Bill > HB1326

This bill establishes the Prekindergarten Savings Account Program in Maryland, administered by the State Department of Education, which allows parents of eligible prekindergarten students to receive state grants for educational expenses. Under the program, the state will deposit a percentage of per-pupil state and local education funds into an account for each eligible student - 75% for families at or below 500% of the federal poverty level, and 50% for families above that threshold. Parents can use these funds for expenses like tuition at qualifying nonpublic prekindergarten programs, textbooks, private tutoring, curricular materials, online learning, and educational services for students with disabilities. To participate, parents must agree to specific conditions, such as providing early childhood education that meets state requirements, ensuring student assessment participation, and not receiving additional public subsidies. The bill also allows parents to make pre-tax deposits into these accounts and provides a state tax subtraction for such deposits. Qualifying schools must meet various requirements, including compliance with health and safety laws, nondiscrimination policies, and conducting background checks. The program is set to take effect on July 1, 2025, with tax provisions applicable to taxable years beginning after December 31, 2024.

Budget and Finance

https://mgaleg.maryland.gov/mgawebsite/Legislation/Details/HB1326?ys=2025RS