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ENGROSSED HOUSE AMENDMENT
TO
ENGROSSED SENATE BILL NO. 1546 By: Pugh of the Senate
and
Caldwell (Chad) of the
House
[ teachers - program - scholarship amounts -
effective date -
emergency ]
AMENDMENT NO. 1. Strike the stricken title, enacting clause, and
entire bill and insert:
"An Act relating to education; amending 68 O.S. 2021,
Section 2357.206, as amended by Section 1, Chapter
49, O.S.L. 2022 (68 O.S. Supp. 2025, Section
2357.206), which relates to the Oklahoma Equal
Opportunity Education Scholarship Act; adding grants
for capital improvement projects to the definition of
a scholarship-granting organization; expanding the
definition of educational improvement grant to
include the implementation of the Strong Readers Act
and the Oklahoma Math Achievement and Proficiency
Act; adding grants for capital improvement projects
to the definition of an educational improvement grant
organization; defining capital improvement project;
and including educational improvement grants and
capital improvement projects in the information
required to be submitted to the Oklahoma Tax
Commission.
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
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SECTION 1. AMENDATORY 68 O.S. 2021, Section 2357.206, as
amended by Section 1, Chapter 49, O.S.L. 2022 (68 O.S. Supp. 2025,
Section 2357.206), is amended to read as follows:
Section 2357.206. A. This act shall be known and may be cited
as the "Oklahoma Equal Opportunity Education Scholarship Act".
B. 1. Except as provided in subsection G of this section,
after August 26, 2011, there shall be allowed a credit for any
taxpayer who makes a contribution to an eligible scholarship-
granting organization.
The credit shall be equal to fifty percent (50%) of the total
amount of contributions made during a taxable year, not to exceed
One Thousand Dollars ($1,000.00) for single individuals, Two
Thousand Dollars ($2,000.00) for married individuals filing jointly,
or One Hundred Thousand Dollars ($100,000.00) for any taxpayer which
is a legal business entity including limited and general
partnerships, corporations, subchapter S corporations and limited
liability companies, plus any suspended credits pursuant to
subparagraph d of paragraph 2 of subsection I of this section;
provided, if total credits claimed pursuant to this paragraph exceed
the cap amount established pursuant to paragraphs 1 and 2 of
subsection E of this section, the credit shall be equal to the
taxpayer's proportionate share of the cap for the taxable year, as
determined pursuant to subsection I of this section.
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2. For any taxpayer who makes a contribution to an eligible
scholarship-granting organization and makes a written commitment to
contribute the same amount for an additional year, the credit for
the first year and the additional year shall be equal to seventy-
five percent (75%) of the total amount of the contribution made
during a taxable year, not to exceed the amounts established in
paragraph 1 of this subsection for the taxable year in which the
credit provided in this subsection is claimed. The taxpayer shall
provide evidence of the written commitment to the Oklahoma Tax
Commission at the time of filing the refund claim.
3. The credits authorized pursuant to the provisions of this
subsection shall be allocable to the partners, shareholders,
members, or other equity owners of a taxpayer that is authorized to
be treated as a partnership for purposes of federal income tax
reporting for the taxable year for which the tax credits authorized
by this subsection are claimed on the applicable return, together
with required schedules, forms or reports of the partners,
shareholders, members, or other equity owners of the taxpayer. Tax
credits which are allocated to such equity owners shall only be
limited in amount for the income tax return of a natural person or
persons based upon the limitation of the total credit amount to the
entity from which the tax credits have been allocated and shall not
be limited to One Thousand Dollars ($1,000.00) for single
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individuals or limited to Two Thousand Dollars ($2,000.00) for
married persons filing a joint return.
4. On or before April 30, 2024, and once every two (2) years
thereafter, such scholarship-granting organization and educational
improvement grant organization shall electronically submit to the
Oklahoma Tax Commission, the Governor, President Pro Tempore of the
Senate, the Speaker of the House of Representatives, and the chairs
and vice chairs of the education committees of the Senate and House
of Representatives an audited financial statement for the
organization along with information detailing the benefits,
successes, or failures of the program, and make publicly available
on its website the financial statement and information submitted
pursuant to this paragraph.
C. 1. Except as provided in subsection G of this section,
after August 26, 2011, there shall be allowed a credit for any
taxpayer who makes a contribution to an eligible educational
improvement grant organization. Except as otherwise provided by
paragraph 2 of this subsection, the credit shall be equal to fifty
percent (50%) of the total amount of contributions made during a
taxable year, not to exceed One Thousand Dollars ($1,000.00) for
single individuals, Two Thousand Dollars ($2,000.00) for married
individuals filing jointly, or One Hundred Thousand Dollars
($100,000.00) for any taxpayer which is a legal business entity
including limited and general partnerships, corporations, subchapter
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S corporations and limited liability companies, plus any suspended
credits pursuant to subparagraph d of paragraph 2 of subsection I of
this section; provided, if total credits claimed pursuant to this
paragraph exceed the cap amount established pursuant to paragraphs 3
and 4 of subsection E of this section, the credit shall be equal to
the taxpayer's proportionate share of the cap for the taxable year,
as determined pursuant to subsection I of this section.
2. For any taxpayer who makes a contribution to an eligible
educational improvement grant organization and makes a written
commitment to contribute the same amount for an additional year, the
credit for the first year and the additional year shall be equal to
seventy-five percent (75%) of the total amount of the contribution
made during a taxable year, not to exceed the cap amount established
in paragraphs 3 and 4 of subsection E of this section for the
taxable year in which the credit provided in this paragraph is
claimed; provided, if total credits claimed pursuant to this
paragraph exceed the cap established pursuant to paragraphs 3 and 4
of subsection E of this section, the credit shall be equal to the
taxpayer's proportionate share of the cap for the taxable year, as
determined pursuant to subsection I of this section. The taxpayer
shall provide evidence of the written commitment to the Oklahoma Tax
Commission at the time of filing the refund claim.
3. The credits authorized pursuant to the provisions of this
subsection shall be allocable to the partners, shareholders,
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members, or other equity owners of a taxpayer that is authorized to
be treated as a partnership for purposes of federal income tax
reporting for the taxable year for which the tax credits authorized
by this subsection are claimed on the applicable return, together
with required schedules, forms, or reports of the partners,
shareholders, members, or other equity owners of the taxpayer. Tax
credits which are allocated to such equity owners shall only be
limited in amount for the income tax return of a natural person or
persons based upon the limitation of the total credit amount to the
entity from which the tax credits have been allocated and shall not
be limited to One Thousand Dollars ($1,000.00) for single
individuals or limited to Two Thousand Dollars ($2,000.00) for
married persons filing a joint return.
D. 1. For contributions made on or after January 1, 2022,
there shall be allowed a credit for any taxpayer who makes a
contribution to an eligible public school foundation or public
school district. Except as otherwise provided by paragraph 2 of
this subsection, the credit shall be equal to fifty percent (50%) of
the total amount of contributions made during a taxable year, not to
exceed One Thousand Dollars ($1,000.00) for single individuals, Two
Thousand Dollars ($2,000.00) for married individuals filing jointly,
or One Hundred Thousand Dollars ($100,000.00) for any taxpayer which
is a legal business entity including limited and general
partnerships, corporations, subchapter S corporations and limited
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liability companies; provided, if total credits claimed pursuant to
this paragraph exceed the cap amount established pursuant to
paragraph 4 of subsection E of this section, the credit shall be
equal to the taxpayer's proportionate share of the cap for the
taxable year, as determined pursuant to subsection I of this
section.
2. Except as otherwise provided by paragraph 1 of this
subsection, for any taxpayer who makes a contribution to an eligible
public school foundation or public school district and makes a
written commitment to contribute the same amount for an additional
year, the credit for the first year and the additional year shall be
equal to seventy-five percent (75%) of the total amount of the
contribution made during a taxable year, not to exceed the cap
amount established in paragraph 4 of subsection E of this section
for the taxable year in which the credit provided in this paragraph
is claimed. The taxpayer shall provide evidence of the written
commitment to the Oklahoma Tax Commission at the time of filing the
refund claim; provided, if total credits claimed pursuant to this
paragraph exceed the cap amount established pursuant to paragraph 4
of subsection E of this section, the credit shall be equal to the
taxpayer's proportionate share of the cap for the taxable year, as
determined pursuant to subsection I of this section.
3. The credits authorized pursuant to the provisions of this
subsection shall be allocable to the partners, shareholders,
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members, or other equity owners of a taxpayer that is authorized to
be treated as a partnership for purposes of federal income tax
reporting for the taxable year for which the tax credits authorized
by this subsection are claimed on the applicable return, together
with required schedules, forms, or reports of the partners,
shareholders, members, or other equity owners of the taxpayer. Tax
credits which are allocated to such equity owners shall only be
limited in amount for the income tax return of a natural person or
persons based upon the limitation of the total credit amount to the
entity from which the tax credits have been allocated and shall not
be limited to One Thousand Dollars ($1,000.00) for single
individuals or limited to Two Thousand Dollars ($2,000.00) for
married persons filing a joint return.
4. On or before April 30, 2024, and once every four (4) years
thereafter, such eligible public school foundation and public school
district shall submit to the Oklahoma Tax Commission, the Governor,
President Pro Tempore of the Senate, and the Speaker of the House of
Representatives an audited financial statement for the organization
along with information detailing the benefits, successes, or
failures of the programs.
E. Except as otherwise provided pursuant to subsection I of
this section:
1. The total credits authorized pursuant to subsection B of
this section for all taxpayers for tax years 2017 through 2021 shall
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not exceed Three Million Five Hundred Thousand Dollars
($3,500,000.00) annually;
2. The total credits authorized pursuant to subsection B of
this section for all taxpayers for tax years 2022 and subsequent tax
years shall not exceed Twenty-five Million Dollars ($25,000,000.00)
annually;
3. The total credits authorized pursuant to subsection C of
this section for all taxpayers for tax years 2017 through 2021 shall
not exceed One Million Five Hundred Thousand Dollars ($1,500,000.00)
annually;
4. The total credits authorized pursuant to subsections C and D
of this section for all taxpayers for tax year 2022 and subsequent
tax years shall not exceed Twenty-five Million Dollars
($25,000,000.00) annually. In addition to the cap amount prescribed
by this paragraph, the credit amount shall also be limited to Two
Hundred Thousand Dollars ($200,000.00) of credits per public school
district annually; and
5. The cap on total credits provided for in this subsection
shall be allocated by the Tax Commission as provided in subsection I
of this section.
F. For credits claimed for eligible contributions made during
tax year 2014 and thereafter, a credit shall not be allowed by the
Oklahoma Tax Commission for contributions made to a scholarship-
granting organization or an educational improvement grant
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organization if that organization's percentage of funds actually
awarded is less than ninety percent (90%). For purposes of this
section, the "percentage of funds actually awarded" shall be
determined by dividing the total amount of funds actually awarded as
educational scholarships or educational improvement grants over the
most recent twenty-four (24) months by the total amount available to
award as educational scholarships or educational improvement grants
over the most recent twenty-four (24) months.
G. Any tax credits which are earned by a taxpayer pursuant to
this section during the time period beginning August 26, 2011,
through December 31, 2012, may not be claimed for any period prior
to the taxable year beginning January 1, 2013. No credits which
accrue during the time period beginning August 26, 2011, through
December 31, 2012, may be used to file an amended tax return for any
taxable year prior to the taxable year beginning January 1, 2013.
H. As used in this section:
1. "Eligible student" means a child of school age who is
lawfully present in the United States and who is a member of a
household in which the total annual income during the preceding tax
year does not exceed an amount equal to three hundred percent (300%)
of the income standard used to qualify for a free or reduced-price
school lunch or who, during the immediately preceding school year,
attended or, by virtue of the location of such student's place of
residence, was eligible to attend a public school in this state
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which has been identified for school improvement as determined by
the State Board of Education pursuant to the requirements of the No
Child Left Behind Act of 2001, P.L. No. 107-110. Once a student has
received an educational scholarship, as defined in paragraph 3 of
this subsection, the student and any siblings who are members of the
same household shall remain eligible until they graduate from high
school or reach twenty-one (21) years of age, whichever occurs
first;
2. "Eligible special needs student" means a child who has been
provided services under an Individualized Family Service Plan
through the SoonerStart program and during transition was evaluated
and determined to be eligible for school district services, a child
of school age who has attended public school in our state with an
individualized education program pursuant to the Individuals With
Disabilities Education Act, 20 U.S.C.A., Section 1400 et seq., or a
child who has been diagnosed by a clinical professional as having a
significant disability that will affect learning and who has been
approved by the board of a scholarship-granting organization;
3. "Educational scholarships" means:
a. scholarships to an eligible student of up to Five
Thousand Dollars ($5,000.00) or eighty percent (80%)
of the statewide annual average per-pupil expenditure
as determined by the National Center for Education
Statistics, U.S. Department of Education, whichever is
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greater, to cover all or part of the tuition, fees,
and transportation costs of a qualified school which
is accredited by the State Board of Education or an
accrediting association approved by the Board pursuant
to Section 3-104 of Title 70 of the Oklahoma Statutes,
b. scholarships to an eligible student of up to Five
Thousand Dollars ($5,000.00) or eighty percent (80%)
of the statewide annual average per-pupil expenditure
as determined by the National Center for Education
Statistics, U.S. Department of Education, whichever is
greater, to cover the educational costs of a qualified
school which does not charge tuition, which enrolls
special populations of students, and which is
accredited by the State Board of Education or an
accrediting association approved by the Board pursuant
to Section 3-104 of Title 70 of the Oklahoma Statutes,
or
c. scholarships to an eligible special needs student of
up to Twenty-five Thousand Dollars ($25,000.00) to
cover all or part of the tuition, fees, and
transportation costs of a qualified school for
eligible special needs students which is accredited by
the State Board of Education or an accrediting
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association approved by the Board pursuant to Section
3-104 of Title 70 of the Oklahoma Statutes;
4. "Low-income eligible student" means an eligible student or
eligible special needs student who qualifies for a free or reduced-
price lunch;
5. "Qualified school" means an early childhood, elementary, or
secondary private school in this state including schools which
provide special educational programs for three-year-olds or
prekindergarten educational programs for four-year-olds, which:
a. is accredited by the State Board of Education or an
accrediting association approved by the Board pursuant
to Section 3-104 of Title 70 of the Oklahoma Statutes,
b. is in compliance with all applicable health and safety
laws and codes,
c. has a stated policy against discrimination in
admissions on the basis of race, color, national
origin, or disability, and
d. ensures academic accountability to parents and
guardians of students through regular progress
reports;
6. "Qualified school for eligible special needs students" means
an early childhood, elementary, or secondary private school in a
county in this state including schools which provide special
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educational programs for three-year-olds or prekindergarten
educational programs for four-year-olds;
7. "Scholarship-granting organization" means an organization
which:
a. is a nonprofit entity exempt from taxation pursuant to
the provisions of the Internal Revenue Code, 26
U.S.C., Section 501(c)(3),
b. (1) distributes periodic scholarship payments as
checks made out to an eligible student's or
eligible special needs student's parent or
guardian and mailed to the qualified school where
the student is enrolled, or
(2) awards grants for capital improvement projects to
qualified schools that would increase the
instructional capacity of the qualified school,
c. spends no more than ten percent (10%) of its annual
revenue on expenditures other than educational
scholarships as defined in paragraph 3 of this
subsection or grants for capital improvement projects
as defined in paragraph 16 of this subsection,
d. spends each year a portion of its expenditures on
educational scholarships for low-income eligible
students, as defined in paragraph 4 of this
subsection, in an amount equal to or greater than the
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percentage of low-income eligible students in the
state,
e. ensures that scholarships are portable during the
school year and can be used at any qualified school
that accepts the eligible student or at any qualified
school for special needs students that accepts the
eligible special needs student,
f. registers with the Oklahoma Tax Commission as a
scholarship-granting organization, and
g. has policies in place to:
(1) carry out criminal background checks on all
employees and board members to ensure that no
individual is involved with the organization who
might reasonably pose a risk to the appropriate
use of contributed funds, and
(2) maintain full and accurate records with respect
to the receipt of contributions and expenditures
of those contributions and supply such records
and any other documentation required by the Tax
Commission to demonstrate financial
accountability;
8. "Annual revenue" means the total amount or value of
contributions received by an organization from taxpayers awarded
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credits during the organization's fiscal year and all amounts earned
from interest or investments;
9. "Public school" means public schools as defined in Section
1-106 of Title 70 of the Oklahoma Statutes;
10. "Eligible public school district" means any public school;
11. "Early childhood education program" means a special
educational program for eligible special needs students who are
three (3) years of age or a prekindergarten educational program
provided to children who are at least four (4) years of age but not
more than five (5) years of age on or before September 1;
12. "Innovative educational program" means an advanced academic
or academic improvement program that is not part of the regular
coursework of a public school but that enhances the curriculum or
academic program of the school or provides early childhood education
programs to students;
13. "Educational improvement grant" means a grant to an
eligible public school to implement:
a. an innovative educational program for students
including the ability for multiple public schools to
make an application and be awarded a grant to jointly
provide an innovative educational program,
b. the provisions of the Strong Readers Act, or
c. the provisions of the Oklahoma Math Achievement and
Proficiency Act;
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14. "Educational improvement grant organization" means an
organization which:
a. is a nonprofit entity exempt from taxation pursuant to
the provisions of the Internal Revenue Code, 26
U.S.C., Section 501(c)(3), and
b. contributes at least ninety percent (90%) of its
annual receipts as grants to eligible schools for
innovative educational programs educational
improvement grants as defined in paragraph 13 of this
subsection or capital improvement projects as defined
in paragraph 16 of this subsection. For purposes of
this subparagraph, an educational improvement grant
organization contributes its annual cash receipts when
it expends or otherwise irrevocably encumbers those
funds for expenditure during the then current fiscal
year of the organization or during the next succeeding
fiscal year of the organization; and
15. "Eligible public school foundation" means a nonprofit
entity formed pursuant to the laws of this state and is exempt from
federal income taxation pursuant to either Section 501(c)(3) or
Section 509(a) of the Internal Revenue Code of 1986, as amended.
Each public school foundation must be approved by the local board of
education prior to accepting qualifying donations; and
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16. "Capital improvement project" means any capital improvement
project that would increase the instructional capacity of a school.
I. Total credits authorized by this section shall be allocated
as follows:
1. By January 10 of the year immediately following each
calendar year, a scholarship-granting organization, an educational
improvement grant organization, an eligible public school
foundation, or public school district which accepts contributions
pursuant to this section shall provide electronically to the Tax
Commission information on each contribution accepted during such
taxable year. At least once each taxable year, the entity making
the report shall notify each contributor that Oklahoma law provides
for a total, statewide cap on the amount of income tax credits
allowed annually;
2. a. If the Tax Commission determines the total combined
credits claimed for contributions made to scholarship-
granting organizations during the most recently
completed calendar year by all taxpayers are in excess
of the statewide cap amount provided in paragraphs 1
and 2 of subsection E of this section, the Tax
Commission shall first allocate any amount of credits
not claimed for contributions made to organizations
authorized pursuant to subsections C and D of this
section, then shall determine the percentage of the
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contribution which establishes the proportionate share
of the credit which may be claimed by any taxpayer so
that the total maximum credits authorized by this
section are not exceeded.
b. If the Tax Commission determines the total combined
credits claimed for contributions made to
organizations authorized pursuant to subsections C and
D of this section during the most recently completed
calendar year by all taxpayers are in excess of the
statewide cap amount provided in paragraphs 3 and 4 of
subsection E of this section, the Tax Commission shall
first allocate any amount of credits not claimed for
contributions made to scholarship-granting
organizations, then shall determine the percentage of
the contribution which establishes the proportionate
share of the credit which may be claimed by any
taxpayer so that the maximum credits authorized by
this section are not exceeded.
c. If the Tax Commission determines the total combined
credits claimed for contributions made to
organizations authorized pursuant to subsections C and
D of this section during the most recently completed
calendar year by all taxpayers are in excess of the
per public school district cap pursuant to paragraph 4
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of subsection E of this section, the Tax Commission
shall first allocate any amount of credits not claimed
for contributions made to other organizations
authorized pursuant to subsections C and D of this
section, then shall determine the percentage of the
contribution which establishes the proportionate share
of the credit which may be claimed by any taxpayer so
that the maximum credits authorized by this section
are not exceeded.
d. Beginning for tax year 2016, credits earned, but not
allowed due to the application of statewide caps
provided in subsection E of this section will be
considered suspended and authorized to be used in the
next immediate tax year and applied to the next year's
statewide cap; and
3. The Tax Commission shall publish the percentage of the
contribution which may be claimed as a credit by contributors for
the most recently completed calendar year on the Tax Commission
website no later than February 15 of each calendar year for
contributions made the previous year. Each organization authorized
pursuant to subsections B, C, and D of this section shall notify
contributors of that amount annually.
J. No tax credits authorized by this section shall be used to
reduce the tax liability of the taxpayer to less than zero (0).
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K. Any credits authorized by this section allowed but not used
in any tax year may be carried over, in order, to each of the three
(3) years following the year of qualification.
L. 1. In order to qualify under this section, each
organization authorized pursuant to subsections C and D of this
section shall submit an application with information to the Oklahoma
Tax Commission on a form prescribed by the Tax Commission that:
a. enables the Tax Commission to confirm that the
organization is a nonprofit entity exempt from
taxation pursuant to the provisions of the Internal
Revenue Code, 26 U.S.C., Section 501(c)(3) or Section
509(a), and
b. describes the proposed innovative educational program
or programs educational improvement grant or grants to
be awarded to a qualifying public school and the
intended use of the grant or grants or the proposed
capital improvement project or projects supported by
the organization.
2. The Tax Commission shall review and approve or disapprove
the application, in consultation with the State Department of
Education.
3. In order to maintain eligibility under this section, an
organization authorized pursuant to subsections C and D of this
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section shall annually report the following information to the Tax
Commission and publish on its website by September 1 of each year:
a. the name of the innovative educational program or
programs educational improvement grant or grants or
the capital improvement project or projects and the
total amount of the grant or grants made to those
programs during the immediately preceding school year,
b. a description of how each grant was utilized during
the immediately preceding school year and a
description of any demonstrated or expected innovative
educational improvements or increase to instructional
capacity,
c. the names of the public school and school districts
where innovative educational programs that received
grants during the immediately preceding school year
and what programs or provisions were implemented with
grant funds or where capital improvement projects that
received grants during the immediately preceding
school year were located and the progress of the
projects,
d. where the organization collects information on a
county-by-county basis, and
e. the total number and total amount of grants made
during the immediately preceding school year for
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innovative educational programs educational
improvement or capital improvement projects at public
school by each county in which the organization made
grants.
4. The information required under paragraph 3 of this
subsection shall be submitted on a form provided by the Tax
Commission. No later than May 1 of each year, the Tax Commission
shall annually distribute sample forms together with the forms on
which the reports are required to be made to each approved
organization.
5. The Tax Commission shall not require any other information
be provided by an organization, except as expressly authorized in
this section.
M. 1. Beginning in 2023 for the 2022-2023 academic year, in
order to maintain registration, a scholarship-granting organization
shall annually report to the Tax Commission by September 1 of each
year the following information regarding the educational
scholarships and grants for capital improvement projects funded by
the organization in the previous academic year:
a. the name and address of the scholarship-granting
organization,
b. the names of the qualifying schools that received
funding for educational scholarships, the total amount
of funds paid to each qualifying school, and the total
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number of scholarship recipients enrolled in each
qualifying school,
c. the total number and total dollar amount of
contributions received during the previous academic
year,
d. the total number and total dollar amount of
educational scholarships awarded and funded during the
previous academic year,
e. the total number, total dollar amount, and percentage
of educational scholarships awarded and funded during
the previous academic year disaggregated into the
following categories:
(1) low-income eligible students,
(2) students who during the immediately preceding
school year attended or who were eligible by
virtue of the residence of the student to attend
a public school in the state which was identified
for school improvement by the State Board of
Education,
(3) eligible special needs students, and
(4) students who were first-time recipients of a
scholarship including information about the type
of public or private school the student was
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enrolled in during the entire previous academic
year,
f. the percentage of annual revenue received by the
organization from donations which qualify for tax
credits pursuant to this section which was not
expended on scholarships or grants for capital
improvement projects,
g. disaggregated data reported under this subsection
shall be redacted if reporting would allow for
identification of specific children, and shall be
reported in accordance with the Student Data
Accessibility, Transparency and Accountability Act of
2013, division b of subparagraph 2 of subsection C of
Section 3-168 of Title 70 of the Oklahoma Statutes,
and the Family Educational Rights and Privacy Act of
1974 (FERPA), 20 U.S.C., Section 1232g, and
h. the percentage of the total amount of education
scholarship expenditures spent on low-income eligible
students,
i. the names of the qualified schools awarded grants for
capital improvement projects and the total amount of
the grants made to those qualified schools during the
immediately preceding school year,
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j. a description of each capital improvement project and
the increased capacity the project will provide to the
qualified school, and
k. the total number and total amount of grants awarded
during the immediately preceding school year.
2. The Tax Commission shall make available on its website:
a. the information submitted by the scholarship-granting
organization pursuant to paragraph 1 of this
subsection,
b. a list of participating schools, and
c. all other application information submitted to the Tax
Commission by a scholarship-granting organization,
except that information which would violate the
privacy of an individual.
3. A scholarship-granting organization shall annually submit
verification to the Tax Commission that the organization still meets
the criteria set forth in paragraph 7 of subsection H of this
section.
N. Contributions made pursuant to subsections B, C, and D of
this section shall not be used by the Legislature to reduce the
amount appropriated for the financial support of public schools.
O. In consultation with the State Department of Education, the
Tax Commission shall promulgate rules necessary to implement the
Oklahoma Equal Opportunity Education Scholarship Act. The rules
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shall include procedures for the registration of a scholarship-
granting organization, an educational improvement grant
organization, a public school foundation, or public school district
for purposes of determining if the organization meets the
requirements of the Oklahoma Equal Opportunity Education Scholarship
Act or for the revocation of the registration of an organization, if
applicable, and for notice as required in subsection I of this
section."
Passed the House of Representatives the 30th day of April, 2026.
Presiding Officer of the House of
Representatives
Passed the Senate the ____ day of __________, 2026.
Presiding Officer of the Senate
ENGR. S. B. NO. 1546 Page 1
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ENGROSSED SENATE
BILL NO. 1546 By: Pugh of the Senate
and
Caldwell (Chad) of the
House
[ teachers - program - scholarship amounts -
effective date -
emergency ]
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 2. AMENDATORY 70 O.S. 2021, Section 698.1, as
last amended by Section 1, Chapter 249, O.S.L. 2023 (70 O.S. Supp.
2025, Section 698.1), is amended to read as follows:
Section 698.1. A. The Oklahoma State Regents for Higher
Education shall establish and maintain an incentive scholarship
program and teacher employment incentive program, as funding is
available, to encourage the preparation of public school teachers
for prekindergarten through twelfth grade, including minority
teachers, at all state public higher education institutions of
higher education within The Oklahoma State System of Higher
Education or private higher education institutions accredited
pursuant to Section 4103 of this title and incentivize employment as
public school teachers for prekindergarten through twelfth grade in
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the state for at least five (5) years, to be known as the Inspired
to Teach Program New Educators for Excellence in Teaching and
Education (NEXT-ED) Program. Prospective teachers planning to
pursue an undergraduate teacher education program at an accredited
Oklahoma teacher preparation program in this state shall be
considered if they graduated from high school, completed high-school
level instruction at home, or completed General Educational
Development (GED) test requirements; meet the higher education
admission standards of the institution of higher education; and
declare a pre-education major or major in an approved Oklahoma
teacher preparation degree program in this state leading to a
standard teaching certificate.
B. To the extent that funds are available, scholarships,
renewable for up to three (3) additional years for qualified
students meeting satisfactory academic progress standards in
completing a teacher preparation degree program leading to a
standard teaching certificate, shall be awarded to cover costs of
tuition, general enrollment and other fees, other fees, books,
materials, and services provided by the institution, including room
and board, in the following manner:
1. One Thousand Dollars ($1,000.00) Two Thousand Dollars
($2,000.00) per academic year for up to three (3) academic years for
full-time students who have earned less fewer than ninety (90)
credit hours; and
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2. Two Thousand Five Hundred Dollars ($2,500.00) Five Thousand
Dollars ($5,000.00) for the final academic year for full-time
students who have earned ninety (90) or more credit hours.
The maximum amount of scholarship funds awarded as provided in this
subsection to any qualified student shall not exceed Five Thousand
Five Hundred Dollars ($5,500.00) Eleven Thousand Dollars
($11,000.00).
C. As used in this section, “full-time student” means:
1. An undergraduate student enrolled in twelve (12) or more
semester credits toward teacher education degree requirements;
2. An undergraduate student who is a teacher education major
who is enrolled in or has completed an internship or student
teaching credit hours in order to complete the degree program prior
to certification and who has been approved to take less fewer than
twelve (12) credit hours; or
3. An undergraduate student who is a teacher education major
with an approved reasonable accommodation from Student Accessibility
Services student accessibility services at the institution due to a
documented disability and who has been approved to take less fewer
than twelve (12) credit hours.
D. It is the intent of the Oklahoma Legislature that the
Oklahoma State Regents for Higher Education create a committee
composed of educators, teacher educators from the participating
institutions, and representatives of the public schools in this
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state and the State Department of Education to provide
recommendations to the State Regents to improve effectiveness of the
Inspired to Teach Program NEXT-ED Program. The committee shall
prepare and electronically deliver a report on the program to the
Legislature on or before July 1 of each year.
E. Each scholarship participant, prior to entry into the
Inspired to Teach Program NEXT-ED Program, shall have agreed to
teach in an Oklahoma a public prekindergarten through twelfth grade
school in this state for a minimum of five (5) consecutive years
upon graduation and licensure as a teacher. Any scholarship
participant failing to maintain a 2.5 grade point average throughout
matriculation, changing to an ineligible area of study, failing to
meet satisfactory academic progress standards, withdrawing or
otherwise leaving school, or failing to meet requirements for
licensure and certification to teach as established by law shall be
subject to disqualification from the program.
F. The Oklahoma State Regents for Higher Education are
authorized to make employment incentive payments pursuant to the
provisions of this section to Inspired to Teach Program NEXT-ED
Program participants who are employed as traditionally certified
teachers in Oklahoma public prekindergarten through twelfth grade
schools in this state following graduation. Incentive payments may
be awarded following each consecutive year of satisfactory service
as documented by the employing school district, up to five (5) years
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of service for scholarship recipients as provided in subsection A of
this section, upon graduation from an accredited Oklahoma teacher
preparation degree program in this state. The maximum amount of
employment incentive payments for any qualified participant shall be
Four Thousand Dollars ($4,000.00) per year for up to five (5) years,
not to exceed a total of Twenty Thousand Dollars ($20,000.00) per
participant.
G. The Oklahoma State Regents for Higher Education shall
require the execution of appropriate contracts with eligible
Inspired to Teach Program NEXT-ED Program participants.
Participants failing to comply with the requirements of this section
or failing to provide current contact information shall not be
eligible for the employment incentive payments provided for in this
section. The Chancellor of the Oklahoma State Regents for Higher
Education, with the approval of the State Regents, may contract with
any other appropriate organization or unit of government for the
administration of the provisions of this section.
H. If sufficient funds are not available for employment
incentive payments to qualified participants during any fiscal year,
the Chancellor may make reductions in the payments made to qualified
participants.
I. The Oklahoma State Regents for Higher Education may, at the
time an award is made on behalf of the Inspired to Teach Program
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NEXT-ED Program, set aside funds for the full commitment made to an
eligible student.
J. The Oklahoma State Regents for Higher Education may utilize
Inspired to Teach Program NEXT-ED Program designated funds for
administration of the program.
SECTION 3. This act shall become effective July 1, 2026.
SECTION 4. It being immediately necessary for the preservation
of the public peace, health, or safety, an emergency is hereby
declared to exist, by reason whereof this act shall take effect and
be in full force from and after its passage and approval.
Passed the Senate the 10th day of March, 2026.
Presiding Officer of the Senate
Passed the House of Representatives the ____ day of __________,
2026.
Presiding Officer of the House
of Representatives