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The largest donors to a tax credit program supporting private school tuition scholarships in Missouri are a Fortune 500 health care corporation, a cable company and the founding family of the Kansas City Chiefs.
UnitedHealth Group Inc. has given the most since 2023 to the state’s K-12 tax-credit scholarship program, dubbed MOScholars, with a $2 million donation last year and $3.5 million pledged this year.
Lamar Hunt Jr. and his wife Rita Hunt, part of the family that owns the Kansas City Chiefs, reserved $800,000 in tax credits last year and $500,000 this year. Hunt Jr. is also the founder of the Kansas City Mavericks hockey team and a philanthropist tied to Catholic ministries.
MOScholars allows taxpayers to give to one of six educational assistance organizations to fund scholarships for private, parochial and homeschooled students. Donors use an application on the State Treasurer’s Office to register the amount they intend to donate with the state, reserving a tax credit in that amount up to half of their tax burden.
Treasurer Vivek Malek told The Independent this year’s donations are off to a promising start, topping figures from this time last year.
So far, taxpayers have reserved $5 million of the tax credits available this year. Typically, donations are strongest at year-end. MOScholars donors can receive their donation amount back in a tax credit, up to half their tax burden, with the reservations. So donations come nearer to tax time.
Last year, donations looked sparser at this time, and the number of students recorded as a returning MOScholars student was low. This number grew, though, as donations came through at the end of last year with a total of $16.6 million by the end of 2023.
Among those who have given to MoScholars since lawmakers created the program in 2022 are political mega donors, national corporations and hundreds of individuals, according to the Missouri Accountability Portal.
Rex and Jeanne Sinquefield, major political donors in Missouri and advocates for private and charter schools, gave $1 million between two educational assistance organizations last year.
David Steward, founder and chairman of IT provider World Wide Technology, gave $500,000 to a St. Louis-based educational assistance organization.
Charter Communications, which serves customers as Spectrum, gave $334,000 to each educational assistance organization for a total of just over $2 million.
Hobby Lobby Stores gave $300,000.
Herzog Enterprises, a railway construction company once run by political donor Stanley Herzog, gave $250,000 to its nonprofit arm, the Herzog Tomorrow Foundation. Brad Lager, who once served in Missouri’s legislature and now leads Herzog Enterprises, reserved $200,000 in tax credits.
Also included in the list of donors in 2023 is former Missouri Gov. John Ashcroft and his wife Janet. Ashcroft served as governor from 1985 to 1993 before becoming a U.S. Senator and later U.S. attorney general.
Treasurer’s office staff told The Independent that fundraising has been focused on both individuals and corporations. More than half of the office’s expenditures in 2023 were spent on advertising its various programs.
State Rep. Phil Christofanelli, a Republican from St. Peters and sponsor of the bill that created MOScholars, said there has been outreach to corporations through accountant associations.
“We definitely want to work with the larger corporate entities so that they become aware of the program. Corporations are sometimes a little slower to adopt than individual donors and taxpayers,” he said.
There were 1,301 total approved applications for tax credits last year. There have been 161 applications approved in 2024.
This article has been updated to include the source of the donor information.
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by Annelise Hanshaw, Missouri Independent
July 5, 2024
by Annelise Hanshaw, Missouri Independent
July 5, 2024
The largest donors to a tax credit program supporting private school tuition scholarships in Missouri are a Fortune 500 health care corporation, a cable company and the founding family of the Kansas City Chiefs.
UnitedHealth Group Inc. has given the most since 2023 to the state’s K-12 tax-credit scholarship program, dubbed MOScholars, with a $2 million donation last year and $3.5 million pledged this year.
Lamar Hunt Jr. and his wife Rita Hunt, part of the family that owns the Kansas City Chiefs, reserved $800,000 in tax credits last year and $500,000 this year. Hunt Jr. is also the founder of the Kansas City Mavericks hockey team and a philanthropist tied to Catholic ministries.
MOScholars allows taxpayers to give to one of six educational assistance organizations to fund scholarships for private, parochial and homeschooled students. Donors use an application on the State Treasurer’s Office to register the amount they intend to donate with the state, reserving a tax credit in that amount up to half of their tax burden.
Treasurer Vivek Malek told The Independent this year’s donations are off to a promising start, topping figures from this time last year.
So far, taxpayers have reserved $5 million of the tax credits available this year. Typically, donations are strongest at year-end. MOScholars donors can receive their donation amount back in a tax credit, up to half their tax burden, with the reservations. So donations come nearer to tax time.
Last year, donations looked sparser at this time, and the number of students recorded as a returning MOScholars student was low. This number grew, though, as donations came through at the end of last year with a total of $16.6 million by the end of 2023.
Among those who have given to MoScholars since lawmakers created the program in 2022 are political mega donors, national corporations and hundreds of individuals, according to the Missouri Accountability Portal.
Rex and Jeanne Sinquefield, major political donors in Missouri and advocates for private and charter schools, gave $1 million between two educational assistance organizations last year.
David Steward, founder and chairman of IT provider World Wide Technology, gave $500,000 to a St. Louis-based educational assistance organization.
Charter Communications, which serves customers as Spectrum, gave $334,000 to each educational assistance organization for a total of just over $2 million.
Hobby Lobby Stores gave $300,000.
Herzog Enterprises, a railway construction company once run by political donor Stanley Herzog, gave $250,000 to its nonprofit arm, the Herzog Tomorrow Foundation. Brad Lager, who once served in Missouri’s legislature and now leads Herzog Enterprises, reserved $200,000 in tax credits.
Also included in the list of donors in 2023 is former Missouri Gov. John Ashcroft and his wife Janet. Ashcroft served as governor from 1985 to 1993 before becoming a U.S. Senator and later U.S. attorney general.
Treasurer’s office staff told The Independent that fundraising has been focused on both individuals and corporations. More than half of the office’s expenditures in 2023 were spent on advertising its various programs.
State Rep. Phil Christofanelli, a Republican from St. Peters and sponsor of the bill that created MOScholars, said there has been outreach to corporations through accountant associations.
“We definitely want to work with the larger corporate entities so that they become aware of the program. Corporations are sometimes a little slower to adopt than individual donors and taxpayers,” he said.
There were 1,301 total approved applications for tax credits last year. There have been 161 applications approved in 2024.
This article has been updated to include the source of the donor information.
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Missouri Independent is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Missouri Independent maintains editorial independence. Contact Editor Jason Hancock for questions: info@missouriindependent.com. Follow Missouri Independent on Facebook and X.
Our stories may be republished online or in print under Creative Commons license CC BY-NC-ND 4.0. We ask that you edit only for style or to shorten, provide proper attribution and link to our website. AP and Getty images may not be republished. Please see our republishing guidelines for use of any other photos and graphics.
Annelise Hanshaw writes about education — a beat she has covered on both the West and East Coast while working for daily newspapers in Santa Barbara, California, and Greenwich, Connecticut. A born-and-raised Missourian, she is proud to be back in her home state.
Missouri Independent is part of States Newsroom, the nation’s largest state-focused nonprofit news organization.
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© Missouri Independent, 2024
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The Missouri Independent is a nonprofit, nonpartisan news organization dedicated to relentless investigative journalism and daily reporting that sheds light on state government and its impact on the lives of Missourians. This service is free to readers and other news outlets.
We’re part of States Newsroom, the nation’s largest state-focused nonprofit news organization.
Our stories may be republished online or in print under Creative Commons license CC BY-NC-ND 4.0. We ask that you edit only for style or to shorten, provide proper attribution and link to our website.
© Missouri Independent, 2024