HARRISBURG Legislators seek data on school aid groups



Businesses can receive tax credits for their donations to the groups.
HARRISBURG (AP) -- Businesses have received millions of dollars in state tax credits for donating money to schools.
Now lawmakers want to know how the money is being spent.
The state has allocated $30 million a year for the Educational Improvement Tax Credit program since its inception in 2001.
Businesses can cut their state taxes by up to 90 cents for every dollar donated to any of 115 state-approved private-school scholarship organizations and 149 nonprofit groups that support public-school programs.
Businesses have jumped at the chance to take advantage of the program, and lawmakers are preparing to make more tax credits available in the pending education bill.
The Senate has passed a funding increase of $6 million, and the House has approved a $20 million increase.
Questions and opposition
The proposed increases have some lawmakers seeking more information on what the money is buying.
"Is this the best use of our money?" asked state Sen. Allyson Schwartz, D-Philadelphia. "Is this where those education dollars should go?"
Others, like Rep. Phyllis Mundy, D-Luzerne, would prefer to drop the program.
"I just can't figure out how we know that we're getting a bang for our buck," Mundy said.
The law creating the program requires the state to release names of businesses receiving the credits. But it doesn't require organizations to report how they spend the donations they receive.
Officials from the state department of community and economic development, which oversees the program, said they might require more information from the groups receiving the money because of legislators' concerns.
Scholarship data
Scholarship organizations have been willing to reveal data on scholarship numbers and amounts.
For example, the Keystone Christian Education Association reported that it awarded 427 scholarships averaging $605.96 to pupils in 39 counties last year.
The smallest was $20. The largest generally was $1,680, though an official said an exception was made for one special-education child who received $2,910.
Keystone and other groups fear more extensive reporting requirements could become burdensome.
Dennis Giorno, executive director of the pro-school-choice group REACH, said accountability is already built into the law because it requires organizations to be audited annually.
He said the law doesn't give the department authority to collect data some legislators seek.