[Congressional Record Volume 144, Number 30 (Wednesday, March 18, 1998)]
[Senate]
[Pages S2210-S2211]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                            A PLUS ACCOUNTS

  Mr. KYL. Madam President, I rise in strong support of the A Plus 
Accounts bill that was introduced by the Senator from Georgia, Senator 
Paul Coverdell.
  This legislation does several things. It would allow more people to 
save for education in tax-preferred education savings accounts. The 
savings could be used for higher education, as well as education at the 
elementary and secondary levels. The bill would extend the existing tax 
exclusion for employer-provided educational assistance through the year 
2002, and it would provide an exclusion for distributions from 
qualified state tuition programs. It would also raise the small-issuer 
exception so that local governments can issue more bonds to finance 
school construction.
  Perhaps the most important provision of the bill is also the most 
controversial. I am talking about the provisions that expand the 
allowable uses

[[Page S2211]]

of education savings accounts to include elementary and secondary 
education. And I want to take a few moments to make three brief points 
about that.
  First, I think it is important to point out that we are not talking 
about a new subsidy for private or parochial schools. To the contrary, 
we are talking about allowing families to keep more of what they earn--
after all, it is their money--to send their children to the elementary 
or secondary school of their choice.
  We already go far beyond what would be allowed by this bill when we 
provide federal financial assistance to students at the college level, 
including students who attend private or religious institutions. No one 
argues that such choice harms public colleges or universities. In fact, 
it is choice and competition that has made our nation's colleges and 
universities the best in the world. So I am perplexed why anyone would 
fear giving parents more choice and control at the elementary and 
secondary levels, as well. That is where the real crisis in education 
exists today, and it is where choice and competition will do the most 
good.
  Second, the people who stand to gain the most from this legislation 
are those of more modest means who might not have the same choice or 
opportunity without the help that the Coverdell bill would provide. Of 
the people opting for Catholic schools, for example, 68 percent have 
annual incomes of $35,000 or less. Wealthier people obviously have the 
means to send their children to the school of their choice whether they 
receive a tax break or not.
  Third, providing families with tax incentives for education savings 
will not decrease federal or state funding for public schools by a 
single dime. The fact is, Congress is likely to approve increases in 
funding for education in addition to the incentives that would come 
with the Coverdell bill.
  Frankly, Madam President, I think it is a big mistake to assume that 
public schools cannot compete successfully with other institutions. 
Many public schools have very well-regarded programs--programs that 
meet or exceed what is offered to students elsewhere--and it is likely 
that these schools would not only retain their current student body, 
but add to it with barriers to choice removed. And with additional 
enrollment would come additional funds for their budgets.
  It is true that failing schools would be forced to improve or face 
declining enrollment. But is it really our goal to force students with 
few financial resources to remain in a failing environment? Should they 
not have the same options that others have to find a school that better 
meets their needs?
  In recent Senate hearings, low-income parents questioned why the 
schoolhouse door is often closed to their children--why they are kept 
from moving their children to schools that can better meet their 
children's needs? Why their children cannot attend safer schools? They 
are right to ask these questions. They deserve--their children 
deserve--access to a quality education.
  In my opinion, the single best thing we could do to improve the 
quality of education in this country is give parents more choice and 
control over where they send their children. It is an idea with broad 
support among the American people. A 1997 poll conducted by the Center 
for Education Reform found support for school choice among the general 
public at 82 percent. The Joint Center for Political and Economic 
Studies reported support among African Americans at more than 70 
percent. It is an idea whose time has come.
  I support the Coverdell legislation.

                          ____________________