competitiveness issue for business,” PA Chamber Manager of Government Affairs Alex Halper said. “Too many students are stuck in poor-performing public schools because state law or their family’s financial status allows them no other options.

“Increasing funding for the Educational Improvement Tax Credit program would enable businesses to give more at-risk students a real chance at academic success and help improve the public system throughout the Commonwealth.
  
House Bill 1330 was passed by the Education Committee and now faces a vote by the full House.

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The Pennsylvania Chamber of Business and Industry is the state’s largest broad-based business association, with thousands of statewide members representing businesses of all sizes and all industry sectors. The PA Chamber is The Statewide Voice of Business™. More information is available on the Chamber’s website at www.pachamber.org.