Treehouse has joined the Washington Student Success Coalition (WSSC) in encouraging Governor Ferguson to opt Washington state into the Federal Scholarship Tax Credit.
About the Federal Scholarship Tax Credit
Beginning January 1, 2027, the Federal Scholarship Tax Credit (FSTC) will allow taxpayers to receive a dollar-for-dollar federal tax credit of up to $1,700, or $3,400 for married couples filing jointly, for qualifying contributions to approved Scholarship Granting Organizations (SGOs). These nonprofit organizations provide scholarships to eligible K-12 students and families for certain educational expenses such as academic tutoring, special needs services, school supplies, technology, and tuition.
Each state must elect to participate in the program annually. Governor Ferguson has not yet announced a decision about Washington’s participation. Without state participation, Washington-based organizations and school districts cannot receive qualifying contributions through the program, although Washington taxpayers may contribute to approved organizations in other states—meaning students in Washington will not be able to benefit.
Why Treehouse Joined the Washington Student Success Coalition
Treehouse’s decision to join the Washington Student Success Coalition is grounded in a simple conviction: Every young person deserves access to the educational opportunities and resources they need to thrive, regardless of their circumstances.
Students experiencing foster care face extraordinary barriers to educational success, including frequent school transitions, disrupted relationships, and inequitable access to academic and enrichment opportunities. These barriers are not of their making, yet they have profound and lasting consequences for their educational outcomes and future opportunities.
We recognize that this federal program has generated legitimate debate about the future of public education. Treehouse remains steadfast in our commitment to strong, equitably funded public schools. At the same time, we believe we have a responsibility to pursue every promising strategy to close the educational opportunity gap for the young people we serve.
This program could unlock significant additional resources for tutoring, academic support, technology, enrichment, and other services that help students remain engaged in school, graduate, and pursue their postsecondary aspirations. Our support for Washington’s participation is not an endorsement of every aspect of the federal policy. It reflects our conviction that the educational needs of young people must transcend political divisions.
We also believe how this program is implemented matters enormously. Without intentional safeguards, students already facing the greatest barriers to educational opportunity could once again be left behind.
That is why Treehouse is joining the members of the Washington Student Success Coalition, who are committed to advancing equity, accountability, and access to educational resources for public school students. By taking a seat at this table, we can ensure the perspective and needs of students experiencing foster care are represented as Washington considers participation and establishes expectations for implementation.
We believe the program needs strong transparency, accountability, oversight, and protections to ensure students furthest from opportunity will benefit. This includes equitable access to scholarship dollars, meaningful safeguards against discrimination, and clear reporting on which students are being served.
At a time when public education faces significant fiscal pressures, we cannot afford to overlook more than $1 billion in potential resources that could provide meaningful supplemental support to students who need it most. Students experiencing foster care should be explicitly prioritized in the implementation of this program, not left to compete for resources in a system that struggles to meet their needs.
The Tax Credit Is Not Enough
The Federal Scholarship Tax Credit is not a solution to the broader education funding challenges facing Washington’s schools, families, and students. Supplemental resources must strengthen educational opportunity and access, never substitute for the public investment that Washington owes every student.
Treehouse will continue to advocate for fully funded public education and sustained investment in critical programs serving students who face systemic barriers, programs like Graduation Success, Educational Advocacy, Passport to Careers, the Homeless Student Stability Program, and Ninth Grade Success. We believe Washington can both champion a strong public education system and pursue additional resources that expand opportunity for students who have historically been underserved. These commitments are not mutually exclusive.
At Treehouse, we understand that this federal policy is not perfect. But Washington can implement it in a way that advances equity, expands opportunity, and delivers meaningful support to students who need it most. We stand in solidarity with the Washington Student Success Coalition and are committed to making these dollars work for all students in Washington state.
