HB26-1292 Implements Trumps School Choice Program But Colorado Democrats Attach Strings

You may have heard about the school choice tax credit program in President Donald Trump’s “One Big Beautiful Bill”, basically a program designed to fund student scholarships through tax-credited donations.

Even Governor Jared Polis jumped on board and publicly stated he wanted to bring this program to Colorado.

Now the Democrat-controlled state legislature has gotten the ball rolling with the introduction of HB26-1292…but everyone should proceed with caution and understand what strings they are tying to this legislation.

On the surface, it’s about expanding school choice and helping bridge a financial gap for those who may not be able to afford the schooling that would best fit their child, such as private schools.

These scholarships are funded through a tax credit system, which means the funding is being driven by government tax policy. And when funding is structured that way, it comes with requirements.

Under HB26-1292, if a private school, including religious-based schools, accepts even one student using one of these scholarships, it becomes what the bill calls a “participating school.”

That designation brings a broad set of state requirements, including nondiscrimination rules tied to “gender identity” and “gender expression”, applied across admissions, enrollment, and student services.

That creates a very real tradeoff for private and faith-based schools: participate in the program and take on those requirements, or remain independent and not accept scholarship-funded students.

This is one of those bills that sounds simple at first, but the details need to be scrutinized because when those details are put into practice, they shape how schools operate and who ultimately sets the rules.

Sources:

https://coloradosun.com/2025/12/05/colorado-federal-tax-credit-scholarship-program-voucher/

https://leg.colorado.gov/bills/HB26-1292

https://www.congress.gov/crs-product/R48724