ACE Act Achieving Choice in Education Act
The proposed amendments will not take effect until after December 31, 2026, allowing for a gradual implementation of the changes. By broadening the scope of expenses covered under 529 plans, this bill aims to alleviate the financial burdens faced by families involved in private or homeschooling scenarios. The changes may enable more families to allocate funds towards quality educational resources, thus enhancing the overall educational landscape in the state.
SB311, officially titled the Achieving Choice in Education Act, seeks to amend the Internal Revenue Code to enhance educational opportunities through various financial incentives. One of the key proposals within the bill is the expansion of the definition of qualified expenses for 529 savings accounts to include costs associated with elementary and secondary education, such as tuition, curricular materials, books, and tutoring fees. This expansion is intended to promote educational choice, particularly for families opting for homeschooling or private schooling.
One notable point of contention surrounding SB311 is its linkage to school choice legislation. The bill stipulates that states must implement certain school choice programs to qualify for specific tax exemptions or benefits related to tax-exempt bonds. Critics may argue that this creates an uneven playing field where states with robust school choice initiatives could disadvantage those without such programs. This reliance on state policies regarding educational choice could spark debate among legislators on educational equity and access.