Voters repeal state-funded private school scholarship program

Nebraskans voted to repeal a state-funded private school scholarship program in the general election, based on unofficial results Tuesday.

Referendum Measure 435 asked voters about retaining or repealing a portion of a bill, LB1402, that created a scholarship program to private schools for low-income families.

The bill, passed earlier this year in the state legislature, allocated $10 million every year to the state treasurer for the program. The state treasurer chose to partner with Opportunity Scholarships of Nebraska to carry out the bill. Supporters of LB1402 said it helps low-income families afford more school options. Opponents argued it’s unconstitutional and can take away potential funding from public schools.

Jenni Benson, Support Our Schools Nebraska president, said she was confident following the first wave of results.

“These results are reflecting the amount of people who in Nebraska - and it's not just in the metro area, it's across the state - are saying that public dollars belong in public schools with public accountability, and that we do not want private school vouchers in Nebraska," Benson said. "The people are speaking.”

LB1402 replaced a previous proposal - LB753 - that created a dollar-for-dollar tax credit for those donating to private school scholarships.

Support Our Schools Nebraska - who were against the bill - also petitioned last year to put the tax credit program on the ballot before it was replaced with LB1402. Benson said tonight's results show legislators should have waited for voters to decide on LB753 before passing the new program under LB1402.

"I think what it says is that we did it right the first time when we collected 117,000 votes," Benson said. "We should have listened to our voters at that time instead of going back and having to do it again."

Ben Welsch, Adams County committee chair for the petition drives the past two years, said those against the bills worked hard to ensure voters could decide on the issue.

“I think the relief and knowing that the hard work of every single person that's a friend of public education in all 93 counties should be applauded for the work that they did, because again, we got a lot of curve balls thrown at us,” Welsch said.

Opportunity Scholarships of Nebraska announced 4,000 scholarships granted through LB1402 last week. Eligible students included those whose household income is at or below 213% of the federal poverty level, have a sibling receiving the scholarship or have experienced bullying or harassment. Under the previous tax credit program, Opportunity Scholarships of Nebraska awarded 1,500 scholarships, for a total of 5,500 scholarships through both bills.

Jeremy Ekeler, Opportunity Scholarships of Nebraska executive director, said the organization will do whatever it can to continue supporting families already receiving scholarships.

"We just funded $10 million worth of students," Ekeler said. "We don't have nearly that much in tax credits to help support these families, but hopefully we can help bridge a gap and keep as many in as possible.”

State Sen. Lou Ann Linehan introduced LB1402. She said she believes these election results don't match what Nebraskans actually feel, and that they were lied to.

“When Nebraskans realize that this vote meant they took scholarships away from kids, they're not going to be happy," Linehan said. "Nebraskans are very, very fair, very generous. They think every kid should have a chance."

Voters opposed state funding to private K-12 schools at least two other times in Nebraska history - once in 1966 and once in 1972. University of Nebraska-Lincoln law professor Anthony Schutz said the repeal isn’t surprising.

“At least the constitutional history says that basically, people don't want to get into the business of providing public funding to private schools,” Schutz said.