No money, few answers for private school vouchers

Parents waiting for vouchers to send their children to private school may not want to hold their breath.

A new South Dakota law allows insurance companies sizable tax credits if they fund vouchers for students to attend private schools, but companies have yet to put forth the cash.

Dozens of families statewide have expressed interest in vouchers since the application became available Monday. With no contributions, though, the state group tasked with doling out funds doesn't have answers for parents wondering how much money, if any, they can expect.

And while the group's leaders are optimistic that funds will be in place as early as next week, some families are left not knowing whether their children will be able to go to private school.

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"I think this (voucher) is going to be what makes it or breaks it for them," said Katie Fritz, director of development for Sioux Falls Catholic Schools.

South Dakota Partners in Education is facilitating the so-called "tax credit scholarships." Sen. Phyllis Heineman, R-Sioux Falls, was the law's prime sponsor during the 2016 legislative session and serves as a board member for the group.

Heineman said she recognizes the tight timeline with many private schools starting in less than a month, but is confident that money will be there in time to award at least some vouchers this fall.

"If the contributions were made, what a shame it would be if we don't get those dollars out to families that are really anticipating them," Heineman said.

And many parents are feeling that anticipation. Most private schools in Sioux Falls have parents who have applied or plan to apply for vouchers.

Lutheran High School Principal Derek Bolt said he's heard from four or five families looking to apply for vouchers to attend the school, which has an enrollment of less than 40.

Fritz estimates the number of families applying for vouchers to the Catholic schools is near 50.

If families aren't able to receive vouchers, schools do have some tuition assistance available, Fritz said, but some families are relying on vouchers as their pathway into the private school system.

Not knowing how many vouchers will be available poses some challenges for schools trying to plan for the coming year, but Sioux Falls private schools share Heineman's optimism that they'll have answers before classes begin.

"Everyone is just so excited to be able to give more families that choice that they thought they'd never have," Fritz said.

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Once the voucher program receiving seeing contributions from insurance companies, the Partners in Education group will work with a third-party software company to determine which applicants qualify.

Exactly how the money will be distributed remains undetermined, but the main focus is on making sure dollars are fairly distributed throughout the state, said Robert Satter, Partners in Education board member and development director for the Rapid City Catholic School System.

For now, the group is focused on reaching out to insurance companies and raising funds.

"We're very hopeful," Heineman said. "Parents have been watching this. Schools have been watching this. There's been a great deal of anticipation. We're really fairly confident that we're going to have some scholarships for the fall."

Follow education watchdog reporter Megan Raposa on Twitter @mlraposa and on the Learning Curve blog.