building hope

How an ambitious new program aims to fight poverty and help kids learn, one block at a time

PHOTO: Ann Schimke
Tennyson Knolls students return to school after a ribbon-cutting ceremony on school grounds in September.

It was late fall. Several mothers gathered in the art room of Tennyson Knolls Elementary School for a parenting class. One of the leaders asked how their week had gone.

Teresa Morton spoke up. She’d recently worked several late shifts as a cashier at Kmart and felt guilty about the time away from her son Sammy. The first-grader was used to her busy work schedule. Maybe too used to it, she thought.

She started to cry.

It was a hard moment for Morton, but the two co-leaders and her classmates soon offered tissues and comforting words.

“I felt like I was talking to my best friend,” she said. “I got emotional.”

The tearful moment during a class called “The Incredible Years” offers a glimpse into an ambitious project that aims to improve the educational outcomes of students at this low-income school northwest of Denver.

Called “Blocks of Hope,” the effort began in the summer of 2014. It’s modeled on the Harlem Children’s Zone in New York City and tackles one of the biggest questions in education: What can be done to mitigate the pernicious effects of poverty on student success?

The project’s leaders from the nonprofit Growing Home believe the answer is a “place-based” approach that provides young children in a tightly defined geographic area with everything they need to succeed.

Tennyson Knolls Principal Brian Kosena chats with students during a ribbon-cutting for the school's story walk this fall.
Tennyson Knolls Principal Brian Kosena chats with students during a ribbon-cutting for the school’s story walk this fall.

For kids like Sammy, that means new backpacks and school supplies when school starts, Christmas presents in December and weekly tutoring throughout the year. It also means extra support for his mom, including free classes on parenting and early literacy and one-on-one help from family outreach workers.

There are other offerings too—Thanksgiving meal baskets, thrift store vouchers and home visiting services for parents with babies and toddlers, to name a few.

In short, Blocks of Hope aims to provide a full set of educational and social services to families with children from birth to 9 years old living in Tennyson Knoll’s attendance zone—a 2.25-square-mile rectangle in the suburban cities of Westminster and Arvada and unincorporated Adams County.

Principal Brian Kosena, who started at Tennyson Knolls this year, said his reaction to the project has been “utter disbelief that there’s an organization that’s willing to dedicate so much time and resources … to a single school.”

“This idea of drawing out a grid of blocks on a map and saying, ‘We’re just going to flood this grid with as many resources as we can’ … It’s just been amazing,” he said.

Borrowing from Harlem

While the Harlem Children’s Zone has road-tested its unique brand of place-based cradle-to-career work for years, the movement is in its infancy elsewhere.

Since 2010, about 60 communities nationwide have planned or launched place-based projects focused on birth through college, according to a group called the Promise Neighborhoods Institute, which provides technical assistance for such efforts. Many of these initiatives are clustered on the coasts and in the Midwest, and most are in urban areas.

Until Blocks of Hope, such projects have been largely absent in Colorado.

One similarly-themed initiative, “The Children’s Corridor,” launched in northeast Denver and northwest Aurora five years ago but was phased out within a few years. Part of the problem was the huge 41-square mile target area covering multiple cities, counties and school districts.

With no clear precedent here, Blocks of Hope represents both a promising experiment and an untested investment.

Experts say when such place-based efforts are done right—with a long-range timeline, deep community penetration and a hard-nosed focus on results—they can move the needle on educational outcomes.

“What this focus on a particular school and a particular place brings is a much finer-grained focus on why kids are not making it,” said Frank Farrow, director of the Center for the Study of Social Policy, one of three partners in the Promise Neighborhood Institute.

“We call it place-based,” he said, “but really it’s that intensity of intervention and that accountability for every child.”

“We’re not doing enough”

While Blocks of Hope officially launched last year, the idea crystallized in the mind of Growing Home’s director and CEO Teva Sienicki in 2008.

It was then, as she bustled around the Growing Home office, that she saw two boys gazing intently at something while they waited for their parents to complete a rental assistance interview. When she realized the pair was transfixed by a bowl of fruit in the nonprofit’s day center, she offered them each an apple.

“They ate that thing literally not just to the core, but to the seeds and the stem. I had never seen kids eat an apple like that,” she said. “It shook me up. I said ‘You know, we’re not doing enough.’”

Sienicki began looking at the national landscape to see what kinds of programs were making a difference. That’s when she came across the Harlem Children’s Zone, the brainchild of founder Geoffrey Canada.

But 2008, in the midst of the recession, was a bad time to start new programs.

Still, the Growing Home team agreed to begin bulking up services, laying the groundwork for the launch of Blocks of Hope at one school in the Adams 50 district. The 10,000-student district is one of more than 15 community partners involved in the project.

It would be a scaled-down version of the Harlem model, focusing on children from birth to 9 instead of the full “cradle-to-career” span.

Both Sienicki and the district’s director of early childhood education, Mat Aubuchon, believed the early childhood focus made the most sense.

“We’d love to have something like what Geoffrey Canada did, of course,” said Aubuchon, who’s worked closely with Growing Home on the project. “I think you also have to look at the scale and the size, and say, ‘What can you realistically pull off?’”

Help for a struggling reader

One afternoon last April, Dana Morton—Teresa Morton’s younger sister— brought her first-grader Natasha to a Blocks of Hope tutoring session in the Tennyson Knolls school library. Her nephew Sammy was there, too.

While Natasha worked on a reading activity with a volunteer and Morton’s toddler daughter Katrina played on the carpet, Morton confided in Dolores Ramirez, a bilingual family support specialist from Growing Home.

Dana Morton worries about her daughter Natasha's reading skills.
Dana Morton worries about her daughter Natasha’s reading skills.

“I have a feeling that she’s going to fall behind,” said Morton, recalling Natasha’s summer slide the previous year. “She’s having trouble reading.”

Ramirez, who spends several hours a week working with families at the school, gently prodded. She asked if Morton had talked to the teacher about her concerns or could ask the teacher to write a letter advocating that Natasha be enrolled in the district’s extended school year program.

In the end, Natasha didn’t get into the program.

But as Natasha — who has Attention Deficit Hyperactivity Disorder — entered second grade still struggling with reading basics, Dana Morton remained concerned.

She circled back to the subject on a September afternoon as she and her sister Teresa chatted in front of Tennyson Knolls as they waited for their kids to be dismissed. Natasha had done poorly on a back-to-school reading assessment. Morton planned to stick with Blocks of Hope tutoring and push for the extended school year program next summer.

The Morton sisters, who attended district schools themselves for several years, live with their parents not far from the school. Dana, a stay-at-home mom, receives Social Security income because of a persistent back problem. Teresa hopes eventually to go to nursing school.

As students poured out of the school’s front entrance just after 3 p.m., Teresa talked about her plans to attend a Blocks of Hope class on early literacy development the following night. Not so much for Sammy, who loves to read, but for her niece Natasha.

“I’m doing it more for her because she’s so far behind,” she said.

Planning for expansion with a gentrification caveat

At the moment, Blocks of Hope is a relatively modest project—with two dedicated employees, several employees with part-time involvement and an annual budget of $250,700. But Growing Home leaders have much bigger plans in store.

First, they envision a 20-year investment in the effort. Over that time, they anticipate a major expansion of the project as it grows to include the attendance areas of two nearby elementary schools: Westminster and Harris Park. They’ve also talked about adding a fourth elementary school—Hodgkins—to the mix.

Snapshot: Demographics of schools envisioned as part of Blocks at Hope

When it’s fully scaled-up, Sienicki projects that Blocks of Hope could have up to 70 dedicated employees and a budget of $3-$3.5 million.

Together, Tennyson Knolls, Westminster and Harris Park educate just over 1,000 students, more than 80 percent from low-income families. Academic achievement is lackluster, with only 43-44 percent of the schools’ third-graders reading proficiently, according to 2014 state test results.

A Blocks of Hope volunteer works with a Tennyson Knolls during a Friday afternoon tutoring session last spring.
A Blocks of Hope volunteer works with a Tennyson Knolls student during a Friday afternoon tutoring session last spring.

This corner of Adams County presents other challenges too. In a survey conducted in the Tennyson Knolls enrollment zone by Growing Home staff, residents expressed concern about the lack of afterschool and summer programs for kids and the dearth of affordable childcare.

One mother of three confided to Growing Home staff that she’d once had a brick thrown through her front window while her family watched Monday Night Football.

Increasingly, residents are also worrying about the shrinking stock of affordable housing, partly due to construction of two nearby commuter train stations set to open in 2016.

Sienicki said because of alarm about rising rents, Growing Home is in the process of  hiring a community organizer to work with Blocks of Hope residents to advocate for affordable housing units in new developments.

While she’s hopeful that families won’t be pushed out of the neighborhood in a tide of gentrification, she acknowledged it’s a possibility—one that could require a shift in the project’s long-term strategy.

Finding a way to pay for it

Outside experts laud Growing Home’s start-small approach and long-term commitment, but there are still plenty of unknowns. Not least among them is where the money will come from, especially as the project grows.

“Realistically speaking, this isn’t free,” said Kosena, the Tennyson Knolls principal. “And it’s not like they’re charging families and they don’t charge my school budget.”

Currently, Blocks of Hope receives funding from around a half-dozen sources, including foundations, private donors and local government.

In 2009, Growing Home applied for a federal Promise Neighborhood grant for the project, and a few years later pursued a funding mechanism called “social impact bonds,” in which private investors pay for interventions up front and get their money back if the programs produce results. Neither option panned out.

While the nonprofit has received some key grants for Blocks of Hope and hopes a new District 50 effort to explore social impact bonds could eventually support the project, Sienicki is candid about the financial challenges.

“Money is a constraint,” she said. “That’s the story of this work. If we were able to have the resources that we needed, we would have scaled up already.”

Such difficulties are typical, said Farrow, of the Center for the Study of Social Policy.

“On the one hand, I think private funders find it compelling because it’s an overall vision, it’s not just an isolated program…but I think for some local funders, if they’re not geared to or don’t have enough resources to think long term, it can be intimidating as well.”

Changing neighborhood norms 

While Blocks of Hope is hardly an exact replica of the Harlem Children’s Zone, it’s similar in its aim to provide services to a critical mass of neighborhood families. The hope is that eventually the project will touch at least 60 percent of families with children — a tipping point, so to speak, that will benefit the whole service area.

Dana Morton and her daughters Katrina and Natasha, and nephew Sammy.
Dana Morton and her daughters Katrina and Natasha, and nephew Sammy.

The tipping point concept is based on a simple premise, said Kwame Owusu-Kesse, the Harlem Children’s Zone’s chief operating officer.

“Kids are doing what their friends are doing,” whether that’s studying hard or smoking weed, he said. “So how do we shift the norms of the community?”

In year one, Blocks of Hope reached about 10 percent of families with children in its target area. The goal for this year is 20 percent.

Farrow said it often takes a decade of concerted place-based work to see a big impact.

“I think you definitely see small-scale results in two to three years,” he said. “In five years, you could see really significant results, but not what people are calling population-level change.”

No instant outcomes, but data will drive decisions

Besides a long-term commitment and community buy-in, outside observers say successful place-based work requires data-driven decision-making and a willingness to make changes when things aren’t working.

Sienicki, who’s been at the helm of Growing Home since 2002, agrees.

“One of our core values is effectiveness…We want to do what works,” she said. “We want to look at the data. We want to look at the research. We want to look for the results.”

Among the performance metrics that will be tracked as part of Blocks of Hope are school attendance rates, kindergarten readiness assessments, third-grade reading scores and rates of referral to special education. There are also plans to assess family functioning before and after services and examine changes in the school’s mobility rate, which measures the percentage of students who move into or out of a school in a given year. Tennyson Knoll’s mobility rate was nearly 14 percent in 2014.

Sienicki said it’s too early to see any major changes in student outcomes. Still, she said there have already been shifts in awareness, attitudes and behaviors among parents who’ve taken Blocks of Hope classes, which are offered in both English and Spanish.

One such parent is Brittany Hanes, a single mom who works full-time taking reservations for a video conferencing company. She and her son Jayden, a second-grader at Tennyson Knolls, live with her parents.

Hanes said The Incredible Years class she took last year through Blocks of Hope helped her adopt better habits as a parent: Things like establishing a nightly homework routine for Jayden, learning the names of his friends and attending as many school events as she can.

Her childhood in the Adams 50 district was different. It was chaotic and unstructured. She struggled with reading and dallied on homework. Her parents rarely attended school events.

“I don’t feel like I was pushed,” she said.

She hopes to change that trajectory for Jayden and she believes Blocks of Hope will give her the tools.

“I know now if they’re offering something, really and truly we need to take it,” she said.

“When the help comes to you and you don’t have to go out reaching for it, that changes things,” she said.

Looking toward the future

As year two of the project unfolds, leaders at Growing Home are optimistic. School and district staff are supportive and participation among Tennyson Knolls families is growing.

There are also new offerings coming online. Later this year, Blocks of Hope will launch a program for prospective and new parents called “Seedlings,” modeled after the Harlem Children’s Zone’s well-known “Baby College.”

Story walk assembly
In September, Tennyson Knolls students gathered in the gym for an assembly to introduce a new Blocks of Hope literacy passport program.

That doesn’t mean there haven’t been growing pains. Aside from big-picture issues like funding challenges and shifting housing trends, there are plenty of day-to-day logistics to navigate.

For example, space constraints have stymied plans to open up a used clothing boutique in the school where parents could use vouchers to shop for their children.

Other challenges include a couple of community partnerships that haven’t panned out as Sienicki hoped and the tricky job of channeling services to the Tennyson Knolls community while still providing certain Growing Home services to other Adams County residents.

Overall, though, she said, “On the ground, it’s actually in many ways come out just as well or better than we could have hoped.”

One of the newest Blocks of Hope programs, “Reading Explorers,” was unveiled in mid-September during an all-school assembly in the gym.

Rebecca Zamora, manager of early childhood initiatives at Growing Home, told the 375 students sitting cross-legged before her that they would get stamps in their new literacy passports by attending “story walks” at different community locations. Prizes would follow at the end of the year.

“Sound good?” she said. “Who’s ready to read?”

The students raised their hands and applauded.

Face-to-face

In ‘speed dating’ exercise, Detroiters grill school board candidates about third-grade reading, charter schools

PHOTO: Erin Einhorn
Corletta Vaughn, a candidate for Detroit school board, speaks to Detroiters at a forum Thursday evening as Nita Redmond (center) looks on. Vaughn says the district should be open to collaboration with charter schools and suburban districts.

On its face, the public forum Thursday night was about candidates for Detroit school board. In fact, the night belonged to the citizens.

Early in the evening, a tableful of Detroiters — most of them graduates of Detroit public schools, all of them concerned about the future of Michigan’s largest school district — set about deciding what they wanted to ask the candidates during a series of Q&A sessions that CitizenDetroit, which co-sponsored the forum with Chalkbeat, called “speed-dating.”

Shirley Corley, a first-grade reading teacher who retired from the city’s main district, honed in on the state’s “read-or-flunk” law, which could force schools in Detroit to hold back many of their third graders next year if they can’t pass a state reading exam.

“I heard that one on the TV, and I couldn’t believe my ears,” she said.

As a gong sounded, she hurried to shape her outrage into a question: “What are your plans about holding back third-grade readers, and why aren’t they reading better?”

Then Terrell George, one of the candidates for two openings on the school board, sat down across the table. She asked her question.

All across a packed union hall in Detroit’s historic Corktown neighborhood, similar scenes were playing out. Candidates rotated between tables, where they sat face-to-face with roughly 10 Detroit residents armed with prepared questions and many lifetimes-worth of combined experience with the city’s main school district. Every five minutes, someone hit a gong, and candidates got another chance to lay out their vision for the troubled district and impress the voters who will decide their future at the polls in November.

It is Detroit’s first school board election since the board regained control of Michigan’s largest district, which was run for nearly a decade by state-appointed emergency managers. And it marks a crucial milestone in the district turnaround effort led by Superintendent Nikolai Vitti, whose reforms have so far enjoyed the board’s support.

(Six of the nine candidates attended the event. Deborah Lemmons and M. Murray [the full name listed on the ballot] didn’t respond to an invitation, according to CitizenDetroit. Britney Sharp said she had a scheduling conflict and was unable to attend.)

From Natalya Henderson, a 2016 graduate of Cass Technical High School, to Reverend David Murray (his legal name), a retired social worker and minister who previously served a long, sometimes controversial stint on the school board, a broad field of candidates are vying to help steer a district through a historic turnaround effort. The winners will help decide what to do about the $500 million cost for urgent school renovations and test scores that are persistently among the worst in the nation.

(Click here to watch the candidates introduce themselves in two-minute videos, and here for short bios.)

candidate statements
PHOTO: Koby Levin
Deborah Hunter-Harvill, the lone incumbent running for school board, makes an opening statement. Candidates made one-minute opening statements, then rotated through a roomful of 130 people answering questions about their plans for the district. From left: Corletta Vaughn, Shannon Smith, Natalya Henderson, Hunter-Harvill.

The low scores are the reason the state’s third-grade reading law, which calls for students reading below grade level to be held back, will disproportionately affect Detroit. But at Table 1, Corley gleaned some hope from George’s answer to her question about the law. He said more attention should be paid to early literacy instruction: “We must start from the beginning in preschool and kindergarten.”

Corley shook her finger in approval: “That’s right.”

On the other side of the table, Viola Goolsby wanted to know how George would respond if the state attempted to close the district’s lowest-performing schools.

“I would be opposed to any school shutting down any school in any district…” George began.

Then the gong sounded. “That was quick,” George said, standing up.

The table had a five-minute break — with roughly 130 people in the room, there were more tables than the six candidates who attended — and then another candidate, Corletta Vaughn, slid into the seat reserved for candidates.

Lewis EL, a realtor who works in Detroit, read a question from the list provided by Chalkbeat and CitizenDetroit, the non-profit that hosted the event: “What are the pros and cons for the district in collaborating with charters and suburban school districts?”

Vaughn’s voice fell: “I firmly believe that the district alone is without resources. We just don’t have it. So I would like to see a collaboration.” She said other districts could help Detroit train its teachers: “I think we have to do a better job in terms of exposing our teachers to better development.”

“Are they not coming with that knowledge already?” Lula Gardfrey asked.

“But I think that we can support them more,” Vaughn replied. “Our students have mental health issues. They have economic issues. Just what the teacher learned in school isn’t going to be enough when that child arrives at 8 a.m. in the morning.”

detroiters
PHOTO: Koby Levin
Shirley Corley and Lula Gardfrey work on the questions they planned to put to candidates for Detroit school board.

When the gong sounded again, Nita Redmond felt torn. She believed Vaughn had good intentions but was suspicious of any collaboration with charter schools.

The rise of charter schools, which enroll about one-third of the city’s 100,000 students, “should have never happened,” she said. “It seems like it has lowered the regular schools.” When another candidate, Shannon Smith, joined the table, Corley got to hear a different take on her question about the third-grade reading law.

“We need to communicate with parents,” Smith said. “There are a lot of parents that aren’t aware. Second, we need to work together with the administrators and the teachers on the curriculum, and figure out which curriculum would best support the students in reading.”

On the opposite side of the hall, another table asked Deborah Hunter-Harvill, the only incumbent in the race, about her plans for improving instruction in the district.

“Because nationally we’re at the bottom in reading and math, I start from the bottom,” she said. One of our policies is that parents attend parent training free to understand what their kids are being taught. All of our parents don’t come, but if you just get 40 in one classroom in one day, they go home and tell other parents.”

Theresa White had a seat right next to Hunter-Harvill, and she liked what she saw. “That has been a culprit, the lack of participation by parents,” she said.

In the next seat over, Rainelle Burton, who attended high school in Detroit and has lived in the city for decades, came to a different conclusion.

“I’m not hearing anything that says, ‘this is inventive and creative,’” she said.

The up-close-and-personal format didn’t make things easy for the candidates.

“It was definitely not comfortable,” Vaughn said, adding that she wished she’d had access to the pre-written questions beforehand.

reverend david murray
PHOTO: Erin Einhorn
Reverend David Murray, who served on the school board member for 16 years during a period when the district was largely controlled by emergency managers, said those managers were responsible for the district’s decline.

But for voters in the room, the format made things easy. In a straw poll after the event, virtually everyone in attendance said they planned to vote.

“We were able to talk to them one-on-one, it’s not just looking on TV,” Nita Redmond said, adding that she came away with a good idea of who would get her vote (she declined to say who). “We were able to talk to them and evaluate ourselves if this would be the best person to lead my district.”

Surveying the room as the forum wound down, Michelle Broughton was of two minds. She carries with her four generations of experience with the district — she is a computer instructor at Renaissance High School, her father graduated from Chatsey High School, a Detroit Public School, in 1961, her children attended the district, and her grandson is in the eighth grade at McKinsey Elementary — and she said she’d heard a lot of what she called “pie-in-the-sky” ideas at the forum.

No one had offered a solution for the roughly 90 classrooms in the district that were without a teacher on the first day of school — a problem that had affected her family in the past.

“If my child goes to school every day and comes home and says, ‘Grandma, I don’t have a math teacher,’ that child is losing weeks,” she said.

But she said the event gave her a feel for the candidates — and reminded her how many Detroiters share her dream of a thriving school district.

“I’m here because I have hope,” she said. “I see a brighter future, and I hope that I pick somebody who will help.”

Future of Schools

Here’s how new federal rules could impact Indiana’s $14M private school tax credit scholarship program

PHOTO: Dylan Peers McCoy
Students at the Oaks Academy in Indianapolis, a private school, play during music practice. The Oaks accepts tax credit scholarships.

Some school choice advocates are uneasy that new federal tax rules could be detrimental to Indiana’s $14 million tax credit scholarship program.

In August, the U.S. Department of the Treasury released rules clarifying new tax law that limited how much state and local taxes an individuals could deduct from their federal taxes. Some fear the changes might discourage donors from contributing to charities like the state’s tax credit scholarship program, in which individuals and businesses can give money to fund students’ private school tuition in exchange for a tax credit from the state.

“Our primary concern is to make sure that the families who are relying on these scholarships, that they can continue to do so,” said Leslie Hiner, vice president of legal affairs for EdChoice, a national school choice advocacy organization based in Indianapolis. “There are a lot of unknowns.”

Jerry Stayton, superintendent of Elkhart Christian School, submitted a public comment about the regulations saying the scholarships are vital to helping private schools stay afloat and give opportunities to low-income families. The tax incentives have “encouraged giving to schools on a scale never before seen.”

“For the federal government to impose a tax on a state tax credit represents a strange and dangerous precedent,” Stayton wrote. “While the federal government is supreme in the United States, its strength is derived from strong, growing, supportive states with great local economies and excellent education.”

There’s optimism, though, that the regulations’ impact could be far more limited in Indiana than in other states,  given how established its scholarship program is, how low income taxes are here, and how many donors are individuals making smaller contributions.

“So far, Indiana is in a better position, I’d say, than some of the high-tax states,” Hiner said. “Nonetheless, that uncertainty is the thing … I have a lot of faith that people in Indiana, and I’m hoping, that any impact in Indiana because of its long history of charitable giving will not be great.”

Below, we break down how this news could impact Indiana’s school choice programs, as well as how the program works and got its start.

First, what are tax credit scholarships?

Indiana’s tax credit scholarship program, which lawmakers passed in 2009, lets taxpayers donate money to nonprofit, state-approved “scholarship granting organizations” in exchange for a 50 percent credit on their state taxes.

Those donations are then distributed to the nonprofits and given out to income-eligible Hoosier families as private school tuition scholarships. To participate, a family of four can’t make more than $92,870 per year.

In 2018-19, the program could distribute as much as $14 million in tax credits, though the amount that can be donated has no cap. Indiana’s tax credit cap has steadily increased up from $2.5 million since 2009.

While the use of vouchers far outstrips the tax credit scholarships, the program is still sizable. It serves 348 private schools across the state. In 2017, the program awarded 9,349 scholarships totaling more than $16 million.

The National Conference of State Legislatures reports that as of 2017, 17 states had tax credit scholarship programs. The largest one in the country is in Florida, where many corporations participate and the program collects and doles out hundreds of millions of dollars each year.

Is the program controversial?

Yes, though it gets far less attention than Indiana’s voucher program, where families use state tax dollars to pay for private school tuition. It also predates vouchers, which weren’t allowed in the state until 2011.

Tax credit scholarship supporters say the donations benefit students in need who otherwise could attend the school of their choice. They also argue the programs can results in savings for states, as the cost for the tax credits is lower than the cost to educate students in public schools.

Critics of the program say it’s just another version of state-subsidized private school, not unlike vouchers. They also point out it is unclear whether these programs allow states to save money — partially because data on where students go to school and how they transfer between public and private schools can be hard to track.

In Indiana, students do not need to have attended a public school before receiving a tax credit scholarship, and the scholarships can pay up to the full tuition amount at their desired school.

What’s the IRS rule change that is causing the concerns?

It comes in response to a part of the 2017 federal tax bill that limited how much state and local taxes someone could deduct from their federal taxes — up to $10,000. Hiner said federal officials proposed the change to allow the government to get more revenue. Giving fewer opportunities for deductions means the government collects more in tax dollars.

In order to get around the $10,000 cap, some high-tax states, such as New York, California, and New Jersey, took advantage of tax credit programs. As a result, the IRS proposed new rules that prohibit the tax credit workaround, and that’s what has school choice supporters up in arms.

“The IRS had a good reason for taking action, but unfortunately in taking action against those bad actors, they swept in thousands of nonprofits across the country,” Hiner said.

How will the rule change affect Indiana?

Advocates hope is that Indiana won’t take as big a hit as other states with higher taxes.

In a press release, the treasury department said most taxpayers will not be affected by the change, with about 1 percent of taxpayers seeing “an effect on tax benefits for donations to school choice tax credit programs.”

It’s really not clear yet if that will come to pass, Hiner said, because taxes won’t be filed until next year. No one can really say now how donors might change their behavior.

The state-approved nonprofit “scholarship granting organizations” that manage private tuition scholarship funds are already fielding questions from donors. Indiana has seven such organizations, six of which are currently granting scholarships.

“The one thing we’re stressing with everyone is to always contact your accountant, financial advisor, or tax preparer to walk through what the impacts could be,” said Betsy Wiley, executive director of the Institute for Quality Education, one of the state’s scholarship granting organizations.

But in Indiana, according to an analysis from CNBC, taxpayers on average don’t claim deductions over $10,000. While the rule change could impact corporations or very large individual donors, most Hoosiers don’t fall in those categories. The vast majority of donors are individuals, and 43 percent of those donations are for less than $1,000, Wiley said.

Wiley hopes the federal government decides to pause implementing these new rules until after taxes for 2018 are filed. This would give donors and nonprofits more time to understand what the effect might be so they can adjust at the state level.

Federal officials are collecting feedback through November, when there will be another hearing on the rules.