FOR IMMEDIATE RELEASE
January 16, 2026
Birmingham, Alabama
Alabama Policy is once again celebrating Governor Kay Ivey’s unwavering support for School Choice in Alabama! Today, Governor Ivey signed Executive Order No. 742, expanding school choice in the state of Alabama by officially opting into the newly-created Federal Education Freedom Tax Credit program.
“Beginning with the Alabama Accountability Act passed in 2013, many qualifying students have benefitted from scholarships allowing them to move to a better performing school. Two years ago, I championed and signed Alabama’s universal school choice law, the CHOOSE Act, which provides families with refundable income tax credits for qualifying educational expenses, including tuition, textbooks and after-school programs. And, today, I proudly signed an executive order to further expand Alabama school choice funding options by allowing qualified Alabama families to participate in the Federal Education Freedom Tax Credit program.” said Governor Ivey.
The Federal Education Freedom Tax Credit, which will take effect in January 2027, was created by the One Big Beautiful Bill. The program is similar to the Alabama Accountability Act and offers federal tax credits for contributions to approved scholarship granting organizations. CHOOSE Act participants and Alabama Accountability Act program students are eligible to participate in the federal scholarship program.
Stephanie Smith, President & CEO of the Alabama Policy Institute stated, “API is once again truly thankful for the Governor’s leadership in the area of Education Freedom. Investing in the education of our state’s children should always be our highest priority. Building upon the state’s AAA scholarship program and the CHOOSE Act, this new federal scholarship program will give even more students educational options and opportunities for success.”
FOR MORE INFORMATION, contact:
Stephanie Smith
President/CEO
Alabama Policy Institute
205-243-6088 or stephanies@alabamapolicy.org
