Each year, some Pennsylvania parents receive a letter from their school district notifying them that their child attends a “low-achieving school.” The letter explains that the family may be eligible for a scholarship through Pennsylvania’s Opportunity Scholarship Tax Credit Program (OSTC).
For example, a recent notice sent to families in Pittsburgh states that because the school ranks in the bottom 15% statewide, students may “apply for a scholarship to attend another public or nonpublic school.”
At first glance, the letter suggests a straightforward opportunity: apply for a scholarship and move your child to a different school. In practice, however, the program is far more complicated—especially for families in Western Pennsylvania and particularly for children with disabilities.
This article explains how the program actually works and what families should realistically expect.
What Is the Opportunity Scholarship Tax Credit Program?
The Opportunity Scholarship Tax Credit Program (OSTC) was created by the Pennsylvania legislature in 2012 (Act 85 of 2012) and later amended in 2016.
The program allows eligible students who live within the attendance boundary of a low-achieving public school—generally defined as a school in the bottom 15% of statewide test performance—to apply for a scholarship that can help pay tuition at another school.
The scholarships are funded indirectly. Businesses receive tax credits for donations to nonprofit scholarship organizations, and those organizations award scholarships to eligible students.
For families, the key point is this:
The scholarship does not guarantee admission to a school.
It only provides financial assistance if a participating school accepts the student.
How Much Scholarship Money Is Available?
The maximum scholarship amounts are set by state law. In most cases:
For general-education students
- Up to $8,500 per year
For students with special education needs
- Up to $15,000 per year
These are maximum awards, not guaranteed amounts. The actual scholarship may be lower depending on the scholarship organization and available funding.
Families should also understand that the scholarship may not cover the full tuition at some private schools.
Who Is Eligible?
A student generally qualifies for the program if:
- The student lives in the attendance boundary of a designated low-achieving public school.
- The student meets income limits set by the state.
- The student applies through an approved Opportunity Scholarship Organization (OSO).
The notice sent by school districts is simply informing families that they may apply. It is not an award of a scholarship.
How the Application Process Works
Families do not apply through the public school district.
Instead, applications are submitted to nonprofit scholarship organizations that administer the program.
The typical process looks like this:
- Identify a scholarship organization
The Pennsylvania Department of Community and Economic Development maintains a list of approved organizations. - Submit an application
Families usually must provide income information, proof of residency, and school information. - Apply early
Funding is limited and often distributed quickly. - Apply to the school separately
The student must still be accepted by the private or participating school.
Even if a student qualifies for the program, scholarships are contingent on available funding and admission to a participating school.
A Major Reality in Western Pennsylvania: Limited School Options
The biggest misunderstanding created by these letters is the assumption that a scholarship automatically opens the door to many private schools.
In Western Pennsylvania, that is often not the case.
There are relatively few private schools, and many of those have limited seats or selective admissions. Transportation can also be a barrier for families who live far from the school.
For families of children with disabilities, the challenge is even greater.
Special Education Schools Are Rarely Open-Enrollment
Parents often assume that the larger scholarship amount for special-education students means they can simply enroll their child in a specialized private program.
In Western Pennsylvania, that assumption is usually incorrect.
Many schools that serve students with disabilities—often called “approved private schools” or specialized programs—do not accept students directly from parents.
Instead:
- The school district’s IEP team must recommend the placement, and
- The district must agree that the program is necessary to provide a Free Appropriate Public Education (FAPE).
In other words, these schools typically function as placements arranged by public school districts, not as traditional tuition-based private schools. In these situations, the student remains enrolled in their local public school, but attends classes at the special education school.
As a result, a parent cannot usually enroll a child simply by paying tuition or using an OSTC scholarship.
Why the Superintendent’s Letter Can Be Misleading
The notice sent to families correctly states that students may apply for a scholarship and potentially attend another public or nonpublic school.
But the letter omits several practical realities:
- Scholarships are limited and competitive.
- The scholarship does not guarantee admission.
- Private school options in Western Pennsylvania are relatively scarce.
- Specialized disability schools often require district placement rather than parent enrollment.
For many families, the program offers a possibility—but not an easy path to a new school.
What Parents Should Do Next
If you received one of these letters, consider these steps:
1. Research available schools first.
Before applying for a scholarship, determine whether nearby schools actually have openings and whether they serve your child’s needs.
2. Contact scholarship organizations early.
Funding is limited, and deadlines arrive quickly.
3. Ask schools directly about admissions.
Confirm whether the school accepts OSTC scholarships and whether seats are available.
4. Understand your child’s rights in public school.
For students with disabilities, federal law (the Individuals with Disabilities Education Act) requires public schools to provide appropriate services through the IEP process.
The Bottom Line
The Opportunity Scholarship Tax Credit Program can help some Pennsylvania families access different educational options. But the letters sent by school districts often overstate how simple that process is.
For families in Western Pennsylvania—especially those raising children with disabilities—the reality is more complicated:
- Scholarships are limited.
- Schools are few.
- Specialized programs often require district placement.
Before making plans based on the notice, parents should gather information, speak with potential schools, and understand the full landscape of educational options available to their child.