Iowa Gov. Tom Vilsack in 2008.
Twenty years ago, Iowa took a historic step toward expanding educational opportunity for families across the state.
In 2006, Iowa lawmakers passed the School Tuition Organization (STO) tax credit program, and it was signed into law by Governor Tom Vilsack. It marked the first modern school choice policy in Iowa — a groundbreaking moment that helped reshape the state’s education landscape.
The concept was straightforward but powerful: provide a state tax credit to individuals and businesses that donate to School Tuition Organizations. Those privately funded donations would then be used to award tuition scholarships to K–12 students attending accredited nonpublic schools.
For many working- and middle-income Iowa families, this program made an education option financially possible for the first time.
The STO tax credit program demonstrated an important principle — when families are trusted and empowered, students benefit. It created a successful public-private partnership that mobilized donors, schools, and communities around expanding opportunity for children.
Over the past two decades, thousands of Iowa students have received scholarships through STOs. The program not only opened doors for families but also laid the foundation for future school choice policies, including Iowa’s Education Savings Account program.
School choice in Iowa did not happen overnight. It began with vision, leadership, and a willingness to prioritize students over systems.
As we mark this 20th anniversary, we recognize the bipartisan leadership that made Iowa’s first school choice law possible, the governor who signed it, the donors who invested in students, and the families who embraced new opportunities.
Twenty years later, the impact continues — and so does the commitment to ensuring every Iowa student has access to an education that fits their needs.