Clinton Vetoes Tax Breaks for Private School Tuition

Following through on his promise, President Clinton vetoed legislation Tuesday that would have given tax breaks to parents who send their children to private schools.

Clinton said he vetoed the Education Savings and School Excellence Act because it would use $3 billion to fund tax benefits for richer families while doing “virtually nothing for average families.” He said the $3 billion could be better used to improve overall public education.

“By sending me this bill, the Congress has instead chosen to weaken public education and to shortchange our children,” Clinton said. “Just as we have an obligation to repair our transportation system, we also have an obligation to invest in the infrastructure needs of our public schools.”

House Ways and Means Committee Chairman Bill Archer (R-Texas) said: “Today is a sad day for America’s schools and schoolchildren. . . . The education of our children is a vital priority and I regret the president’s action.”

House Speaker Newt Gingrich’s spokeswoman, Christina Martin, said Clinton had bowed to the “influence of the labor union bosses and the education bureaucrats.”

The education bill cleared the Senate last month by too narrow a margin to overcome Clinton’s veto, and the president immediately said he would not sign it. It was offered as an alternative to Clinton’s $12-billion, five-year proposal to build schools, hire teachers and expand after-school programs, and Clinton renewed his call for lawmakers to approve his plan.

The vetoed legislation would have expanded education savings accounts so that tax-free withdrawals could be used for education expenses from kindergarten through college. Covered expenses included private tutors, home computers, supplies and transportation.

Clinton said the bulk of those benefits would flow to families at the top 20% of income distribution.

It would “reward families, particularly those with substantial incomes, for what they already do,” Clinton said. “Families struggling to make ends meet would never see a penny of the benefits.”

The bill also would have given states financial incentives to use for merit pay and competency testing for teachers.