Arizona Gov. Janet Napolitano will allow a tuition-tax-credit bill to become law without her signature, reversing course from earlier vetoes of similar measures.
The new law would allow companies to claim an income-tax credit for contributions made to organizations that provide educational scholarships and tuition grants to children from low-income families.
Students would be able to use the vouchers to attend private schools. The vouchers could not exceed $4,200 for students in grades K-8, and $5,500 for grades 9-12, with the amount rising by $100 each year.
Arizona since 1997 has had a program in which individuals may make such contributions.
The Democratic governor made it clear that her decision was aimed at winning support from the Republican-controlled legislature on some of her priorities, including teacher-pay hikes and voluntary full-day kindergarten.