Members of the Oklahoma House of Representatives have voted to lock in Oklahoma’s participation in a federal tax-credit program that supports private-school scholarships for state children.

Among other things, the federal One Big Beautiful Bill Act provided for an individual, dollar-for-dollar tax credit of up to $1,700 per individual taxpayer for contributions to state-approved, federally recognized nonprofits that distribute private-school scholarships to eligible children, defined as students from households earning no more than 300 percent of their county’s median income. Officials estimate that 90 percent of children in most states will qualify.

States have to proactively opt into the federal tax credit program, which will take effect on Jan. 1, 2027.

In January, Gov. Kevin Stitt announced Oklahoma would participate.

House Bill 3704, by state Rep. Denise Crosswhite Hader, R-Piedmont, locks in Oklahoma’s participation.

The legislation declares that the State of Oklahoma “hereby elects to participate, to the fullest extent permitted by federal law, in the federal income tax credit for individual contributions to Scholarship Granting Organizations.”

The bill directs the governor to formalize the state’s election and required agreements and designates the Oklahoma Tax Commission as the administering agency. The tax commission will be required to identify and register eligible scholarship-granting organizations, and both maintain and submit that list to the U.S. Treasury.

Oklahoma is one of 27 states that have currently opted into the program. For the most part, states with Democratic governors have opted not to participate.

The federal program is very similar to the Oklahoma Equal Opportunity Education Scholarship program, a state tax-credit program that supports scholarship efforts in Oklahoma.

House Bill 3704 passed the Oklahoma House of Representatives on a 73-20 vote, with Democrats comprising most of the opponents. The bill now proceeds to the Oklahoma Senate.

A fact sheet issued by the Trump Administration noted that school choice “is supported by 72% of Democrats and 82% of families with K-12 students.”

A recent report estimated the Education Freedom Tax Credit will generate an additional $24 billion in education funding annually nationwide. Every $1 billion in scholarships could fund tuition at a school of choice for 77,000 students or cover tutoring for more than 300,000 students.

Trump administration officials have praised the program.

“The Trump Administration is delivering the largest national investment in education choice through the Education Freedom Tax Credit, now supported by nearly half of America’s governors from both sides of the aisle,” U.S. Secretary of Education Linda McMahon said in a press release. “This program will help families afford key education services—like tutoring and scholarships—so they can tailor their child’s educational journey and access opportunities that meet their needs. Every student learns differently, and this investment ensures more families—regardless of income—have real options to pursue education opportunities that help their children thrive.”

“Power belongs in the hands of parents—not Washington bureaucrats whose ill-targeted spending has driven down test scores and promoted woke ideology,” said U.S. Secretary of the Treasury Scott Bessent. “President Trump has built the most pro-school-choice Administration in history because he understands this is the best path for students to grow and flourish. The Working Families Tax Cuts created the first-ever federal tax credit for K-12 scholarships at his direction, and I congratulate the governors who have worked to provide greater access to education and educational programs for millions of Americans. I encourage those who have not opted in to act immediately.”