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Bill

HB 2187

Federal Aid - As enacted, enacts the "Federal Tax Credit Scholarship Act." - Amends TCA Title 4; Title 9 and Title 49.

114th Regular Session (2025-2026) Introduced by William Lamberth

HB 2187 creates a federal tax credit scholarship program in Tennessee to fund educational scholarships through tax credits rather than direct appropriations.

Comp. became Pub. Ch. 720
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Bill Summary · HB 2187

Legislative bill overview

HB 2187 enacts the "Federal Tax Credit Scholarship Act," which would create a mechanism allowing federal tax credits to support educational scholarships in Tennessee. The bill amends multiple sections of Tennessee Code Annotated covering education, government operations, and related statutory provisions to establish the framework for this program.

Why is this important

This legislation would establish a new funding mechanism for educational scholarships using federal tax credits rather than direct state appropriations, potentially redirecting federal tax revenue toward private or alternative educational options. The structure and scope of eligible schools and scholarship recipients will significantly affect which students benefit and how education funding flows in the state.

Potential points of contention

  • Public vs. private education funding: The bill's provisions for using federal tax credits to fund scholarships may redirect resources away from public school systems, raising concerns about equitable funding and access
  • Eligibility and oversight: Details about which schools qualify, how scholarships are distributed, and accountability measures are not specified in available summaries, creating uncertainty about program transparency
  • Federal-state tax coordination: Questions about whether federal tax credit programs can legally be structured this way and potential conflicts with federal tax law and other state programs

Compiled from official sources — confirm details with the bill’s official record.

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