Transcript Georgia GOAL Scholarship Program, Inc.

“The School" and the
Georgia GOAL Scholarship Program
October, 2010
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Presentation Outline
 HB 1133
̶ History
̶ National Context
 Redirecting Georgia Income Taxes to Provide
“The School" Scholarships
 GOAL Scholarship Program 2009 Results
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History of HB 1133
• Origins in the school choice movement: Emphasis on choice for low-income families
• Iowa Tuition Tax Credit Program – 1987
• Cleveland and Milwaukee voucher programs – 1990
• Arizona Tuition Tax Credit Program – 1997
• Georgia Charter Schools Act – 1998
• Proposed Early HOPE Scholarship Program of 2000 (vouchers for low-income
families with children in failing public schools) – did not pass
• U.S. Supreme Court approves Cleveland School Choice Program – 2002
• Georgia Special Needs Scholarship Program (SB 10 – 2007)
• Georgia Tuition Tax Credit Program (HB 1133 – 2008)
• Senator Eric Johnson introduces bill providing for universal public and private school
choice – 2009 – did not pass
• GA HB 251 (2009) – allows parents to transfer children from one public school to
another within assigned school system if space is available
• SB 361 (2010) – proposed by Senator Chip Rogers, this Early HOPE Scholarship
would recast the GA Special Needs Scholarship Program and expand scholarship
eligibility to children from military families, foster families, and children with disabilities
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Tuition Tax Credit Laws & Programs Exist in Eight States
State
Year
Taxpayer Participants
Iowa
1987
Individuals
Arizona
1997
Individual & Corporate
Minnesota
1998
Individual
Illinois
1999
Individual
Florida
2000
Corporate
Pennsylvania
2001
Corporate
Georgia
2008
Individual & Corporate
Indiana
2009
Individual & Corporate
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Redirecting Georgia Income Taxes to Provide
“The School" Scholarships
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You have a choice
Pay income taxes to the
state of Georgia
OR
Provide scholarships to
public school and Pre-K4 &
kindergarten students to
attend “The School"
•
HB 1133 is a 2008 Georgia law that grants an income tax credit to
individuals and corporations who contribute to qualified student
scholarship organizations (SSOs) such as the Georgia GOAL
Scholarship Program (GOAL)
•
The passage of HB 1133 was an incredible victory for the school
choice movement and your participation in the program is critical to
make this victory a meaningful one
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HB 1133 Requirements
• Individual and corporate taxpayers receive Georgia income tax credit for
contributions to qualified Student Scholarship Organizations (SSOs)
• Individuals are limited to $1,000 (single); $1,250 (married filing
separately); $2,500 (married filing jointly)
• C-Corporations can contribute and receive a tax credit for up to 75% of
their Georgia income tax liability
• S-Corporation shareholders, LLC members and Partnership partners are
subject to individual contribution limits
• Contributions are also eligible for federal charitable income tax deduction
• Scholarships may only be awarded to “eligible” students
– Students must be enrolled in Georgia public school or eligible to
enter PreK-4 or Kindergarten
– No limitation on household income of scholarship recipient families
– No limit on amount of scholarship per recipient
– Multiple year scholarships may be awarded
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How to redirect your Georgia income
taxes in the simplest, fastest way
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A simple two-step process for taxpayers
1.
Contribute to GOAL:
Send the following items to “The School":
– A complete and notarized* GOAL Contribution & Authorization Form
– A blank copy of page 2 of the Form IT-QEE-TP1 pre-approval form, signed by you at Part C
– A check made payable to “Georgia GOAL Scholarship Program” in the amount of your
contribution
“The School" school officials and GOAL Scholarship Program officials will manage the
paperwork and approval process as follows:
– Fill out your IT-QEE-TP1 Form using your GOAL Form information – School
– Fax or email your TP1 Form to the DOR for pre-approval – School
– Receive approval from the DOR by return Fax or return email – School
– Send your check and approved TP1 Form to GOAL – School
– Process your contribution check when DOR approval is received – GOAL
– Send you a Form IT-QEE-SSO1 acknowledging your contribution – GOAL
2.
Claim the Credit:
– File your Georgia income tax return and take the credit
(GOAL will send tax filing instructions early in 2011 to assist you)
*Please note: If you are not able to get your GOAL Contribution & Authorization Form notarized, you
will receive your approved Form IT-QEE-TP1 directly from the Georgia DOR in the mail. You must
send this form to GOAL within 30 days of approval.
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A simple two-step process for taxpayers
1.
Contribute to GOAL:
Send the following items to “The School":
– A complete and notarized* GOAL Contribution & Authorization Form
– A blank copy of page 2 of the Form IT-QEE-TP1 pre-approval form, signed by you at Part C
– A check made payable to “Georgia GOAL Scholarship Program” in the amount of your
contribution
GOAL will manage the paperwork and approval process as follows:
– Fill out your IT-QEE-TP1 Form using your GOAL Form information
– Fax or email your TP1 Form to the DOR for pre-approval
– Receive approval from the DOR by return Fax or return email
– Send your check and approved TP1 Form to GOAL
– Process your contribution check when DOR approval is received
– Send you a Form IT-QEE-SSO1 acknowledging your contribution
2.
Claim the Credit:
– File your Georgia income tax return and take the credit
(GOAL will send tax filing instructions early in 2011 to assist you)
*Please note: If you are not able to get your GOAL Contribution & Authorization Form notarized, you
will receive your approved Form IT-QEE-TP1 directly from the Georgia DOR in the mail. You must
send this form to GOAL within 30 days of approval.
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How are the contributions obligated?
•
HB 1133 requires that at least 90% of designated contributions be
obligated for scholarships at “The School"
•
GOAL uses the designated funds and investment earnings on those
funds to provide scholarships to applicants recommended by “The
School"
•
“The School" officials recommend potential scholarship recipients and
the amount of the GOAL Scholarships they will receive
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GOAL Contribution Results
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Georgia Education Expense Credit
Contribution Results
2008 Contributions:
State-wide:
– Approx. 3,700 contributors:
$6.2 million
GOAL Scholarship Program:
– 1181 individual contributors:
$ 2,353,209
– 13 corporate contributors:
$ 1,194,200
– Total
$ 3,547,409
2009 Contributions:
State-wide (estimated):
– Approx. 11,000 contributors:
$25.4 million
GOAL Scholarship Program:
– 3,755 individual contributors:
$ 7,112,840
– 45 corporate contributors:
$ 3,496,460
– Total
$ 10,609,300
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Georgia Education Expense Credit
2009 Contribution Results
41.8%
58.2%
GOAL
Other 25 SSO's
Statewide Contribution: $25,389,983
GOAL Scholarship Program: $10,609,300
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GOAL Scholarship Program
2009 Contributions by Quarter
$8,000,000
$7,214,668
Total Contribution Dollars
$7,000,000
$6,000,000
$5,000,000
$4,000,000
$3,000,000
$2,526,299
$2,000,000
$1,000,000
$693,468
$174,865
$0
1st Quarter
contributions
2nd Quarter
contributions
3rd Quarter
contributions
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4th Quarter
contributions
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GOAL Scholarship Program
Source of 2009 Contributions
$12,000,000
$10,609,300
Total Contribution Dollars
$10,000,000
$8,000,000
$7,112,840
$6,000,000
$4,000,000
$3,496,460
$2,000,000
$0
3,755 individual
contributors:
45 corporate
contributors:
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Total
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GOAL Scholarship Results
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GOAL Scholarship Award Results
 2008-2009 Scholarships Awarded:
77 at 9 GOAL Schools
 2009-2010 Scholarships Awarded:
639 at 56 GOAL Schools
– Average Amount of Award:
$4,697
– Average AGI of Recipient Family:
$44,633
– Median AGI of Recipient Family:
$38,927
– Total scholarship awards disbursed:
$ 2.7 million
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GOAL 2009-2010 Overall Scholarship Results
Number of Scholarships by Income Level
200
188
Number of Scholarships
180
160
140
120
102
100
86
76
80
70
60
49
55
40
20
0
$0 to
$24,000
$24,001 to
$36,000
$36,001 to
$48,000
$48,001 to
$60,000
$60,001 to
$72,000
$72,001 to
$84,000
Over
$84,000
Recipient Family Adjusted Gross Income
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GOAL 2009-2010 Overall Scholarship Results
Scholarships Awarded by Income Level
$900,000
$849,378
Total Scholarship Amount
$800,000
$700,000
$600,000
$500,000
$442,268
$421,058
$370,996
$400,000
$296,406
$300,000
$200,000
$136,400
$154,731
$100,000
$0
Below
$24,000
$24,001 to
$36,000
$36,001 to
$48,000
$48,001 to
$60,000
$60,001 to
$72,000
$72,001 to
$84,000
Over
$84,000
Recipient Family Adjusted Gross Income
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GOAL Participating Schools
Greater Atlanta Area
Arlington Christian School
Atlanta Classical Christian Academy
Atlanta Youth Academy
Brandon Hall School
Bridgeway Christian Academy
Cherokee Christian Schools
Chrysalis Experiential Academy
The Cottage School
Cumberland Academy of Georgia
Destiny Christian Academy
Eagles Landing Christian Academy
Eastminster School
Fellowship Christian School
Furtah Preparatory School
Greater Atlanta Christian School
Greenforest/McCalep Christian
Academic Center
Harvester Christian Academy
Holy Spirit Preparatory School
Hope Schools of Excellence
The Howard School
Killian Hill Christian School
Landmark Christian School
Legacy Christian Academy
The Lionheart School
Loganville Christian Academy
Marist School
Mill Springs Academy
Mount Paran Christian School
Mount Pisgah Christian School
Mt. Bethel Christian Academy
New Birth Christian Academy
New Day Gables Academy
Notre Dame Academy
Old Suwanee Christian School
Peachtree Academy Private School
Perimeter School
Pinecrest Academy
Providence Christian Academy
The Ron Clark Academy
Sophia Academy
Southwest Atlanta Christian Academy
Strong Rock Christian School
Sugar Hill Christian Academy
The Swift School
Wesleyan School
Whitefield Academy
Woodward Academy
Middle Georgia
Brentwood School
Brookstone School
Bulloch Academy
Calvary Christian School
Covenant Academy
David Emanuel Academy
First Presbyterian Day School
Flint River Academy
Gatewood Schools
John Hancock Academy
John Milledge Academy
LaGrange Academy
Montessori of Macon
Nathanael Greene Academy
Providence Christian School
Redeemer Episcopal Academy
Southland Academy
St. George’s Episcopal School
Stratford Academy
Tattnall Square Academy
Trinity Christian School
The Westfield School
Windsor Academy
Woodfield Academy
North Georgia
Athens Christian School
Augusta Christian Schools
Augusta Preparatory Day School
Berry College Elementary & Middle School
Curtis Baptist School
Darlington School
Episcopal Day School
Heritage Academy
Lakeview Academy
Monsignor Donovan Catholic High School
Mountain Area Christian Academy
Rabun Gap-Nacoochee School
Ridge Creek School
Riverside Military Academy
Tallulah Falls School
Unity Christian School
Westminster Christian Academy
Westminster Schools of Augusta
Wildwood Christian Academy
South Georgia
Benedictine Military School
Bethesda Home for Boys
Brookwood School
Calvary Day School
Deerfield-Windsor School
Favor Christian Academy
First Presbyterian Christian Academy
Grace Christian Academy
Paul Anderson Youth Home
Randolph Southern School
Robert Toombs Christian Academy
Sherwood Christian Academy
St. Andrew’s School
Terrell Academy
Tiftarea Academy
Valwood School
Westwood Schools
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