The Step Up For Students Tax Credit Scholarship Program was initiated by the Florida School Choice Fund and passed by the Florida Legislature in 2001. The program expands educational opportunities for economically disadvantaged children by giving them the ability to attend a K-12 school that best meets their individual learning needs. Through this innovative program, FSCF is working to break the cycle of poverty one child at a time by bridging the gaps in education and income levels.

Corporations participate in the program by redirecting up to 75 percent of their Florida corporate tax or insurance premium tax liability to nonprofit Scholarship Funding Organizations (SFOs) approved by the Department of Education. These SFOs in turn redistribute the funds as K-12 education scholarships to students with limited financial resources. Participating corporations receive a dollar-for-dollar tax credit for all funds contributed to the SFOs. Because corporations redirect funds they must already pay to the state, they are helping low-income children achieve greater academic excellence at no cost. The program is capped at $118-million of credits granted per year.

The scholarship program empowers low-income parents, giving them the ability to choose the best educational setting for their child, whether it is a public or a private school. As a result, the Step Up For Students program is leveling the playing field for low-income families, giving them the same educational options for their children as wealthier families. It also benefits corporate donors, since corporations that participate receive a dollar-for-dollar tax credit for the amount they send to fund scholarships. Additionally, it is paving the way for an educated workforce that will greatly contribute to the betterment of our communities.

Only families that qualify for the National School Lunch Program are eligible to enroll in the scholarship program. The typical scholarship student is an ethnic minority in a single-parent household. Thirty-nine percent of the children are African American, and 25 percent are Hispanic. The average income of families accepted to receive scholarships is $24,600, and more than 60 percent of the recipients live in single-parent homes. A state-commissioned research report in 2009 concluded that the students who choose the scholarship are among the lowest-performing students in the public schools they leave behind. Students eligible for the scholarship program receive up to $3,950 to attend a private school or up to $500 for transportation costs to attend an out-of-district public school.

Since the launch of the scholarship program in 2002, Step Up For Students has opened the doors for thousands of economically disadvantaged children to receive an education that will prepare them for a successful future. The program has gained recognition for its innovative approach to educational choice for families of limited means and now serves as a model for similar programs throughout the United States. In the first seven years, corporate donors pledged more than $5400-million toward this initiative. In the past school year, 20008-09, Step Up For Students served 23,259 economically disadvantaged children statewide.

For more information about Step Up For Students, click here or contact Kerri Vaughan at (866) 819-0058 or kvaughan@stepupforstudents.org.